Should help -- man is this market fickle.
Monday October 18, 4:30 pm Eastern Time
Company Press Release
Silicon Image, Inc. Reports Tenth Consecutive Quarter Of Record Revenues
Panel Link Technology Leads the PC Industry Transition to Digital Displays
CUPERTINO, Calif.--(BUSINESS WIRE)--Oct. 18, 1999--Silicon Image, Inc. (NASDAQ:SIMG - news), a leading provider of high-bandwidth semiconductor solutions, today reported financial results for the third quarter ended September 30, 1999.
The Company reported revenue of $5.3 million for the third quarter ended September 30, 1999. These results reflect an increase in revenue of $1.1 million or 27% over the previous quarter, and an increase of $3.3 million or 165% from $2.0 million of revenue for the third quarter of 1998.
Net loss, excluding stock compensation and warrant expense, was $540,000, or $0.08 per share, for the third quarter ended September 30, 1999 compared to a net loss of $772,000, or $0.13 per share for the previous quarter and compared to a net loss of $1.4 million, or $0.26 per share, for the third quarter of 1998. Including stock compensation and warrant expense, we reported a net loss of $2.0 million, or $0.29 per share, in the third quarter ended September 30, 1999 compared to a net loss of $2.3 million, or $0.38 per share, for the previous quarter, and a loss of $1.9 million, or $0.36 per share, for the third quarter of 1998.
``By any measure our performance this quarter was exceptional. We announced a number of new design wins, introduced two new products, expanded our global presence and completed a successful IPO,' said David Lee, president and CEO.
``We continue to be at the forefront of the PC industry's transition to digital displays. Design wins include leaders in both the host and display sides of the market, including Apple, ATI, Compaq, Fujitsu, Gateway, Hitachi, LG, Matrox, NEC, Princeton Graphics, Samsung, Sharp, Toshiba and ViewSonic. I'm encouraged by the industry's rapid adoption of the Digital Visual Interface (DVI) specification, which accelerates the development of digital display technology and drives demand for our DVI compliant PanelLink© solutions,' Lee added. ``The strength of our leadership position in digital CRTs was evidenced at the Intel Developer Forum held last month when five of the world's top CRT manufacturers, Acer, ADI Corp., NEC, Samsung and ViewSonic demonstrated the industry's first digital CRTs, all enabled by PanelLink technology.'
``We announced two new products during the quarter that broadened our market opportunity, the SiI164 universal transmitter chip, providing full-range DVI bandwidth for all DVI digital display applications and the SiI901 integrated receiver chip, designed specifically for digital CRTs' said Lee. ``We continued to secure significant design wins with leading PC and display manufacturers, as evidenced by the announcement of the NEC Z1, NEC Packard Bell's all in one, flat-panel PC, which incorporates our PanelLink semiconductor products.'
The Company also noted that Steve Tirado, former vice president from Sun Microsystems, joined the executive management team as executive vice president of marketing and business development. Scott Macomber, vice president of business strategy, recently resigned to pursue new opportunities. As a result of his resignation, in the fourth quarter of 1999 the Company anticipates incurring a one-time charge of approximately $700,000 primarily due to the accelerated vesting of Mr. Macomber's stock options. Nearly all of this charge will be non-cash.
IPO
Subsequent to the quarter end, on October 6, 1999 the Company successfully sold a total of 4,485,000 shares of common stock, including over-allotment shares in its initial public offering, at an offering price of $12.00 per share resulting in proceeds, net of underwriter discounts, commissions and IPO expenses, of approximately $48 million.
About Silicon Image
Silicon Image designs, develops and markets semiconductor solutions for applications that require cost-effective, high-bandwidth, integrated solutions for high-speed data communications. The Company's PanelLink technology provides scalable, end-to-end, all-digital connectivity between computers, controllers, or other sources of video and digital video display devices such as flat-panel monitors or digital CRTs.
Silicon Image's products have been incorporated in host systems and displays sold by leading manufacturers such as Apple, ATI, Compaq, Fujitsu, Gateway, Hitachi, IBM, LG, Matrox, NEC, Princeton Graphics, Samsung, Sharp, Toshiba and ViewSonic. The PanelLink protocol has been adopted by the Digital Display Working Group (DDWG) in the newly established Digital Visual Interface (DVI) specification. Silicon Image, Inc., is based in Cupertino, CA. For more information on Silicon Image, Inc. and its solutions, visit www.siimage.com or call 1(800) SIMG-INC.
This news release contains forward-looking information within the meaning of Section 27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934, and is subject to the safe harbor created by those sections. These forward-looking statements include statements related to future sales and operating results, new product introductions and design wins, and company and industry growth. These forward-looking statements involve risks and uncertainties, including those described from time to time in Silicon Image's filings with the Securities and Exchange Commission (SEC), that could cause the actual results to differ materially from those anticipated by these forward-looking statements. In particular, see ``Risk Factors' in the recent Registration Statement of Form S-1 filed by Silicon Image with the SEC. Silicon Image assumes no obligation to update this forward-looking information.
PanelLink is a registered trademark of Silicon Image, Inc.
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SILICON IMAGE, INC.
CONDENSED BALANCE SHEETS
(in thousands)
(Unaudited)
Sept. 30, Jun. 30,
1999 1999
Assets
Current assets:
Cash and short-term investments $ 12,396 $ 12,647
Accounts receivable 2,057 1,581
Inventory 502 356
Prepaids and other current assets 1,218 245
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Total current assets 16,173 14,829
Property and equipment, net 1,038 1,003
Other assets 182 182
==================================
Total assets $ 17,393 $ 16,014
Liabilities and Stockholders' Equity
Current liabilities:
Line of credit $ 757 $ 757
Accounts payable and current liabilities 5,074 3,173
Deferred revenue 155 155
Deferred margin on sales to distributors 2,016 2,004
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Total current liabilities 8,002 6,089
Capital lease obligations, long-term 652 773
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Total liabilities 8,654 6,862
Stockholders' equity:
Total stockholders' equity 8,739 9,152
==================================
Total liabilities and
stockholders' equity $ 17,393 $ 16,014 ==================================
SILICON IMAGE, INC.
CONDENSED STATEMENTS OF OPERATIONS
(In Thousands,
Except for Per Share Data)
(Unaudited)
Three Months Ended Nine Months Ended
Sept. 30, Jun. 30, Sept. 30, Sept. 30, Sept. 30,
1999 1999 1998 1999 1998
Revenue:
Product revenue $5,341 $ 4,220 $2,014 $ 13,047 $4,666
Development and
license revenue - - 25 575 50
--------------------------- --------------------
Total revenue 5,341 4,220 2,039 13,622 4,716
Cost and operating
expenses:
Cost of product
revenue 1,921 1,750 1,140 5,249 2,851
Research
and development 1,955 1,619 1,140 5,015 3,096
Selling, general
and administrative 2,105 1,713 1,165 5,157 3,071
Stock compensation
and warrant expense 1,496 1,507 554 4,394 738
---------------------------- --------------------
Total cost and
operating expenses 7,477 6,589 3,999 19,815 9,756
Loss from operations (2,136) (2,369) (1,960) (6,193) (5,040)
Interest income
and other, net 100 90 46 248 22
---------------------------- -------------------
Net loss $(2,036) $(2,279) $(1,914) $(5,945) $(5,018)
============================ ===================
Net loss per share:
Basic and diluted $(0.29) $(0.38) $(0.36) $ (1.01) $(1.09)
Weighted average shares 6,946 5,996 5,255 5,867 4,619
Net loss excluding
stock compensation
and warrant expense:
Net loss $ (540) $ (772) $(1,360) $ (1,551) $(4,280)
Net loss per share-basic
and diluted$ (0.08) $(0.13) $(0.26) $ (0.26) $(0.93)
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Contact:
Silicon Image, Inc.
Daniel K. Atler, 408/873-3110 (Financial)
Kristen Fuller, 408/873-3111 X192 (Press) |
