HSINCHU, Taiwan, Jan. 10, 2019 (GLOBE NEWSWIRE) -- SemiLEDs Corporation (NASDAQ: LEDS), “SemiLEDs” or the “Company,” a developer and manufacturer of LED chips and LED components, today announced its financial results for the first quarter of fiscal year 2019, ended November 30, 2018.
Revenue for the first quarter of fiscal 2019 was $972 thousand, a 50% decrease compared to $2.0 million in the fourth quarter of fiscal 2018. GAAP net loss for the first quarter of fiscal 2019 was $983 thousand, compared to a loss of $1.1 million in the fourth quarter of fiscal 2018, or a net loss of $0.27 per diluted share, compared to a net loss of $0.32 per diluted share for the fourth quarter of fiscal 2018. Due to the excess capacity charges that we have experienced for the last few years, considering the risk of technological obsolescence and based on the sales forecast production, we disposed of certain of our idle equipment during the first quarter of fiscal 2019, which reduced our net loss.
GAAP gross margin for the first quarter of fiscal 2019 was negative 23%, compared with gross margin for the fourth quarter of fiscal 2018 of negative 11%. Operating margin for the first quarter of fiscal 2019 was negative 105%, compared with negative 62% in the fourth quarter of fiscal 2018. The Company’s cash and cash equivalents was $2.6 million at November 30, 2018, compared to $3.4 million at the end of fiscal 2018.
We expect revenue for the second quarter ending February 28, 2019 to be about $1.5 million +/- 10%.
The Chinese New Year (CNY) of 2019 will begin on February 4, 2019. Our office and factory in Chunan will be closed from February 2, 2019 until February 17, 2019 and will resume operations on Monday, February 18, 2019.
About SemiLEDs
SemiLEDs develops and manufactures LED chips and LED components for general lighting applications, including street lights and commercial, industrial, system and residential lighting, along with specialty industrial applications such as ultraviolet (UV) curing, medical/cosmetic, counterfeit detection, horticulture, architectural lighting and entertainment lighting. SemiLEDs sells blue, white, green and UV LED chips.
Forward Looking Statements
This press release contains statements that may constitute “forward-looking” statements within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended, and as defined in the U.S. Private Securities Litigation Reform Act of 1995. All statements other than statements of historical fact could be deemed forward-looking, including, but not limited to, any projection of future revenues, any statements about historical results that may suggest trends for SemiLEDs’ business; any statements of the plans, strategies and objectives of management for future operations; any statements of expectation or belief regarding recovery of the LED industry, market opportunities and other future events or technology developments; any statements regarding SemiLEDs’ position to capitalize on any market opportunities; and any statements of assumptions underlying any of the foregoing. These forward-looking statements are based on current expectations, estimates, forecasts and projections of future SemiLEDs’ or industry performance based on management’s judgment, beliefs, current trends and market conditions and involve risks and uncertainties that may cause actual results to differ materially from those contained in the forward-looking statements. SemiLEDs’ Annual Report on Form 10-K filed with the Securities and Exchange Commission (the “SEC”) and other SemiLEDs filings with the SEC (which you may obtain for free at the SEC’s website at http://www.sec.gov) discuss some of the important risks and other factors that may affect SemiLEDs’ business, results of operations and financial condition. SemiLEDs undertakes no intent or obligation to publicly update or revise any of these forward looking statements, whether as a result of new information, future events or otherwise, except as required by law.
Contacts:
Christopher Lee
Chief Financial Officer
SemiLEDs Corporation
+886-37-586788
investor@semileds.com
| SEMILEDS CORPORATION AND SUBSIDIARIES | |||||||||
| Unaudited Condensed Consolidated Balance Sheets | |||||||||
| (In thousands of U.S. dollars) | |||||||||
| November 30, | August 31, | ||||||||
| 2018 | 2018 | ||||||||
| ASSETS | |||||||||
| CURRENT ASSETS: | |||||||||
| Cash and cash equivalents | $ | 2,574 | $ | 3,421 | |||||
| Accounts receivable (including related parties), net | 183 | 282 | |||||||
| Inventories | 2,220 | 1,818 | |||||||
| Prepaid expenses and other current assets | 378 | 340 | |||||||
| Total current assets | 5,355 | 5,861 | |||||||
| Property, plant and equipment, net | 6,678 | 7,213 | |||||||
| Intangible assets, net | 95 | 98 | |||||||
| Investments in unconsolidated entities | 910 | 914 | |||||||
| Other assets | 175 | 164 | |||||||
| TOTAL ASSETS | $ | 13,213 | $ | 14,250 | |||||
| LIABILITIES AND EQUITY | |||||||||
| CURRENT LIABILITIES: | |||||||||
| Current installments of long-term debt | $ | 335 | $ | 335 | |||||
| Accounts payable | 634 | 894 | |||||||
| Advance receipt toward the convertible note | 500 | 500 | |||||||
| Accrued expenses and other current liabilities | 5,580 | 5,505 | |||||||
| Total current liabilities | 7,049 | 7,234 | |||||||
| Long-term debt, excluding current installments | 1,921 | 2,013 | |||||||
| Total liabilities | 8,970 | 9,247 | |||||||
| Commitments and contingencies | |||||||||
| EQUITY: | |||||||||
| SemiLEDs stockholders’ equity | |||||||||
| Common stock | — | — | |||||||
| Additional paid-in capital | 175,698 | 175,527 | |||||||
| Accumulated other comprehensive income | 3,732 | 3,727 | |||||||
| Accumulated deficit | (175,229 | ) | (174,251 | ) | |||||
| Total SemiLEDs stockholders’ equity | 4,201 | 5,003 | |||||||
| Noncontrolling interests | 42 | — | |||||||
| Total equity | 4,243 | 5,003 | |||||||
| TOTAL LIABILITIES AND EQUITY | $ | 13,213 | $ | 14,250 | |||||
| SEMILEDS CORPORATION AND SUBSIDIARIES | |||||||||
| Unaudited Condensed Consolidated Statements of Operations | |||||||||
| (In thousands of U.S. dollars and shares, except per share data) | |||||||||
| Three Months Ended | |||||||||
| November 30, | August 31, | ||||||||
| 2018 | 2018 | ||||||||
| Revenues, net | $ | 972 | $ | 1,950 | |||||
| Cost of revenues | 1,191 | 2,155 | |||||||
| Gross profit (loss) | (219 | ) | (205 | ) | |||||
| Operating expenses: | |||||||||
| Research and development | 334 | 254 | |||||||
| Selling, general and administrative | 757 | 871 | |||||||
| Gain on disposals of long-lived assets | (288 | ) | (112 | ) | |||||
| Total operating expenses | 803 | 1,013 | |||||||
| Loss from operations | (1,022 | ) | (1,218 | ) | |||||
| Other income (expenses): | |||||||||
| Equity in loss from unconsolidated entities | — | (8 | ) | ||||||
| Interest expenses, net | (5 | ) | (5 | ) | |||||
| Other income, net | 80 | 155 | |||||||
| Foreign currency transaction gain (loss), net | (36 | ) | (55 | ) | |||||
| Total other income (expenses), net | 39 | 87 | |||||||
| Loss before income taxes | (983 | ) | (1,131 | ) | |||||
| Income tax expense | — | — | |||||||
| Net loss | (983 | ) | (1,131 | ) | |||||
| Less: Net loss attributable to noncontrolling interests | (5 | ) | — | ||||||
| Net loss attributable to SemiLEDs stockholders | $ | (978 | ) | $ | (1,131 | ) | |||
| Net loss per share attributable to SemiLEDs stockholders: | |||||||||
| Basic and diluted | $ | (0.27 | ) | $ | (0.32 | ) | |||
| Shares used in computing net loss per share attributable to SemiLEDs stockholders: | |||||||||
| Basic and diluted | 3,560 | 3,559 | |||||||
