EX-99.1 2 exhibit991-historicalfin.htm EX-99.1 exhibit991-historicalfin
6/4/24 Silvaco Group, Inc. Financial Results 1 Silvaco Group, Inc. (Nasdaq: SVCO) Financial Metrics ($ in '000s, except Per Share Data and Headcount) Unaudited See Note 1 GAAP Financial Metrics Q1 2022 Q2 2022 Q3 2022 Q4 2022 Q1 2023 Q2 2023 Q3 2023 Q4 2023 FY21 FY22 FY23 Revenue 13,551$ 11,375$ 11,747$ 9,801$ 14,291$ 12,525$ 14,944$ 12,486$ 41,963$ 46,474$ 54,246$ YoY Change % 5% 10% 27% 27% 4% 11% 17% GAAP Gross Profit 11,385$ 9,169$ 9,352$ 7,681$ 12,266$ 10,152$ 12,670$ 9,804$ 33,310$ 37,587$ 44,892$ GAAP Gross Margin 84% 81% 80% 78% 86% 81% 85% 79% 79% 81% 83% GAAP Operating Expenses 10,026$ 9,813$ 10,489$ 9,132$ 10,733$ 10,357$ 10,928$ 11,740$ 36,846$ 39,460$ 43,758$ GAAP Operating Expenses % of Sales 74% 86% 89% 93% 75% 83% 73% 94% 88% 85% 81% GAAP Operating Income (Loss) 1,359$ (644)$ (1,137)$ (1,451)$ 1,533$ (205)$ 1,742$ (1,936)$ (3,536)$ (1,873)$ 1,134$ GAAP Operating Margin 10% (6%) (10%) (15%) 11% (2%) 12% (16%) (8%) (4%) 2% GAAP Net Income (Loss) 162$ (973)$ (465)$ (2,652)$ 814$ (331)$ 1,448$ (2,247)$ (1,845)$ (3,928)$ (316)$ GAAP Net Income (Loss) Margin 1% (9%) (4%) (27%) 6% (3%) 10% (18%) (4%) (8%) (1%) GAAP Earnings Per Share 0.01$ (0.05)$ (0.02)$ (0.13)$ 0.04$ (0.02)$ 0.07$ (0.11)$ (0.09)$ (0.20)$ (0.02)$ Shares Diluted (See Note 3) 20,000 20,000 20,000 20,000 20,000 20,000 20,000 20,000 20,000 20,000 20,000 Net Cash (Used In) Provided By Operating Activities (2,473)$ (152)$ (772)$ 1,300$ 501$ 1,665$ (1,835)$ 849$ (2,636)$ (2,097)$ 1,180$ Unaudited Unaudited Non-GAAP Financial Metrics (See Note 2) Q1 2022 Q2 2022 Q3 2022 Q4 2022 Q1 2023 Q2 2023 Q3 2023 Q4 2023 FY21 FY22 FY23 Non-GAAP Gross Profit 11,385$ 9,169$ 9,352$ 7,681$ 12,266$ 10,152$ 12,670$ 9,804$ 33,310$ 37,587$ 44,892$ Non-GAAP Gross Margin 84% 81% 80% 78% 86% 81% 85% 79% 79% 81% 83% Non-GAAP Operating Expenses 8,985$ 9,367$ 8,834$ 8,106$ 10,128$ 9,339$ 9,926$ 11,098$ 34,610$ 35,292$ 40,491$ Non-GAAP Operating Expenses % of Sales 66% 82% 75% 83% 71% 75% 66% 89% 82% 76% 75% Non-GAAP Operating Income (Loss) 2,400$ (198)$ 518$ (425)$ 2,138$ 813$ 2,744$ (1,294)$ (1,300)$ 2,295$ 4,401$ Non-GAAP Operating Margin 18% (2%) 4% (4%) 15% 6% 18% (10%) (3%) 5% 8% Non-GAAP Net Income (Loss) 1,869$ (502)$ 424$ (1,374)$ 1,919$ 839$ 2,326$ (1,642)$ (1,685)$ 417$ 3,442$ Non-GAAP Net Income (Loss) Margin 14% (4%) 4% (14%) 13% 7% 16% (13%) (4%) 1% 6% Non-GAAP Earnings Per Share 0.09$ (0.03)$ 0.02$ (0.07)$ 0.10$ 0.04$ 0.12$ (0.08)$ (0.08)$ 0.02$ 0.17$ Non-GAAP Shares Diluted (See Note 3) 20,000 20,000 20,000 20,000 20,000 20,000 20,000 20,000 20,000 20,000 20,000 Free Cash Flow (2,473)$ (156)$ (832)$ 1,275$ 324$ 1,640$ (1,848)$ 725$ (2,735)$ (2,186)$ 841$ Headcount 270 251 267 Note 1: Annual figures derived from audited consolidated financial statements which are available in our Form S-1 and draft Form S1 filings at SEC.GOV. Note 2: The non-GAAP measures presented should not be considered a substitute for the financial results and measures determined or calculated in accordance with GAAP. See Appendix I for more information and a reconciliation of GAAP to Non-GAAP Financials Measures. Note 3: On April 29, 2024, the Company effected a 1-for-2 reverse split of its common stock. All of the outstanding equity amounts have been adjusted, on a retroactive basis, to reflect this 1-for-2 reverse stock split for all periods presented. On May 13, 2024, the Company completed the sale of an aggregate of 6,000,000 shares of Common Stock to the public in the IPO.


 
6/4/24 Silvaco Group, Inc. Financial Results 2 Silvaco Group, Inc. (Nasdaq: SVCO) Supplemental Sales Information ($ in '000s) Unaudited See Note 1 Revenue by Item Category Q1 2022 Q2 2022 Q3 2022 Q4 2022 Q1 2023 Q2 2023 Q3 2023 Q4 2023 FY21 FY22 FY23 Software License 10,803$ 7,882$ 9,261$ 6,465$ 10,665$ 8,845$ 11,083$ 8,738$ 29,687$ 34,411$ 39,331$ YoY Change % (1%) 12% 20% 35% 7% 16% 14% Maintenance and Service 2,748$ 3,493$ 2,486$ 3,336$ 3,626$ 3,680$ 3,861$ 3,748$ 12,276$ 12,063$ 14,915$ YoY Change % 32% 5% 55% 12% (1%) (2%) 24% Total Revenue 13,551$ 11,375$ 11,747$ 9,801$ 14,291$ 12,525$ 14,944$ 12,486$ 41,963$ 46,474$ 54,246$ YoY Change % 5% 10% 27% 27% 4% 11% 17% Unaudited Unaudited Revenue by Product Line Q1 2022 Q2 2022 Q3 2022 Q4 2022 Q1 2023 Q2 2023 Q3 2023 Q4 2023 FY21 FY22 FY23 TCAD 7,526$ 6,534$ 7,701$ 5,153$ 8,773$ 7,780$ 7,876$ 7,725$ 24,162$ 26,914$ 32,154$ % of Total Revenue 56% 57% 66% 53% 61% 62% 53% 62% 58% 58% 59% YoY Change % 17% 19% 2% 50% 16% 11% 19% EDA 3,577$ 2,833$ 2,328$ 2,402$ 4,185$ 2,489$ 4,579$ 2,708$ 11,795$ 11,140$ 13,961$ % of Total Revenue 26% 25% 20% 25% 29% 20% 31% 22% 28% 24% 26% YoY Change % 17% (12%) 97% 13% 1% (6%) 25% IP 2,448$ 2,008$ 1,718$ 2,246$ 1,333$ 2,256$ 2,489$ 2,053$ 6,006$ 8,420$ 8,131$ % of Total Revenue 18% 18% 15% 23% 9% 18% 17% 16% 14% 18% 15% YoY Change % (46%) 12% 45% (9%) (24%) 40% (3%) Total Revenue 13,551$ 11,375$ 11,747$ 9,801$ 14,291$ 12,525$ 14,944$ 12,486$ 41,963$ 46,474$ 54,246$ YoY Change % 5% 10% 27% 27% 4% 11% 17% Unaudited Unaudited Revenue by Geography Q1 2022 Q2 2022 Q3 2022 Q4 2022 Q1 2023 Q2 2023 Q3 2023 Q4 2023 FY21 FY22 FY23 United States 3,235$ 3,338$ 5,383$ 2,932$ 4,865$ 3,538$ 4,258$ 3,553$ 11,420$ 14,888$ 16,214$ China 2,579 2,305 2,269 3,532 2,680 3,616 2,467 3,647 7,680 10,685 12,410 Japan 1,650 2,975 1,287 1,376 2,310 1,732 1,768 1,746 11,000 7,288 7,556 Korea 2,452 677 665 378 1,178 1,408 3,807 1,112 2,228 4,172 7,505 All other countries 3,635 2,080 2,143 1,583 3,258 2,231 2,644 2,428 9,635 9,441 10,561 Total Revenue 13,551$ 11,375$ 11,747$ 9,801$ 14,291$ 12,525$ 14,944$ 12,486$ 41,963$ 46,474$ 54,246$ YoY Change % 5% 10% 27% 27% 4% 11% 17% Unaudited Unaudited New Bookings by Product Line Q1 2022 Q2 2022 Q3 2022 Q4 2022 Q1 2023 Q2 2023 Q3 2023 Q4 2023 FY21 FY22 FY23 TCAD 8,385$ 6,455$ 7,472$ 7,227$ 10,999$ 8,022$ 7,894$ 8,494$ 26,502$ 29,539$ 35,409$ % of Total Bookings 59% 58% 62% 58% 70% 56% 63% 55% 56% 59% 61% YoY Change % 31% 24% 6% 18% 25% 11% 20% EDA 4,193$ 3,374$ 2,774$ 3,650$ 3,205$ 4,255$ 3,335$ 4,179$ 14,336$ 13,991$ 14,974$ % of Total Bookings 30% 30% 23% 29% 20% 30% 27% 27% 30% 28% 26% YoY Change % (24%) 26% 20% 14% (13%) (2%) 7% IP 1,533$ 1,372$ 1,720$ 1,539$ 1,464$ 2,084$ 1,257$ 2,891$ 6,458$ 6,164$ 7,696$ % of Total Bookings 11% 12% 14% 12% 9% 15% 10% 19% 14% 12% 13% YoY Change % 0% 7% 21% (18%) 97% 2% (5%) 25% Total Bookings 14,111$ 11,201$ 11,967$ 12,416$ 15,667$ 14,362$ 12,486$ 15,565$ 47,296$ 49,695$ 58,080$ YoY Change % 11% 28% 4% 25% 8% 5% 17% Remaining Performance Obligation 21,223$ 26,990$ 29,818$ Note 1: Annual figures derived from audited consolidated financial statements which are available in our Form S-1 and draft Form S1 filings at SEC.GOV.


 
6/4/24 Silvaco Group, Inc. Financial Results 3 Silvaco Group, Inc. (Nasdaq: SVCO) Appendix I - Reconciliation of GAAP to Non-GAAP Financials Measures (Disclaimer) Discussion of Non-GAAP Financial Measures We use certain non-GAAP financial measures to supplement the performance measures in our consolidated financial statements, which are presented in accordance with GAAP. These non-GAAP financial measures include non-GAAP gross profit, non-GAAP gross margin, non-GAAP operating expenses, non-GAAP operating income (loss) and non-GAAP net income (loss), non-GAAP diluted earnings (loss) per share, and free cash flow. We use these non-GAAP financial measures for financial and operational decision-making and as a means to assist us in evaluating period-to-period comparisons. We define non-GAAP operating expenses and non-GAAP operating income (loss) as our GAAP operating expenses and GAAP operating income (loss), in each case, adjusted to exclude certain costs, including acquisition-related litigation costs, executive severance, amortization of acquired intangible assets, IPO preparation costs, regulatory compliance costs and impairment charges. We define non-GAAP net income (loss) as our GAAP net income (loss) adjusted to exclude certain costs, including acquisition-related litigation costs, executive severance, amortization of acquired intangible assets, IPO preparation costs, regulatory compliance costs, impairment charges, change in fair value of contingent consideration, foreign exchange (gain) loss, and gain on extinguishment of debt. Our non-GAAP earnings per share is calculate in the same way as our non-GAAP net income (loss), but on a per share basis. We monitor non-GAAP gross profit, non-GAAP gross margin, non-GAAP operating expenses, non-GAAP operating income (loss), non-GAAP net income (loss) and non-GAAP net earnings per share as non-GAAP financial measures to supplement the financial information we present in accordance with GAAP to provide investors with additional information regarding our financial results. Certain items are excluded from our on-GAAP operating expenses, non-GAAP operating income (loss), non-GAAP net income (loss) and non-GAAP net earnings per share because these items are noncash in nature, or are not indicative of our core operating performance, and render comparisons with prior periods and competitors less meaningful. We adjust GAAP operating income (loss) and net income (loss) for these items to arrive at non-GAAP operating income (loss) and non-GAAP net income (loss) because these amounts can vary substantially from company to company within our industry depending upon accounting methods and book values of assets, capital structure and the method by which the assets were acquired. By excluding certain items that may not be indicative of our recurring core operating results, we believe that non-GAAP operating income (loss), non-GAAP net income (loss) and non-GAAP diluted earnings (loss) per share, provide meaningful supplemental information regarding our performance. We define free cash flow as net cash (used in) provided by operating activities in the period minus capital expenditures. We believe that free cash flow is an important financial measure for use in evaluating the Company’s ability to generate additional cash from our business operations. Free cash flow should be considered in addition to, rather than as a substitute for net cash provided by operating activities as a measure of our liquidity. Additionally, our definition of free cash flow is limited and does not represent residual cash flows available for discretionary expenditures due to the fact that the measure does not deduct the payments required for debt service and other obligations or payments made for business acquisitions. Therefore, we believe it is important to view free cash flow as supplemental to our entire statement of cash flows We believe these non-GAAP financial measures are useful to investors and others because they allow for additional information with respect to financial measures used by management in its financial and operational decision-making and they may be used by our institutional investors and the analyst community to help them analyze our financial performance and the health of our business. However, there are a number of limitations related to the use of non-GAAP financial measures, and these non-GAAP measures should be


 
6/4/24 Silvaco Group, Inc. Financial Results 4 Silvaco Group, Inc. (Nasdaq: SVCO) Appendix I - Reconciliation of GAAP to Non-GAAP Financials Measures ($ in '000s, except Per Share Data) Unaudited Unaudited Q1 2022 Q2 2022 Q3 2022 Q4 2022 Q1 2023 Q2 2023 Q3 2023 Q4 2023 FY21 FY22 FY23 GAAP Gross Profit 11,385$ 9,169$ 9,352$ 7,681$ 12,266$ 10,152$ 12,670$ 9,804$ 33,310$ 37,587$ 44,892$ Less: N/a - - - - - - - - - - - Non-GAAP Gross Profit 11,385$ 9,169$ 9,352$ 7,681$ 12,266$ 10,152$ 12,670$ 9,804$ 33,310$ 37,587$ 44,892$ GAAP Operating Expenses 10,026$ 9,813$ 10,489$ 9,132$ 10,733$ 10,357$ 10,928$ 11,740$ 36,846$ 39,460$ 43,758$ Less: Acquisition-related litigation costs (320) (201) (534) (285) (236) (233) (723) (515) (1,148) (1,340) (1,707) Less: IPO preparation costs (67) (187) (1,058) (640) (268) (711) (197) (45) - (1,952) (1,221) Less: Amortization of acquired intangible assets (94) (58) (63) (101) (101) (74) (82) (82) (808) (316) (339) Less: Impairment Charges (560) - - - - - - - - (560) - Less: Executive Severance - - - - - - - - (280) - - Non-GAAP Operating Expenses 8,985$ 9,367$ 8,834$ 8,106$ 10,128$ 9,339$ 9,926$ 11,098$ 34,610$ 35,292$ 40,491$ GAAP Operating Income (Loss) 1,359$ (644)$ (1,137)$ (1,451)$ 1,533$ (205)$ 1,742$ (1,936)$ (3,536)$ (1,873)$ 1,134$ Add: Acquisition-related litigation costs 320 201 534 285 236 233 723 515 1,148 1,340 1,707 Add: IPO preparation costs 67 187 1,058 640 268 711 197 45 - 1,952 1,221 Add: Amortization of acquired intangible assets 94 58 63 101 101 74 82 82 808 316 339 Add: Impairment Charges 560 - - - - - - - - 560 - Add: Executive Severance - - - - - - - - 280 - - Non-GAAP Operating Income (Loss) 2,400$ (198)$ 518$ (425)$ 2,138$ 813$ 2,744$ (1,294)$ (1,300)$ 2,295$ 4,401$ GAAP Net Income (Loss) 162$ (973)$ (465)$ (2,652)$ 814$ (331)$ 1,448$ (2,247)$ (1,845)$ (3,928)$ (316)$ Add: Acquisition-related litigation costs 320 201 534 285 236 233 723 515 1,148 1,340 1,707 Add: IPO preparation costs 67 187 1,058 640 268 711 197 45 - 1,952 1,221 Add: Amortization of acquired intangible assets 94 58 63 101 101 74 82 82 808 316 339 Add: Impairment Charges 560 - - - - - - - - 560 - Add: Executive Severance - - - - - - - - 280 - - Add: Foreign Exchange Gain (Loss) 683 39 (732) 535 247 168 (77) (3) (93) 525 335 Add: Change in Fair Value of Contingent Consideration - - 17 (228) 276 65 (9) (7) 295 (211) 325 Less: Gain on Debt - - - - - - - - (2,278) - - Add: Income Tax effect of Non-GAAP Items (17) (14) (51) (55) (23) (81) (38) (27) - (137) (169) Non-GAAP Net Income (Loss) 1,869$ (502)$ 424$ (1,374)$ 1,919$ 839$ 2,326$ (1,642)$ (1,685)$ 417$ 3,442$ GAAP Earnings Per Share 0.01$ (0.05)$ (0.02)$ (0.13)$ 0.04$ (0.02)$ 0.07$ (0.11)$ (0.09)$ (0.20)$ (0.02)$ Add: Acquisition-related litigation costs 0.02 0.01 0.03 0.01 0.01 0.01 0.04 0.03 0.06 0.07 0.09 Add: IPO preparation costs 0.00 0.01 0.05 0.03 0.01 0.04 0.01 0.00 - 0.10 0.06 Add: Amortization of acquired intangible assets 0.00 0.00 0.00 0.01 0.01 0.00 0.00 0.00 0.04 0.02 0.02 Add: Impairment Charges 0.03 - - - - - - - - 0.03 - Add: Executive Severance - - - - - - - - 0.01 - - Add: Foreign Exchange Gain (Loss) 0.03 0.00 (0.04) 0.03 0.01 0.01 (0.00) (0.00) (0.00) 0.03 0.02 Add: Change in Fair Value of Contingent Consideration - - 0.00 (0.01) 0.01 0.00 (0.00) (0.00) 0.01 (0.01) 0.02 Less: Gain on Debt - - - - - - - - (0.11) - - Add: Income Tax effect of Non-GAAP Items (0.00) (0.00) (0.00) (0.00) (0.00) (0.00) (0.00) (0.00) - (0.01) (0.01) Non-GAAP Earnings Per Share 0.09$ (0.03)$ 0.02$ (0.07)$ 0.10$ 0.04$ 0.12$ (0.08)$ (0.08)$ 0.02$ 0.17$ Shares used in GAAP and Non-GAAP Earnings Per Share - Basic and Diluted 20,000 20,000 20,000 20,000 20,000 20,000 20,000 20,000 20,000 20,000 20,000


 
6/4/24 Silvaco Group, Inc. Financial Results 5 Silvaco Group, Inc. (Nasdaq: SVCO) Appendix I (continued) - Reconciliation of GAAP to Non-GAAP Financials Measures ($ in '000s) Unaudited Unaudited Q1 2022 Q2 2022 Q3 2022 Q4 2022 Q1 2023 Q2 2023 Q3 2023 Q4 2023 FY21 FY22 FY23 GAAP Gross Margin 84% 81% 80% 78% 86% 81% 85% 79% 79% 81% 83% Less: N/a 0% 0% 0% 0% 0% 0% 0% 0% 0% 0% 0% Non-GAAP Gross Margin 84% 81% 80% 78% 86% 81% 85% 79% 79% 81% 83% GAAP Operating Expenses % of Sales 74% 86% 89% 93% 75% 83% 73% 94% 88% 85% 81% Less: Acquisition-related litigation costs -2% -2% -5% -3% -2% -2% -5% -4% -3% -3% -3% Less: IPO preparation costs 0% -2% -9% -7% -2% -6% -1% 0% 0% -4% -2% Less: Amortization of acquired intangible assets -1% -1% -1% -1% -1% -1% -1% -1% -2% -1% -1% Less: Impairment Charges -4% 0% 0% 0% 0% 0% 0% 0% 0% -1% 0% Less: Executive Severance 0% 0% 0% 0% 0% 0% 0% 0% -1% 0% 0% Non-GAAP Operating Expenses % of Sales 66% 82% 75% 83% 71% 75% 66% 89% 82% 76% 75% GAAP Operating Margin 10% -6% -10% -15% 11% -2% 12% -16% -8% -4% 2% Add: Acquisition-related litigation costs 2% 2% 5% 3% 2% 2% 5% 4% 3% 3% 3% Add: IPO preparation costs 0% 2% 9% 7% 2% 6% 1% 0% 0% 4% 2% Add: Amortization of acquired intangible assets 1% 1% 1% 1% 1% 1% 1% 1% 2% 1% 1% Add: Impairment Charges 4% 0% 0% 0% 0% 0% 0% 0% 0% 1% 0% Add: Executive Severance 0% 0% 0% 0% 0% 0% 0% 0% 1% 0% 0% Non-GAAP Operating Margin 18% -2% 4% -4% 15% 6% 18% -10% -3% 5% 8% GAAP Net Income (Loss) Margin 1% -9% -4% -27% 6% -3% 10% -18% -4% -8% -1% Add: Acquisition-related litigation costs 2% 2% 5% 3% 2% 2% 5% 4% 3% 3% 3% Add: IPO preparation costs 0% 2% 9% 7% 2% 6% 1% 0% 0% 4% 2% Add: Amortization of acquired intangible assets 1% 1% 1% 1% 1% 1% 1% 1% 2% 1% 1% Add: Impairment Charges 4% 0% 0% 0% 0% 0% 0% 0% 0% 1% 0% Add: Executive Severance 0% 0% 0% 0% 0% 0% 0% 0% 1% 0% 0% Add: Foreign Exchange Gain (Loss) 5% 0% -6% 5% 2% 1% -1% 0% 0% 1% 1% Add: Change in Fair Value of Contingent Consideration 0% 0% 0% -2% 2% 1% 0% 0% 1% 0% 1% Less: Gain on Debt 0% 0% 0% 0% 0% 0% 0% 0% -5% 0% 0% Add: Income Tax effect of Non-GAAP Items 0% 0% 0% -1% 0% -1% 0% 0% 0% 0% 0% Non-GAAP Net Income (Loss) Margin 14% -4% 4% -14% 13% 7% 16% -13% -4% 1% 6% Unaudited Unaudited Q1 2022 Q2 2022 Q3 2022 Q4 2022 Q1 2023 Q2 2023 Q3 2023 Q4 2023 FY21 FY22 FY23 Net Cash (Used In) Provided By Operating Activities (2,473)$ (152)$ (772)$ 1,300$ 501$ 1,665$ (1,835)$ 849$ (2,636)$ (2,097)$ 1,180$ Less: Capital Expenditures - (4) (60) (25) (177) (25) (13) (124) (99) (89) (339) Free Cash Flow (2,473)$ (156)$ (832)$ 1,275$ 324$ 1,640$ (1,848)$ 725$ (2,735)$ (2,186)$ 841$