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Mar 31, 2020
MicroVision Q1 2020 Earnings Report
Reported a net loss for the first quarter of 2020 and is exploring strategic alternatives to maximize company value.
Key Takeaways
MicroVision reported a decrease in revenue for the first quarter of 2020 compared to the same period in 2019, along with a net loss. The company is actively exploring strategic alternatives, including a potential sale of the company or its product verticals.
Revenue for Q1 2020 was $1.5 million, down from $1.9 million in Q1 2019.
Net loss for Q1 2020 was $4.9 million, or $0.04 per share, compared to a net loss of $8.1 million, or $0.08 per share in Q1 2019.
Exploring strategic alternatives, including the sale of product verticals or the company.
Implemented cost management measures, including workforce reduction and curtailing non-essential expenses.
MicroVision
MicroVision
Forward Guidance
MicroVision is focused on finding strategic alternatives and managing costs to create a runway for completing a strategic transaction.
Positive Outlook
- Actively exploring strategic alternatives to maximize value.
- Cost management measures implemented to extend financial runway.
- Transferred component production to April 2017 customer to lower costs.
- Sold production assets to reduce working capital requirements.
- Diligently exploring all options including the sale of one or more of our module product verticals and related technology or a potential sale of the Company.
Challenges Ahead
- Uncertainty regarding the outcome of strategic alternatives exploration.
- Risk of not finding licensing or strategic solutions with acceptable terms.
- Dependence on limited cash and ability to raise additional capital.
- Market acceptance of technologies and products is not guaranteed.
- Potential failure of commercial partners to perform as expected.