Impinj, Inc. (NASDAQ: PI), a leading RAIN RFID provider and
Internet of Things pioneer, today released its financial results
for the first quarter ended March 31, 2022.
“Our first-quarter results were strong, with demand for our
endpoint ICs, reader ICs, readers and gateways all showing
extraordinary strength,” said Chris Diorio, Impinj co-founder and
CEO. “We delivered record revenue and solid profitability while
investing in our team, company and platform.”
First Quarter 2022 Financial Summary
- Revenue of $53.1 million
- GAAP gross margin of 54.2%; non-GAAP gross margin of 57.0%
- GAAP net loss of $10.5 million, or loss of $(0.42) per diluted
share using 25.0 million shares
- Adjusted EBITDA of 3.5 million
- Non-GAAP net income of 2.4 million, or income of $0.09 per
diluted share using 27.0 million shares
A reconciliation between GAAP and non-GAAP information is
contained in the tables below. Additionally, descriptions of these
non-GAAP financial measures are provided in the “Non-GAAP Financial
Measures” sections below.
Second Quarter 2022 Financial Outlook
Impinj provides guidance based on current market conditions and
expectations; actual results may differ materially. Please refer to
the comments below regarding forward-looking statements. The
following table presents Impinj’s financial outlook for the second
quarter 2022 (in millions,
except per share data):
Three Months Ending
June 30, 2022
Revenue
$54.0 to $56.0
GAAP Net loss
($13.5) to ($12.0)
Adjusted EBITDA income (loss)
$0.1 to $1.6
GAAP Weighted-average shares — basic and
diluted
25.30 to 25.50
GAAP Net loss per share — basic and
diluted
($0.54 ) to ($0.47 )
Non-GAAP net income (loss)
($1.1 ) to $0.4
Non-GAAP Weighted-average shares —
basic
25.30 to 25.50
Non-GAAP Weighted-average shares —
diluted
25.30 to 27.20
Non-GAAP Net income (loss) per share —
basic and diluted
($0.05) to $0.01
A reconciliation between GAAP and non-GAAP is provided in the
"Non-GAAP Financial Measures" section below.
Conference Call Information
Impinj will host a conference call today, April 27, 2022 at 5:00
p.m. ET / 2:00 p.m. PT to discuss its first quarter 2022 results,
as well as its outlook for its second quarter 2022. Interested
parties may access the call by dialing +1-412-317-5196. A live
webcast and replay will also be available on the company’s website
at investor.impinj.com. Following the call, a telephonic replay
will be available for five business days and may be accessed by
dialing +1-412-317-0088 and entering passcode 4398646.
Management’s prepared written remarks, along with quarterly
financial data, will be made available on our website at
investor.impinj.com along with this release.
Forward-Looking Statements
This release contains forward-looking statements within the
meaning of Section 27A of the Securities Act of 1933 and Section
21E of the Securities Exchange Act of 1934 and the Private
Securities Litigation Reform Act of 1995. These forward-looking
statements include statements regarding the market for RAIN RFID,
our strategy, our prospects, the impact of Covid-19, the impact of
silicon wafer availability and supply, and financial considerations
for second quarter of 2022 and future periods.
Forward-looking statements are subject to known and unknown
risks and uncertainties and are based on potentially inaccurate
assumptions that could cause actual results to differ materially
from those expected or implied by the forward-looking statements.
Actual results may differ materially from the results predicted and
reported results should not be considered as an indication of
future performance.
The potential risks and uncertainties that could cause actual
results to differ from the results predicted include, among others,
those risks and uncertainties included under the caption "Risk
Factors" and elsewhere in our annual report on Form 10-K and
quarterly reports on Form 10-Q filed with the U.S. Securities and
Exchange Commission. All information provided in this release and
in the attachments is as of the date hereof, and we undertake no
duty to update this information unless required by law.
About Impinj
Impinj (NASDAQ: PI) helps businesses and people analyze,
optimize, and innovate by wirelessly connecting billions of
everyday things — such as apparel, automobile parts, luggage, and
shipments — to the Internet. The Impinj platform uses RAIN RFID to
deliver timely data about these everyday things to business and
consumer applications, enabling a boundless Internet of Things.
www.impinj.com
Impinj is a registered trademark of Impinj, Inc. All other
trademarks are the property of their owners.
IMPINJ, INC.
CONDENSED CONSOLIDATED BALANCE
SHEETS
(in thousands, except par
value, unaudited)
March 31, 2022 (1)
December 31, 2021 (1)
Assets:
Current assets:
Cash and cash equivalents
$
63,543
$
123,903
Short-term investments
101,724
69,443
Accounts receivable, net
38,533
35,449
Inventory
31,561
21,958
Prepaid expenses and other current
assets
7,195
5,049
Total current assets
242,556
255,802
Long-term investments
28,144
14,225
Property and equipment, net
29,133
27,500
Operating lease right-of-use assets
10,863
11,667
Other non-current assets
2,365
2,462
Goodwill
3,881
3,881
Total assets
$
316,942
$
315,537
Liabilities and stockholders'
equity:
Current liabilities:
Accounts payable
$
9,103
$
11,732
Accrued compensation and employee related
benefits
4,590
6,365
Accrued and other current liabilities
3,878
2,481
Current portion of operating lease
liabilities
3,967
4,143
Restructuring liabilities
554
591
Current portion of long-term debt
9,643
9,633
Current portion of deferred revenue
907
558
Total current liabilities
32,642
35,503
Long-term debt, net of current portion
279,054
278,661
Operating lease liabilities, net of
current portion
11,102
11,934
Other long-term liabilities
113
279
Deferred revenue, net of current
portion
320
236
Total liabilities
323,231
326,613
Stockholders' equity:
Common stock, $0.001 par value
25
25
Additional paid-in capital
367,347
351,422
Accumulated other comprehensive (loss)
income
(716
)
(39
)
Accumulated deficit
(372,945
)
(362,484
)
Total stockholders' equity
(6,289
)
(11,076
)
Total liabilities and stockholders'
equity
$
316,942
$
315,537
(1) We adopted ASU 2020-06 on January 1,
2021 using modified retrospective transition method and accounted
for our convertible notes due 2026, or the 2019 Notes, on a
whole-instrument basis. Upon adoption, we no longer had unamortized
debt discount related to the equity component of the 2019 Notes.
The condensed consolidated financial statements under both periods
are presented under ASU 2020-06.
IMPINJ, INC.
CONDENSED CONSOLIDATED
STATEMENTS OF OPERATIONS
(in thousands, except per
share data, unaudited)
Three Months Ended
March 31,
2022
2021
Revenue
$
53,144
$
45,248
Cost of revenue
24,365
23,267
Gross profit
28,779
21,981
Operating expenses:
Research and development
17,989
13,791
Sales and marketing
9,299
7,645
General and administrative
10,806
8,154
Restructuring costs
—
1,263
Total operating expenses
38,094
30,853
Loss from operations
(9,315
)
(8,872
)
Other income, net
164
23
Interest expense
(1,261
)
(525
)
Loss before income taxes
(10,412
)
(9,374
)
Income tax expense
(49
)
(42
)
Net loss
$
(10,461
)
$
(9,416
)
Net loss per share — basic and diluted
$
(0.42
)
$
(0.40
)
Weighted-average shares — basic and
diluted
24,980
23,671
IMPINJ, INC.
CONDENSED CONSOLIDATED
STATEMENTS OF CASH FLOWS
(in thousands,
unaudited)
Three Months Ended
March 31,
2022
2021
Operating activities:
Net loss
$
(10,461
)
$
(9,416
)
Adjustments to reconcile net loss to net
cash provided by operating activities:
Depreciation
1,508
1,040
Stock-based compensation
11,314
7,449
Accretion of discount or amortization of
premium on investments
301
218
Amortization of debt issuance costs
403
94
Changes in operating assets and
liabilities:
Accounts receivable
(3,084
)
1,498
Inventory
(9,603
)
8,262
Prepaid expenses and other assets
(2,142
)
880
Accounts payable
(2,768
)
(2,137
)
Accrued compensation and employee related
benefits
(1,775
)
345
Accrued and other liabilities
1,279
722
Operating lease right-of-use assets
804
723
Operating lease liabilities
(1,008
)
(911
)
Restructuring liabilities
(37
)
1,235
Deferred revenue
433
(633
)
Net cash provided by (used in) operating
activities
(14,836
)
9,369
Investing activities:
Purchases of investments
(67,085
)
(12,333
)
Proceeds from maturities of
investments
20,000
25,000
Purchases of property and equipment
(3,050
)
(4,398
)
Net cash provided by (used in) investing
activities
(50,135
)
8,269
Financing activities:
Principal payments on finance lease
obligations
—
(2
)
Proceeds from exercise of stock options
and employee stock purchase plan
4,611
8,524
Net cash provided by financing
activities
4,611
8,522
Net increase (decrease) in cash and cash
equivalents
(60,360
)
26,160
Cash and cash equivalents
Beginning of period
123,903
23,636
End of period
$
63,543
$
49,796
Non-GAAP Financial Measures
To supplement our condensed consolidated financial statements
prepared and presented in accordance with U.S. generally accepted
accounting principles, or GAAP, our key non-GAAP performance
measures include adjusted EBITDA and non-GAAP net income (loss), as
defined below. We use adjusted EBITDA and non-GAAP net income
(loss) as key measures to understand and evaluate our core
operating performance and trends, to prepare and approve our annual
budget and to develop short- and long-term operating plans. We
believe these measures provide useful information for
period-to-period comparisons of our business to allow investors and
others to understand and evaluate our operating results in the same
manner as our management and board of directors. Our presentation
of these non-GAAP financial measures is not meant to be considered
in isolation or as a substitute for our financial results prepared
in accordance with GAAP, and our non-GAAP measures may be different
from similarly termed non-GAAP measures used by other
companies.
Adjusted EBITDA
We define adjusted EBITDA as net income (loss) determined in
accordance with GAAP, excluding, if applicable for the periods
presented, the effects of stock-based compensation; depreciation;
investigation costs; restructuring costs; settlement and related
costs; other income, net; interest expense; loss on debt
extinguishment; and income tax benefit (expense).
Non-GAAP Net Income (Loss)
We define non-GAAP net income (loss) as net income (loss),
excluding, if applicable for the periods presented, the effects of
stock-based compensation; depreciation; investigation costs;
restructuring costs; settlement and related costs; amortization of
debt discount related to the equity component of our convertible
notes prior to the adoption of ASU 2020-06; and prepayment penalty
on debt extinguishment.
On January 1, 2021, we adopted ASU 2020-06 using the modified
retrospective transition method, accounting for the 2019 Notes on a
whole-instrument basis. Upon adoption, the condensed consolidated
financial statements for the three months ended March 31, 2022 and
March 31, 2021, are presented under the new standard and we no
longer recorded amortization of debt discount.
IMPINJ, INC.
RECONCILIATIONS OF GAAP
FINANCIAL MEASURES TO NON-GAAP FINANCIAL MEASURES
(in thousands, except
percentages, unaudited)
Three Months Ended
March 31,
2022
2021
GAAP Gross margin
54.2
%
48.6
%
Adjustments:
Depreciation
1.7
%
1.1
%
Stock-based compensation
1.1
%
0.6
%
Non-GAAP Gross margin
57.0
%
50.3
%
GAAP Net loss
$
(10,461
)
$
(9,416
)
Adjustments:
Depreciation
1,508
1,040
Stock-based compensation
11,314
7,449
Other income, net
(164
)
(23
)
Interest expense
1,261
525
Income tax expense
49
42
Restructuring costs
—
1,263
Adjusted EBITDA
$
3,507
$
880
GAAP Net loss
$
(10,461
)
$
(9,416
)
Adjustments:
Depreciation
1,508
1,040
Stock-based compensation
11,314
7,449
Restructuring costs
—
1,263
Non-GAAP Net income
$
2,361
$
336
Non-GAAP Net income per share:
Basic
$
0.09
$
0.01
Diluted
$
0.09
$
0.01
GAAP and non-GAAP Weighted-average shares
— basic
24,980
23,671
GAAP Weighted-average shares — diluted
24,980
23,671
Dilutive shares from stock plans
2,001
1,983
Non-GAAP Weighted-average shares —
diluted
26,981
25,654
IMPINJ, INC.
RECONCILIATIONS OF GAAP
FINANCIAL OUTLOOK TO NON-GAAP FINANCIAL OUTLOOK
(in thousands, except per
share data, unaudited – calculated at the midpoint of the outlook
range)
Three Months Ending
June 30,
2022
GAAP Net loss
$
(12,790
)
Adjustments:
Forecasted Depreciation
1,620
Forecasted Stock-based compensation
10,750
Forecasted Interest expense
1,260
Forecasted Other income, net
(30
)
Forecasted Income tax expense
30
Adjusted EBITDA
$
840
GAAP Net loss
$
(12,790
)
Adjustments:
Forecasted Depreciation
1,620
Forecasted Stock-based compensation
10,750
Non-GAAP Net loss
$
(420
)
GAAP Net loss per share — basic and
diluted
$
(0.50
)
Non-GAAP Net loss per share — basic and
diluted
$
(0.02
)
GAAP and Non-GAAP weighted-average shares
— basic and diluted
25,400
View source
version on businesswire.com: https://www.businesswire.com/news/home/20220427005870/en/
Investor Relations Andy Cobb, CFA Vice President, Strategic
Finance +1-206-315-4470 ir@impinj.com
Media Relations Jill West Vice President, Strategic
Communications +1 206-834-1110 jwest@impinj.com
Impinj (NASDAQ:PI)
Historical Stock Chart
From Jun 2024 to Jul 2024
Impinj (NASDAQ:PI)
Historical Stock Chart
From Jul 2023 to Jul 2024