Everspin Press Releases
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Everspin Reports First Quarter 2021 Financial Results
First Quarter 2021 Highlights
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Q1’21 revenue increased 1.7% year-over-year to
$10.3 million -
Q1’21 GAAP net loss per share of (
$0.02 ) was a significant improvement over both the prior quarter and year-ago periods -
Generated
$1.6 million cash flow from operations in Q1’21, the third consecutive quarter with positive cash flow from operations -
Ended Q1’21 with cash and equivalents of
$15.5 million
“We are happy to report that in Q1’21 we continued our progress towards driving sustainable cash flow from operations. We continue to drive our critical R&D programs and key business initiatives, that we believe position us for profitable growth,” stated
“We are also pleased to report that, in Q1’21, we signed contracts related to a
First Quarter 2021 Results
Total revenue for the first quarter of 2021 was
GAAP gross margin for the first quarter of 2021 was 58.2%, compared to 52.3% in the prior quarter and 52.9% in the first quarter of 2020.
GAAP operating expenses for the first quarter of 2021 were
GAAP net loss for the first quarter of 2021 was
Adjusted EBITDA for the first quarter of 2021 was
Cash and cash equivalents as of
Business Outlook
For the second quarter of 2021,
Use of Non-GAAP Financial Measures
We supplement the reporting of our financial information determined under generally accepted accounting principles in
Our management and board of directors use Adjusted EBIDTA to understand and evaluate our operating performance and trends, to prepare and approve our annual budget and to develop short-term and long-term operating and financing plans. Accordingly, our management believes that this non-GAAP measure provide useful information for investors in understanding and evaluating our operating results in the same manner as our management and our board of directors, as well as facilitating comparisons of our operating performance on a period-to-period basis.
Non-GAAP financial measures, including Adjusted EBIDTA, should not be considered as a substitute for, or superior to, measures of financial performance prepared in accordance with GAAP. Moreover, other companies may define non-GAAP measures differently, which limits the usefulness of these measures for comparisons with such other companies. We encourage investors to review our financial statements and publicly-filed reports in their entirety and not to rely on any single financial measure.
Conference Call
A telephone replay of the conference call will be available approximately two hours after the call through
About
Cautionary Statement Regarding Forward-Looking Statements
This press release contains forward-looking statements regarding future results that involve risks and uncertainties that could cause actual results or events to differ materially from the expectations disclosed in the forward-looking statements, including, but not limited to the statements made under the caption “Business Outlook.” Forward-looking statements are identified by words such as “believe”, “will”, “may”, “estimate”, “continue”, “anticipate”, “intend”, “should”, “plan”, “expect”, “predict”, “could”, “potentially" or the negative of these terms or similar expressions. These include, but are not limited to our future plans, strategies, objectives, expectations, intentions and financial performance and the assumptions that underlie these statements. Actual results could differ materially from these forward-looking statements as a result of certain risks and uncertainties, including, without limitation, the risks set forth under the caption “Risk Factors” in Everspin’s Annual Report on Form 10-K for the year ended
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Condensed Balance Sheets (In thousands, except share and per share amounts) (Unaudited) |
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2021 |
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2020 |
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Assets |
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Current assets: |
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Cash and cash equivalents |
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$ |
15,485 |
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$ |
14,599 |
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Accounts receivable, net |
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10,315 |
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7,607 |
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Inventory |
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5,358 |
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5,721 |
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Prepaid expenses and other current assets |
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208 |
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270 |
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Total current assets |
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31,366 |
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28,197 |
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Property and equipment, net |
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1,657 |
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1,946 |
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Right-of-use assets |
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1,970 |
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2,313 |
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Other assets |
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73 |
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73 |
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Total assets |
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$ |
35,066 |
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$ |
32,529 |
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Liabilities and Stockholders’ Equity |
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Current liabilities: |
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Accounts payable |
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$ |
1,944 |
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$ |
2,224 |
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Accrued liabilities |
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2,148 |
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2,232 |
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Deferred revenue |
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3,000 |
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— |
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Current portion of long-term debt |
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4,277 |
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4,242 |
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Operating lease liabilities |
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1,367 |
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1,508 |
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Other liabilities |
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37 |
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31 |
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Total current liabilities |
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12,773 |
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10,237 |
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Long-term debt, net of current portion |
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3,199 |
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3,748 |
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Operating lease liabilities, net of current portion |
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662 |
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903 |
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Long-term income tax liability |
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229 |
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229 |
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Total liabilities |
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$ |
16,863 |
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$ |
15,117 |
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Commitments and contingencies |
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Stockholders’ equity: |
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Preferred stock, |
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— |
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— |
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Common stock, |
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2 |
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2 |
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Additional paid-in capital |
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175,835 |
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174,584 |
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Accumulated deficit |
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(157,634 |
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(157,174 |
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Total stockholders’ equity |
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18,203 |
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17,412 |
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Total liabilities and stockholders’ equity |
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$ |
35,066 |
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$ |
32,529 |
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Condensed Statements of Operations and Comprehensive Loss (In thousands, except share and per share amounts) (Unaudited) |
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Three Months Ended |
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2021 |
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2020 |
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Product sales |
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$ |
9,068 |
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$ |
9,635 |
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Licensing, royalty, and other revenue |
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1,212 |
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473 |
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Total revenue |
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10,280 |
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10,108 |
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Cost of sales |
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4,295 |
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4,757 |
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Gross profit |
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5,985 |
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5,351 |
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Operating expenses:1 |
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Research and development |
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2,439 |
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3,030 |
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General and administrative |
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2,843 |
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2,800 |
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Sales and marketing |
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987 |
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1,103 |
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Total operating expenses |
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6,269 |
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6,933 |
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Loss from operations |
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(284 |
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(1,582 |
) |
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Interest expense |
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(152 |
) |
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(172 |
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Other (expense) income, net |
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(15 |
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48 |
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Net loss before income taxes |
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(451 |
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(1,706 |
) |
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Income tax expense |
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(9 |
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(26 |
) |
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Net loss and comprehensive loss |
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$ |
(460 |
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$ |
(1,732 |
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Net loss per common share, basic and diluted |
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$ |
(0.02 |
) |
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$ |
(0.10 |
) |
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Weighted-average shares used to compute net loss per common share, basic and diluted |
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19,092,367 |
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18,055,693 |
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1Operating expenses include stock-based compensation as follows: |
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Research and development |
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$ |
181 |
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$ |
162 |
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General and administrative |
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485 |
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585 |
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Sales and marketing |
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77 |
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58 |
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Total stock-based compensation |
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$ |
743 |
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$ |
805 |
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Reconciliation of Adjusted EBITDA (In thousands) (Unaudited) |
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Three Months Ended |
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Adjusted EBITDA reconciliation: |
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Net loss |
$ |
(460 |
) |
$ |
(1,591 |
) |
$ |
(1,732 |
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Depreciation and amortization |
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339 |
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370 |
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409 |
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Stock-based compensation expense |
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743 |
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1,335 |
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805 |
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Interest Expense |
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152 |
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164 |
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172 |
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Adjusted EBITDA |
$ |
774 |
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$ |
278 |
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$ |
(346 |
) |
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Condensed Statement of Cash Flows (In thousands) (Unaudited) |
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Three Months Ended |
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2021 |
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2020 |
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Cash flows from operating activities |
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Net loss |
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$ |
(460 |
) |
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$ |
(1,732 |
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Adjustments to reconcile net loss to net cash provided by (used in) operating activities: |
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Depreciation and amortization |
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383 |
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409 |
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Stock-based compensation |
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743 |
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805 |
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Non-cash gain (loss) on warrant revaluation |
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4 |
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(6 |
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Non-cash interest expense |
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86 |
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73 |
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Changes in operating assets and liabilities: |
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Accounts receivable |
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(2,708 |
) |
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(521 |
) |
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Inventory |
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363 |
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(81 |
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Prepaid expenses and other current assets |
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62 |
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21 |
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Accounts payable |
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(63 |
) |
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(1,067 |
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Accrued liabilities |
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280 |
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(435 |
) |
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Deferred revenue |
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3,000 |
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— |
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Lease liabilities |
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(39 |
) |
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(21 |
) |
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Net cash provided by (used in) operating activities |
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1,651 |
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(2,555 |
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Cash flows from investing activities |
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Purchases of property and equipment |
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(309 |
) |
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(64 |
) |
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Net cash used in investing activities |
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(309 |
) |
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(64 |
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Cash flows from financing activities |
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Payments on debt |
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(600 |
) |
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— |
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Payments on finance lease obligation |
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— |
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(2 |
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Proceeds from exercise of stock options and purchase of shares in employee stock purchase plan |
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144 |
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— |
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Proceeds from issuance of common stock in at-the-market offering, net of issuance costs |
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— |
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2,084 |
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Net cash (used in) provided by financing activities |
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(456 |
) |
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2,082 |
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Net increase (decrease) in cash and cash equivalents |
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|
886 |
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|
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(537 |
) |
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Cash and cash equivalents at beginning of period |
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14,599 |
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14,487 |
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Cash and cash equivalents at end of period |
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$ |
15,485 |
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$ |
13,950 |
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Supplementary cash flow information: |
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Interest paid |
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$ |
66 |
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$ |
99 |
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Operating cash flows paid for operating leases |
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$ |
413 |
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$ |
486 |
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Financing cash flows paid for finance leases |
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$ |
— |
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$ |
2 |
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Non-cash investing and financing activities: |
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Bonus settled in shares of common stock |
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$ |
364 |
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$ |
315 |
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View source version on businesswire.com: https://www.businesswire.com/news/home/20210506006145/en/
Company Contact:
E: darin.billerbeck@everspin.com
480.347.1101
Source: