sitm-8k_20201104.htm

 

 

UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

WASHINGTON, D.C. 20549

 

FORM 8-K

 

CURRENT REPORT

Pursuant to Section 13 or 15(d) of the Securities Exchange Act of 1934

Date of Report (Date of earliest event reported): November 4, 2020

 

SiTime Corporation

(Exact name of Registrant as Specified in Its Charter)

 

 

Delaware

001-39135

02-0713868

(State or Other Jurisdiction

of Incorporation)

(Commission File Number)

(IRS Employer

Identification No.)

 

 

 

5451 Patrick Henry Drive,

Santa Clara, CA

 

95054

(Address of Principal Executive Offices)

 

(Zip Code)

Registrant’s Telephone Number, Including Area Code: (408) 328-4400

Not Applicable

(Former Name or Former Address, if Changed Since Last Report)

 

Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions:

 

Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425)

Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12)

Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b))

Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c))

Securities registered pursuant to Section 12(b) of the Act:

 

Title of each class

 

Trading

Symbol(s)

 

Name of each exchange on which registered

Common Stock, $0.0001 par value per share

 

SITM

 

The Nasdaq Stock Market LLC

 

Indicate by check mark whether the registrant is an emerging growth company as defined in Rule 405 of the Securities Act of 1933 (§ 230.405 of this chapter) or Rule 12b-2 of the Securities Exchange Act of 1934 (§ 240.12b-2 of this chapter).

Emerging growth company 

If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act. 

 

 

 

 


 

Item 2.02 Results of Operations and Financial Condition.

On November 4, 2020, SiTime Corporation (the "Company") issued a press release announcing its financial results for the third quarter of 2020. A copy of the press release is furnished as Exhibit 99.1 to this report.

The information under Item 2.02 of this report, including Exhibit 99.1 hereto, shall not be deemed to be "filed" for purposes of Section 18 of the Securities Exchange Act of 1934, as amended, or otherwise subject to the liabilities of that section or Sections 11 and 12(a)(2) of the Securities Act of 1933, as amended. The information and the accompanying exhibit shall not be incorporated by reference into filings with the U.S. Securities and Exchange Commission (the "SEC") made by the Company, except as shall be expressly set forth by specific reference in such a filing.

Item 9.01 Financial Statements and Exhibits.

(d)

Exhibits.

 

Exhibit No.

 

Description

 

 

 

99.1

 

Press Release of SiTime Corporation dated November 4, 2020.

 

1


 

SIGNATURE

Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned thereunto duly authorized.

 

 

 

SITIME CORPORATION

 

 

 

 

Date: November 4, 2020

 

By:

/s/ Arthur D. Chadwick

 

 

 

Arthur D. Chadwick

 

 

 

Executive Vice President and Chief Financial Officer

 

2

sitm-ex991_6.htm

Exhibit 99.1

 

SiTime Reports Third Quarter 2020 Financial Results

 

SANTA CLARA, Calif., November 4, 2020 – SiTime Corporation, (Nasdaq: SITM), a market leader in MEMS timing, today announced financial results for the third quarter ended September 30, 2020.

 

Net revenue in the third quarter of 2020 was $32.7 million, a 29.0% increase from the $25.3 million in the third quarter of 2019 and a 52.1% increase from the $21.5 million in the second quarter of 2020.

Generally Accepted Accounting Principles (GAAP) Results

In the third quarter of 2020 gross margins were $16.9 million, or 51.7% of revenue, operating expenses were $17.5 million, or 53.5% of revenue, GAAP loss from operations was $0.6 million, or 1.7% of revenue and net loss was $0.7 million, or $0.04 per diluted share.  

Total cash and cash equivalents were $69.2 million on September 30, 2020.

 

Non-GAAP Results

This press release and its attachments include certain non-GAAP supplemental performance measures. The presentation of this financial information is not intended to be considered in isolation or as a substitute for the financial information prepared and presented in accordance with GAAP.

SiTime believes that the presentation of non-GAAP financial measures provides important supplemental information to management and investors regarding financial and business trends relating to SiTime’s financial condition and results of operations. SiTime believes that these non-GAAP financial measures provide additional insight into SiTime’s ongoing performance and core operational activities and has chosen to provide these measures for more consistent and meaningful comparison between periods. These measures should only be used to evaluate SiTime’s results of operations in conjunction with the corresponding GAAP measures. The non-GAAP results exclude the effect of stock-based compensation and related payroll taxes.

The reconciliation between GAAP and non-GAAP financial results is provided in the financial statements portion of this release.

In the third quarter of 2020, non-GAAP gross margins were $17.0 million, or 52.1% of revenue, non-GAAP operating expenses were $12.5 million, or 38.3% of revenue, non-GAAP income from operations was $4.5 million, or 13.8% of revenue and non-GAAP net income was $4.4 million, or $0.23 per diluted share.

 

Conference Call

SiTime will broadcast its third quarter of 2020 financial results conference call today, November 4, 2020, at 2:00 p.m. Pacific Time (5:00 p.m. Eastern Time), which can be accessed by calling +1-844-467-7657 and using conference ID 6695003. The conference call will also be available via a live webcast on the investor relations section of the SiTime website at investor.sitime.com. Please access the website at least a few minutes prior to the start of the call to download and install any necessary audio software. An archived webcast replay of the call will be available on the website for a limited period of time.

About SiTime

SiTime Corporation is a market leader in silicon MEMS timing. Our programmable solutions offer a rich feature set that enables customers to differentiate their products with higher performance, smaller size, lower power, and better reliability. With almost 2 billion devices shipped, SiTime is changing the timing industry. For more information, visit https://www.sitime.com/.

 

 


 

 

SiTime Corporation

 

Unaudited GAAP Condensed Consolidated Statements of Operations

 

 

 

 

 

 

 

 

 

 

 

 

Three Months Ended

 

 

 

September 30, 2020

 

 

June 30, 2020

 

 

 

(in thousands, except per share data)

 

Revenue

 

$

32,667

 

 

$

21,473

 

Cost of revenue

 

 

15,765

 

 

 

11,490

 

Gross profit

 

 

16,902

 

 

 

9,983

 

Operating expenses:

 

 

 

 

 

 

 

 

Research and development

 

 

8,484

 

 

 

7,398

 

Sales, general and administrative

 

 

8,978

 

 

 

7,856

 

Total operating expenses

 

 

17,462

 

 

 

15,254

 

Loss from operations

 

 

(560

)

 

 

(5,271

)

Interest expense

 

 

(110

)

 

 

(313

)

Other income (expense), net

 

 

3

 

 

 

(20

)

Loss before income taxes

 

 

(667

)

 

 

(5,604

)

Income tax (expense) benefit

 

 

-

 

 

 

1

 

Net loss

 

$

(667

)

 

$

(5,603

)

Net loss attributable to common stockholder and comprehensive

   income

 

$

(667

)

 

$

(5,603

)

Net loss per share attributable to common stockholder, basic

 

$

(0.04

)

 

$

(0.36

)

Weighted-average shares used to compute basic net loss per share

 

 

16,818

 

 

 

15,371

 

Net loss per share attributable to common stockholder, diluted

 

$

(0.04

)

 

$

(0.36

)

Weighted-average shares used to compute diluted net loss per share

 

 

16,818

 

 

 

15,371

 

 

 


 

 

SiTime Corporation

Unaudited Reconciliation of Non-GAAP Adjustments

 

 

 

 

 

Three Months Ended

 

 

 

September 30, 2020

 

 

June 30, 2020

 

 

 

(in thousands, except per share data)

 

Reconciliation of GAAP gross profit and margin to non-GAAP

 

 

 

 

 

 

 

 

Revenue

 

$

32,667

 

 

$

21,473

 

GAAP gross profit

 

 

16,902

 

 

 

9,983

 

GAAP gross margin

 

 

51.7

%

 

 

46.5

%

Stock-based compensation

 

 

131

 

 

 

70

 

Non-GAAP gross profit

 

$

17,033

 

 

$

10,053

 

Non-GAAP gross margin

 

 

52.1

%

 

 

46.8

%

 

 

 

 

 

 

 

 

 

Reconciliation of GAAP operating expenses to non-GAAP

 

 

 

 

 

 

 

 

GAAP research and development expenses

 

 

8,484

 

 

 

7,398

 

Stock-based compensation

 

 

(1,465

)

 

 

(1,135

)

Non-GAAP research and development expenses

 

$

7,019

 

 

$

6,263

 

 

 

 

 

 

 

 

 

 

GAAP sales, general and administrative expenses

 

 

8,978

 

 

 

7,856

 

Stock-based compensation

 

 

(3,471

)

 

 

(2,190

)

Non-GAAP sales, general and administrative expenses

 

$

5,507

 

 

$

5,666

 

Total Non-GAAP operating expenses

 

$

12,526

 

 

$

11,929

 

 

 

 

 

 

 

 

 

 

Reconciliation of GAAP loss from operations to non-GAAP loss

   from operations

 

 

 

 

 

 

 

 

GAAP loss from operations

 

$

(560

)

 

$

(5,271

)

Stock-based compensation

 

 

5,067

 

 

 

3,395

 

Non-GAAP income (loss) from operations

 

$

4,507

 

 

$

(1,876

)

Non-GAAP income (loss) from operations as a percentage of revenue

 

 

13.8

%

 

 

-8.7

%

 

 

 

 

 

 

 

 

 

Reconciliation of GAAP net loss to non-GAAP net loss

 

 

 

 

 

 

 

 

GAAP net loss

 

$

(667

)

 

$

(5,603

)

Stock-based compensation

 

 

5,067

 

 

 

3,395

 

Non-GAAP net income (loss)

 

$

4,400

 

 

$

(2,208

)

Weighted-average shares used to compute diluted net income (loss)

   per share

 

 

18,983

 

 

 

15,371

 

 

 

 

 

 

 

 

 

 

GAAP net loss per share diluted

 

$

(0.04

)

 

$

(0.36

)

Non-GAAP adjustments detailed above

 

 

0.27

 

 

 

0.22

 

Non-GAAP net income (loss) per share diluted

 

$

0.23

 

 

$

(0.14

)

 

 


 

 

SiTime Corporation

Unaudited GAAP Condensed Consolidated Balance Sheets

 

 

 

 

 

As of

 

 

 

September 30, 2020

 

 

June 30, 2020

 

 

 

(in thousands)

 

Assets:

 

 

 

 

 

 

 

 

Current assets:

 

 

 

 

 

 

 

 

Cash and cash equivalents

 

$

69,208

 

 

$

102,486

 

Accounts receivable, net

 

 

17,224

 

 

 

13,001

 

Related party accounts receivable

 

 

738

 

 

 

581

 

Inventories

 

 

15,208

 

 

 

14,781

 

Prepaid expenses and other current assets

 

 

2,975

 

 

 

1,581

 

Total current assets

 

 

105,353

 

 

 

132,430

 

Property and equipment, net

 

 

10,859

 

 

 

10,415

 

Intangible assets, net

 

 

2,103

 

 

 

3,002

 

Right-of-use assets, net

 

 

9,220

 

 

 

9,467

 

Other assets

 

 

162

 

 

 

162

 

Total assets

 

$

127,697

 

 

$

155,476

 

Liabilities and Stockholders' Equity:

 

 

 

 

 

 

 

 

Current liabilities:

 

 

 

 

 

 

 

 

Accounts payable

 

$

7,473

 

 

$

5,004

 

Accrued expenses and other current liabilities

 

 

10,092

 

 

 

8,333

 

Loan obligations

 

 

-

 

 

 

35,000

 

Total current liabilities

 

 

17,565

 

 

 

48,337

 

Lease liabilities

 

 

7,309

 

 

 

7,570

 

Total liabilities

 

 

24,874

 

 

 

55,907

 

Commitments and contingencies

 

 

 

 

 

 

 

 

Stockholders’ equity:

 

 

 

 

 

 

 

 

Common stock

 

 

2

 

 

 

2

 

Additional paid-in capital

 

 

168,208

 

 

 

164,287

 

Accumulated deficit

 

 

(65,387

)

 

 

(64,720

)

Total stockholders’ equity

 

 

102,823

 

 

 

99,569

 

Total liabilities and stockholders’ equity

 

$

127,697

 

 

$

155,476

 

 

Investor Relations Contacts:

 

Shelton Group

Leanne Sievers | Brett Perry

949-224-3874 | 214-272-0070

sheltonir@sheltongroup.com

 

SiTime Corporation

Art Chadwick

Chief Financial Officer

investor.relations@sitime.com