WiSA Shares Drop On 50% Revenue Decline In Q1; Margin Shrinks
- WiSA Technologies, Inc (NASDAQ:WISA) reported a first-quarter FY22 revenue decline of 50% year-on-year to $0.6 million, missing the consensus of $1.38 million.
- The gross margin contracted 1,500 bps Y/Y to 11%, impacted by lower sales volumes.
- WiSA held $9.1 million in cash and equivalents.
- "As we communicated in our Q4 2021 announcement, Q1 2022 revenue declined from Q4 2021 as supply chain issues worked their way through customers' end markets. Going forward, we expect Q2 2022 revenue to rebound from Q1 2022 and continue to anticipate substantial revenue growth for the full year," said Brett Moyer, CEO and Chair.
- WiSA looks to end Q2 with 24 issued patents or pending applications.
- Outlook: WiSA reiterated FY22 revenue growth of 30-50% year-over-year, representing $8.5 million - $9.8 million, versus the consensus of $9.3 million.
- Price Action: WISA shares traded lower by 19.1% at $0.76 in the premarket on the last check Wednesday.