QuickLogic Corp. today reported 4% top line growth and a smaller net loss in the fourth quarter of 2001 compared with the prior quarter, the latest sign that the semiconductor cycle may have turned in the positive direction.
The Sunnyvale, Calif. programmable logic supplier produced $6.8 million in net revenue in the December-ended quarter, up only slightly from $6.6 million in the third quarter, but significantly better than its earlier projection of a 5% to15% decline.
In a conference call with analysts, Arthur Whipple, chief financial officer, attributed the unexpected increase to the return of ordering by major datacom/telecom customers Alcatel and Emulex, as well as better than expected sales in Europe, which was the only region in which QuickLogic posted growth in
the fourth quarter.
Other PLD suppliers have also recently reported increased sales in the communications sector as OEMs begin to replenish inventories.
Net loss for the quarter was $5.6 million, or 24 cents per share, compared to a net loss of $12.4 million in the prior quarter. The fourth quarter loss included a $600,000 restructuring charge for a 20% reduction in headcount.
For the full year, net revenue was $32.3 million, down 39% from 2000, while a net loss in 2001 of $26.5 million, or $1.24 per share, compared with a net profit of $9.6 million in 2000.
Revenue from sales of hybrid ASIC/PLDs called Embedded Standard Products (ESPs) increased 46% during the quarter, while all other product lines declined. ESPs represented $9.5 million or 29% of revenue for the whole of 2001.
"We had another tough quarter, albeit better than the previous two," said Tom Hart, chairman, president, and chief executive. "The fact that ESP revenue grew so significantly even as other areas declined is most encouraging."
Hart said the company is still challenged with returning to profitable levels, which he expects to achieve by the end of the current fiscal year. Revenue projections for the first quarter are for flat to single digit growth.
For full details of QuickLogic's financial statement, click here.