SemiLEDs Reports $547K Loss with Revenue of $1.3 Million

SemiLEDs Corporation reports a GAAP net loss of $547K for Q1 2025. With revenue at $1.3 million and a gross margin of 21%, the outlook appears challenging for investors.

Date: 10-01-2025

AI Rating: 4

Financial Performance Overview: SemiLEDs Corporation (LEDS) reported a GAAP net loss of $547 thousand for the first quarter of fiscal 2025, translating to a loss of $0.08 per share. This indicates a concerning start for the fiscal year, highlighting financial challenges the company is facing.

Revenue Analysis: The company generated revenue of $1.3 million, which suggests limited growth and potential difficulties in capturing market share in a competitive environment. Revenue levels, combined with the reported loss, raise flags about the company's operational efficiency and market penetration.

Profit Margins: SemiLEDs reported a GAAP gross margin of 21%. While this is a positive indicator to some extent, the operating margin was alarmingly negative at 52%. This suggests that the company is incurring substantial operating losses, which could raise concerns among investors about sustainability and overall financial health.

Cash Position: The company held $1.2 million in cash and cash equivalents at the end of the reporting period. Given the ongoing losses and operational challenges, this cash reserve may not be sufficient to cover future expenses without a significant change in revenue generation or operational efficiency.

Stocks: LEDS