EMCORE Corporation (EMKR) reports earnings

The report was filed on January 14, 2025

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EMCORE Corporation (EMKR0.00%) has filed its Form 10-K filing for the fiscal year ended September 30, 2024.

The filing reports a decrease in revenue to $85.9 million from $97.7 million in the previous year, attributed to reduced demand in certain product lines.

Gross profit declined to $18.8 million from $23.4 million, with a gross margin decrease from 23.9% to 21.9%, primarily due to lower production yields and inventory charges.

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Operating expenses decreased significantly to $43.4 million from $72.1 million, reflecting cost-saving measures including workforce reductions and facility consolidations.

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The company reported an operating loss of $24.5 million, an improvement from the $48.7 million loss in the prior year.

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Net loss from continuing operations was $26.9 million, compared to a $49.4 million loss in the previous year.

The company completed the sale of its chips business line and indium phosphide wafer fabrication operations for $2.9 million, as part of a strategic shift to focus on inertial navigation products.

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EMCORE also entered into a merger agreement with Velocity One Holdings, LP, under which EMCORE will become an indirect wholly owned subsidiary.

The filing notes substantial doubt about the company's ability to continue as a going concern, citing recent losses and cash outflows.

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EMCORE's restructuring efforts resulted in annualized cost savings of approximately $17 million, excluding severance costs.

The company identified material weaknesses in its internal controls over financial reporting, which it is actively working to remediate.

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EMCORE's cash and cash equivalents totaled $10.8 million as of September 30, 2024, with net working capital at $36.6 million.

This content was summarized by generative artificial intelligence using public filings retrieved from SEC.gov. The original data was derived from the EMCORE Corporation annual 10-K report dated January 14, 2025. To report an error, please email earnings@qz.com.