NeoMagic pushes ahead with new SoC strategy, posts $6.8 million loss

NeoMagic pushes ahead with new SoC strategy, posts $6.8 million loss
By Semiconductor Business News
November 15, 2001 (7:26 p.m. EST)
URL: http://www.eetimes.com/story/OEG20011115S0078

SANTA CLARA, Calif. -- NeoMagic Corp., the former graphics IC supplier that's now pursuing system-on-chip products for handheld devices, reported $83,000 in revenues and a net loss of $6.8 million in the company's fiscal third quarter, ended Oct. 31.

NeoMagic's revenues were 55% lower than $188,000 in fiscal Q2 and sharply lower than $3.9 million in the same period last year. In the first nine months of the current fiscal year, NeoMagic's revenues totaled just $351,000 compared to $74.7 million in the same period last year.

"During the quarter, we began providing sample parts and development boards to our customers," said Prakash Agarwal, president and CEO of the Santa Clara company. "We continued our progress in development and in market engagement efforts, not only promoting our first MiMagic system-on-chip products (see July 10 story], but also exploring market opport unities and developing plans for the next members in our SoC product family."

"We continue to emphasize fiscal discipline, with particular attention to protecting our cash position," he said. "We believe that in the current business climate, our strong balance sheet and high liquidity give us strength."

NeoMagic's cash and cash equivalents as well as its short-term investments and restricted cash totaled $94.1 million at the end of the fiscal third quarter, compared to $98.2 million at the end of prior quarter (see Aug. 17 story).