Reports Preliminary Fourth Quarter Revenue of Approximately $3.9 Million
SAN JOSE, CA / ACCESSWIRE / February 16, 2023 / Peraso Inc. (NASDAQ:PRSO) ("Peraso" or the "Company"), a leader in mmWave technology for 60GHz unlicensed and 5G licensed networks, announced today that, in response to current market conditions, it has implemented cost reduction initiatives to reduce its operating losses and streamline its operations, as the Company further emphasizes shorter-term market opportunities.
Peraso expects to decrease its operating expenses by approximately $5.0 million on an annualized basis, primarily from lower headcount, including a reduction of employees and full-time-equivalent consulting positions, as well as targeted reductions in certain longer-term research and development projects.
"Over the last few years, Peraso has made significant investment to position itself as an industry leader with fully-integrated solutions across the mmWave spectrum," said Ron Glibbery, CEO of Peraso. "In the current economic environment, we are taking the necessary steps to conserve cash, optimize our allocation of resources and prioritize objectives that we believe will contribute to shortening the time to profitability. In addition to the headcount reductions, we are also deemphasizing development projects that have longer anticipated paths to achieving ROI as well as eliminating other non-essential operating expenses."
Fourth Quarter Preliminary Financial Results
As part of today's announcement, Peraso also provided preliminary fourth quarter 2022 revenue results of approximately $3.9 million, which compared to the Company's original guidance range of $3.8 million to $4.1 million. Additionally, the Company confirmed it has successfully collected approximately $1.5 million in payments from a large customer toward the $1.6 million in accounts receivable outstanding from this customer at September 30, 2022.
Glibbery concluded, "We are pleased with our preliminary revenue results for the fourth quarter, which would represent 18% sequential growth, and we also remain very optimistic about our current opportunity pipeline. Combined with a prudent and more efficient cost structure for navigating the current market conditions, we believe the Company is poised to drive continued growth and improved bottom-line results."
All financial amounts disclosed in this press release are preliminary and unaudited and subject to adjustment as part of the standard financial close process. Peraso will report its complete financial results for the fourth quarter and full year 2022 at the Company's upcoming earnings conference call, which is anticipated to be held in March 2023.
About Peraso Inc.
Peraso Inc. (NASDAQ: PRSO) is a pioneer in high-performance 60GHz unlicensed and 5G mmWave wireless technology, offering chipsets, modules, software and IP. Peraso supports a variety of applications, including fixed wireless access, immersive video and factory automation. In addition, Peraso's solutions for data and telecom networks focus on Accelerating Data Intelligence and Multi-Access Edge Computing, providing end-to-end solutions from the edge to the centralized core and into the cloud. For additional information, please visit www.perasoinc.com.
Forward-Looking Statements
This press release contains forward-looking statements 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 amended, which are intended to be covered by the "safe harbor" created by those sections. All statements in this release that are not based on historical fact are "forward-looking statements." These statements may be identified by words such as "estimates," "anticipates," "projects," "plans," "strategy," "goal," or "planned," "seeks," "may," "might", "will," "expects," "intends," "believes," "should," and similar expressions, or the negative versions thereof, and which also may be identified by their context. All statements that address availability, operating performance, anticipated use and advantages of the products of Peraso, that are not otherwise historical facts, are forward-looking statements.
Forward-looking statements are based on certain assumptions and expectations of future events that are subject to risks and uncertainties. Actual results and trends may differ materially from historical results or those projected in any such forward-looking statements depending on a variety of factors. These factors include, but are not limited to, our ability to implement the cost reduction initiatives, the impact of the cost reduction initiatives on Peraso's business and operations, including any possible disruption of Peraso's business, and the failure to realize the anticipated benefits of the cost reduction initiatives, the completion of our financial close process for the three months ended December 31, 2022, our customers' ability to successfully commercialize products that incorporate our technology, the availability and performance of Peraso's products, reliance on manufacturing partners to assist successfully with the fabrication of our ICs and modules, availability of quantities of ICs supplied by our manufacturing partners at a competitive cost, level of intellectual property protection provided by our patents, vigor and growth of markets served by our customers and our operations, and other risks. Peraso undertakes no obligation to update publicly any forward-looking statement for any reason, except as required by law, even as new information becomes available or other events occur in the future.
Peraso and the Peraso logo are registered trademarks of Peraso Inc. in the U.S. and/or other countries.
Investor Relations
Brett Perry
Shelton Group Investor Relations
+1-214-272-0070
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Company
Jim Sullivan
CFO
+1-408-418-7582
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SOURCE: Peraso, Inc.