Sign in

    Rick Neaton • Rivershore Investment Research

    Rick Neaton's questions to Quicklogic Corp (QUIK) leadership

    Rick Neaton's questions to Quicklogic Corp (QUIK) leadership • Q2 2025

    Question

    Rick Neaton of Rivershore Investment Research questioned the strategic decision to prioritize the SRH FPGA test chip and Australis 2.0 development over Q3 revenue, asking about the competitive positioning against major players, the potential ramp speed for the storefront business, the depth of customer engagement driving this shift, and whether the goal is to displace existing vendors or create a new market.

    Answer

    President and CEO Brian Faith explained that the decision was a strategic bet on a multi-hundred-million-dollar opportunity in the defense sector, driven by an accelerated need for onshore-fabricated, strategic rad-hard FPGAs. He confirmed deep engagement with large defense industrial base (DIB) customers whose requirements prompted the self-funded tape-out, the first in nearly a decade. Faith clarified that this initiative creates a new market category, offering an alternative to costly custom ASICs, rather than directly displacing existing offshore-manufactured FPGAs. He projected potential test chip revenue in early 2026, with volume production possible by early 2027.

    Ask Fintool Equity Research AI

    Rick Neaton's questions to Quicklogic Corp (QUIK) leadership • Q3 2024

    Question

    Rick Neaton of Rivershore Investment Research asked about the growth of the eFPGA IP business excluding the Strategic Rad Hard contract, sought an explanation for how the company can be non-GAAP profitable with negative cash flow, requested details on the Synopsys tool integration deal, and questioned what makes management's growth outlook for 2025 more confident than its outlook for 2024 was a year ago.

    Answer

    President and CEO Brian C. Faith stated that the non-Strategic Rad Hard eFPGA business is expected to be up over 50% year-over-year, demonstrating successful diversification. CFO Elias Nader explained that non-GAAP profitability with negative cash flow is possible due to strategic investments in R&D for Intel 18A and Synopsys tools, with the cash burn being minimal. Mr. Faith described the Synopsys deal as an OEM agreement to integrate Synplify into the Aurora tool suite, driven by demand from key defense customers. He expressed higher confidence for 2025 due to greater customer diversification, the competitive landscape change with Flex Logix, and having key contracts further along in the pipeline.

    Ask Fintool Equity Research AI