Irish technology company Parthus Technologies said today it has returned to profitability on a pro forma basis mainly due to increased licensing and royalty revenue.
Speaking at the announcement of the company's second quarter results today Mr Kevin Fielding of Parthus said the company's pro forma earnings - earnings adjusted to reflect projected transactions - had moved into positive territory one quarter ahead of schedule due to the pick-up in royalty revenue.
Pro forma net earnings for the second quarter were $66,000. The reported net loss for the quarter was $2.3 million.
Revenue for the second quarter increased 6 per cent year-on-year to $10.8 million and royalty revenue grew 193 per cent to $770,000.
Parthus signed seven new licensing deals for Parthus's mobile chip technology over the quarter and a number of other customers have moved into full production, Mr Fielding said.
Mr Fielding added that Parthus's proposed merger with US intellectual property company Ceva remains on schedule and should be completed in the third quarter.
Parthus chief executive Mr Brian Long said the environment for technology companies remained challenging but the company has cut costs by 9 per cent year to date while growth margins grew to 80 per cent.
During the quarter, Parthus reduced operating expenditure by 14 per cent sequentially. R&D expenditure was down 19 per cent.