PR Newswire: news distribution, targeting and monitoring
2014

CEVA, Inc. Announces First Quarter 2013 Financial Results

-- Strategic license agreement signed with tier-one player in mobile infrastructure

-- Total of 3 new licensees for flagship CEVA-XC4000 DSP family signed during the quarter

Share with Twitter Share with LinkedIn

MOUNTAIN VIEW, Calif., May 2, 2013 /PRNewswire/ -- CEVA, Inc. (NASDAQ: CEVA), the leading licensor of silicon intellectual property (SIP) platform solutions and DSP cores for the mobile, portable and consumer electronic markets, today announced its financial results for the first quarter ended March 31, 2013.

(Logo:  http://photos.prnewswire.com/prnh/20120808/SF53702LOGO)

Total revenue for the first quarter of 2013 was $12.1 million, a decrease of 20% compared to $15.1 million reported for the first quarter of 2012. First quarter 2013 licensing and related revenue was $5.0 million, representing a decrease of 16% when compared to $6.0 million reported for the same quarter a year ago. Royalty revenue for the first quarter 2013 was $7.1 million, a decrease of 22% compared to $9.1 million reported for the first quarter of 2012.

During the quarter, CEVA concluded eight new license agreements. Five of the agreements were for CEVA DSP cores, platforms and software, including three new licensees for the CEVA-XC4000 DSP family targeting advanced communications. In addition, two agreements were signed for CEVA SATA/SAS product lines and one agreement for CEVA Bluetooth technology. Target applications for customer deployment are mobile infrastructure, advanced Wi-Fi access points, broadband satellite communications, enterprise storage and Bluetooth low energy connectivity. Geographically, one of the agreements signed was in the U.S., two were in Europe and five were in Asia Pacific, including Japan.

Gideon Wertheizer, Chief Executive Officer of CEVA, stated, "We concluded a number of important licensing deals during the quarter, with the highlight being a strategic and comprehensive agreement with a tier-one customer in the mobile infrastructure space, which intends to deploy our CEVA-XC4000 DSP architecture in its next generation products. It is a noteworthy milestone: represents a key new customer win, expansion and diversification of our customer portfolio and a testament to our technology in a market that is known for its high barriers to entry.  We are encouraged by the licensing dynamics for our best-of-breed CEVA-XC4000 DSP, of which we signed three agreements during the quarter, all with new customers."

U.S. GAAP net income for the first quarter of 2013 was $1.7 million, a 65% decrease from $4.9 million reported for the same period in 2012. U.S. GAAP diluted earnings per share for the first quarter of 2013 were $0.08, a decrease of 60% compared to $0.20 for the first quarter of 2012.

Non-GAAP net income and diluted earnings per share for the first quarter of 2013 were $2.9 million and $0.13, respectively, representing a 51% and 46% decrease, respectively, over the $5.9 million and $0.24 reported for the first quarter of 2012. Non-GAAP net income and diluted earnings per share for the first quarter of 2013 and 2012 excluded an aggregate equity-based compensation expense, net of taxes, of $1.2 million and $1 million, respectively.

Yaniv Arieli, Chief Financial Officer of CEVA, stated: "Our licensing and related revenue was slightly below what we forecasted primarily due to recognizing partial revenue in the quarter of an important agreement we signed with a tier-one customer in the mobile infrastructure space. We anticipate recognizing the remaining revenues to be generated from this agreement during future periods. Our royalty revenue was primarily impacted by softness in the consumer electronics space while 3G smartphones powered by our DSPs outpaced the seasonal trend. During the first quarter we repurchased approximately 130,000 shares of our common stock for an aggregate consideration of approximately $2 million. At the end of the quarter, our cash balance, marketable securities and bank deposits totaled $157 million."

CEVA Conference Call

On May 02, 2013, CEVA management will conduct a conference call at 8:30 a.m. Eastern Time to discuss the operating performance for the quarter.

The conference call will be available via the following dial in numbers:

  • U.S. Participants: Dial 1-800-860-2442 (Access Code: CEVA)
  • International Participants: Dial +1-412-858-4600 (Access Code: CEVA)

The conference call will also be available live via the Internet at the following link:  http://www.videonewswire.com/event.asp?id=93239.  Please go to the web site at least fifteen minutes prior to the call to register, download and install any necessary audio software.

For those who cannot access the live broadcast, a replay will be available by dialing +1-877-344-7529 or +1-412-317-0088 (access code: 10027202) from one hour after the end of the call until 9:00 a.m. (Eastern Time) on May 10, 2013. The replay will also be available at CEVA's web site www.ceva-dsp.com.

About CEVA, Inc.

CEVA is the world's leading licensor of silicon intellectual property (SIP) DSP cores and platform solutions for the mobile, portable and consumer electronics markets. CEVA's IP portfolio includes comprehensive technologies for cellular baseband (2G / 3G / 4G), multimedia (vision, imaging and HD audio), voice processing, Bluetooth, Serial Attached SCSI (SAS) and Serial ATA (SATA). In 2012, CEVA's IP was shipped in more than 1 billion devices, powering smartphones from many of the world's leading OEMs, including HTC, Huawei, Lenovo, LG, Nokia, Motorola, Samsung, Sony, TCL and ZTE. Today, more than 40% of handsets shipped worldwide are powered by a CEVA DSP core. For more information, visit www.ceva-dsp.com. Follow CEVA on twitter at www.twitter.com/cevadsp.

 

CEVA, INC. AND ITS SUBSIDIARIES
CONSOLIDATED STATEMENTS OF INCOME – U.S. GAAP
U.S. dollars in thousands, except per share data



Quarter ended


March 31,


2013

2012


Unaudited

Unaudited

Revenues:



Licensing and related revenues

$  5,034

$  6,006

Royalties

7,082

9,106




Total revenues

12,116

15,112




Cost of revenues

1,575

870




Gross profit

10,541

14,242




Operating expenses:



Research and development, net

5,039

5,486

Sales and marketing

2,355

2,289

General and administrative

1,838

1,869




Total operating expenses

9,232

9,644




Operating income

1,309

4,598

Financial income, net

729

948




Income before taxes on income

2,038

5,546

Income taxes

333

689




Net income

$  1,705

$  4,857




Basic net income per share

$0.08

$0.21

Diluted net income per share

$0.08

$0.20

Weighted-average shares  used to compute net income per share (in thousands):



Basic

22,197

23,507

Diluted

22,670

24,239




Unaudited Reconciliation of GAAP to Non-GAAP Financial Measures
(U.S. Dollars in thousands, except per share data)




Quarter ended


March 31,


2013

2012


Unaudited

Unaudited

GAAP net income

1,705

4,857

Equity-based compensation expense included in cost of revenues

69

51

Equity-based compensation expense included in research and development expenses

446

465

Equity-based compensation expense included in sales and marketing expenses

296

239

Equity-based compensation expense included in general and administrative expenses

507

490

Deferred tax related to equity-based compensation expenses

(117)

(124)

Taxes on Income (1)

-

(102)

Non-GAAP net income

$  2,906

$  5,876




(1) Results for the three months ended March 31, 2012  include the utilization of expenses on a previously booked capital gain






GAAP weighted-average number of Common Stock used in computation of diluted net income per share (in thousands)

22,670

24,239

Weighted-average number of shares related to outstanding options and stock appreciation rights (in thousands)

1

6




Weighted-average number of Common Stock used in computation of diluted net income per share excluding equity-based compensation expense (in thousands)

22,671

24,245







GAAP diluted net income per share

$  0.08

$  0.20

Equity-based compensation expense, net of taxes

$  0.05

$  0.04

Non  GAAP diluted net income per share

$  0.13

$  0.24






CEVA, INC. AND ITS SUBSIDIARIES
CONDENSED CONSOLIDATED BALANCE SHEETS
(U.S. Dollars in thousands)





March 31,

December 31,


2013

2012 (*)


Unaudited


ASSETS



Current assets:



Cash and cash equivalents

$        10,000

$        18,422

Marketable securities and short term bank deposits

123,753

116,572

Trade receivables, net

7,340

6,232

Deferred tax assets

2,294

2,065

Prepaid expenses and other current assets

3,670

2,361

Total current assets

147,057

145,652

Long-term assets:



Long term bank deposits

23,180

23,050

Severance pay fund

6,606

6,130

Deferred tax assets

1,146

1,178

Property and equipment, net

1,536

1,392

Goodwill

36,498

36,498

Investment in other companies

2,733

2,433

Total assets

$        218,756

$        216,333




LIABILITIES AND STOCKHOLDERS' EQUITY






Current liabilities:



Trade payables

$           1,087

$           1,176

Deferred revenues

483

865

Accrued expenses and other payables

2,819

3,462

Accrued payroll and related benefits

8,058

6,978

Income taxes payable, net

1,782

1,626

Total current liabilities

14,229

14,107




Accrued severance pay

6,725

6,158




Total liabilities

20,954

20,265




Stockholders' equity:



Common stock:

22

22

Additional paid in-capital

199,813

198,495

Accumulated other comprehensive income

247

360

Treasury stock

(26,354)

(25,694)

Retained earnings

24,074

22,885

Total stockholders' equity

197,802

196,068

Total liabilities and stockholders' equity

$   218,756

$   216,333




(*) Derived from audited financial statements

 

SOURCE CEVA, Inc.



RELATED LINKS
http://www.ceva-dsp.com

Featured Video

Journalists and Bloggers

Visit PR Newswire for Journalists for releases, photos, ProfNet experts, and customized feeds just for Media.

View and download archived video content distributed by MultiVu on The Digital Center.

Share with Twitter Share with LinkedIn
 

Custom Packages

Browse our custom packages or build your own to meet your unique communications needs.

Start today.

 

 
 

PR Newswire Membership

Fill out a PR Newswire membership form or contact us at (888) 776-0942.

 
 

Learn about PR Newswire services

Request more information about PR Newswire products and services or call us at (888) 776-0942.

 
Area to test

Online Member Center

Not a Member?
Click Here to Join
Login
Search News Releases
Advanced Search
Search
  1. PR Newswire Services
  2. Knowledge Center
  3. Browse News Releases
  4. Contact PR Newswire
  5. Send a News Release