|By Business Wire||
|August 6, 2014 08:09 AM EDT||
MicroVision, Inc. (NASDAQ:MVIS), a leader in innovative ultra-miniature projection display technology, today announced its operating and financial results for the second quarter of 2014 and the advancement of its 2014 business objectives.
MicroVision continued its positive momentum in the second quarter related to its business goals for 2014, which include:
- Complete display module development with Fortune Global 100 customer, support customer with commercialization efforts and supply key components.
- Build pipeline of consumer and automotive OEM opportunities for MicroVision’s go-to-market partners that are providing display engines incorporating PicoP® display technology.
- Ramp supply chain for high volume production of MicroVision components in the second half of 2014.
Fortune Global 100 Update
MicroVision and its Fortune Global 100 customer are developing a custom display module incorporating PicoP® display technology intended for use in a variety of products. The current focus of engagement is on planning for production and commercialization activities now that the design and development phases are nearly complete. The parties made progress on the terms of the commercial agreement with a goal for completion in the second half of 2014.
In June MicroVision announced collaboration with a second electronics company in the Fortune Global 500. The companies are developing a display engine for use in an innovative smartphone product. The company has communicated to MicroVision that it is targeting market introduction of the product in the second half of 2015.
MicroVision is on track to deliver custom PicoP® display modules in the third quarter to a third previously announced Fortune Global 500 customer: UPS. The modules are part of a new package guidance application aimed at increasing processing efficiency in real-time package sorting and routing. UPS has informed MicroVision of its plans to deploy the system in a facility in the United States.
In the automotive segment, MicroVision previously announced that it is working with a global Tier One supplier and a major vehicle OEM. MicroVision delivered multiple prototype HUD systems to the Tier One supplier in the second quarter. The prototype HUD system for the vehicle OEM is slated for delivery in the third quarter. These programs are in the evaluation and test phases, critical steps to having new technology adopted in embedded automotive applications.
In addition to the announced relationships with multiple, major consumer electronics companies, automotive companies and UPS, MicroVision has continued to build a pipeline of opportunities for consumer products and automotive solutions that incorporate PicoP display technology. MicroVision is engaged in discussions with major retailers and OEMs to gain commitments from each element of the go-to-market value chain. The company is undertaking these activities, which align all parties, to accelerate bringing PicoP display technology to market.
MicroVision is excited about the rapidly expanding consumer behavior of watching video on mobile devices and the opportunity it creates for pico projection. According to Adobe1, more than 25 percent of online video views occur on a mobile device, a market share increase of 57 percent year-over-year. Breaking down that finding further by device type, smartphones are rapidly gaining popularity with 73 percent year-over-year growth. Tablets are also taking market share of online video consumption with 42 percent year-over-year growth.
Supply Chain Update
The company continues to build the supply chain capabilities required for volume production for its key components. MicroVision has selected outstanding partners to manufacture MEMS and other components that it plans to sell to ODMs and OEMs developing display engines under its Image by PicoP® ingredient brand licensing business model. Production capacity for MicroVision components is expected to be available in the fourth quarter of 2014.
The company continued its aggressive management of cash used in operations with very little change in the first half of 2014 compared to the same period in 2013. There was no change in operating loss or net loss for the second quarter of 2014 compared to the same quarter in 2013.
The following financial results are for the three and six months ended June 30, 2014, compared to the same periods one year earlier.
- Revenue was $611,000 for the second quarter 2014 compared to $1.9 million for the second quarter a year ago. Revenue for the first half of 2014 was $1.8 million, compared to $3.7 million for the first half of 2013.
- Operating loss for the second quarter of 2014 was $3.4 million, compared to $3.4 million for the second quarter a year ago. Operating loss was $6.5 million for the first half of 2014, compared to $7.1 million for the first half of 2013.
Net loss for the second quarter of 2014 was $3.4 million, or $0.08 per share, compared to $3.4 million, or $0.13 per share, for the same quarter a year ago. Net loss was $11.4 million, or $0.29 per share, for the first half of 2014 compared to $7.1 million, or $0.27 per share, for the first half of 2013. The first half 2014 net loss includes a $5.0 million non-cash loss recognized on the fair value adjustment of our warrant liability.
- For the second quarter of 2014, cash used in operations was $3.7 million compared to $2.8 million for the same period in 2013. For the six months ended June 30, 2014, cash used in operations was $6.7 million compared to $6.3 million for the same period in 2013.
As of June 30, 2014, backlog was $ 1.1 million and cash and cash equivalents were $12.5 million. The cash balance includes net proceeds of $933,000 attained under the $4.5 million At-the-Market (ATM) equity offering agreement the company announced in June.
The company will host a conference call today to discuss its second quarter 2014 results and current business operations at 8:30 a.m. ET / 5:30 a.m. PT. Participants may join the conference call by dialing 1-800-446-1671 (for U.S. participants) or + 1-847-413-3362 (for international participants) ten minutes prior to the start of the call. The conference call pass code number is 37729501. A live webcast of the call can be accessed from the company's web site in the Investor Events Calendar section on the Investor’s page. A replay of this call will be available after 8:00 a.m. PT the day of the conference call through the same link or by calling 888-843-7419 (U.S.) or (International) +1-630-652-3042, pass code 3772 9501#. The phone in replay will be available for one week.
MicroVision is the creator of PicoP® display technology, an ultra-miniature laser projection solution for mobile consumer electronics, automotive head-up displays and other applications. MicroVision’s patented display technology helps OEMs break down display boundaries and offer enhanced visibility to mobile experiences. Nearly two decades of research has led MicroVision to become an independently recognized leader in the development of intellectual property. The company is based in Redmond, Wash.
MicroVision and PicoP are trademarks of MicroVision, Inc. in the United States and other countries. All other trademarks are the properties of their respective owners.
Certain statements contained in this release, including those relating to growth, future product and technology development and sales, performance under orders and contracts, supply chain developments, and those containing words such as “goals,” “on track,” “targets,” “plans,” “intended,” “slated,” “aims,” and “expects” are forward-looking statements that involve a number of risks and uncertainties. Factors that could cause actual results to differ materially from those projected in the company's forward-looking statements include the following: our ability to raise additional capital when needed; products incorporating our PicoP display engine may not achieve market acceptance, commercial partners may not perform under agreements as anticipated, we may be unsuccessful in identifying parties interested in paying any amounts or amounts we deem desirable for the purchase or license of IP assets, our or our customers failure to perform under open purchase orders; our financial and technical resources relative to those of our competitors; our ability to keep up with rapid technological change; government regulation of our technologies; our ability to enforce our intellectual property rights and protect our proprietary technologies; the ability to obtain additional contract awards; the timing of commercial product launches and delays in product development; the ability to achieve key technical milestones in key products; dependence on third parties to develop, manufacture, sell and market our products; potential product liability claims; and other risk factors identified from time to time in the company's SEC reports, including the company's Annual Report on Form 10-K filed with the SEC. Except as expressly required by federal securities laws, we undertake no obligation to publicly update or revise any forward-looking statements, whether as a result of new information, future events, changes in circumstances or any other reason.
|June 30,||December 31,|
|Cash and cash equivalents||$||12,464||$||5,375|
|Accounts receivable, net||54||24|
|Other current assets||547||336|
|Total current assets||13,096||5,784|
|Property and equipment, net||893||1,065|
|Intangible assets, net||1,079||1,145|
|Liabilities and Shareholders' Equity|
|Billings in excess of costs and estimated earnings on uncompleted contracts||120||680|
|Current portion of capital lease obligations||-||15|
|Total current liabilities||3,953||9,662|
|Deferred rent, net of current portion||557||481|
|Commitments and contingencies|
|Common stock at par value||44||32|
|Additional paid-in capital||473,095||448,981|
|Total shareholders' equity (deficit)||11,011||(1,696||)|
|Total liabilities and shareholders' equity (deficit)||$||15,521||$||8,447|
|Statement of Operations|
|(In thousands, except earnings per share data)|
Three months ended June 30,
Six months ended June 30,
|Cost of product revenue||33||837||23||1,501|
|Cost of contract revenue||135||26||144||163|
|Total cost of revenue||168||863||167||1,664|
|Research and development expense||2,236||2,339||4,779||4,591|
|Sales, marketing, general and administrative expense||1,869||2,101||3,828||4,504|
|Gain on disposal of fixed assets||(28||)||-||(28||)||(2||)|
|Gain on sale of previously reserved inventory||(228||)||(1||)||(455||)||(6||)|
|Total operating expenses||3,849||4,439||8,124||9,087|
|Loss from operations||(3,406||)||(3,432||)||(6,461||)||(7,080||)|
|Loss on warrant exchange||-||-||(4,967||)||-|
|Other income (expense)||5||(4||)||9||(10||)|
|Net loss per share - basic and diluted||$||(0.08||)||$||(0.13||)||$||(0.29||)||$||(0.27||)|
|Weighted-average shares outstanding - basic and diluted||43,015||26,493||38,951||25,870|
SYS-CON Events announced today that Gridstore™, the leader in hyper-converged infrastructure purpose-built to optimize Microsoft workloads, will exhibit at SYS-CON's 16th International Cloud Expo®, which will take place on June 9-11, 2015, at the Javits Center in New York City, NY. Gridstore™ is the leader in hyper-converged infrastructure purpose-built for Microsoft workloads and designed to accelerate applications in virtualized environments. Gridstore’s hyper-converged infrastructure is the ...
Dec. 26, 2014 04:00 PM EST Reads: 1,850
There's Big Data, then there's really Big Data from the Internet of Things. IoT is evolving to include many data possibilities like new types of event, log and network data. The volumes are enormous, generating tens of billions of logs per day, which raise data challenges. Early IoT deployments are relying heavily on both the cloud and managed service providers to navigate these challenges. In her session at Big Data Expo®, Hannah Smalltree, Director at Treasure Data, discussed how IoT, Big D...
Dec. 26, 2014 04:00 PM EST Reads: 2,227
DevOps Summit 2015 New York, co-located with the 16th International Cloud Expo - to be held June 9-11, 2015, at the Javits Center in New York City, NY - announces that it is now accepting Keynote Proposals. The widespread success of cloud computing is driving the DevOps revolution in enterprise IT. Now as never before, development teams must communicate and collaborate in a dynamic, 24/7/365 environment. There is no time to wait for long development cycles that produce software that is obsolete...
Dec. 26, 2014 03:00 PM EST Reads: 2,549
The 4th International DevOps Summit, co-located with16th International Cloud Expo – being held June 9-11, 2015, at the Javits Center in New York City, NY – announces that its Call for Papers is now open. Born out of proven success in agile development, cloud computing, and process automation, DevOps is a macro trend you cannot afford to miss. From showcase success stories from early adopters and web-scale businesses, DevOps is expanding to organizations of all sizes, including the world's large...
Dec. 26, 2014 01:00 PM EST Reads: 2,640
The Internet of Things promises to transform businesses (and lives), but navigating the business and technical path to success can be difficult to understand. In his session at @ThingsExpo, Sean Lorenz, Technical Product Manager for Xively at LogMeIn, demonstrated how to approach creating broadly successful connected customer solutions using real world business transformation studies including New England BioLabs and more.
Dec. 26, 2014 01:00 PM EST Reads: 2,065
WebRTC defines no default signaling protocol, causing fragmentation between WebRTC silos. SIP and XMPP provide possibilities, but come with considerable complexity and are not designed for use in a web environment. In his session at @ThingsExpo, Matthew Hodgson, technical co-founder of the Matrix.org, discussed how Matrix is a new non-profit Open Source Project that defines both a new HTTP-based standard for VoIP & IM signaling and provides reference implementations.
Dec. 26, 2014 12:30 PM EST Reads: 1,895
Dec. 26, 2014 12:00 PM EST Reads: 1,722
Explosive growth in connected devices. Enormous amounts of data for collection and analysis. Critical use of data for split-second decision making and actionable information. All three are factors in making the Internet of Things a reality. Yet, any one factor would have an IT organization pondering its infrastructure strategy. How should your organization enhance its IT framework to enable an Internet of Things implementation? In his session at Internet of @ThingsExpo, James Kirkland, Chief Ar...
Dec. 26, 2014 11:15 AM EST Reads: 2,361
The Internet of Things is tied together with a thin strand that is known as time. Coincidentally, at the core of nearly all data analytics is a timestamp. When working with time series data there are a few core principles that everyone should consider, especially across datasets where time is the common boundary. In his session at Internet of @ThingsExpo, Jim Scott, Director of Enterprise Strategy & Architecture at MapR Technologies, discussed single-value, geo-spatial, and log time series dat...
Dec. 26, 2014 11:00 AM EST Reads: 2,187
"SAP had made a big transition into the cloud as we believe it has significant value for our customers, drives innovation and is easy to consume. When you look at the SAP portfolio, SAP HANA is the underlying platform and it powers all of our platforms and all of our analytics," explained Thorsten Leiduck, VP ISVs & Digital Commerce at SAP, in this SYS-CON.tv interview at 15th Cloud Expo, held Nov 4-6, 2014, at the Santa Clara Convention Center in Santa Clara, CA.
Dec. 26, 2014 11:00 AM EST Reads: 1,828
SAP is delivering break-through innovation combined with fantastic user experience powered by the market-leading in-memory technology, SAP HANA. In his General Session at 15th Cloud Expo, Thorsten Leiduck, VP ISVs & Digital Commerce, SAP, discussed how SAP and partners provide cloud and hybrid cloud solutions as well as real-time Big Data offerings that help companies of all sizes and industries run better. SAP launched an application challenge to award the most innovative SAP HANA and SAP HANA...
Dec. 26, 2014 11:00 AM EST Reads: 2,033
Connected devices and the Internet of Things are getting significant momentum in 2014. In his session at Internet of @ThingsExpo, Jim Hunter, Chief Scientist & Technology Evangelist at Greenwave Systems, examined three key elements that together will drive mass adoption of the IoT before the end of 2015. The first element is the recent advent of robust open source protocols (like AllJoyn and WebRTC) that facilitate M2M communication. The second is broad availability of flexible, cost-effective ...
Dec. 26, 2014 11:00 AM EST Reads: 1,950
Scott Jenson leads a project called The Physical Web within the Chrome team at Google. Project members are working to take the scalability and openness of the web and use it to talk to the exponentially exploding range of smart devices. Nearly every company today working on the IoT comes up with the same basic solution: use my server and you'll be fine. But if we really believe there will be trillions of these devices, that just can't scale. We need a system that is open a scalable and by using ...
Dec. 26, 2014 11:00 AM EST Reads: 2,103
What do a firewall and a fortress have in common? They are no longer strong enough to protect the valuables housed inside. Like the walls of an old fortress, the cracks in the firewall are allowing the bad guys to slip in - unannounced and unnoticed. By the time these thieves get in, the damage is already done and the network is already compromised. Intellectual property is easily slipped out the back door leaving no trace of forced entry. If we want to reign in on these cybercriminals, it's hig...
Dec. 26, 2014 10:00 AM EST Reads: 1,799
The 3rd International Internet of @ThingsExpo, co-located with the 16th International Cloud Expo - to be held June 9-11, 2015, at the Javits Center in New York City, NY - announces that its Call for Papers is now open. The Internet of Things (IoT) is the biggest idea since the creation of the Worldwide Web more than 20 years ago.
Dec. 26, 2014 10:00 AM EST Reads: 7,137