U.S. Markets open in 2 hrs 40 mins

SiTime Reports Fourth Quarter and Fiscal Year 2019 Financial Results

SANTA CLARA, Calif., Feb. 05, 2020 (GLOBE NEWSWIRE) -- SiTime Corporation, (SITM), a leader in MEMS-based silicon timing system solutions, today announced financial results for the fourth quarter and fiscal year ended December 31, 2019.

Net revenue in the fourth quarter of 2019 was $28.1 million, a 22.9% increase from the $22.9 million in the fourth quarter of 2018. Net revenue for the year ended December 31, 2019 was $84.1 million, a 1.3% decrease from the $85.2 million in the year ended December 31, 2018.

Generally Accepted Accounting Principles (GAAP) Results

Net income for the fourth quarter of 2019 was $0.6 million, or $0.05 per diluted share.  Gross margins were 47.9%, operating expenses were 44.2% of revenue, and GAAP income from operations was 3.7% of revenue.

Total cash and cash equivalents were $63.4 million at December 31, 2019.

Non-GAAP Results

This press release and its attachments include certain non-GAAP supplemental performance measures. The presentation of this financial information is not intended to be considered in isolation or as a substitute for the financial information prepared and presented in accordance with GAAP.

SiTime believes that the presentation of non-GAAP financial measures provides important supplemental information to management and investors regarding financial and business trends relating to SiTime’s financial condition and results of operations. SiTime believes that these non-GAAP financial measures provide additional insight into SiTime’s ongoing performance and core operational activities and has chosen to provide these measures for more consistent and meaningful comparison between periods. These measures should only be used to evaluate SiTime’s results of operations in conjunction with the corresponding GAAP measures. The non-GAAP results exclude the effect of stock-based compensation and related payroll taxes.

The reconciliation between GAAP and non-GAAP financial results is provided in the financial statements portion of this release.

In the fourth quarter of 2019, non-GAAP net income was $2.0 million, or $0.16 per diluted share. Non-GAAP gross margins were 48.0%, operating expenses were 39.4% of revenue, and non-GAAP income from operations was 8.6% of revenue.

Conference Call

SiTime will broadcast its fourth quarter of 2019 financial results conference call today, February 5, 2020, at 2 p.m. Pacific Time (5 p.m. Eastern Time), which can be accessed by calling +1-844-467-7657 and using conference ID 2295684. The conference call will also be available via a live webcast on the investor relations section of the SiTime website at investor.sitime.com. Please access the website at least a few minutes prior to the start of the call to download and install any necessary audio software. An archived webcast replay of the call will be available on the website for a limited period of time.

About SiTime

SiTime Corporation is a market leader in silicon MEMS timing. Our programmable solutions offer a rich feature set that enables customers to differentiate their products with higher performance, smaller size, lower power, and better reliability. With over 1.5 billion devices shipped, SiTime is changing the timing industry.

SiTime Corporation
Unaudited GAAP Condensed Consolidated Statement of Operations  
                 
    Three Months
Ended
    Year Ended  
       
    December 31, 2019  
    (in thousands, except per share data)  
Revenue   $ 28,089     $ 84,074  
Cost of revenue     14,641       44,516  
Gross profit     13,448       39,558  
Operating expenses:                
Research and development     5,949       23,795  
Sales, general and administrative     6,469       20,636  
Total operating expenses     12,418       44,431  
Income (loss) from operations     1,030       (4,873 )
Interest expense     (393 )     (1,714 )
Other expense, net     (13 )     (28 )
Income (loss) before income taxes     624       (6,615 )
Income tax benefit     9       8  
Net income (loss)   $ 633     $ (6,607 )
Net income (loss) attributable to common stockholder and comprehensive income   $ 633     $ (6,607 )
Net income (loss) per share attributable to common stockholder, basic   $ 0.05     $ (0.63 )
Weighted-average shares used to compute basic net income (loss) per share     12,214       10,558  
Net income (loss) per share attributable to common stockholder, diluted   $ 0.05     $ (0.63 )
Weighted-average shares used to compute diluted net income (loss) per share     12,685       10,558  
                 


SiTime Corporation  
Unaudited Reconciliation of Non-GAAP Adjustments  
    Three Months Ended     Year Ended  
       
    December 31, 2019  
    (in thousands, except per share data)  
Reconciliation of GAAP gross profit and margin to non-GAAP                
Revenue   $ 28,089     $ 84,074  
GAAP gross profit     13,448       39,558  
GAAP gross margin     47.9 %     47.1 %
Stock-based compensation     36       36  
Non-GAAP gross profit   $ 13,484     $ 39,594  
Non-GAAP gross margin     48.0 %     47.1 %
                 
Reconciliation of GAAP operating expenses to non-GAAP                
GAAP research and development expenses     5,949       23,795  
Stock-based compensation     (346 )     (346 )
Non-GAAP research and development expenses   $ 5,603     $ 23,449  
                 
GAAP sales, general and administrative expenses     6,469       20,636  
Stock-based compensation     (997 )     (997 )
Non-GAAP sales, general and administrative expenses   $ 5,472     $ 19,639  
Total Non-GAAP operating expenses   $ 11,075     $ 43,088  
                 
Reconciliation of GAAP income (loss) from operations to non-GAAP income (loss) from operations                
GAAP income (loss) from operations   $ 1,030     $ (4,873 )
Stock-based compensation     1,379       1,379  
Non-GAAP income (loss) from operations   $ 2,409     $ (3,494 )
Non-GAAP income (loss) from operations as a percentage of revenue     8.6 %     -4.2 %
                 
Reconciliation of GAAP net income (loss) to non-GAAP net income (loss)                
GAAP net income (loss)   $ 633     $ (6,607 )
Stock-based compensation     1,379       1,379  
Non-GAAP net income (loss)   $ 2,012     $ (5,228 )
Weighted-average shares used to compute diluted net income (loss) per share     12,685       10,558  
                 
GAAP net income (loss) per share diluted   $ 0.05     $ (0.63 )
Non-GAAP adjustments detailed above     0.11       -  
Non-GAAP net income (loss) per share diluted   $ 0.16     $ (0.63 )
                 


SiTime Corporation  
Unaudited GAAP Condensed Consolidated Balance Sheet

 
 
    As of  
    December 31, 2019  
    (in thousands, except share and per share data)  
Assets:        
Current assets:        
Cash and cash equivalents   $ 63,418  
Accounts receivable, net     17,659  
Related party accounts receivable     1,073  
Inventories     11,911  
Prepaid expenses and other current assets     5,601  
Total current assets     99,662  
Property and equipment, net     9,288  
Intangible assets, net     4,489  
Right-of-use assets, net     9,790  
Other assets     162  
Total assets   $ 123,391  
Liabilities and Stockholders' Equity:        
Current liabilities:        
Accounts payable   $ 3,869  
Accrued expenses and other current liabilities     8,442  
Loan obligations     41,000  
Total current liabilities     53,311  
Lease liabilities     7,940  
Total liabilities     61,251  
Commitments and contingencies        
Stockholders’ equity:        
Common stock     2  
Additional paid-in capital     116,162  
Accumulated deficit     (54,024
Total stockholders’ equity     62,140  
Total liabilities and stockholders’ equity   $ 123,391  
         

Investor Relations Contacts:

Shelton Group
Leanne Sievers | Brett Perry
949-224-3874 | 214-272-0070
sheltonir@sheltongroup.com

SiTime Corporation
Art Chadwick
Chief Financial Officer
investor.relations@sitime.com