Goleta-based Resonant reports net losses grew in 2016
Net losses widened in 2016 for mobile device filter designer Resonant, based in Goleta, from $9.72 million in 2015 to $15.25 million, the company announced March 30.
Resonant brought in $302,000 in revenues for the year, compared to none in 2015, but total operating expenses grew 60 percent year-over-year to $15.59 million. Net losses per diluted share were $1.57, up from $1.36.
Research and development costs grew 50 percent, from $4.31 million in 2015 to $6.44 million in 2016, and general and administrative expenses rose 71 percent from $4.94 million to $8.45.
The year marked a shift from development toward customer engagement and speedy revenue generation, CEO George Holmes said in the earnings announcement.
“While we started 2016 with zero active customers, MOUs or licensing agreements, we finished the year strongly with six customers and over 25 sockets under development, a majority of which are under formal licensing agreements that include upfront, non-refundable payments and negotiated royalty rates,” Holmes said. “It’s also worth noting that many of these new designs are in fact extensions of contracts with existing customers who know our company and technology intimately.”
The company had cash and cash equivalents of $5.08 million as of Dec. 31, double that of the prior year, with current liabilities of $3 million. The stock ended the day at $4.86, up 2.5 percent, with nearly 9.7 million basic and diluted shares outstanding.
“Throughout 2016 and into 2017, Resonant has demonstrated that it can execute against its strategic plan and retire risk,” said Brett Conrad, managing partner of Longboard Capital, an early investor that increased its stake in Resonant in February. “We look forward to their continued execution as they transition their customers from development partners into royalty revenue generators in the second half of the year.”
• Contact Marissa Nall at [email protected].
