EMCORE Corporation (EMKR) has seen an increase of 7.19% in aftermarket following the announcement of fourth-quarter results in 2021. However, the last trading session closed at $7.37 with a decrease of 2.25%.
Fiscal 2021 Fourth Quarter Results by EMKR – What’s going on?
EMKR reported fourth-quarter 2021 results on 30th November 2021. According to the report, the Aerospace and Defense (A&D) section brought in $11.7 million, while the Broadband segment brought in $32.2 million. Moreover, the GAAP and non-GAAP net income were $5.1 million and $6.8 million, respectively. The adjusted EBITDA came in at $7.8 million. Furthermore, the A&D sector contributed $50.8 million to consolidated revenue in FY21, while the Broadband segment contributed $107.6 million. Lastly, the net income was $25.6 million and $24.0 million, respectively.
How was EMKR’s quarter?
Despite challenges from semiconductor shortages and supply chain issues, EMKR achieved record financial results in the fiscal fourth quarter and for the entire fiscal year 2021. In addition, the operating leverage in the company was demonstrated by significant growth from Broadband customers. Revenue increased 44 percent in FY21, gross margin increased to 39 percent, and net income was 16 percent of revenue.
While the global pandemic had an impact on the A&D performance in FY21, the company achieved significant progress in the development and integration of new navigation products, as well as expanding the sales and marketing team. Lastly, EMKR predicts strong growth from this category in FY22, now that the A&D clients are recovering to more typical working situations.
Early Success with Initial Shipments to the U.S. – What’s Next?
On 28th October 2021, EMKR announced that SDI170 MEMS (Micro-Electromechanical Systems) Tactical Grade Inertial Measurement Unit (IMU) has entered the world of success. The SDI170 IMU has received a lot of excellent feedback from customers.
All of the SDI170’s metrics are within the SDI170’s specification range. Moreover, the company has discovered that the interfaces on the SDI170 are identical to those on the HG1700. In addition, the company is able to use the HG1700’s mechanical connectors, cabling, and data collecting software straight out of the box in the experiments.
So, what?
The company is happy that its customers have indicated that the SDI170 production units have satisfied all of their requirements. EMKR has also completed a thorough internal DVT (Design Verification Testing) of the SDI170 before its release in April 2021. This is done to certify compatibility to substitute legacy goods and meet standards.
