EXHIBIT 99-1: PRESS RELEASE
Published on April 26, 2007
PRESS
RELEASE
EMCORE
Corporation Announces Preliminary Unaudited Results for its Fiscal 2007 First
Quarter ended December 31, 2006
| · |
Revenues
increased 9% from the prior quarter to $38.5
million
|
| · |
Gross
margin improved 32% from prior quarter
|
| · |
Fiscal
2007 second quarter revenues increased to approximately $40
million
|
| · |
Fiscal
2007 third quarter revenues estimated to be $42-43
million
|
ALBUQUERQUE,
New Mexico, April 25, 2007 -- EMCORE Corporation (NASDAQ: EMKR), a leading
provider of compound semiconductor-based components and subsystems for the
broadband, fiber optic, satellite, and terrestrial solar power markets, today
announced preliminary unaudited financial results for its fiscal 2007 first
quarter ended December 31, 2006.
Consolidated
revenues for the quarter ended December 31, 2006 totaled $38.5 million, slightly
higher than guidance provided. This represents a revenue increase of 8% from
$35.7 million reported from continuing operations in the first quarter of fiscal
2006 and an increase of 9% from $35.4 million reported in the prior quarter.
Both of the Company’s operating segments posted revenue increases when compared
to the first quarter of last year. Fiber Optics revenues for the first quarter
of fiscal 2007 were $25.3 million. This represents an increase in revenue from
$25.0 million reported last year but a decrease in revenue from $28.0 million
reported in the prior quarter. The 10% decrease in Fiber Optics revenues from
the prior quarter was due to customer inventory management, which continued
into
the second quarter. EMCORE experienced a significant increase in customer demand
for its CATV products during the quarter ended December 31, 2006, a trend
expected to continue throughout fiscal 2007. Photovoltaics revenues for the
first quarter of fiscal 2007 were $13.2 million. This represents a revenue
increase of 23% from $10.7 million reported last year and a 79% sequential
increase from $7.3 million reported in the prior quarter. As previously
discussed, the Photovoltaics division experienced a delay in receipt of export
licenses that resulted in a revenue shortfall during the fourth quarter of
fiscal 2006. During the quarter ended December 31, 2006, the Company received
the export licenses and the delayed orders were shipped to the customers. Total
consolidated revenue for the second quarter ended March 31, 2007 approximated
$40 million, which represents a 10% year-over-year increase and a 3% sequential
increase. The quarterly increase in revenue for the second quarter was achieved
for both operating segments.
Consolidated
gross profit for the quarter ended December 31, 2006 totaled $6.1 million.
This
represents a 4% decrease from $6.4 million reported from continuing operations
in the first quarter of fiscal 2006 and a 44% sequential increase from $4.3
million reported in the prior quarter. Consolidated gross margin for the quarter
ended December 31, 2006 was 16%, which represents a decrease from the 18% gross
margin reported in the prior year but a significant increase from the 12% gross
margin reported in the prior quarter. Gross margin for the quarter ended
December 31, 2006 was approximately 17% after excluding non-cash stock-based
compensation expense. On a segment basis, Fiber Optics gross margins were 21%
as
of December 31, 2006. Fiber Optics gross margins decreased from 23% gross
margins as reported in the prior year but increased from 14% gross margins
as
reported in the prior quarter. The year-over-year decrease in Fiber Optics
gross
margins was due to unabsorbed fixed overhead due to reduced digital fiber optics
revenues. The sequential increase in Fiber Optics gross margins is primarily
due
to increased sales of higher margin CATV components and systems offset by the
unabsorbed overhead. Photovoltaics gross margin was 7% as of December 31, 2006,
which remained relatively unchanged when compared to the prior year and prior
quarter. Photovoltaics achieved lower than expected gross margin due to a
push-out of higher margin contracts into next quarter and lower production
yields due to variability encountered with the quality of certain raw materials.
Photovoltaics gross margin for the second quarter ended March 31, 2007 is
expected to increase to approximately 20% due to improved product mix in our
Photovoltaics division.
A
significant portion of the year-over-year increase in operating expenses is
due
to costs incurred associated with prior year acquisitions, the new terrestrial
solar power division, and the review of historical stock option grants. During
the quarter ended December 31, 2006, operating expenses included approximately
$2.0 million related to the Company’s new terrestrial solar power division.
Research and development expenses are expected to increase in the second quarter
as EMCORE completes the second generation of its solar power concentrator system
and prepares for the transfer of system development to production in the
September quarter. In addition, operating expenses during the quarter included
approximately $1.9 million related to the review of historical stock option
grants. Excluding the expenses associated with the new terrestrial solar power
division, non-cash stock-based compensation expense of $1.5 million, and the
review of historical stock option grants, operating expenses for the quarter
ended December 31, 2006 totaled $13.3 million, an increase of $0.3 million
from
the prior quarter, after excluding similar charges. As discussed last quarter,
EMCORE recorded a $2.2 million one-time non-cash impairment charge that related
to the write-down of intangible assets of Corona Optical Systems, an acquisition
made several years ago. On a GAAP reporting basis, operating expenses for the
quarter ended December 31, 2006 totaled $18.7 million. This represents a 70%
increase from the $11.0 million of operating expenses reported from continuing
operations in the first quarter of fiscal 2006 and a sequential increase of
4%
from the $18.0 million of operating expenses reported in the prior quarter.
Excluding
expenses associated with the new terrestrial solar power division, non-cash
stock-based compensation expense, and the review of historical stock option
grants, the operating loss for the quarter ended December 31, 2006 totaled
$6.9
million, a decrease of $1.5 million from the prior quarter, after excluding
similar charges discussed above. On a GAAP reporting basis, operating loss
for
the quarter ended December 31, 2006 totaled $12.6 million.
Excluding
expenses associated with the new terrestrial solar power division, non-cash
stock-based compensation expense, and the review of historical stock option
grants, net loss for the quarter ended December 31, 2006 totaled $6.5 million,
or ($0.13) per basic share. This represents a sequential decrease of $3.2
million when compared to the adjusted net loss of $9.7 million from the prior
quarter. On a GAAP reporting basis, net loss for the quarter ended December
31,
2006 totaled $12.2 million, or ($0.24) per basic share.
Cash,
cash equivalents and marketable securities at December 31, 2006 totaled
approximately $88.0 million, a decrease of $36.7 million from the prior quarter.
The decrease was a result of a $13.5 million cash investment in WorldWater
and
Power Corporation, a $2.4 million semi-annual interest payment on the Company’s
outstanding convertible subordinated notes and $1.2 million for capital
equipment purchases. The remaining decrease was primarily due to payment of
taxes associated with the income earned on the sale of the Company’s interest in
the GELcore joint venture, payment of legal and accounting fees incurred
associated with the review of historical stock option grants, legal costs
associated with the Company’s patent infringement lawsuits against Optium
Corporation and certain other increases in working capital requirements.
Management
Discussion and Outlook:
“As
mentioned previously, the sale of our interest in GELcore and the sale of the
Electronics Materials and Device division have provided us with the capital
to
invest in our terrestrial photovoltaic strategy and expand our fiber optics
business. Our strategic investment in WorldWater and Power and expansion
into China are just two examples of these initiatives. We have obtained a
significant number of new satellite and terrestrial orders in our Photovoltaic
division that we believe will help improve operational performance in fiscal
2007. We expect a much stronger second half for the Company and based on
increased strength in our CATV and broadband product lines, we expect improved
gross margins.” stated Reuben F. Richards, Jr., Chief Executive Officer.
“We are all working diligently to file our delayed 2006 Form 10-K and our Form
10-Q as soon as reasonably practicable” added Mr. Richards.
Company
& Quarterly Highlights:
On
April
13, 2007, EMCORE purchased Opticomm Corporation. Pursuant to the stock purchase
agreement, the Company acquired privately held Opticomm Corporation of San
Diego, California, including its fiber optic video, audio and data networking
business, technologies, and intellectual property. EMCORE paid $4.0 million
in
cash as initial consideration for all of the shares of Opticomm. EMCORE also
agreed to an additional earn-out payment based on Opticomm’s 2007 revenues.
Management anticipates that this transaction will provide approximately $7.0
million of revenue for calendar year 2007, and upon integration it is expected
to be operationally profitable. In 2006, Opticomm generated revenues of $6.3
million and had positive net income.
On
November 29, 2006, EMCORE invested $13.5 million and received approximately
27%
equity interest in World Water and Power Corporation, a NASDAQ-listed company
using the symbol WWAT.OB. WorldWater is a leading solar energy systems company
offering both distributed energy systems as well as grid-tied solar systems.
The
two companies also announced the formation of a strategic alliance and supply
agreement under which EMCORE is the exclusive supplier of high-efficiency
multi-junction solar cells, assemblies and concentrator subsystems to WorldWater
and Power with a contract valued at $100 million over the next 3 years. In
April
2007, EMCORE announced that subject to finalizing certain agreements, EMCORE
would commit to two more investments in WorldWater totaling $7.0 million.
Recent
product launches include:
| · |
EMCORE
10GBASE-LRM long reach multimode SFP+ optical transceiver module.
The LRM
SFP+ product expands EMCORE's 10GbE product portfolio into additional
market niches and platforms. The 10GBASE-SFP+ supports up to 220m
over
legacy multimode fiber and is part of EMCORE's strategy to provide
a
complete suite of modules for legacy multimode customer
applications.
|
| · |
EMCORE
Full Band Tunable Long Reach Small Form Factor Transponder for 10
Gigabit
Applications. This product marks the continued expansion of EMCORE's
market leading portfolio of parallel VCSEL and LX4 optical modules
for the
300m multimode market into the long reach 10 Gbps application space.
The
ETU-9C00-SFF is a multi-purpose full band tunable optical transceiver
module for 10 Gbps DWDM Long Reach telecom and datacom applications.
|
| · |
EMCORE
Double Data Rate (DDR) 12 channel 60 Gbps modules. The MTX/RX9552
is a 12
channel 60 Gbps DDR product, doubling the speed of the existing single
data rate (SDR) SNAP12. The DDR modules are currently sampling to
customers at data rates of 5 Gbps per channel featuring low power
consumption and an improved digital management interface. The Mini,
MTX/RX9542, is the second new product offering that offers DDR bandwidth
with less than half the footprint. Originally designed for broad
temperature range military applications, the Mini's small form factor
allows commercial end users to dramatically increase card density
and
bandwidth.
|
| · |
EMCORE
1.244Gbps Burst-Mode, ITU G.984 compliant APD/TIA for the rapidly
expanding Gigabit Passive Optical Network (GPON) OLT market. EMCORE
was
the first to bring into production the 1.25Gbps Burst Mode APD/TIA
products for Gigabit Ethernet Passive Optical Networks (GEPON) OLT
applications. Building on this product line, EMCORE has created APD/TIA
packaged components for the for the rapidly expanding North American
GPON
OLT Fiber-to-the-Home (FTTH)
market.
|
| · |
EMCORE
1310 10Gbps Fabry-Perot LC Transmit Optical Sub Assembly (TOSA) designed
to meet the emerging market of 10Gbps SFP+ and XFP 10Gbase-LRM modules.
This new product offering expands EMCORE's product base in 10G over
multimode fiber applications by providing key components for LRM
modules.
LRM is an emerging technology that provides 10Gbps transmission speeds
over 220m multi-mode optical fiber links as defined by the IEEE 802.3aq
10GBASE-LRM standard.
|
| · |
EMCORE
1550nm DWDM long reach XFP optical transceiver module. This product
marks
the expansion of EMCORE's market leading portfolio of parallel VCSEL
and
LX4 optical modules for the 300m multimode market into the long reach
10
Gbps application space. This XFP is ideally suited for diverse
applications including SDH STM-64, SONET OC-192 LR-2, and 10 Gigabit
Ethernet (10GBASE-ZR).
|
EMCORE
will discuss its quarterly results on a conference call to be held on Thursday
April 26, 2007, at 9:00 a.m. ET. To participate in the call, U.S. callers should
dial (toll free) 866-710-0179 and international callers should dial
334-323-9871. The access code for the call is 18077. A replay of the call will
be available beginning April 26, 2007 at 11:00 a.m. ET until May 3, 2007 at
11:59 p.m. ET. The replay call-in number for U.S. callers is 877-656-8905,
for
international callers it is 334-323-9859, and the access code is 85597960.
The
call also will be web cast via the Company's web site at http://www.emcore.com.
Please
go to the site beforehand to download any necessary software.
About
EMCORE
EMCORE
Corporation offers a broad portfolio of compound semiconductor-based products
for the broadband, fiber optic, satellite and terrestrial solar power markets.
EMCORE's Fiber Optic segment offers optical components, subsystems and systems
for high-speed data and telecommunications networks, cable television (CATV)
and
fiber-to-the-premises (FTTP). EMCORE's Photovoltaic segment provides products
for both satellite and terrestrial applications. For satellite applications,
EMCORE offers high efficiency Gallium Arsenide (GaAs) solar cells, Covered
Interconnect Cells (CICs) and panels. For terrestrial applications, EMCORE
is
adapting its high-efficiency GaAs solar cells for use in solar power
concentrator systems. For further information about EMCORE, visit
http://www.emcore.com.
Forward-looking
statements
The
information provided herein may include forward-looking statements within the
meaning of Section 27A of the Securities Act of 1933 and Section 21E of the
Securities Exchange Act of 1934. Such forward-looking statements include, but
are not limited to, (a) the Company’s unaudited results for the fourth quarter
and fiscal year 2006 and our first quarter of fiscal 2007, (b) statements
related to the Company’s voluntary review of its historic stock option granting
practices, including statements concerning the determination of accounting
adjustments and related tax and financial consequences in connection with the
Special Committee’s recommendations, and (c) the timing of filing of reports
with the SEC. These risks and uncertainties include, but are not limited to,
(a)
the difficulty of predicting quarterly and year end financial results, (b)
the
finalization and audit of the Company’s unaudited fiscal year 2006 results, (c)
the effects of the Company’s voluntary review of its historic stock option
granting practices, including (i) risks and uncertainties relating to
developments in regulatory and legal guidance regarding stock option grants
and
accounting for such grants, (ii) the possibility that the Company will not
be
able to file additional reports with the SEC in a timely manner, (iii) the
possibility that the Company may determine that additional stock-based
compensation expenses and other additional expenses be recorded in connection
with affected option grants (iv) negative tax consequences arising out of the
stock option review, (v) the possible delisting of the Company’s stock from the
NASDAQ National Market pursuant to NASDAQ Marketplace Rule 4310(c)(14), (vi)
the
impact of any actions that may be required or taken as a result of such review
or the NASDAQ hearing and review process, and (vii) risk of litigation arising
out of or related to the Company’s stock option grants or a restatement of the
Company’s financial statements, and (d) factors discussed from time to time in
reports filed by the Company with the SEC. The forward-looking statements
contained in this news release are made as of the date hereof and EMCORE does
not assume any obligation to update the reasons why actual results could differ
materially from those projected in the forward-looking statements.
|
As
previously disclosed, EMCORE engaged in a voluntary review of its
historical stock option grant procedures, which was conducted by
a Special
Committee comprised of independent members of our Board of Directors,
with
the assistance of independent outside counsel and accounting experts.
Based on the Special Committee’s review, we determined that our previously
filed financial statements would need to be restated to reflect additional
non-cash stock-based compensation expense and related tax expense.
The key
findings and conclusions of the Special Committee are described in
a
Current Report on Form 8-K that was filed with the Securities and
Exchange
Commission (SEC) on November 15, 2006.
The
Special Committee’s conclusion that EMCORE should recognize additional
compensation expense for certain stock option grants requires substantial
work on the part of our independent public accountants and senior
management. This work involves not just restatements of prior year
audited
financial statements, but it also impacts the preparation of our
audited
financial statements for our fiscal year ended September 30, 2006.
For
this reason we were unable to file our Annual Report on Form 10-K
for our
fiscal year ended September 30, 2006 and our Quarterly Report on
Form 10-Q
for our quarter ended December 31, 2006 with the SEC within regulatory
filing deadlines. We have been working diligently to prepare the
restated
financial statements, and as we have publicly reported, we will file
our
fiscal 2006 Form 10-K and fiscal 2007 first quarter Form 10-Q with
the SEC
as soon as reasonably practicable.
EMCORE
has withdrawn reliance upon its historical financial statements because
previously reported operating costs did not correctly reflect non-cash
stock-based compensation expenses related to historical stock option
grants. The preliminary unaudited results included in this announcement
have not been restated to reflect additional non-cash stock-based
compensation expense and related tax expense.
|
EMCORE
CORPORATION
For
the three months ended December 31, 2006 and 2005
(in
thousands, except per share data)
(preliminary
- unaudited)
|
Three
Months Ended December 31,
|
|||||||||
|
|
2006
|
|
2005
|
|
|||||
|
Revenue
|
$
|
38,487
|
$
|
35,729
|
|||||
|
Cost
of revenue
|
32,339
|
29,304
|
|||||||
|
Gross
profit
|
6,148
|
6,425
|
|||||||
|
Operating
expenses:
|
|||||||||
|
Selling,
general and administrative
|
12,122
|
6,895
|
|||||||
|
Research
and development
|
6,611
|
4,137
|
|||||||
|
Total
operating expenses
|
(18,733
|
)
|
(11,032
|
)
|
|||||
|
Operating
loss
|
(12,585
|
)
|
(4,607
|
)
|
|||||
|
Other
(income) expense:
|
|||||||||
|
Interest
and other income
|
(1,652
|
)
|
(330
|
)
|
|||||
|
Interest
expense
|
1,262
|
1,297
|
|||||||
|
Loss
from convertible subordinated notes exchange offer
|
-
|
1,078
|
|||||||
|
Net
income from equity investments
|
-
|
(365
|
)
|
||||||
|
Total
other expenses (income)
|
(390
|
)
|
1,680
|
||||||
|
Loss
from continuing operations
|
(12,195
|
)
|
(6,287
|
)
|
|||||
|
Discontinued
operations:
|
|||||||||
|
Loss
from discontinued operations, net of tax
|
-
|
(254
|
)
|
||||||
|
Net
loss
|
$
|
(12,195
|
)
|
$
|
(6,541
|
)
|
|||
|
Per
share data:
|
|||||||||
|
Loss
per basic and diluted shares from continuing operations
|
$
|
(0.24
|
)
|
$
|
(0.13
|
)
|
|||
|
Loss
per basic and diluted shares from discontinued operations
|
-
|
(0.01
|
)
|
||||||
|
Net
loss per basic and diluted share
|
$
|
(0.24
|
)
|
$
|
(0.14
|
)
|
|||
|
Weighted
average number of share outstanding used in basic and diluted per
share
calculations
|
50,869
|
48,181
|
|||||||
As
discussed above, the preliminary unaudited results included in this announcement
have not been restated to reflect additional non-cash stock-based compensation
expense and related tax expense.
EMCORE
CORPORATION
Condensed
Consolidated Balance Sheet
As
of December 31, 2006 and September 30, 2006
(in
thousands, except share data)
(preliminary
- unaudited)
|
|
As
of
December
31, 2006
|
|
As
of
September
30, 2006
|
|||||
|
ASSETS
|
||||||||
|
Current
assets:
|
||||||||
|
Cash
and cash equivalents
|
$
|
16,367
|
$
|
22,592
|
||||
|
Marketable
securities
|
70,650
|
101,375
|
||||||
|
Restricted
cash
|
963
|
738
|
||||||
|
Accounts
receivable, net
|
37,856
|
28,404
|
||||||
|
Receivables,
related parties
|
332
|
453
|
||||||
|
Inventory,
net
|
24,002
|
23,211
|
||||||
|
Prepaid
expenses and other current assets
|
5,827
|
6,646
|
||||||
|
|
||||||||
|
Total
current assets
|
155,997
|
183,419
|
||||||
|
Property,
plant and equipment, net
|
54,771
|
55,504
|
||||||
|
Goodwill
|
39,200
|
39,190
|
||||||
|
Other
intangible assets, net
|
4,611
|
5,120
|
||||||
|
Investments
in unconsolidated affiliates
|
14,715
|
981
|
||||||
|
Long-term
receivables, related parties
|
82
|
82
|
||||||
|
Other
non-current assets, net
|
3,129
|
3,242
|
||||||
|
|
||||||||
|
Total
assets
|
$
|
272,505
|
$
|
287,538
|
||||
|
LIABILITIES
and SHAREHOLDERS’ EQUITY
|
||||||||
|
Current
liabilities:
|
||||||||
|
Accounts
payable
|
$
|
18,125
|
$
|
20,122
|
||||
|
Accrued
expenses and other current liabilities
|
17,335
|
20,686
|
||||||
|
Total
current liabilities
|
35,460
|
40,808
|
||||||
|
|
||||||||
|
Convertible
subordinated notes
|
95,993
|
95,944
|
||||||
|
|
||||||||
|
Total
liabilities
|
131,453
|
136,752
|
||||||
|
|
||||||||
|
Commitments
and contingencies
|
||||||||
|
Shareholders’
equity:
|
||||||||
|
Preferred
stock, $0.0001 par, 5,882 shares authorized, no shares
outstanding
|
||||||||
|
Common
stock, no par value, 100,000 shares authorized, 51,086 shares issued
and
50,927 shares outstanding as of December 31, 2006; 50,962 shares
issued
and 50,803 outstanding as of September 30, 2005
|
414,008
|
411,521
|
||||||
|
Accumulated
deficit
|
(270,873
|
)
|
(258,652
|
)
|
||||
|
Treasury
stock, at cost; 159 shares
|
(2,083
|
) |
(2,083
|
)
|
||||
|
|
||||||||
|
Total
shareholders’ equity
|
141,052
|
150,786
|
||||||
|
|
||||||||
|
Total
liabilities and shareholders’ equity
|
$
|
272,505
|
$
|
287,538
|
||||
As
discussed above, the preliminary unaudited results included in this announcement
have not been restated to reflect additional non-cash stock-based compensation
expense and related tax expense.
Use
of Non-GAAP Measures
EMCORE
provides non-GAAP operating expenses, non-GAAP operating loss, and non-GAAP
net
income (loss) and non-GAAP loss per share as supplemental measures to GAAP
regarding our operational performance. These financial measures exclude the
impact of certain items and, therefore, have not been calculated in accordance
with GAAP. A detailed explanation of each of the adjustments to such financial
measures is described below. This press release also contains a reconciliation
of each of these non-GAAP financial measures to its most comparable GAAP
financial measure.
EMCORE
believes that the additional non-GAAP measures are useful to investors for
financial analysis. In particular, management believes it is appropriate in
evaluating EMCORE's operations to exclude gains or losses from one-time items
such as impairment charges, charges associated with our review of historical
stock option grants and gains (losses) on divestitures of assets because these
items would make results less comparable between periods. Management believes
adjusting for stock-based compensation expense is appropriate, as it is a
non-cash expense, and adjusting is consistent with the practice of most of
our
competitors. Management also uses these measures internally to evaluate the
company's operating performance, and the measures are used for planning and
forecasting of future periods. In addition, many financial analysts that follow
our Company focus on and publish both historical results and future projections
based on non-GAAP financial measures. We believe that it is in the best interest
of our investors to provide this information to analysts so that they accurately
report the non-GAAP financial information. However, non-GAAP measures are not
in
accordance with, nor are they a substitute for, GAAP measures.
While
management believes that these non-GAAP financial measures provide useful
supplemental information to investors, there are limitations associated with
the
use of these non-GAAP financial measures. These non-GAAP financial measures
are
not prepared in accordance with GAAP, may not be reported by all of the
Company's competitors and may not be directly comparable to similarly titled
measures of the Company's competitors due to potential differences in the exact
method of calculation. The Company compensates for these limitations by using
these non-GAAP financial measures as supplements to GAAP financial measures
and
by reviewing the reconciliations of the non-GAAP financial measures to their
most comparable GAAP financial measures.
Non-GAAP
financial measures are not in accordance with, or alternative for, generally
accepted accounting principles in the United States. The Company's non-GAAP
financial measures are not meant to be considered in isolation or as a
substitute for comparable GAAP financial measures, and should be read only
in
conjunction with the Company's consolidated financial statements prepared in
accordance with GAAP.
Pursuant
to the requirements of Regulation G, the Company has provided a reconciliation
of the non-GAAP financial measures to the most directly comparable GAAP
financial measures as indicated in the tables listed below:
EMCORE
CORPORATION
Non-GAAP
Table - Operating Expenses
(in
thousands)
(preliminary
- unaudited)
|
For
the three months ended
|
||||||||||||
|
|
December
31, 2006
|
|
December
31, 2005
|
|
September
30, 2006
|
|||||||
|
OPERATING
EXPENSES:
|
||||||||||||
|
Operating
expenses - as reported
|
$
|
18,733
|
$
|
11,032
|
$
|
17,952
|
||||||
|
Adjustments:
|
||||||||||||
|
Impairment
charge
|
-
|
-
|
(2,233
|
)
|
||||||||
|
Expense
incurred on new terrestrial solar power division
|
(2,022
|
)
|
-
|
(1,254
|
)
|
|||||||
|
SFAS
123 stock-based compensation expense - non-cash
|
(1,529
|
)
|
(724
|
)
|
(649
|
)
|
||||||
|
Expenses
associated with historical review of stock option grants
|
(1,918
|
)
|
-
|
(900
|
)
|
|||||||
|
Operating
expenses - Non-GAAP
|
$
|
13,264
|
$
|
10,308
|
$
|
12,916
|
||||||
EMCORE
CORPORATION
Non
-GAAP Table - Operating Loss
(in
thousands)
(preliminary
- unaudited)
|
For
the three months ended
|
||||||||||||
|
|
December
31, 2006
|
|
December
31, 2005
|
|
September
30, 2006
|
|||||||
|
OPERATING
LOSS:
|
||||||||||||
|
Operating
loss - as reported
|
$
|
(12,585
|
)
|
$
|
(4,607
|
)
|
$
|
(13,670
|
)
|
|||
|
Adjustments:
|
||||||||||||
|
Impairment
charge
|
-
|
-
|
2,233
|
|||||||||
|
Expense
incurred on new terrestrial solar power division
|
2,022
|
-
|
1,254
|
|||||||||
|
SFAS
123 stock-based compensation expense - non-cash
|
1,795
|
995
|
898
|
|||||||||
|
Expenses
associated with historical review of stock option grants
|
1,918
|
-
|
900
|
|||||||||
|
Operating
expenses - Non-GAAP
|
$
|
(6,850
|
)
|
$
|
(3,612
|
)
|
$
|
(8,385
|
)
|
|||
EMCORE
CORPORATION
Non
-GAAP Table - Net Loss
(in
thousands)
(preliminary
- unaudited)
|
For
the three months ended
|
||||||||||||
|
|
December
31, 2006
|
|
December
31, 2005
|
|
September
30, 2006
|
|||||||
|
NET
LOSS:
|
||||||||||||
|
Net
income (loss) - as reported
|
$
|
(12,195
|
)
|
$
|
(6,541
|
)
|
$
|
77,696
|
||||
|
Adjustments:
|
||||||||||||
|
Impairment
charge
|
-
|
-
|
2,233
|
|||||||||
|
Expense
incurred on new terrestrial solar power division
|
2,022
|
-
|
1,254
|
|||||||||
|
SFAS
123 stock-based compensation expense - non-cash
|
1,795
|
995
|
898
|
|||||||||
|
Reduction
in fair value of investment
|
-
|
-
|
500
|
|||||||||
|
Loss
from convertible subordinated notes exchange offer
|
-
|
1,078
|
-
|
|||||||||
|
Gain
on sale of GELcore
|
-
|
-
|
(88,040
|
)
|
||||||||
|
Net
income from equity investments
|
-
|
(365
|
)
|
620
|
||||||||
|
(Income)
loss from discontinued operations
|
-
|
-
|
(7,573
|
)
|
||||||||
|
Expenses
associated with historical review of stock option grants
|
1,918
|
-
|
900
|
|||||||||
|
Provision
for income taxes
|
-
|
-
|
1,848
|
|||||||||
|
Net
Loss - Non-GAAP
|
$
|
(6,460
|
)
|
$
|
(4,833
|
)
|
$
|
(9,664
|
)
|
|||
|
Weighted
average number of shares outstanding
|
50,869
|
48,181
|
50,728
|
|||||||||
|
Net
loss per share - Non-GAAP
|
$
|
(0.13
|
)
|
$
|
(0.10
|
)
|
$
|
(0.19
|
)
|
|||
Contacts:
EMCORE
Corporation
Adam
Gushard - Interim Chief Financial Officer
(505)
332-5000
info@emcore.com
TTC
Group
Victor
Allgeier
(646)
290-6400
info@ttcominc.com