QuickLogic(QUIK)2025-02-26 07:35Financial Data and Key Metrics Changes - Total fourth quarter revenue was 0.6 million, or 2.6 million, or 4.7 million, down 32% from Q4 2023 but up 32% compared to Q3 2024 [38] - Mature product revenue was 0.7 million in both Q4 2023 and Q3 2024 [38] Market Data and Key Metrics Changes - The company anticipates significant IP contract awards that will leverage investments made in 2024, particularly in the defense industrial base [51][54] - The company is the only supplier of eFPGA Hard IP optimized for Intel 18A, which is expected to drive future growth [54] Company Strategy and Development Direction - The company plans to diversify its end markets beyond the defense industrial base, targeting industrial, communications, and consumer sectors [58][90] - The company expects to expand its eFPGA Hard IP offerings to 9 or possibly 10 unique fabrication process technologies during 2025 [55] Management's Comments on Operating Environment and Future Outlook - Management expressed optimism about a significant rebound in revenue and profitability beginning in Q2 2025, driven by new contract awards [10][45] - The company expects to be cash flow positive in Q2 and for the full year 2025 [51] Other Important Information - The company is exploring options for SensiML, including a potential sale, with a conclusion expected before the next earnings call [36] - The company has appointed a new VP of IP Sales, Andy Jaros, to leverage relationships with former FlexLogix customers [19][84] Q&A Session Summary Question: What are the expectations for Q2 revenue? - Management expects Q2 revenue to exceed $6 million, driven by new IP contracts [66] Question: How is the funnel for new opportunities developing? - The funnel has grown, primarily from new eFPGA opportunities, but specific quantitative metrics were not provided [71][72] Question: What is the outlook for Intel 18A opportunities? - Management believes there is strong demand for Intel 18A, particularly from the U.S. government and defense sectors, regardless of Intel's corporate structure [78][80] Question: What is the timeline for converting FlexLogix customers? - Management anticipates a shorter conversion period due to the new VP of IP Sales leveraging existing relationships [84] Question: How is the company diversifying its end markets? - The company is seeing growth in non-defense sectors, including industrial and consumer markets, and expects to close contracts in these areas [90]