Sigma Designs, Inc. (
SIGMA DESIGNS, INC.
UNAUDITED CONDENSED CONSOLIDATED BALANCE SHEETS
(GAAP)
(In thousands)
January 31, February 1,
2015 2014
----------- -----------
Assets
Current Assets:
Cash and cash equivalents $ 83,502 $ 64,326
Short-term marketable securities 6,347 7,791
Restricted cash 400 1,775
Accounts receivable, net 26,415 27,647
Inventory 20,445 20,403
Deferred tax assets 3,319 4,144
Prepaid expenses and other current assets 8,805 8,069
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Total current assets 149,233 134,155
Long-term marketable securities 4,249 15,505
Software, equipment and leasehold improvements,
net 21,594 27,089
Intangible assets, net 24,642 29,780
Deferred tax assets, net of current portion 687 439
Long-term investments and notes receivable, net of
current portion 3,267 3,873
Other non-current assets 1,661 4,934
----------- -----------
Total assets $ 205,333 $ 215,775
=========== ===========
Liabilities and Shareholders' Equity
Current Liabilities:
Accounts payable $ 21,207 $ 16,184
Accrued compensation and related benefits 6,806 6,288
Accrued liabilities 22,894 19,813
----------- -----------
Total current liabilities 50,907 42,285
Other long-term liabilities 11,136 15,099
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Total liabilities 62,043 57,384
Shareholders' equity 143,290 158,391
----------- -----------
Total liabilities and shareholders' equity $ 205,333 $ 215,775
=========== ===========
SIGMA DESIGNS, INC.
UNAUDITED CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS
(GAAP)
(In thousands, except per share data)
Three months ended Fiscal Year Ended
------------------------------- --------------------
January November February January February
31, 2015 1, 2014 1, 2014 31, 2015 1, 2014
--------- --------- --------- --------- ---------
Net revenue $ 54,846 $ 53,784 $ 38,497 $ 188,313 $ 199,193
Cost of revenue 28,126 27,272 16,451 92,967 91,052
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Gross profit 26,720 26,512 22,046 95,346 108,141
Gross margin percent 48.7% 49.3% 57.3% 50.6% 54.3%
Operating expenses:
Research and
development 17,324 16,603 16,634 67,482 73,162
Sales and marketing 5,806 5,559 4,820 22,290 21,637
General and
administrative 5,247 4,808 4,729 19,641 19,640
Restructuring
charges (3) (18) 267 999 2,261
Impairment of IP,
mask sets and
design tools 689 856 675 2,811 1,013
--------- --------- --------- --------- ---------
Total operating
expenses 29,063 27,808 27,125 113,223 117,713
Loss from operations (2,343) (1,296) (5,079) (17,877) (9,572)
Gain on sale of
development project - - - - 1,079
Interest and other
income (expense),
net 661 188 (164) 1,169 394
--------- --------- --------- --------- ---------
Loss before income
taxes (1,682) (1,108) (5,243) (16,708) (8,099)
Provision for
(benefit from)
income taxes 1,928 (551) (6,496) 4,993 2,950
--------- --------- --------- --------- ---------
Net income (loss) $ (3,610) $ (557) $ 1,253 $ (21,701) $ (11,049)
========= ========= ========= ========= =========
Net income (loss) per
share:
Basic $ (0.10) $ (0.02) $ 0.04 $ (0.63) $ (0.32)
Diluted $ (0.10) $ (0.02) $ 0.04 $ (0.63) $ (0.32)
Shares used in
computing net income
(loss) per share:
Basic 35,036 34,790 34,421 34,693 34,206
Diluted 35,036 34,790 34,502 34,693 34,206
SIGMA DESIGNS, INC.
RECONCILIATION OF GAAP NET INCOME (LOSS) TO NON-GAAP NET INCOME (LOSS)
(Unaudited)
(In thousands, except per share data)
Three months ended Fiscal year ended
------------------------------- --------------------
January November February January February
31, 2015 1, 2014 1, 2014 31, 2015 1, 2014
--------- --------- --------- --------- ---------
Net Revenue $ 54,846 $ 53,784 $ 38,497 $ 188,313 $ 199,193
========= ========= ========= ========= =========
GAAP net income
(loss) $ (3,610) $ (557) $ 1,253 $ (21,701) $ (11,049)
GAAP Gross Profit $ 26,720 $ 26,512 $ 22,046 $ 95,346 $ 108,141
Items reconciling
GAAP Gross Profit to
Non-GAAP Gross
Profit:
COST OF REVENUE
Stock based
compensation
expense (39) (49) (53) (189) (266)
Amortization of
acquired
intangibles (1,062) (1,062) (1,403) (4,281) (5,644)
Restructuring
charges (15) - (12) (66) (45)
Mark-up on
inventory
acquired in
business
combinations
sold during the
period - - - - (436)
--------- --------- --------- --------- ---------
Non-GAAP Gross
Profit 27,836 27,623 23,514 99,882 114,532
Non-GAAP Gross
Margin % 50.8% 51.4% 61.1% 53.0% 57.5%
OPERATING EXPENSES
Items reconciling
GAAP Operating Exp
to Non-GAAP
Operating Exp:
Stock based
compensation
expense (1,662) (1,654) (1,374) (6,089) (6,548)
Amortization of
acquired
intangibles (346) (345) (369) (1,383) (1,508)
Impairment of IP,
mask sets and
design tools (689) (856) (675) (2,811) (1,424)
Settlement
expenses - - - (107) (100)
Facility exit
legal expense (258) (133) (91) (614) (387)
Restructuring
charges 3 18 (267) (999) (2,261)
Gain on sale of
development
project - - - - 1,079
Gain on sales
(impairment) of
privately held
instruments, net (4) 3 (270) (602) (433)
Income tax
adjustments (1,016) 2,055 10,292 (495) 5,826
--------- --------- --------- --------- ---------
Total GAAP to Non-
GAAP Adjustments (3,972) (912) 7,246 (13,100) (5,756)
Non-GAAP net income
(loss) $ 1,478 $ 1,466 $ (4,525) $ (4,065) $ 1,098
========= ========= ========= ========= =========
Diluted Non-GAAP net
income (loss) per
share $ 0.04 $ 0.04 $ (0.13) $ (0.12) $ 0.03
========= ========= ========= ========= =========
Shares used in
calculating diluted
Non-GAAP net income
(loss) per share: 35,036 34,790 34,502 34,693 34,206
