EMCORE (US:EMKR)2022-02-08 16:00Revenue Performance - For the three months ended December 31, 2021, total revenue was $42.2 million, an increase of 26.4% compared to $33.4 million for the same period in 2020[89]. - Aerospace and Defense revenue decreased by $3.7 million, or 27.4%, primarily due to a $2.7 million decrease in Defense Optoelectronics product line revenue[90]. - Broadband revenue increased by $12.5 million, or 63.4%, driven by a $11.1 million increase in CATV Lasers and Transmitters product line revenue[91]. Profitability - Gross profit for the three months ended December 31, 2021, was $15.8 million, a 25.7% increase from $12.6 million in the same period in 2020[92]. - Aerospace and Defense gross profit decreased by $2.4 million, or 58.9%, with a gross margin of 17.0% compared to 30.1% in the prior year[93]. - Broadband gross profit increased by $5.6 million, or 66.6%, driven by higher revenue of $12.5 million, resulting in a gross margin of 43.6%[94]. Income and Expenses - Operating income for the three months ended December 31, 2021, was $2.5 million, a slight decrease of 0.4% from $2.5 million in the same period in 2020[92]. - Net income for the three months ended December 31, 2021, was $2.4 million, a decrease of 6.0% compared to $2.6 million in the same period in 2020[92]. - Selling, General and Administrative (SG&A) expenses increased by $1.4 million, representing 17.0% of revenue, compared to 17.2% in the prior year[97]. - Research and Development (R&D) expenses increased by $0.3 million, accounting for 11.0% of revenue, down from 12.9% in the prior year[98]. - Operating income as a percentage of revenue was 5.9%, down from 7.5% in the prior year[102]. Cash Flow and Financial Position - Net cash provided by operating activities was $6.2 million, a significant increase of 307.1% compared to $1.5 million in the prior year[108]. - Cash and cash equivalents totaled $76.0 million, with net working capital of $119.6 million as of December 31, 2021[109]. - Investing activities used cash of $1.9 million, an increase of 122.5% compared to $0.9 million in the prior year[121]. Other Significant Events - The company closed an equity offering on February 16, 2021, raising approximately $33.1 million from the sale of 6,655,093 shares at $5.40 per share[80]. - The transfer of CATV module and transmitter manufacturing equipment to Hytera and Fastrain is expected to be completed during the fiscal year ending September 30, 2022, with $2.4 million in payments anticipated[85]. - A restructuring charge of $1.3 million was incurred due to the planned shutdown of manufacturing operations in Beijing, China[100]. - The company recorded a loss on the sale of assets amounting to $0.2 million during the quarter[101]. - The company continues to face uncertainties and challenges due to the ongoing COVID-19 pandemic, affecting operational and financial performance[76]. - There have been no changes in the Company's internal control over financial reporting during the quarter ended December 31, 2021[132]. - Legal proceedings are disclosed under the caption "Legal Proceedings" in Note 10 - Commitments and Contingencies[133].