ABOUT MOSYS, INC.
Founded in 1991, MoSys (NASDAQ: MOSY), develops, licenses and markets innovative memory technologies for semiconductors. MoSys' patented 1T-SRAM technologies offer a combination of high density, low power consumption, high speed and low cost unmatched by other available memory technologies. The single transistor bit cell used in 1T-SRAM memory results in the technology achieving much higher density than traditional four or six transistor SRAMs while using the same standard logic manufacturing processes. 1T-SRAM technologies also offer the familiar, refresh-free interface and high performance for random address access cycles associated with traditional SRAMs. In addition, these technologies can reduce operating power consumption by a factor of four compared with traditional SRAM technology, contributing to making them ideal for embedding large memories in System on Chip (SoC) designs. MoSys' licensees have shipped more than 100 million chips incorporating 1T-SRAM embedded memory technologies, demonstrating excellent manufacturability in a wide range of silicon processes and applications. MoSys is headquartered at 755 N. Mathilda Avenue, Sunnyvale, California 94085. More information is available on MoSys' website at www.mosys.com
MOSYS, INC.
CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS
(In thousands, except per share amounts)
Three Months Ended Twelve Months Ended
December 31, December 31,
2006 2005 2006 2005
----------- ----------- -------- --------
(unaudited) (unaudited)
Net Revenue:
Product $- $- $- $10
Licensing 1,794 1,339 9,096 7,725
Royalty 3,215 1,063 5,813 4,547
----------- ----------- -------- --------
Total net revenue 5,009 2,402 14,909 12,282
Cost of Net Revenue:
Licensing 592 243 1,498 1,986
----------- ----------- -------- --------
Total cost of net
revenue 592 243 1,498 1,986
Gross Profit 4,417 2,159 13,411 10,296
Operating Expenses:
Research and
development 2,057 1,557 8,156 5,839
Selling, general and
administrative 2,585 2,519 11,370 9,922
Restructuring expenses - 5 - 119
Litigation settlement - - 2,400 -
----------- ----------- -------- --------
Total operating
expenses 4,642 4,081 21,926 15,880
Loss from operations (225) (1,922) (8,515) (5,584)
Other income/expenses 865 794 3,286 2,591
Income (loss) before
income taxes 640 (1,128) (5,229) (2,993)
Income tax benefit
(provision) (73) 44 (109) 11
----------- ----------- -------- --------
Net income (loss) $567 $(1,084) $(5,338) $(2,982)
=========== =========== ======== ========
Net income (loss) per
share
Basic $0.02 ($0.04) ($0.17) ($0.10)
Diluted $0.02 ($0.04) ($0.17) ($0.10)
Shares used in computing
net income (loss) per
share
Basic 31,492 30,698 31,298 30,534
Diluted 32,862 30,698 31,298 30,534
MOSYS, INC.
Reconciliation of GAAP to Non-GAAP Net Income (Loss) and Net Income
(Loss) Per Share
(In thousands, except per share amounts)
(unaudited)
Three Months Twelve Months
Ended Ended
December 31, December 31,
2006 2005 2006 2005
-------- -------- -------- --------
GAAP net income (loss) $567 $(1,084) $(5,338) $(2,982)
Non-GAAP adjustments:
Stock compensation expense
- Cost of revenue 98 - 225 -
- Research and development 252 - 993 -
Selling, general and
- administrative 466 7 1,528 36
-------- -------- -------- --------
Total stock compensation
expense 816 7 2,746 36
Non-GAAP net income (loss) $1,383 $(1,077) $(2,592) $(2,946)
======== ======== ======== ========
GAAP net income (loss) per share:
Basic and Diluted $0.02 $(0.04) $(0.17) $(0.10)
Reconciling item:
- Stock compensation expense $0.02 $0.00 $0.09 $0.00
-------- -------- -------- --------
Non-GAAP net income (loss) per
share: Basic and Diluted $0.04 $(0.04) $(0.08) $(0.10)
======== ======== ======== ========
Shares used in computing non-GAAP
net income (loss) per share
Basic 31,492 30,698 31,298 30,534
Diluted 32,862 30,698 31,298 30,534
