FREMONT, CA -- (Marketwired) -- 07/25/13 --
Ikanos Communications, Inc. (NASDAQ: IKAN)
•Revenue of $19.1 million•GAAP Operating Expenses of $17.5 million•Cash, Cash Equivalents and Short-Term Investments of $27.3 million
Ikanos Communications, Inc. (NASDAQ: IKAN), a leading provider of advanced broadband semiconductor and integrated firmware products for the digital home, today announced its financial results for the fiscal second quarter of 2013 ended June 30, 2013.
"Ikanos achieved second quarter results within guidance, with revenue of $19.1 million and GAAP operating expenses of $17.5 million," said Dennis Bencala, chief financial officer and vice president of finance at Ikanos. "For the third consecutive quarter, the company has successfully reduced operating expenses while achieving major new product development milestones. Additionally, inventory levels were reduced to $4.0 million while meeting customer demand and contributing to a quarter-ending cash and short-term investments balance of $27.3 million."
"We are pleased with the progress and the positive engagements we are seeing for both the Velocity-3 and the Fusiv™ Vx18x processor families from OEMs and carriers," said Omid Tahernia, president and CEO at Ikanos. "Our lead customer for Velocity-3 is making good progress towards mass production, with field trials expected to begin late this year. We expect the successful lab trials recently completed by other carriers and OEMs to result in additional design wins in the coming months. We have seen similar traction with our Fusiv™ line, with the Vx185 being recognized in a recent top-tier carrier RFP."
"In addition to the progress we made during the quarter with Velocity-3 and Fusiv™, we officially launched our new diagnostic and monitoring software product under the brand of inSIGHT. The addition of inSIGHT to our product portfolio creates a new revenue opportunity for software running on Ikanos silicon through our direct engagement with the world's top carriers, enabling them to realize significant operational cost savings for both new and existing installed base of Ikanos-based home gateways. The carrier feedback for inSIGHT, the industry's first in-home broadband diagnostics and monitoring solution integrated into a DSL communications processor, has been very positive," concluded Mr. Tahernia.
Ikanos reports its financial results in accordance with U.S. generally accepted accounting principles (GAAP) and additionally on a non-GAAP basis. Non-GAAP net income (loss), non-GAAP gross profits, non-GAAP operating expenses and non-GAAP earnings per share, where applicable, exclude the income statement effects of stock-based compensation, restructuring charges and amortization of intangible assets. Ikanos has provided these measures because its management believes these additional non-GAAP measures are useful to investors for performing financial analysis as these additional measures highlight Ikanos' recurring operating results. Ikanos' management uses these non-GAAP measures internally to evaluate its operating performance and to plan for its future. However, non-GAAP measures are not a substitute for GAAP reporting. For a reconciliation of GAAP versus non-GAAP financial information, please see the attached schedules.