OTTAWA--Mosaid Technologies Inc. posted record revenues of $24.3 million in the company's fiscal fourth quarter, ended April 27. Mosaid's revenues increase sequentially 14% from $21.6 million in the prior quarter, and 71% above $14.2 million in the period last year.
The fabless semiconductor company posted net earnings of $2.2 million in the fiscal quarter compared to $1.8 million in the prior three-month period and $450,000 in the quarter last year.
"Revenue from our Semiconductor Division more than doubled in fiscal 2001, as a result of the continuing success of our patent licensing program, which saw the addition of two new licensees during the year," said Richard Boadway, senior vice president and chief financial officer of the company. "Our Systems Division also experienced strong top line growth, bolstered by the success of our MS4205 Memory Test System product line and our largest single tester order ever received."
In April, Mosaid inked its fifth patent license with a DRAM maker, Mitsubishi Electric Corp. of Japan. Two years ago, the Canadian company launched an intellectual property (IP) licensing campaign aimed at increasing royalties from its patent portfolio (see July 9, 1999, story).
And now, Mosaid is looking to drive up its revenues with networking products. "We believe that our networking chips will be the next major revenue driver for our company, although we have experienced challenges in bringing these chips to the market this year," admitted George Cwynar, president and chief executive officer. "We remain committed to seizing the opportunity represented in communication semiconductors by bringing our high-performance chips to market."
The CEO said the company is increasing its R&D to reach this goal. "This investment has resulted in significant growth in our patent portfolio, which stood at 266 patents issued and pending worldwide at year end," Cwynar said. "This portfolio is the foundation for the great success we have enjoyed with our patent licensing program to date, and we will further strengthen and leverage this portfolio through our newly formed Intellectual Property Division in fiscal 2002."
Mosaid maintains that all chip companies producing mainstream DRAMs are using technologies that it has patented. In addition to Mitsubishi, Mosaid has reached licensing agreements with Hitachi, Toshiba, NEC, and Fujitsu.