LEDS SemiLEDS Corporation

SemiLEDs Corporation (NASDAQ: LEDS), “SemiLEDs” or the “Company,” a developer and manufacturer of LED chips and LED components, today announced its financial results for the fourth quarter and full fiscal year, ended August 31, 2024.

Revenue for the fourth quarter of fiscal 2024 was $1.3 million, compared to $1.3 million in the third quarter of fiscal 2024. GAAP net loss attributable to SemiLEDs stockholders for the fourth quarter of fiscal 2024 increased to $560 thousand, or $(0.08) per diluted share, compared to a net loss of $319 thousand, or $(0.04) per diluted share, in the third quarter of fiscal 2024.

GAAP gross margin for the fourth quarter of fiscal 2024 decreased to 12%, compared to 41% for the third quarter of fiscal 2024. Operating margin for the fourth quarter of fiscal 2024 decreased to negative 62%, compared with negative 36% for the third quarter of fiscal 2024. The Company’s cash and cash equivalents were $1.7 million at August 31, 2024, compared to $1.7 million at the end of the third quarter of fiscal 2024.

Revenues for fiscal year 2024 decreased to $5.2 million, compared to $6.0 million in fiscal year 2023. GAAP net loss attributable to SemiLEDs stockholders for fiscal year 2024 was $2.0 million, or $(0.32) per diluted share, compared to a net loss of $2.7 million, or $(0.55) per diluted share, in fiscal year 2023.

GAAP gross margin for fiscal year 2024 increased to 20%, compared with gross margin for fiscal year 2023 of 17%. Operating margin for fiscal year 2024 was negative 57%, compared with negative 57% in fiscal year 2023. The Company’s cash and cash equivalents were $1.7 million as of August 31, 2024, compared to $2.6 million as of August 31, 2023.

About SemiLEDs

SemiLEDs develops and manufactures LED chips and LED components for general lighting applications, including street lights and commercial, industrial, system and residential lighting, along with specialty industrial applications such as ultraviolet (UV) curing, medical/cosmetic, counterfeit detection, horticulture, architectural lighting and entertainment lighting. SemiLEDs sells blue, white, green and UV LED chips.

Forward Looking Statements

This press release contains statements that may constitute “forward-looking” statements within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended, and as defined in the U.S. Private Securities Litigation Reform Act of 1995. All statements other than statements of historical fact could be deemed forward-looking, including, but not limited to, the consideration of potential strategic alternatives, any statements about historical results that may suggest trends for SemiLEDs’ business; any statements of the plans, strategies and objectives of management for future operations; any statements of expectation or belief regarding recovery of the LED industry, market opportunities and other future events or technology developments; any statements regarding SemiLEDs’ position to capitalize on any market opportunities; and any statements of assumptions underlying any of the foregoing. There can be no assurance that SemiLEDs will be able to identify or execute upon any strategic alternatives or, if alternatives are identified, the possible terms of any such strategic agreement. These forward-looking statements are based on current expectations, estimates, forecasts and projections of future SemiLEDs’ or industry performance based on management’s judgment, beliefs, current trends and market conditions and involve risks and uncertainties that may cause actual results to differ materially from those contained in the forward-looking statements. SemiLEDs’ Annual Report on Form 10-K filed with the Securities and Exchange Commission (the “SEC”) and other SemiLEDs filings with the SEC (which you may obtain for free at the SEC’s website at http://www.sec.gov) discuss some of the important risks and other factors that may affect SemiLEDs’ business, results of operations and financial condition. SemiLEDs undertakes no intent or obligation to publicly update or revise any of these forward looking statements, whether as a result of new information, future events or otherwise, except as required by law.

SEMILEDS CORPORATION AND SUBSIDIARIES

Unaudited Condensed Consolidated Balance Sheets

(In thousands of U.S. dollars)

 

 

August 31,

 

August 31,

 

 

2024

 

2023

ASSETS

 

 

 

 

CURRENT ASSETS:

 

 

 

 

Cash and cash equivalents

 

$

1,671

 

 

$

2,572

 

Restricted cash and cash equivalents

 

 

78

 

 

 

78

 

Accounts receivable (including related parties), net

 

 

416

 

 

 

793

 

Inventories, net

 

 

3,574

 

 

 

4,022

 

Prepaid expenses and other current assets

 

 

223

 

 

 

129

 

Total current assets

 

 

5,962

 

 

 

7,594

 

Property, plant and equipment, net

 

 

2,798

 

 

 

3,233

 

Operating lease right of use assets

 

 

1,091

 

 

 

1,371

 

Intangible assets, net

 

 

90

 

 

 

97

 

Investments in unconsolidated entities

 

 

969

 

 

 

974

 

Other assets

 

 

228

 

 

 

186

 

TOTAL ASSETS

 

$

11,138

 

 

$

13,455

 

LIABILITIES AND EQUITY

 

 

 

 

CURRENT LIABILITIES:

 

 

 

 

Current installments of long-term debt

 

$

2,854

 

 

$

5,042

 

Accounts payable

 

 

137

 

 

 

436

 

Accrued expenses and other current liabilities

 

 

2,936

 

 

 

2,711

 

Other payable to related parties

 

 

1,001

 

 

 

1,374

 

Operating lease liabilities, current portion

 

 

94

 

 

 

139

 

Total current liabilities

 

 

7,022

 

 

 

9,702

 

Long-term debt, excluding current installments

 

 

870

 

 

 

1,327

 

Operating lease liabilities, less current portion

 

 

997

 

 

 

1,232

 

Total liabilities

 

 

8,889

 

 

 

12,261

 

Commitments and contingencies

 

 

 

 

EQUITY:

 

 

 

 

SemiLEDs stockholders’ equity

 

 

 

 

Common stock

 

 

—

 

 

 

—

 

Additional paid-in capital

 

 

187,337

 

 

 

184,246

 

Accumulated other comprehensive income

 

 

3,545

 

 

 

3,550

 

Accumulated deficit

 

 

(188,681

)

 

 

(186,645

)

Total SemiLEDs stockholders’ equity

 

 

2,201

 

 

 

1,151

 

Noncontrolling interests

 

 

48

 

 

 

43

 

Total equity

 

 

2,249

 

 

 

1,194

 

TOTAL LIABILITIES AND EQUITY

 

$

11,138

 

 

$

13,455

 

SEMILEDS CORPORATION AND SUBSIDIARIES

Unaudited Condensed Consolidated Statements of Operations

(In thousands of U.S. dollars and shares, except per share data)

 

 

Three Months Ended

 

Years Ended August 31,

 

 

August 31, 2024

 

May 31, 2024

 

2024

 

2023

Revenues, net

 

$

1,324

 

 

$

1,323

 

 

$

5,183

 

 

$

5,979

 

Cost of revenues

 

 

1,171

 

 

 

780

 

 

 

4,130

 

 

 

4,972

 

Gross profit

 

 

153

 

 

 

543

 

 

 

1,053

 

 

 

1,007

 

Operating expenses:

 

 

 

 

 

 

 

 

Research and development

 

 

217

 

 

 

320

 

 

 

1,160

 

 

 

1,353

 

Selling, general and administrative

 

 

760

 

 

 

696

 

 

 

2,891

 

 

 

3,058

 

Gain on disposals of long-lived assets, net

 

 

1

 

 

 

—

 

 

 

(49

)

 

 

—

 

Total operating expenses

 

 

978

 

 

 

1,016

 

 

 

4,002

 

 

 

4,411

 

Loss from operations

 

 

(825

)

 

 

(473

)

 

 

(2,949

)

 

 

(3,404

)

Other income (expenses):

 

 

 

 

 

 

 

 

Impairment loss from unconsolidated entities

 

 

(3

)

 

 

(3

)

 

 

(3

)

 

 

(1

)

Interest expenses, net

 

 

(36

)

 

 

(58

)

 

 

(247

)

 

 

(287

)

Other income, net

 

 

268

 

 

 

277

 

 

 

1,181

 

 

 

1,054

 

Foreign currency transaction (loss) gain, net

 

 

34

 

 

 

(59

)

 

 

(13

)

 

 

(52

)

Total other income, net

 

 

263

 

 

 

157

 

 

 

918

 

 

 

714

 

Loss before income taxes

 

 

(562

)

 

 

(316

)

 

 

(2,031

)

 

 

(2,690

)

Income tax expense

 

—

 

 

—

 

 

—

 

 

—

 

Net loss

 

 

(562

)

 

 

(316

)

 

 

(2,031

)

 

 

(2,690

)

Less: Net income (loss) attributable to noncontrolling interests

 

 

(2

)

 

 

3

 

 

 

5

 

 

 

—

 

Net loss attributable to SemiLEDs stockholders

 

$

(560

)

 

$

(319

)

 

$

(2,036

)

 

$

(2,690

)

Net loss per share attributable to SemiLEDs stockholders:

 

 

 

 

 

 

 

 

Basic and diluted

 

$

(0.08

)

 

$

(0.04

)

 

$

(0.32

)

 

$

(0.55

)

Shares used in computing net loss per share attributable to SemiLEDs stockholders:

 

 

 

 

 

 

 

 

Basic and diluted

 

 

7,203

 

 

 

7,185

 

 

 

6,320

 

 

 

4,881

 

 

View source version on businesswire.com: https://www.businesswire.com/news/home/20241127417578/en/

Christopher Lee Chief Financial Officer SemiLEDs Corporation +886-37-586788 investor@semileds.com