Financial Data and Key Metrics Changes - The company reported net revenues of 5.7 million in Q2 fiscal 2024 and 5.6 million, compared to an operating loss of 1.1 million in the prior quarter [19] - Net loss was 0.21 per diluted share, compared to a net loss of 0.60 per diluted share in Q2 fiscal 2024 and net income of 0.04 per diluted share in Q1 fiscal 2025 [20] - Cash and cash equivalents increased to 14.4 million at March 31, 2024 [21] Business Line Data and Key Metrics Changes - The SRAM business is experiencing a turnaround, with existing customers depleting channel inventories and a new SRAM design secured with significant growth potential [3] - Sales to Nokia were 1.2 million or 20.3% in the same period a year ago [13] - Military/defense sales accounted for 40.2% of shipments in Q2 fiscal 2025, up from 34.8% in the comparable period a year ago [13] Market Data and Key Metrics Changes - Demand for SRAM chips is expected to rise due to the growth in high-performance computing hardware and the introduction of a new AI chip by a leading tech company [9] - The company is engaged with two customers on SAR edge applications, transitioning from evaluating Gemini-I to Gemini-II [12] Company Strategy and Development Direction - The company is implementing strategic cost-cutting measures to extend its financial runway and capitalize on immediate and long-term opportunities, aiming for annualized savings of about $3.5 million [6] - The company is on track to meet milestones for the Gemini-II benchmarking projects and is excited about software fixes for the Gemini-II development [4] Management's Comments on Operating Environment and Future Outlook - Management anticipates a significant increase in SRAM orders in upcoming quarters as customers work through excessive inventory [10] - The company is optimistic about the collaboration with a new customer in the AI chip sector, which is expected to drive substantial demand for SRAM chips [10] Other Important Information - The company is working with Needham & Company as a strategic and financial advisor to evaluate specific strategic alternatives [21] Q&A Session Summary Question: Is the SRAM opportunity associated with semi equipment wafer fabrication or semi test equipment? - The company confirmed it is associated with manufacturing but did not disclose the specific customer details at this time [22][23] Question: What is the difference between Plato and Gemini-II L? - Plato is a new design targeting the LLM market specifically on the edge, while Gemini-II L is a derivative of Gemini-II configured for lower power usage [24]
GSI Technology(GSIT) - 2025 Q2 - Earnings Call Transcript