EMCORE PRESS RELEASE
Published on February 10, 2009
EXHIBIT
99.1
PRESS
RELEASE
EMCORE
Corporation Announces Preliminary Unaudited Results for Its First Quarter Ended
December 31, 2008
ALBUQUERQUE,
New Mexico, January 9, 2009 – EMCORE Corporation (NASDAQ: EMKR – News), 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 first fiscal quarter
ended December 31, 2008.
Quarterly
Results:
Revenue for the first quarter of fiscal 2009 was $54.1
million, an increase of $7.2 million, or 15%, from $46.9 million reported
in the same
period last year
and a decrease of $6.5 million, or 11%, from
$60.6 million reported in the immediately preceding quarter. Both of the
Company’s reporting segments experienced an increase in quarterly revenue on a
year-over-year basis. When compared to the immediately preceding
quarter, revenue from the Fiber Optics segment decreased and revenue from the
Photovoltaics segment increased.
Revenue
for the Fiber Optics segment was $39.2 million, a $5.2 million, or 15%, increase
from $34.0 million reported in the same period last year and a decrease of $6.9
million, or 15%, from $ 46.1 million reported in the preceding
quarter. The year-over-year increase in Fiber Optics revenue was due
primarily to the Company’s February and April 2008 acquisitions of the telecom,
datacom, and optical cable interconnects-related assets of Intel
Corporation. The $6.9 million decrease in revenue from the preceding
quarter was due primarily to a significant drop in demand from our customers in
this very unfavorable macroeconomic environment as well as continued pressure on
selling prices as we compete to maintain or increase our market share positions.
We continue to receive design wins from major customers and believe that the
Company is well-positioned for an increase in revenue once the overall economy
improves. The Fiber Optics segment represented 72% of the Company's
consolidated revenue for the first quarter of both fiscal 2009 and
2008.
Revenue
for the Photovoltaics segment was $14.9 million, a $2.0 million, or 15%,
increase from $12.9 million reported in the same period last year and an
increase of $0.4 million, or 3%, from $14.5 million reported in the preceding
quarter. On a year-over-year basis, all three of the Photovoltaics
segment’s product lines - satellite solar power, terrestrial concentrating
photovoltaic (“CPV”) and service contracts - experienced an increase in revenue.
The Photovoltaics segment represented 28% of the Company's consolidated revenue
for the first quarter of both fiscal 2009 and 2008.
After excluding non-recurring
inventory reserve adjustments, as set forth in the attached non-GAAP
tables, the first quarter
consolidated gross profit, on a non-GAAP basis, was $7.2 million and the
non-GAAP consolidated gross margin was 13.3%. On a GAAP basis,
consolidated gross profit was $1.6 million, a
$8.5 million, or 84%, decrease from $10.1 million reported in the same
period last year and an increase of $2.1 million from a negative $0.5 million
reported in the preceding quarter. On a GAAP basis, consolidated
gross margin was 2.9% compared to 21.5% in the same period last year and an
improvement from negative 0.8% in the preceding quarter.
On a
segment basis, first quarter non-GAAP gross margin for the Fiber Optics segment
was 11.2% and 18.8% for the Photovoltaics segment. On a GAAP basis,
Fiber Optics gross margin was negative 1.1%, a decrease from 23.5% in the same
period last year and 8.9% in the preceding quarter, with the decrease primarily
due to a general decline in average selling prices, especially for the telecom
component products, unabsorbed overhead expenses and inventory valuation
write-downs totaling approximately $4.8 million. On a GAAP basis,
Photovoltaics gross margin was 13.7%, a decrease from 16.4% in the same period
last year with the decrease due primarily to lower terrestrial solar project
margins, unabsorbed overhead expenses associated with our CPV-related business
and inventory valuation write-downs of approximately $0.8
million. The Photovoltaics segment’s first quarter gross margin
represents a significant improvement from a negative 31.6% gross margin in the
preceding quarter.
Sales,
General, & Administrative expenses for the first quarter of
fiscal 2009 totaled $12.2 million, a slight increase from $11.9 million
reported in the same period last year and a $4.8 million increase from $7.4
million in the preceding quarter. As a percentage of revenue,
quarterly SG&A expenses were 22.5%, a decrease from 25.3% in the same period
last year and an increase from 12.3% in the preceding quarter. The
decrease in year-over-year SG&A expenses was primarily due to a reduction in
non-recurring legal and professional fees and, to a lesser extent, on reduced
staffing levels. The increase, when compared to the preceding
quarter, was due to the reversal, in the preceding quarter, of certain incentive
compensation and tax accruals that totaled approximately $5.2
million.
Research &
Development expenses for the first quarter of fiscal 2009 totaled $8.1
million, an increase of $0.7 million, or 9%, from $7.4 million reported in the
same period last year and a decrease of $3.3 million, or 29%, from $11.4 million
reported in the preceding quarter. As a percentage of
revenue, quarterly R&D expenses were 15.0%, a decrease from 15.8% in the
same period last year and from 18.7% in the preceding quarter. As
part of the Company’s continuing efforts to reduce costs, management has
implemented initiatives to focus our R&D efforts on projects that we expect
to generate returns on within 12 months.
As
required by Statement of Financial Accounting Standard No. 142, Goodwill and Other Intangible
Assets, the Company evaluated its goodwill for impairment as of December
31, 2008. As a result of the unfavorable macroeconomic
environment and a significant reduction in the Company’s market capitalization
during the period, we determined that the goodwill related to our Fiber Optics
segment was impaired resulting in a $31.8 million non-cash impairment
charge. The Company also recorded a non-cash impairment charge
totaling $1.9 million related to in-process research & development
(IPR&D) acquired through the Company’s February 2008 acquisition of the
telecom-related assets of Intel Corporation. As part of cost cutting
initiatives intended to generate cash, management discontinued certain R&D
projects, two of which were associated with the Company’s capitalized
IPR&D. As of December 31, 2008, the Company’s balance sheet no
longer reflects any goodwill associated with its Fiber Optics segment or any
capitalized IPR&D.
After
excluding non-cash and non-recurring expenses, as set forth in the attached non-GAAP
tables, non-GAAP operating expenses for the first quarter totaled $16.5
million. On a GAAP basis, first quarter operating expenses totaled
$54.1 million, an increase of $34.8 million from $19.3 million reported in the
same period last year and an increase of $13.1 million from $41.0 million in the
preceding quarter. In the prior year period, non-cash stock-based compensation
expense totaled $0.8 million and, in the preceding quarter, operating expenses
included $22.2 million in non-cash charges related to impairment of goodwill and
intangible assets.
After
excluding non-recurring and other non-cash charges, as set forth in the attached
non-GAAP tables, the first quarter non-GAAP operating loss was $8.8 million. On
a GAAP basis, the consolidated operating loss for the first quarter was $52.5
million, an increase of $43.3 million from a loss of $9.2 million reported in
the same period last year and a $11.0 million increase from $41.5 million
reported in the preceding quarter.
Non-operating
expenses recognized in the first quarter of fiscal 2009 included net interest
expense of $0.1 million, $0.5 million of expense related to foreign exchange
losses associated with the Company’s international operations, and a $0.4
million non-cash impairment charge related to a publicly-traded
available-for-sale security.
After
excluding non-recurring, non-operating and other non-cash charges, as set forth
in the attached non-GAAP tables, the first quarter non-GAAP net loss was $8.9
million. On a GAAP basis, the consolidated net loss for the first quarter of
fiscal 2009 was $53.4 million, an increase of $39.0 million from $14.4 million
reported in the same period last year and an increase of $12.2 million from
$41.2 million reported in the preceding quarter. On a non-GAAP basis,
as set forth in the attached non-GAAP tables, the first quarter non-GAAP net
loss per share was $0.11. On a GAAP basis, the first quarter net loss per share
was $0.69, an increase of $0.41 per share, from a net loss of $0.28 per share
reported in the same period last year.
Order
Backlog:
As of
December 31, 2008, we had an order backlog of approximately $53.2
million. Our order backlog is defined as purchase orders or supply
agreements accepted by the Company with expected product delivery and / or
services to be performed within the next twelve months. The December
31, 2008 order backlog is comprised of $30.2 million related to our
Photovoltaics segment and $23.0 million related to our Fiber Optics
segment.
Liquidity:
At
December 31, 2008, cash, cash equivalents, restricted cash, and available
for sale securities totaled approximately $18.8 million, working capital totaled
$75.4 million, and outstanding loans under the Company’s $25 million secured
line of credit with Bank of America totaled $15.4 million. Shortly
after the close of the first quarter, the Company sold its remaining interests
in Entech Solar, Inc. (formerly named WorldWater and Solar Technologies
Corporation) for $11.4 million in cash which is not reflected in the quarter-end
cash balance. During the first quarter, the Company freed up $2.6
million in cash that was previously tied up in auction rate securities. As
previously disclosed, the Company has received indications of interest from
several investors regarding a minority equity investment directly into the
Company’s wholly-owned Photovoltaics subsidiary which would serve as
an initial step towards a potential spin off of that business. The
Company’s management is aggressively pursuing these opportunities.
Cost Reduction
Initiatives:
Over the
last three months, the Company has implemented a number of cost
reduction initiatives including:
·
|
A
reduction in personnel totaling approximately 160 people, or 17% of the
total workforce, resulting in annualized cost savings of approximately $9
million
|
·
|
A
significant reduction in the FY 2008 employee bonus plan
payouts
|
·
|
The
elimination of all FY 2009 employee merit
increases
|
·
|
Significant
reductions in capital expenditures
|
·
|
Restrictions
on employee travel and other discretionary
expenditures
|
Quarterly
Report:
The
Company is planning to file a Form 12b-25 requesting an extension to file its
Quarterly Report on Form 10-Q for the three months ended December 31, 2008 with
the Securities and Exchange Commission.
Management Discussion and
Outlook:
Commenting
on the Company’s operating results, EMCORE’s Chief Executive Officer Hong Q.
Hou, Ph.D. stated, "The decline in demand that we experienced in our Fiber
Optics segment in the September 2008 quarter continued throughout the first
quarter which was further aggravated by increased pressure on product
pricing, especially for our telecom products. In response to a very
challenging macroeconomic environment, we have implemented numerous cost
reduction and cash generation initiatives and will continue to aggressively
focus on improving our operational efficiency and working capital management in
our Fiber Optics segment. However, the situation in our Photovoltaics
segment is much more encouraging as our satellite solar power business is
experiencing relatively stable demand, is approaching profitability, and is on
the cusp of developing some significant new business opportunities based upon
our technology leadership position in inverted metamorphic (IMM) triple and
quadruple-junction solar cells. Recently, our terrestrial solar power
division was short-listed on a major solar utility project with a Southwestern
utility and we continue to make significant progress in the development of our
next generation CPV system that we intend to introduce later this year. Although
the outlook for our Photovoltaics segment is fairly encouraging at this point in
time, we expect the environment for our Fiber Optics segment to remain
challenging and expect revenues in that business to be flat to 15% down on
a sequential quarterly basis.”
Recent
Highlights:
·
|
In
October 2008, the Company announced that it closed a $25 million revolving
asset-back credit facility with Bank of America which can be used for
working capital, letters of credit and other general corporate
purposes. The credit facility, which incorporates both LIBOR
and prime-based borrowing alternatives, is subject to a borrowing base
formula based on eligible accounts receivable. The credit
facility, which is subject to certain financial covenants, matures in
September 2011 and is secured by virtually all of the Company’s
assets.
|
·
|
In
November 2008, the Company announced its first deployment of a CPV solar
power system in China with the XinAo Group, one of China’s largest energy
companies. As part of an earlier agreement, the 50 kilowatt (kW) test and
evaluation system is fully installed and operational, and is producing
power in accordance with
specifications.
|
·
|
In
January 2009, the Company announced that it completed the closing of a two
step transaction involving the sale of its remaining interests in the
company formerly named WorldWater & Solar Technologies Corporation,
now named Entech Solar, Inc. The Company sold its remaining shares of
WorldWater Series D Convertible Preferred Stock and warrants to The
Quercus Trust, a significant shareholder of both the Company and
WorldWater, for approximately $11.6 million, which included additional
consideration as a result of the termination of certain operating
arrangements between the companies. In the quarter ended March
31, 2009, the Company will recognize a gain of $3.4 million as a result of
this transaction. With the completion of this last sale in a
series of four sales transactions, the Company has realized a 75% return
on its investment in WorldWater
securities..
|
***
The
Company will discuss its quarterly results on a conference call to be held on
Tuesday, February 10, 2009 at 9:00 am ET. To participate in the
conference call, U.S. callers should dial (toll free) 888-632-5009 and
international callers should dial 913-312-0417. The access code for the call is
5467247. A replay of the call will be available beginning February 10, 2009 at
12:00 p.m. ET until February 18, 2009 at 11:59 p.m. ET. The replay call-in
number for U.S. callers is 888-203-1112, for international callers it is
719-457-0820 and the access code is 5467247. 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 is a leading provider of compound semiconductor–based components and
subsystems for the broadband, fiber optic, satellite and solar power markets.
EMCORE's Fiber Optics segment offers optical components, subsystems and systems
that enable the transmission of video, voice and data over high–capacity fiber
optic cables for high–speed data and telecommunications, cable television (CATV)
and fiber–to–the–premises (FTTP) networks. EMCORE's Solar Power segment provides
solar products for satellite and terrestrial applications. For satellite
applications, EMCORE offers high–efficiency compound semiconductor–based gallium
arsenide (GaAs) solar cells, covered interconnect cells and fully integrated
solar panels. For terrestrial applications, EMCORE offers concentrating
photovoltaic (CPV) systems for utility scale solar applications as well as
offering its high–efficiency GaAs solar cells and CPV components for use in
solar power concentrator systems. For specific information about our company,
our products or the markets we serve, please visit our website at 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 relating to future events that involve risks and
uncertainties. Such forward–looking statements include but are not limited to
words such as "expects”, "anticipates”, "intends”, "plans”, believes”, and
"estimates”, and variations of these words and similar expressions, identify
these forward–looking statements. These forward–looking statements also include,
without limitation, (a) any statements or implications regarding our ability to
remain competitive and a leader in its industry, and the future growth of the
Company, or the industry and the economy in general; (b) statements regarding
the expected level and timing of benefits from our current cost reduction
efforts, including (i) expected cost reductions and their impact on our
financial performance, (ii) our ability to reduce operating expenses associated
with recent acquisitions (iii) our continued leadership in technology and
manufacturing in our markets, and (iv) the belief that the cost reduction
efforts will not impact product development or manufacturing execution; (c) any
statement or implication that the products described in this press release (i)
will be successfully introduced or marketed, (ii) will be qualified and
purchased by our customers, or (iii) will perform to any particular
specifications or performance or reliability standards; (d) any and all guidance
provided by us regarding its expected financial performance in future periods,
including, without limitation, with respect to anticipated revenues for the
second quarter of fiscal 2009. These forward–looking statements involve risks
and uncertainties that could cause actual results to differ materially from
those projected, including without limitation, the following: (a) the impact on
the Company, our customers and our suppliers from the current worldwide economic
crisis; (b) our cost reduction efforts may not be successful in achieving their
expected benefits, (including, among other things, cost structure, gross margin
and other profitability improvements), due to, among other things, shifts in
product mix, selling price pressures, costs and delays related to product
transfers to lower cost manufacturing locations and associated facility
closures, integration difficulties, and execution concerns; (c) we may encounter
difficulties in integrating recent acquisitions and as a result may sustain
increased operating expenses, delays in commercializing new products, production
difficulties associated with transferring products to our manufacturing
facilities and disruption of customer relationships (d) the failure of the
products (i) to perform as expected without material defects, (ii) to be
manufactured at acceptable volumes, yields, and cost, (iii) to be qualified and
accepted by our customers, and, iv) to successfully compete with products
offered by our competitors (e) the fact that our quarterly review has not yet
been completed and may, when completed, result in material adverse changes in
the Company’s financial results for its first quarter of fiscal 2009 not
mentioned in this release; (f) we may not be successful in undertaking the steps
currently planned in order to increase our liquidity; and (g) other risks and
uncertainties described in our filings with the Securities and Exchange
Commission such as cancellations, rescheduling or delays in product shipments;
manufacturing capacity constraints; lengthy sales and qualification cycles;
difficulties in the production process; changes in semiconductor industry
growth; increased competition; delays in developing and commercializing new
products; and other factors. The forward–looking statements contained in this
press release are made as of the date hereof and we do not assume any obligation
to update the reasons why actual results could differ materially from those
projected in the forward–looking statements.
EMCORE
CORPORATION
Condensed
Consolidated Statements of Operations
For
the three months ended December 31, 2008 and 2007
(in
thousands, except per share data)
(unaudited)
Three
Months Ended
December
31,
|
|||||||
2008
|
2007
|
||||||
Revenue
|
$
|
54,056
|
$
|
46,887
|
|||
Cost
of revenue
|
52,467
|
36,784
|
|||||
Gross
profit
|
1,589
|
10,103
|
|||||
Operating
expenses:
|
|||||||
Selling,
general, and administrative
|
12,159
|
11,863
|
|||||
Research
and development
|
8,110
|
7,420
|
|||||
Impairment
of goodwill and intangible assets
|
33,781
|
-
|
|||||
Total
operating expenses
|
54,050
|
19,283
|
|||||
Operating
loss
|
(52,461
|
)
|
(9,180
|
)
|
|||
Other
expense (income):
|
|||||||
Interest
income
|
(270
|
)
|
(427
|
)
|
|||
Interest expense
|
415
|
1,205
|
|||||
Impairment
of investment
|
366
|
-
|
|||||
Stock-based
compensation expense from tolled options
|
-
|
4,374
|
|||||
Loss
on disposal of equipment
|
-
|
86
|
|||||
Foreign
exchange loss (gain)
|
472
|
(12
|
)
|
||||
Total
other expense
|
983
|
5,226
|
|||||
Net
loss
|
$
|
(53,444
|
)
|
$
|
(14,406
|
)
|
|
Per
share data:
|
|||||||
Basic
and diluted per share data:
|
|||||||
Net
loss
|
$
|
(0.69
|
)
|
$
|
(0.28
|
)
|
|
Weighted-average
number of basic and diluted shares outstanding
|
77,816
|
52,232
|
|||||
EMCORE
CORPORATION
Condensed
Consolidated Balance Sheets
As
of December 31, 2008 and September 30, 2008
(in
thousands)
(unaudited)
December
31, 2008
|
September
30, 2008
|
||||||
ASSETS
|
|||||||
Current
assets:
|
|||||||
Cash
and cash equivalents
|
$
|
15,318
|
$
|
18,227
|
|||
Restricted
cash
|
1,827
|
1,854
|
|||||
Available-for-sale
securities
|
612
|
2,679
|
|||||
Accounts
receivable, net
|
61,329
|
60,313
|
|||||
Income
tax receivable
|
130
|
130
|
|||||
Inventory,
net
|
64,592
|
64,617
|
|||||
Investments
in unconsolidated affiliate
|
8,240
|
-
|
|||||
Prepaid
expenses and other current assets
|
6,890
|
6,970
|
|||||
Total
current assets
|
158,938
|
154,790
|
|||||
Property,
plant, and equipment, net
|
80,622
|
83,278
|
|||||
Goodwill
|
20,384
|
52,227
|
|||||
Other
intangible assets, net
|
25,186
|
28,033
|
|||||
Investments
in unconsolidated affiliate
|
-
|
8,240
|
|||||
Available-for-sale
securities, non-current
|
1,400
|
1,400
|
|||||
Long-term
restricted cash
|
569
|
569
|
|||||
Other
non-current assets, net
|
597
|
741
|
|||||
Total
assets
|
$
|
287,696
|
$
|
329,278
|
|||
LIABILITIES
and SHAREHOLDERS’ EQUITY
|
|||||||
Current
liabilities:
|
|||||||
Line
of credit
|
$
|
15,443
|
$
|
-
|
|||
Accounts
payable
|
45,460
|
52,266
|
|||||
Accrued
expenses and other current liabilities
|
22,065
|
22,696
|
|||||
Income
tax payable
|
594
|
594
|
|||||
Total
current liabilities
|
83,562
|
75,556
|
|||||
Long-term
debt
|
910
|
-
|
|||||
Total
liabilities
|
84,472
|
75,556
|
|||||
Commitments
and contingencies
|
|||||||
Shareholders’
equity:
|
|||||||
Preferred
stock, $0.0001 par, 5,882 shares authorized, no shares
outstanding
|
-
|
-
|
|||||
Common
stock, no par value, 200,000 shares authorized, 78,398 shares issued and
78,239 outstanding at December 31, 2008; 77,920 shares issued and 77,761
shares outstanding at September 30, 2008
|
682,858
|
680,020
|
|||||
Accumulated
deficit
|
(478,208
|
)
|
(424,764
|
)
|
|||
Accumulated
other comprehensive loss
|
657
|
549
|
|||||
Treasury
stock, at cost; 159 shares as of December 31, 2008 and September
30, 2008
|
(2,083
|
)
|
(2,083
|
)
|
|||
Total
shareholders’ equity
|
203,224
|
253,722
|
|||||
Total
liabilities and shareholders’ equity
|
$
|
287,696
|
$
|
329,278
|
Use
of Non-GAAP Measures
EMCORE
provides non–GAAP gross profit and gross margin, non-GAAP operating expenses,
non–GAAP operating loss, and non–GAAP net loss and net 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 in
assessing the Company’s financial condition and performance. In particular,
management believes it is appropriate in evaluating EMCORE's operations to
exclude gains or losses from one–time items such as specific non-recurring
accounts receivable and inventory write-downs, patent litigation and other
corporate legal–related charges; charges associated with our review of
historical stock option grants; impairment charges; and severance and
restructuring–related expenses 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 an 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.
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:
Non-GAAP
Table
Non-recurring
expense in gross profit
Unaudited
(in
thousands, except percentages)
|
Three
Months Ended
December
31, 2008
|
|||||||||
Fiber
Optics
|
Photovoltaics
|
Total
|
||||||||
Gross
profit (loss) – as reported
|
$
|
(443
|
)
|
$
|
2,032
|
$
|
1,589
|
|||
Non-recurring
inventory valuation adjustments
|
4,819
|
768
|
5,587
|
|||||||
Gross
profit – Non-GAAP
|
$
|
4,376
|
$
|
2,800
|
$
|
7,176
|
||||
Gross
margin – GAAP
|
(1.1%
|
)
|
13.7%
|
2.9%
|
||||||
Gross
margin – Non-GAAP
|
11.2%
|
18.8%
|
13.3%
|
Non-GAAP
Table
Operating
expenses from recurring operations
Unaudited
(in
thousands)
|
Three
Months Ended
December
31, 2008
|
Three
Months Ended
December
31, 2007
|
|||||
Operating
expenses – as reported
|
$
|
54,050
|
$
|
19,283
|
|||
Non-cash
expense:
|
|||||||
Impairment
of goodwill and intangible assets
|
(33,781
|
)
|
-
|
||||
Stock-based
compensation expense
|
(1,604
|
)
|
(826
|
)
|
|||
Provision
for doubtful accounts
|
(922
|
)
|
(42
|
)
|
|||
Non-recurring
expense:
|
|||||||
Corporate
legal expense
|
(619
|
)
|
(965
|
)
|
|||
Stock
option restatement-related expense
|
-
|
(782
|
)
|
||||
Severance
and restructuring-related expense
|
(617
|
)
|
(455
|
)
|
|||
Operating
expenses – Non-GAAP
|
$
|
16,507
|
$
|
16,213
|
Non-GAAP
Table
Operating
Loss from recurring operations
Unaudited
(in
thousands)
|
Three
Months Ended
December
31, 2008
|
Three
Months Ended
December
31, 2007
|
|||||
Operating
loss – as reported
|
$
|
(52,461
|
)
|
$
|
(9,180
|
)
|
|
Non-cash
expense:
|
|||||||
Impairment
of goodwill and intangible assets
|
33,781
|
-
|
|||||
Stock-based
compensation expense
|
2,150
|
1,075
|
|||||
Provision
for doubtful accounts
|
922
|
42
|
|||||
Non-recurring
expense:
|
|||||||
Corporate
legal expense
|
619
|
965
|
|||||
Stock
option restatement-related expense
|
-
|
782
|
|||||
Severance
and restructuring-related expense
|
617
|
455
|
|||||
Inventory
reserve adjustments
|
5,587
|
-
|
|||||
Operating
loss – Non-GAAP
|
$
|
(8,785
|
)
|
$
|
(5,861
|
)
|
Non-GAAP
Table
Net
Loss from recurring operations
Unaudited
(in
thousands, except percentages)
|
Three
Months Ended
December
31, 2008
|
Three
Months Ended
December
31, 2007
|
|||||
Net
loss – as reported
|
$
|
(53,444
|
)
|
$
|
(14,406
|
)
|
|
Non-cash
expense:
|
|||||||
Impairment
of goodwill and intangible assets
|
33,781
|
-
|
|||||
Stock-based
compensation expense
|
2,150
|
5,449
|
|||||
Provision
for doubtful accounts
|
922
|
42
|
|||||
Non-recurring
expense:
|
|||||||
Corporate
legal expense
|
619
|
965
|
|||||
Stock
option restatement-related expense
|
-
|
782
|
|||||
Severance
and restructuring-related expense
|
617
|
455
|
|||||
Inventory
reserve adjustments
|
5,587
|
-
|
|||||
Impairment
of investment
|
366
|
-
|
|||||
Foreign
exchange loss (gain)
|
472
|
(12
|
)
|
||||
Net
loss – Non-GAAP
|
$
|
(8,930)
|
$
|
(6,725
|
)
|
||
Net
loss per basic and diluted share – Non-GAAP
|
$
|
(0.11
|
)
|
$
|
(0.13
|
)
|
Contacts:
EMCORE
Corporation
Silvia M.
Gentile
Executive
Offices
(505)
323-3417
info@emcore.com
TTC
Group
Victor
Allgeier
(646)
290-6400
info@ttcominc.com