Semiconductor solutions provider,QuickLogic Corporation reported in-line bottom results for third-quarter 2013, but it beat the estimates on top-line. The company posted net loss of 5 cents per share compared with 6 cents in the year-ago quarter.
Moreover, quarterly consolidated loss incurred by this company, which invents and establishes customer-friendly solutions for mobile and portable electronics, narrowed 17.8% to $2.3 million from the loss of $2.8 million in the year-ago comparable quarter.
The year-over-year narrowing of loss was primarily due to a boost in company’s top-line. However, top-line growth was partially offset by a rise in QuickLogic’s operating expenses, which restricted the company to come out of the red.
QuickLogic reported adjusted net loss (excluding stock-based compensation) of $2 million, or 4 cents per share, against net loss of $2.2 million, or 5 cents per share in the year-ago quarter.
Quarter in Detail
Revenues exceeded the Zacks Consensus Estimate of $6 million by an impressive margin of 50%. Total revenue surged 77.7% sequentially and 148% year over year to $9.1 million, mainly aided by growth in revenues from the company’s new product line (contributed 79% of revenues in the quarter).
The boost in the company’s top-line was facilitated by increased demand for new products like some Customer Specific Standard Products (CSSPs), used in tablets and smart phones; and shipment of a certain product ahead of the quarter(due to the timing of a national Chinese holiday).
Majority of the company’s revenues are derived from Korea, which contributed 68% to its total revenues, followed by 11% from the U.S. segment.
QuickLogic’s gross profit rose 73.8% to $3 million. However gross margins contracted by 14.2% to 33.4% in the third-quarter.
As of Sep 29, 2013, the company’s cash and cash equivalents and marketable securities totaled $14.9 million, compared with $22.6 million as of Dec 30, 2012.
QuickLogic currently carries a Zacks Rank #3 (Hold). Some better-placed stocks in the same industry are Microchip Technology Inc. (MCHP), Supertex Inc. and NXP Semiconductors NV (NXPI - Snapshot Report) . While Microchip and Supertex carry a Zacks Rank #1 (Strong Buy), NXP Semiconductor holds a Rank #2 (Buy).