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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.

Total Revenue
$1.47M
Previous year: $1.85M
-20.6%
EPS
-$0.04
Previous year: -$0.08
-50.0%
Gross Profit
$70K
Cash and Equivalents
$2.33M
Total Assets
$6.9M

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.