GigaMedia Pronounces First-Quarter 2024 Monetary Outcomes, Industrial News

/PRNewswire/ — GigaMedia Restricted (NASDAQ: GIGM) at present launched its first quarter 2024 unaudited monetary outcomes.

Comments from Administration

For the first quarter of 2024, GigaMedia reported revenues of $0.73 million with a obnoxious income of $0.35 millionan working lack of $1.11 million and the online lack of $0.90 million.

If when put next with the outdated quarter, the revenues lowered by 16.7%. On this quarter, we persevered scaling inspire and consolidating property from underperforming merchandise, and obvious disruptive factors in our sales channel had been step by step remediated. Whereas the turnaround of financial efficiency can also merely now not be immediate, after the optimizing measures we are impressed to seem avid gamers’ traffic is stabilizing in our increased margin legacy informal video games.

With a slimmer workers in whisper, for 2024 we idea to proceed our exploration of digital leisure to extra develop and promote our discover merchandise and services and products.

First Quarter Overview

• Working revenues lowered by 16.7% in quarter-on-quarter comparability.
• Whereas loss from operations increased to $1.11 million from $0.65 million final quarter, web lack of $0.90 million represented a decrease of loss from web lack of $2.02 million final quarter, mainly attributable to obvious yr-discontinue evaluation in the outdated quarter for our investments.

Unaudited Consolidated Monetary Outcomes

GigaMedia Restricted is a various supplier of digital leisure services and products. GigaMedia’s digital leisure service industry FunTown develops and operates a suite of digital entertainments in Taiwan and Hong Kongwith focal level on mobile video games and informal video games. Unaudited consolidated outcomes of GigaMedia are summarized in the table under.

For the First Quarter

First-Quarter Monetary Outcomes

• Consolidated revenues for the first quarter of 2024 lowered by 16.7% quarter-on-quarter to $0.73 millionfrom $0.87 million in the fourth quarter of 2023, and by forty five.3% yr-over-yr from $1.32 million in the first quarter of 2023.
• Consolidated obnoxious income lowered to $0.35 million from $0.50 million in final quarter and lowered by 56.3% from $0.seventy nine million in the same quarter final yr.
• Consolidated working charges had been $1.46 million in the first quarter of 2024, roughly increased by 27.1% when when put next with prior quarter.
• Net loss for the first quarter of 2024 turn out to be once $0.90 millionwhich turn out to be once a decrease of loss from $2.02 million web loss final quarter.
• Money, cash equivalents and restricted cash on the first quarter-discontinue of 2024 amounted to $36.82 millionlowered by roughly $1.96 million from $38.78 million on the fourth quarter-discontinue of 2023.

Monetary Space

GigaMedia maintained its valid monetary procedure, with cash, cash equivalents and restricted cash amounting to $36.82 millionor roughly $3.33 per portion as of March 31, 2024.

Industrial Outlook

The next forward-attempting statements replicate GigaMedia’s expectations as of May 3, 2024. Given doable adjustments in financial prerequisites and user spending, the evolving nature of digital entertainments, and varied completely different probability factors, including these mentioned in the Firm’s 2023 Annual Document on Invent 20-F filed with the U.S. Securities and Replace Commission as referenced under, right outcomes can also merely fluctuate materially.

“Since unhurried 2023, we now dangle being re-examining mechanisms in our legacy informal video games and to reconstruct gamers’ ecosystem,” mentioned GigaMedia CEO James Huang. “Whereas the perform would make an effort to show veil, we predict about that can consequence in a extra fit obnoxious margin in the lengthy-bustle for our discover offerings.”

Meanwhile, our industry strategies constantly consist of expanding thru mergers and acquisitions. We can protect attempting for funding opportunities that dangle strategic capability to tempo up our development and give a rob to shareholders’ price.

Tell of Non-GAAP Measures

To supplement GigaMedia’s consolidated monetary statements offered in step with U.S. GAAP, the company uses the following measure defined as non-GAAP by the SEC: EBITDA. Administration believes that EBITDA (earnings sooner than ardour, taxes, depreciation, and amortization) is a significant supplemental measure of efficiency on myth of it excludes obvious non-cash items much like depreciation and amortization and that EBITDA is a measure of efficiency outmoded by some traders, equity analysts and others to manufacture advised funding selections. EBITDA is now not a identified earnings measure below GAAP and does now not dangle a standardized that intention. Non-GAAP measures much like EBITDA needs to be regarded as as well to outcomes ready in step with GAAP, nonetheless might perhaps presumably perhaps dangle to soundless now not be regarded as a substitute choice to, or superior to, completely different monetary measures ready in step with GAAP. A limitation of utilizing EBITDA is that it does now not consist of all items that influence the company’s web earnings for the duration. Reconciliations to the GAAP equivalents of the non-GAAP monetary measures are supplied on the hooked up unaudited monetary statements.

In regards to the Numbers in This Liberate

Quarterly outcomes

All quarterly outcomes referred to in the textual announce, tables and attachments to this release are unaudited. The monetary statements from which the monetary outcomes reported on this press release are derived had been ready in step with U.S. GAAP, except in every other case famed as “non-GAAP,” and are offered in U.S. dollars.

Q&A

For Q&A referring to the first quarter 2024 efficiency upon the release, traders can also merely ship the questions by email to [email protected]and the responses will doubtless be answered for my portion.

About GigaMedia

Headquartered in Taipei, TaiwanGigaMedia Restricted (Singapore registration number: 199905474H) is a various supplier of digital leisure services and products. GigaMedia’s digital leisure service industry develops and operates a suite of digital entertainments in Taiwan and Hong Kongwith focal level on browser/mobile video games and informal video games. Extra files on GigaMedia can also merely additionally be received from www.gigamedia.com.

The statements integrated above and in other locations on this press release which are doubtless to be now not historical in nature are “forward-attempting statements” in the heart of the that intention of the “safe harbor” provisions of the Non-public Securities Litigation Reform Act of 1995. These forward-attempting statements consist of statements referring to anticipated monetary efficiency (as described with out limitation in the “Industrial Outlook” portion and in quotations from management on this press release) and GigaMedia’s strategic and operational plans. These statements are in step with management’s contemporary expectations and are field to dangers and uncertainties and adjustments in circumstances. There are crucial factors that might perhaps presumably perhaps trigger right outcomes to fluctuate materially from these anticipated in the forward attempting statements, including nonetheless now not limited to, our capability to license, develop or develop extra online video games which are appealing to customers, our capability to retain existing online sport gamers and attract new gamers, and our capability to beginning out online video games in a timely manner and pursuant to our anticipated schedule. Further files on dangers or completely various factors that might perhaps presumably perhaps trigger outcomes to fluctuate is detailed in GigaMedia’s Annual Document on Invent 20-F filed in April 2024 and its completely different filings with the United States Securities and Replace Commission.

GIGAMEDIA LIMITED

CONSOLIDATED STATEMENTS OF OPERATIONS

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CONSOLIDATED BALANCE SHEETS

GIGAMEDIA LIMITED

Reconciliations of Non-GAAP Outcomes of Operations