SANTA CLARA, Calif.--(BUSINESS WIRE)--Parade Technologies, Ltd. (Taipei Exchange: 4966.TWO), a leading video display and interface IC supplier, today announced financial results for the third quarter fiscal 2016 ended September 30, 2016, and provided guidance for the fourth quarter of fiscal year 2016.
Consolidated revenue was US$65.86 million and consolidated net income was US$9.56 million. Basic and fully diluted after-tax earnings per share (“EPS”) were US$0.13 (NT$4.03) and US$0.12 (NT$3.94), respectively. These results compared to consolidated revenue US$60.82 million and consolidated net income of US$10.04 million, or US$0.13 (NT$4.28) and US$0.13 (NT$4.22) per basic and fully diluted share, in the year-ago quarter.
In US dollars, the third quarter of 2016 consolidated revenue decreased 4.25% sequentially and was up 8.30% year-over-year.
The gross profit in the third quarter of 2016 was US$27.65 million, representing a decrease of 1.83% from the previous quarter and an increase of 13.64% compared to the same quarter of last year.
Based on current business outlook, Parade is providing the following guidance for the fourth quarter of fiscal 2016:
- Revenue: US$70 ~77 Million
- Gross Margin: 40% ~43%
- Operating Expense: US$16.75 ~17.75 Million
In September 2016, Parade announced industry’s first DisplayPort 1.4 jitter cleaning and demux devices, PS8460 and PS8468 respectively. The PS8460 is single-channel, Dual-Mode DP 1.4 jitter cleaning repeater, and the PS8468 includes a de-mux enabling the selection between two displays for a single video source. Both the PS8460 and PS8468 provide Dual-Mode DisplayPort support, meaning they pass-through and jitter clean both a native DisplayPort signal as well as an HDMI signal. The devices are also designed to be used in USB Type-C interfaces to process the DisplayPort Alt Mode signaling used to support video transport.
In October 2016, Parade also announced the first integrated capacitive touchscreen controller and display driver solution for smartphone FHD in-cell displays. The TC3300 combines Parade’s broad portfolio of patented touchscreen technology, as well as proven display processing and high-speed signal technology, to provide best-in-class performance such as superior noise immunity, wet finger tracking and robust system ESD for smartphone FHD (1080 RGB x 1920) LTPS in-cell displays. The TC3300 also provides accurate touch response for a wide range of finger sizes and gloved touches across various materials and thicknesses.
The financial figures detailed above for the third quarter of 2016 have been reviewed by independent accountants.
About Parade Technologies, Ltd.
Parade Technologies, Ltd. (Stock Code: 4966) is a leading fabless supplier of mixed-signal ICs for a variety of popular display, touch controller and high-speed interface standards used in computers, consumer electronics and display panels. Parade’s portfolio of IC products serves the growing demand for DisplayPort™, eDP™ (Embedded DisplayPort), HDMI®, SATA, PCI Express and USB ICs for display, touch, storage and interface applications.
Parade leverages its close relationships with market-leading Tier-1 OEMs to develop ICs that provide unique system capabilities. Many of the company’s devices integrate proprietary technologies that offer superior system signal integrity, advanced system integration and enhanced power efficiency. As a result of the company’s “Standards-plus” design philosophy, Parade ICs have been designed into products offered by nearly every leading computer and display vendor worldwide.
| Parade Technologies, Ltd. and Subsidiaries. | ||||||||||||||||||||||||||||||||||||
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The reader is advised that these consolidated financial statements have been prepared originally in NT$ and conformed with the adoption of IFRSs. In the event of any differences between NT$ and US$ version, the NT$ version shall prevail. |
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UNAUDITED CONSOLIDATED STATEMENTS OF
COMPREHENSIVE INCOME |
USD in Thousands |
NTD in Thousands | ||||||||||||||||||||||||||||||||||
| Sequential Quarter | Three Months ended | Nine Months ended | Sequential Quarter | Three Months ended | Nine Months ended | |||||||||||||||||||||||||||||||
| Sept 30, | June 30, | Sept 30, |
Sept 30, |
Sept 30, | Sept 30, | Sept 30, | June 30, | Sept 30, | Sept 30, | Sept 30, | Sept 30, | |||||||||||||||||||||||||
| 2016 | 2016 | 2016 | 2015 | 2016 | 2015 | 2016 | 2016 | 2016 | 2015 | 2016 | 2015 | |||||||||||||||||||||||||
| Revenue | 65,863 | 68,783 | 65,863 | 60,818 | 205,277 | 158,277 | 2,089,160 | 2,229,934 | 2,089,160 | 1,944,347 | 6,659,832 | 4,982,729 | ||||||||||||||||||||||||
| Cost of goods sold | 38,216 | 40,621 | 38,216 | 36,489 | 120,413 | 94,184 | 1,212,205 | 1,316,940 | 1,212,205 | 1,166,545 | 3,906,985 | 2,965,413 | ||||||||||||||||||||||||
| Gross profit | 27,647 | 28,162 | 27,647 | 24,329 | 84,864 | 64,093 | 876,955 | 912,994 | 876,955 | 777,802 | 2,752,847 | 2,017,316 | ||||||||||||||||||||||||
| Research & development expenses | 11,304 | 11,056 | 11,304 | 9,229 | 33,198 | 21,649 | 358,565 | 358,430 | 358,565 | 295,055 | 1,076,181 | 682,252 | ||||||||||||||||||||||||
| Sales & marketing expenses | 4,151 | 4,232 | 4,151 | 3,671 | 12,585 | 8,479 | 131,654 | 137,224 | 131,654 | 117,362 | 408,118 | 267,236 | ||||||||||||||||||||||||
| General & administrative expenses | 2,033 | 2,163 | 2,033 | 2,115 | 6,444 | 6,017 | 64,503 | 70,088 | 64,503 | 67,624 | 209,104 | 189,268 | ||||||||||||||||||||||||
| Total operating expenses | 17,488 | 17,451 | 17,488 | 15,015 | 52,227 | 36,145 | 554,722 | 565,742 | 554,722 | 480,041 | 1,693,403 | 1,138,756 | ||||||||||||||||||||||||
| Operating income | 10,159 | 10,711 | 10,159 | 9,314 | 32,637 | 27,948 | 322,233 | 347,252 | 322,233 | 297,761 | 1,059,444 | 878,560 | ||||||||||||||||||||||||
| Non-operating income and expenses | 72 | 34 | 72 | 726 | 104 | 844 | 2,306 | 1,087 | 2,306 | 23,201 | 3,324 | 26,870 | ||||||||||||||||||||||||
| Income before income taxes | 10,231 | 10,745 | 10,231 | 10,040 | 32,741 | 28,792 | 324,539 | 348,339 | 324,539 | 320,962 | 1,062,768 | 905,430 | ||||||||||||||||||||||||
| Income tax expense | 669 | (20) | 669 | 1 | 1,625 | 1,878 | 21,224 | (649) | 21,224 | 27 | 52,921 | 58,550 | ||||||||||||||||||||||||
| Net income | 9,562 | 10,765 | 9,562 | 10,039 | 31,116 | 26,914 | 303,315 | 348,988 | 303,315 | 320,935 | 1,009,847 | 846,880 | ||||||||||||||||||||||||
| EPS - Basic (In Dollar) | $0.13 | $0.14 | $0.13 | $0.13 | $0.41 | $0.36 | $4.03 | $4.66 | $4.03 | $4.28 | $13.45 | $11.33 | ||||||||||||||||||||||||
| Shares used in computing EPS-Basic (In thousands) | 75,312 | 74,940 | 75,312 | 74,966 | 75,072 | 74,753 | 75,312 | 74,940 | 75,312 | 74,966 | 75,072 | 74,753 | ||||||||||||||||||||||||
| EPS - Diluted (In Dollar) | $0.12 | $0.14 | $0.12 | $0.13 | $0.41 | $0.35 | $3.94 | $4.56 | $3.94 | $4.22 | $13.15 | $11.11 | ||||||||||||||||||||||||
| Shares used in computing EPS-Diluted (In thousands) | 77,011 | 76,527 | 77,011 | 76,124 | 76,772 | 76,203 | 77,011 | 76,527 | 77,011 | 76,124 | 76,772 | 76,203 | ||||||||||||||||||||||||
| UNAUDITED CONSOLIDATED BALANCE SHEETS | USD in Thousands | NTD in Thousands | ||||||||||
| As of September 30, 2016 and 2015 | Sept 30, | Sept 30, | Sept 30, | Sept 30, | ||||||||
| 2016 | 2015 | 2016 | 2015 | |||||||||
| Current assets | ||||||||||||
| Cash & cash equivalents | 102,414 | 65,812 | 3,211,693 | 2,163,241 | ||||||||
| Accounts receivable, net | 40,099 | 38,114 | 1,257,503 | 1,252,801 | ||||||||
| Inventories, net | 24,824 | 22,677 | 778,475 | 745,398 | ||||||||
| Other current assets | 7,206 | 8,913 | 225,971 | 292,958 | ||||||||
| Total current assets | 174,543 | 135,516 | 5,473,642 | 4,454,398 | ||||||||
| Non-current assets | ||||||||||||
| Property, plant and equipment, net | 4,402 | 5,143 | 138,072 | 169,051 | ||||||||
| Intangible assets | 95,322 | 91,425 | 2,989,278 | 3,005,129 | ||||||||
| Deferred income tax assets | 2,459 | 1,099 | 77,113 | 36,119 | ||||||||
| Other non-current assets | 870 | 1,185 | 27,294 | 38,966 | ||||||||
| Total non-current assets | 103,053 | 98,852 | 3,231,757 | 3,249,265 | ||||||||
| Total Assets | 277,596 | 234,368 | 8,705,399 | 7,703,663 | ||||||||
| Current Liabilities | ||||||||||||
| Accounts payable | 23,150 | 18,647 | 725,988 | 612,944 | ||||||||
| Other payables | 13,294 | 10,077 | 416,898 | 331,205 | ||||||||
| Current tax liabilities | 14,905 | 11,557 | 467,406 | 379,888 | ||||||||
| Other current liabilities | 5,443 | 6,030 | 170,698 | 198,221 | ||||||||
| Total current liabilities | 56,792 | 46,311 | 1,780,990 | 1,522,258 | ||||||||
| Equity | ||||||||||||
| Ordinary shares | 25,462 | 25,063 | 773,188 | 760,553 | ||||||||
| Capital reserves | 71,205 | 60,001 | 2,160,904 | 1,802,738 | ||||||||
| Retained earnings | 139,578 | 111,583 | 4,291,716 | 3,366,060 | ||||||||
| Treasury shares | - | (354) | - | (11,548) | ||||||||
| Other equity | (15,441) | (8,236) | (301,399) | 263,602 | ||||||||
| Total equity | 220,804 | 188,057 | 6,924,409 | 6,181,405 | ||||||||
| Total liabilities and equity | 277,596 | 234,368 | 8,705,399 | 7,703,663 | ||||||||
| UNAUDITED CONSOLIDATED STATEMENTS OF CASH FLOWS | USD in Thousands | NTD in Thousands | ||||||||||
| For nine months ended September 30, 2016 and 2015 | Sept 30, | Sept 30, | Sept 30, | Sept 30, | ||||||||
| 2016 | 2015 | 2016 | 2015 | |||||||||
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Cash flows from operating activities |
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| Income before income tax for the period | 32,741 | 28,792 | 1,062,768 | 905,430 | ||||||||
| Depreciation and amortization | 6,761 | 2,516 | 219,266 | 79,114 | ||||||||
| Loss on disposal of equipment | - | 46 | - | 1,440 | ||||||||
| Share-based compensation cost | 3,312 | 2,345 | 107,410 | 73,725 | ||||||||
| Interest income | (29) | (44) | (945) | (1,393) | ||||||||
| Income and expenses having no effect on cash flows | 10,044 | 4,863 | 325,731 | 152,886 | ||||||||
| Accounts receivable | (1,937) | (3,839) | (60,730) | (126,178) | ||||||||
| Inventories | (6,128) | (9,034) | (192,181) | (296,962) | ||||||||
| Other current assets | 885 | (2,696) | 27,585 | (88,641) | ||||||||
| Other non-current assets | 194 | 437 | 6,093 | 14,370 | ||||||||
| Net changes in assets relating to operating activities | (6,986) | (15,132) | (219,233) | (497,411) | ||||||||
| Accounts payable | 1,771 | 7,854 | 55,534 | 258,151 | ||||||||
| Other payables | 1,193 | (1,140) | 37,418 | (37,341) | ||||||||
| Other current liabilities | (2,774) | 2,291 | (87,010) | 75,294 | ||||||||
| Net changes in liabilities relating to operating activities | 190 | 9,005 | 5,942 | 296,104 | ||||||||
| Cash provided by operations | 35,989 | 27,528 | 1,175,208 | 857,009 | ||||||||
| Interest received | (70) | 49 | (2,258) | 1,535 | ||||||||
| Income taxes paid | (562) | (562) | (18,216) | (17,678) | ||||||||
| Net cash provided by operating activities | 35,357 | 27,015 | 1,154,734 | 840,866 | ||||||||
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Cash flows from investing activities |
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| Decrease in available for sale financial assets - current | - | 1,086 | - | 33,507 | ||||||||
| Acquisition of equipment | (1,282) | (2,080) | (41,568) | (65,382) | ||||||||
| Acquisition of intangible assets | (7,542) | (1,342) | (244,576) | (42,201) | ||||||||
| Decrease (increase) in refundable deposits | 39 | (120) | 1,214 | (3,952) | ||||||||
| Acquisition of business combinations | - | (100,329) | - | (3,168,405) | ||||||||
| Net cash used in investing activities | (8,785) | (102,785) | (284,930) | (3,246,433) | ||||||||
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Cash flows from financing activities |
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| Proceeds from exercise of employee stock options | 532 | 383 | 17,261 | 12,044 | ||||||||
| Distribution of cash dividends | (11,572) | (12,220) | (381,897) | (378,811) | ||||||||
| Purchase of treasury shares | - | (2,815) | - | (89,045) | ||||||||
| Treasury shares reissued to employees | 1,485 | 2,461 | 48,405 | 77,497 | ||||||||
| Cash dividend regain from canceled share-based compensation | 6 | 2 | 187 | 49 | ||||||||
| Net cash used in financing activities | (9,549) | (12,189) | (316,044) | (378,266) | ||||||||
| Effect of exchange rate changes on cash and cash equivalents | (2,570) | 8,418 | (229,818) | 346,640 | ||||||||
| Increase (decrease) in cash and cash equivalents | 14,453 | (79,541) | 323,942 | (2,437,193) | ||||||||
| Cash and cash equivalents at beginning of period | 87,961 | 145,353 | 2,887,751 | 4,600,434 | ||||||||
| Cash and cash equivalents at end of period | 102,414 | 65,812 | 3,211,693 | 2,163,241 | ||||||||
