10 May 2010


Kopin’s III-V revenue more than doubles year-on-year in Q1

For first-quarter 2010, Kopin Corp of Taunton, MA, USA has reported revenue of $25.4m, down 23% on $33m last quarter but up 18.5% on $21.5m a year ago. Revenue for CyberDisplays was $10.9m, down on $ 18m last quarter and $14.6m a year ago. However, revenue for the III-V product family was $14.5m, down only 3% on $15m last quarter and up 110% on $6.9m a year ago.

“Revenue from our III-V product family more than doubled year-over-year, reflecting strong growth trends in mobile connectivity and smart-phone proliferation,” says president & CEO Dr John C.C. Fan. “Consumer and professional users alike are looking for greater functionality, higher speeds and lower power consumption,” he adds. “Our proprietary gallium arsenide-based heterojunction bipolar transistor (HBT) technology is core to our product portfolio and is strategic to the competitiveness of our integrated circuit customers.” In particular, the performance of the HBT technology plays a leading role in the growth of advanced 3G devices, which require up to three times more wafer content than conventional handsets, the firm says.

Net income of $1m ($0.02 per diluted share) was down on $1.9m ($0.03 per diluted share) a year ago and $5.3m ($0.08 per diluted share) last quarter. Nevertheless, with no debt, cash and marketable securities rose $4.5m during the quarter to $119m.

To enhance its III-V technology and new product development efforts, Kopin recently hired Dr Wayne Johnson as director of New Business & Product Development and at its Taiwan subsidiary KTC it hired Dr Patrick Chin as VP of technology. “Operationally, we are beginning to realize the benefits of our strategic investments in six-inch wafer fabrication equipment,” says Fan. “In addition, we are planning to further expand our III-V capacity and capability for 2011 in response to the increasing market demand for our products,” he adds.

“We began 2010 with solid financial performance reflecting the competitiveness of our technology, the strength of our end markets and the discipline of our operations,” Fan said. “Kopin is strategically well positioned to benefit from a number of key technology themes, including mobile connectivity and smart-phone adoption as well as micro-display and 3D capability. Each of these is critical to improving and extending the concept of the mobile Internet,” he adds. “Our technology-focused company, supported by 200-plus issued and pending patents, is well-positioned to advance each of these related trends.”

Kopin says that it remains on pace to achieve its full-year 2010 revenue guidance of $120-130m (up 5-13% on 2009’s $114.7m).

See related items:

Kopin reports record Q4 revenue, up 13% year-on-year

Kopin’s III-V revenues rise 37%, driven by smartphones/3G

Kopin invests in Taiwan foundry as GaAs demand returns

Kopin’s III-V revenues fall 37%, but margin boosted by military displays

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