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Press release content from Globe Newswire. The AP news staff was not involved in its creation.
PRESS RELEASE: Paid content from Globe Newswire
Press release content from Globe Newswire. The AP news staff was not involved in its creation.

SiTime Reports Fourth Quarter and Fiscal Year 2020 Financial Results

February 3, 2021 GMT

SANTA CLARA, Calif., Feb. 03, 2021 (GLOBE NEWSWIRE) -- SiTime Corporation, (Nasdaq: SITM), a leader in MEMS timing, today announced financial results for the fourth quarter and fiscal year ended December 31, 2020.

Net revenue in the fourth quarter of 2020 was $40.3 million, a 43.4% increase from the $28.1 million in the fourth quarter of 2019.

Net revenue for the year ended December 31, 2020 was $116.2 million, a 38.2% increase from the $84.1 million in the year ended December 31, 2019.

Generally Accepted Accounting Principles (GAAP) Results

In the fourth quarter of 2020, gross margins were $21.1 million, or 52.3% of revenue, operating expenses were $19.0 million or 47.2% of revenue, GAAP income from operations was $2.1 million, or 5.1% of revenue and net income was $2.0 million, or $0.10 per diluted share.

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For the year ended 2020, gross margins were $57.9 million, or 49.9% of revenue, operating expenses were $66.5 million or 57.3% of revenue, GAAP loss from operations was $8.6 million, or 7.4% of revenue and net loss was $9.4 million, or $0.58 per diluted share.   

Total cash and cash equivalents were $73.5 million on December 31, 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 fourth quarter of 2020, non-GAAP gross margins were $21.6 million, or 53.5% of revenue, non-GAAP operating expenses were $13.2 million, or 32.7% of revenue, non-GAAP income from operations was $8.4 million, or 20.8% of revenue and non-GAAP net income was $8.3 million, or $0.43 per diluted share.

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For the fiscal year 2020, non-GAAP gross margins were $58.7 million, or 50.5% of revenue, non-GAAP operating expenses were $49.6 million, or 42.7% of revenue, non-GAAP income from operations was $9.1 million, or 7.9% of revenue and non-GAAP net income was $8.4 million, or $0.46 per diluted share.

Conference Call

SiTime will broadcast its fourth quarter and fiscal year 2020 financial results conference call today, February 3, 2021, 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 3193344. The conference call will also be available via a live webcast on the investor relations section of the SiTime website at  https://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 over 2 billion devices shipped, SiTime is changing the timing industry. For more information, visit  https://www.sitime.com/.

SiTime Corporation  
Unaudited GAAP Condensed Consolidated Statement of Operations  
               
  Three Months Ended     Year Ended  
           
  December 31, 2020  
  (in thousands, except per share data)  
Revenue $ 40,274     $ 116,156  
Cost of revenue   19,203       58,224  
Gross profit   21,071       57,932  
Operating expenses:              
Research and development   8,747       31,652  
Sales, general and administrative   10,250       34,893  
Total operating expenses   18,997       66,545  
Income (loss) from operations   2,074       (8,613 )
Interest expense   -       (726 )
Other expense, net   (83 )     (32 )
Income (loss) before income taxes   1,991       (9,371 )
Income tax expense   -       (1 )
Net income (loss) $ 1,991     $ (9,372 )
Net income (loss) attributable to common stockholder and comprehensive income $ 1,991     $ (9,372 )
Net income (loss) per share attributable to common stockholder, basic $ 0.12     $ (0.58 )
Weighted-average shares used to compute basic net income (loss) per share   17,036       16,064  
Net income (loss) per share attributable to common stockholder, diluted $ 0.10     $ (0.58 )
Weighted-average shares used to compute diluted net income (loss) per share   19,263       16,064  
SiTime Corporation  
Unaudited Reconciliation of Non-GAAP Adjustments  
  Three Months Ended     Year Ended  
           
  December 31, 2020  
  (in thousands, except per share data)  
Reconciliation of GAAP gross profit and margin to non-GAAP              
Revenue $ 40,274     $ 116,156  
GAAP gross profit   21,071       57,932  
GAAP gross margin   52.3 %     49.9 %
Stock-based compensation   494       751  
Non-GAAP gross profit $ 21,565     $ 58,683  
Non-GAAP gross margin   53.5 %     50.5 %
               
Reconciliation of GAAP operating expenses to non-GAAP              
GAAP research and development expenses   8,747       31,652  
Stock-based compensation   (2,047 )     (5,707 )
Non-GAAP research and development expenses $ 6,700     $ 25,945  
               
GAAP sales, general and administrative expenses   10,250       34,893  
Stock-based compensation   (3,761 )     (11,280 )
Non-GAAP sales, general and administrative expenses $ 6,489     $ 23,613  
Total Non-GAAP operating expenses $ 13,189     $ 49,558  
               
Reconciliation of GAAP income (loss) from operations to non-GAAP income from operations              
GAAP income (loss) from operations $ 2,074     $ (8,613 )
Stock-based compensation   6,302       17,738  
Non-GAAP income from operations $ 8,376     $ 9,125  
Non-GAAP income from operations as a percentage of revenue   20.8 %     7.9 %
               
Reconciliation of GAAP net income (loss) to non-GAAP net income (loss)              
GAAP net income (loss) $ 1,991     $ (9,372 )
Stock-based compensation   6,302       17,738  
Non-GAAP net income $ 8,293     $ 8,366  
Weighted-average shares used to compute diluted net income (loss) per share   19,263       18,159  
               
GAAP net income (loss) per share diluted $ 0.10     $ (0.58 )
Non-GAAP adjustments detailed above   0.33       1.04  
Non-GAAP net income per share diluted $ 0.43     $ 0.46  
               
SiTime Corporation  
Unaudited GAAP Condensed Consolidated Balance Sheet  
  As of  
  December 31, 2020  
  (in thousands, except share and per share data)  
Assets:      
Current assets:      
Cash and cash equivalents $ 73,525  
Accounts receivable, net   23,920  
Related party accounts receivable   736  
Inventories   12,350  
Prepaid expenses and other current assets   2,649  
Total current assets   113,180  
Property and equipment, net   11,708  
Intangible assets, net   2,069  
Right-of-use assets, net   8,892  
Other assets   162  
Total assets $ 136,011  
Liabilities and Stockholders' Equity:      
Current liabilities:      
Accounts payable $ 6,182  
Accrued expenses and other current liabilities   12,963  
Total current liabilities   19,145  
Lease liabilities   6,986  
Total liabilities   26,131  
Commitments and contingencies      
Stockholders’ equity:      
Common stock   2  
Additional paid-in capital   173,274  
Accumulated deficit   (63,396 )
Total stockholders’ equity   109,880  
Total liabilities and stockholders’ equity $ 136,011  

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