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Jul 02, 2023

Quicklogic Q2 2023 Earnings Report

Quicklogic reported a decrease in revenue and a net loss for Q2 2023, but reaffirmed full-year revenue growth and non-GAAP profitability expectations.

Key Takeaways

QuickLogic's Q2 2023 revenue was $2.9 million, a 35.7% decrease year-over-year. The company reported a GAAP net loss of $2.3 million, or $0.17 per share. However, QuickLogic reaffirmed its expectation for full-year revenue growth above 30% and second-half and full-year non-GAAP profitability.

Total revenue for Q2 2023 was $2.9 million, a decrease of 29.3% compared to Q1 2023 and 35.7% compared to Q2 2022.

New product revenue was approximately $2.2 million, a decrease of 26.9% compared to Q1 2023 and 28.7% compared to Q2 2022.

GAAP gross margin was 41.2% compared to 57.8% in Q1 2023 and 56.0% in Q2 2022.

GAAP net loss was $2.3 million, or $0.17 per share, compared to a net loss of $0.5 million, or $0.04 per share, in Q2 2022.

Total Revenue
$2.92M
Previous year: $4.54M
-35.7%
EPS
-$0.12
Previous year: -$0.16
-25.0%
Gross Profit
$1.19M
Previous year: $1.47M
-18.5%
Cash and Equivalents
$20.6M
Previous year: $19M
+8.3%
Free Cash Flow
-$98K
Previous year: -$1.84M
-94.7%
Total Assets
$34.4M
Previous year: $28.7M
+19.7%

Quicklogic

Quicklogic

Quicklogic Revenue by Segment

Forward Guidance

QuickLogic reaffirms full year revenue growth will be above 30% and expects to report second half and full year non-GAAP profitability for 2023.

Positive Outlook

  • Significant revenue contribution from the next, executed phase of the large eFPGA contract is expected during the second half of 2023
  • Sales funnel grew to a record $140 million, with conversion expected to accelerate during the second half of 2023
  • Top-tier microcontroller company is in the final stages of integrating its private label version of SensiML AI/ML solutions across its broad product line
  • Reaffirms full year revenue growth will be above 30%
  • Affirms expectation that they will report second half and full year non-GAAP profitability for 2023

Challenges Ahead

  • Timing of the award for the next phase of the large eFPGA contract negatively impacted second quarter results
  • Total revenue decreased 29.3% compared with the first quarter of 2023
  • New product revenue decreased 26.9% compared with the first quarter of 2023
  • Mature product revenue decreased 36.2% compared with the first quarter of 2023
  • GAAP gross margin decreased primarily related to revenue volatility resulting from delays in starting new phases of an existing contract

Revenue & Expenses

Visualization of income flow from segment revenue to net income