Immersion Corporation Reports Results for Third Quarter and Nine Months Ended September 30, 2018
Q3 revenues of $8.6 million and Year to Date revenues of $100 million
Nine months operating expenses down 41% over same period last year
Strong cash, cash equivalents, and short-term investment position of $131 million
Interim CEO Tom Lacey highlights substantive and exciting opportunities ahead
SAN JOSE, Calif., November 1, 2018 -- Immersion Corporation (NASDAQ: IMMR), the leading developer and licensor of touch feedback technology, today reported financial results for the third quarter and nine months ended September 30, 2018.
Effective January 1, 2018, the company adopted a new revenue recognition standard ("ASC 606"), which impacted the company’s recognition of revenue from certain of its fixed-fee and per-unit license agreements. The company adopted ASC 606 using the modified retrospective method, which means that the total amount of revenue reported for third quarter 2017 has not been restated in the current financial statements. In the interest of comparability during the transition year to ASC 606, the company has provided revenue, net income and earnings per share information in accordance with both ASC 606 and revenue recognition rules in effect prior to the adoption of ASC 606 (“ASC 605”).
Third Quarter 2018 Financial Highlights
Total revenues for the third quarter of 2018 were $8.6 million. Royalty and license revenues for the third quarter of 2018 were $8.5 million.
Net loss for the third quarter of 2018 was $(4.6) million, or $(0.15) per diluted share.
Non-GAAP net loss for the third quarter of 2018 was $(2.2) million, or $(0.07) per share. (See attached table for a reconciliation of GAAP to non-GAAP financial measures.)
Nine Months Ended September 30, 2018 Financial Highlights
Total revenues for the nine months ended September 30, 2018 were $100.1 million. Royalty and license revenues for the nine months ended September 30, 2018 were $99.8 million.
Net income for the nine months ended September 30, 2018 was $57.5 million, or $1.83 per diluted share.
Non-GAAP net income for the nine months ended September 30, 2018 was $63.9 million, or $2.04 per share.
As of September 30, 2018, Immersion’s cash, cash equivalents and short-term investments were $130.5 million, compared to $136.7 million as of June 30, 2018 and $46.5 million as of December 31, 2017.
Management Commentary and Business Outlook
“I am happy to be on the board of Immersion and to be the interim CEO helping to get the company properly engaged and focused on the many substantive and exciting opportunities ahead,” said Tom Lacey, interim CEO. “I am very impressed with the strength of our innovation and intellectual property teams and underlying world class patent portfolio. Additionally, with a strong balance sheet, we are now well-positioned to capitalize on our leadership in haptics, and the strength and breadth of our technology and patent portfolio which is recognized world-wide across numerous and important markets.”
The following information was filed by Immersion Corp (IMMR) on Thursday, November 1, 2018 as an 8K 2.02 statement, which is an earnings press release pertaining to results of operations and financial condition. It may be helpful to assess the quality of management by comparing the information in the press release to the information in the accompanying 10-Q Quarterly Report statement of earnings and operation as management may choose to highlight particular information in the press release.