Achronix Announces First Quarter 2021 Financial Results and Business Highlights

Santa Clara, Calif., May 4, 2021 – Achronix Semiconductor Corporation, a leader in high-performance field-programmable gate arrays (FPGAs) and embedded FPGA (eFPGA) IP, today announced financial results for the first quarter of 2021, ending March 31, 2021.

Financial Highlights:

• Revenue increased to $29.9 million from $5.5 million in the first quarter of 2020.
• Gross margin expanded to 78%, compared to 74% in the prior year’s quarter.
• GAAP net income was $8.8 million, or $0.18 per diluted share, compared to a net loss of $5.3 million, or ($0.86) per share, in the first quarter of 2020.
• Non-GAAP net income was $10.2 million, or $0.21 per diluted share, compared to a net loss of $5.3 million, or ($0.86) per share, in the same quarter a year ago.
• Cash, cash equivalents and restricted cash increased to $45.2 million.

Business Highlights:

• Began shipping engineering samples of 7nm Speedster®7t FPGAs to customers.
• Reached shipment milestone of 10 million Speedcore embedded FPGA IP cores.
• Announced partnership with Mobiveil to deliver proven interconnect cores for storage, networking and compute applications.
• Introduced optimized test and measurement IP solutions in partnership with Logic Fruit.

Robert Blake, Achronix’s President and Chief Executive Officer commented, “Our business continues to be strong and we are seeing broad customer interest for both our latest Speedster7t FPGA family and our Speedcore eFPGA IP technology. We are extremely pleased with the initial testing of our first Speedster7t AC7t1500 devices which we began shipping to customers in the first quarter. We believe the Speedster7t device family offers the industry’s highest bandwidth for data acceleration workloads.”

Blake continued, “Looking forward, we are uniquely positioned as the only pure play provider of high-end data acceleration FPGA products and eFPGA IP solutions for rapidly growing markets, such as 5G wireless infrastructure, artificial intelligence and machine learning, high-performance computing, computational storage, automotive as well as networking. In addition to our substantial pipeline opportunities, we have significant non-cancellable backlog combined with a high margin operating model to support our growth initiatives. We look forward to finalizing the merger transaction with ACE Convergence Acquisition Corp.”

About Achronix Semiconductor Corporation

Achronix Semiconductor Corporation is a fabless semiconductor corporation based in Santa Clara, California, offering high-end FPGA-based data acceleration solutions, designed to address high-performance, compute-intensive and real-time processing applications. Achronix is the only supplier to have both high-performance and high-density standalone FPGAs and licensed eFPGA solutions. Achronix FPGA and eFPGA IP offerings are further enhanced by ready-to-use accelerator cards targeting AI, machine learning, networking and data center applications. All Achronix products are fully supported by a complete and optimized range of Achronix software tools called ACE, which enables customers to quickly develop their own custom applications. Achronix has a global footprint, with sales and design teams across the U.S., Europe and Asia. For more information, please visit www.achronix.com.

About ACE Convergence Acquisition Corp.

ACE Convergence Acquisition Corp. is a $230 million special purpose acquisition company whose business mandate is to identify and acquire an emerging leader in the IT infrastructure software/systems and system-on-a-chip markets that is well-positioned to capitalize on the changing landscape of data acceleration being driven by developments in AI, Cloud, and 5G technologies. ACE is comprised of a team of sector specialists with a solid track record of scaling complex technology organizations and making transformative value-creation decisions. For more information, please visit http://acev.io/home/default.aspx.

About ACE Equity Partners

ACE Equity Partners is an Asian-nexus mid-market cross-border private equity firm with a single-minded focus on the convergence of digital and industrial technologies. For more information, please visit: http://acelp.co.kr.