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Mar 31, 2022

Rambus Q1 2022 Earnings Report

Rambus reported a strong first quarter, exceeding revenue guidance and delivering record product revenue.

Key Takeaways

Rambus delivered a strong first quarter with record product revenue of $48.0 million, driven by memory interface chips. The company generated $42.6 million in cash from operations and strengthened its balance sheet by retiring debt.

Exceeded Q1 guidance for revenue.

Delivered record quarterly product revenue of $48.0 million driven by memory interface chips.

Strengthened balance sheet by retiring debt.

Generated $42.6 million in cash from operations.

Total Revenue
$99.1M
Previous year: $70.4M
+40.7%
EPS
$0.01
Previous year: $0.33
-97.0%
Licensing billings
$64.1M
Previous year: $63.5M
+0.9%
Gross Profit
$76.7M
Previous year: $53M
+44.5%
Cash and Equivalents
$179M
Previous year: $110M
+63.5%
Free Cash Flow
$40.9M
Previous year: $35.9M
+13.9%
Total Assets
$1.06B
Previous year: $1.24B
-14.2%

Rambus

Rambus

Rambus Revenue by Segment

Forward Guidance

For the second quarter of 2022, the Company expects licensing billings to be between $61 million and $67 million. The Company also expects royalty revenue to be between $42 million and $48 million, product revenue to be between $49 million and $55 million and contract and other revenue to be between $18 million and $24 million. Revenue is not without risk and achieving revenue in this range will require that the Company sign customer agreements for various product sales, solutions licensing among other matters.

Positive Outlook

  • Licensing billings between $61 million and $67 million.
  • Royalty revenue between $42 million and $48 million.
  • Product revenue between $49 million and $55 million.
  • Contract and other revenue between $18 million and $24 million.

Challenges Ahead

  • Revenue is not without risk.
  • Achieving revenue in this range will require that the Company sign customer agreements for various product sales, solutions licensing among other matters.
  • Operating costs and expenses to be between $92 million and $88 million.
  • Non-GAAP operating costs and expenses to be between $79 million and $75 million.
  • Non-GAAP interest and other income (expense), net, of ($1 million).

Revenue & Expenses

Visualization of income flow from segment revenue to net income