Summit Wireless Technologies increased revenue by 198% in Q3 2021 year-on-year
SAN JOSE, Calif .– (COMMERCIAL THREAD) – Summit Wireless Technologies, Inc. (Nasdaq: WISA), a leading provider of immersive and wireless sound technologies for smart devices and next-generation home entertainment systems, has provided an update for the third quarter ended September 30, 2021.
“This holiday season, our team is actively working to drive sales of the WiSA product category to consumers and national retailers,” said Brett Moyer, CEO, President and President of Summit Wireless Technologies. “We plan to exceed 2 million WiSA visitors to our websites, which further heightens awareness of the simplicity and high performance of WiSA in televisions and speakers. Seven national retailers are promoting the category as certified resellers with WiSA showcases. Using our analytics, we targeted retail campaigns that matched WiSA consumers with retailers offering promotions on speaker systems, TVs, and TV and speaker sets offering consumers with true spatial surround sound that a sound bar cannot provide. We are actively investing in our new strategic marketing team, in our expanded online storefront initiative, and in engineering next-generation technology that we hope will strengthen our leadership in the spatial surround sound market.
Q3 2021 Financial Highlights
Revenue increased 198% to $ 1.8 million, compared to $ 0.6 million in the third quarter of 2020.
The gross margin stood at 28.0%, compared to 17.1% in the third quarter of 2020.
Operating expenses were $ 3.4 million, including $ 0.4 million of non-cash charges, compared to $ 3.1 million, including $ 0.7 million non-cash charges, in the third quarter of 2020.
The net loss was $ 2.1 million, including a benefit of $ 0.9 million related to the cancellation of the Paycheck Protection Program loan, compared to $ 3.0 million in the third quarter of 2020.
Cash and cash equivalents were $ 16.1 million as at September 30, 2021, compared to $ 7.4 million as at December 31, 2020.
Forecast update for the year 2021
Revenue is now expected to be between $ 6.3 million and $ 6.5 million, an increase of at least 160% from $ 2.4 million for 2020. Component shortages among customers have increased. required some customer product redesigns, resulting in a rescheduling associated with approximately $ 0.5 million in Summit Wireless revenue. .
Gross margin is now expected to be between 28.0% and 30.0%, an improvement of 1,000 basis points or more from 18% for 2020.
Operating expenses are now expected to be approximately $ 13.4 million, including approximately $ 1.4 million of non-cash charges.
Cash and cash equivalents as of December 31, 2021 are now expected to be approximately $ 13 million, compared to $ 7.4 million as of December 31, 2020.
Third Quarter 2021 Operational Highlights
Engaged with seven national retailers to operate WiSA’s online storefronts: Amazon, B&H Photo, Beach Camera, BuyDig, Electronic Express, Focus Camera and Walts TV and Appliance.
Hired old HDMI executives to increase traction and monetize the WiSA standard.
Awarded “Best Home Theater System” by Rolling stone for Platinum Milan 5.1.
Launch of many products and designs, such as:
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About Summit Wireless Technologies, Inc.
Summit Wireless Technologies, Inc. (NASDAQ: WISA) is a leading provider of immersive and wireless sound technologies for next-generation smart devices and home entertainment systems. Together with leading CE brands and manufacturers such as Harman International, a division of Samsung, LG Electronics, Klipsch, Bang & Olufsen, Xbox, a subsidiary of Microsoft and others, Summit Wireless provides smooth and dynamic audio experiences for the high definition content including movies & videos, music, sports, games / esports, and more. Summit Wireless is a founding member of WiSA, the Wireless Speaker and Audio Association, and works in a joint partnership to champion the most reliable interoperability standard in the audio industry. Summit Wireless is headquartered in San Jose, California, with sales teams in Taiwan, China, Japan, and Korea. For more information, please visit: www.summitwireless.com.
About WiSA, LLC
WiSA®, the Wireless Speaker and Audio Association, is a consumer electronics consortium dedicated to creating an interoperability standard used by leading brands and manufacturers to deliver immersive sound through smart devices. WiSA Certified ™ components from any member brand can be combined to dramatically increase the enjoyment of movies and videos, music, sports, games / esports, and more. WiSA also combines rugged, high-definition, multi-channel, low-latency surround sound with the simple setup of a soundbar. For more information on WiSA, please visit: www.wisaassociation.org.
© 2021 Summit Wireless Technologies, Inc. All rights reserved. Summit Wireless Technologies and the Summit Wireless logo are trademarks of Summit Wireless Technologies, Inc. The WiSA logo, WiSA, WiSA Ready, and WiSA Certified are trademarks or certification marks of WiSA LLC. Trade names, trademarks and product names of third parties are the intellectual property of their respective owners and product names are the intellectual property of their respective owners.
Safe Harbor Declaration
This press release contains forward-looking statements, which are not historical facts within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as ‘fine. Our actual results, performance or achievements may differ materially from those expressed or implied by these forward-looking statements. In some cases, you can identify forward-looking statements by using words such as “may”, “could”, “expect”, “intend”, “plan”, “seek”, “anticipate” , “Believe”, “estimate”, “predict”, “potential”, “continue”, “,,” “,”]These forward-looking statements are necessarily based on estimates and assumptions which, although considered reasonable by us and our direction, are inherently uncertain. Therefore, readers are cautioned not to place undue reliance on these forward-looking statements. Actual results may differ materially from those shown in these forward-looking statements due to the risks and uncertainties affecting the business of Summit Wireless, including the current macroeconomic uncertainties associated with the COVID-19 pandemic, our inability to predict or measure the supply chain disruptions resulting from the COVID-19 pandemic and other factors, our ability to predict when winning designs go into production and the potential future revenue associated with our winning designs; our rate of growth; our ability to forecast customer demand for our existing and future products and to ensure adequate manufacturing capacity; consumer demand conditions affecting our customers’ end markets; our ability to hire, retain and motivate employees; the effects of competition, including price competition; technological, regulatory and legal developments; economic and financial market developments and other risks detailed from time to time in documents filed by Summit Wireless with the Securities and Exchange Commission.