But if LUMM really fulfills its promise it's lights out for Bookham
Are you aware that BKHM's backers include CSCO, INTC, NN/ALA, and Scientific Atlanta, among others, and it's co-developing with ETEK (soon to be part of JDSU), and has Nortel as its largest customer?
Bookham's history:
bookham.com
Your boast led me to look at Lumenon's quarterly financial statement:
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As of March 31, 2000, Lumenon had no revenues and R&D expenses of US$107,942,080. of which US$107,527,160 were warrants to Molex. R&D expenses, other than the stock purchase warrants, were US$414,920 during the three-month period ending March 31, 2000.
The report goes on to say, "The company incurred little research and development expenses because it was not yet engaged in full operations (almost exclusively financing activities). On March 31, 2000, the company had an existing operation consisting of a research and development team of 24 employees, a facility, a Teaming Agreement with Molex and an expansion project underway. . . .
The company's overall loss for the three-month period ending March 32, 2000, amounted to US%108,788,799 or US$4.17 per share, compared to US$114,686 or US$0.0070 per share for the comparable period in 1999.
On March 31, 2000, the company had cash and cash equivalents of US$1,279,966 in term deposits with maturity dates no later than April 20, 2000 and with no restriction in their use. On March 31, 2000, the market value approximated the carrying value.
Since June 30, 1999, the company collected US$8,435,627 from the issuance of common shares, net of share issuance expenses of US$266,944. These funds have been partially offset by operating activities amounting to US$2,106,906 and investments in property and equipment of US$1,321,470, consisting of investments in laboratory equipment (US$1,054,189), leasehold improvement (US$138,121), Computer equipment and software (US$90,633) and office equipment and fixtures (US$38,527). Depreciation of US$215,204 has been charged to expenses. Finally the company paid deposits on lease agreement and equipment ordered totaling US$870,743.
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By contrast, Bookham's quarterly report lists the following highlights:
* Revenues up 22% on the previous quarter to $4.0 million, up 565% compared to the same quarter last year
* Product revenue up 79% from the previous quarter.
* Net loss $9.0 million before National Insurance (NI) provisions, refelecting strong investment in product development and infrastructure
* Continued increase in manufacturing capacity
* Recruitment on target --- staff numbers up by 168 in the quarter to 393.
Further down the report states, "during the quarter we completed a $20 million pre-IPO financing round and cash at the end of the quarter was $25 million."
Commenting on the IPO, "The net proceeds of the offering, which amounted to approximately $320 million will be used to fund, among other things, the increase in production capacity and to sustain the investment in new product development. "
If you read the company's history, you'll note Jack Kilby has been named to their board. If you don't know who he is, go to Texas Instruments' homepage and do a subject search.
Based on the above facts, I think Lumenon's more likely to have their own lights put out than their putting out anyone else's.
Pat |
