Sequans Communications announces Q2 2017 financial results

4G chipmaker Sequans Communications S.A. (NYSE: SQNS) has announced financial results for the second quarter ended June 30, 2017, the company said.

Revenue was USD 13.2 million, after a reduction of USD 740,000 related to a product return from an early 2016 tablet-related sale. Excluding the impact of the return, revenue would have been USD 14.0 million.

Revenue for the second quarter of 2017 increased 6.3% compared to the first quarter of 2017 (12.3% without the impact of the return) and increased 33.7% compared to the second quarter of 2016 (41.2% without the impact of the return), reflecting increases in both product and other revenue.

Gross margin was 42.1% compared to 47.1% in the first quarter of 2017 and compared to 44.6% in the second quarter of 2016, reflecting an increase in the proportion of module sales in the product mix in the second quarter of 2017.

Operating loss was USD 4.1 million compared to an operating loss of USD 4.2 million in the first quarter of 2017 and an operating loss of USD 5.7 million in the second quarter of 2016.

Net loss was USD 6.0 million, or (USD 0.08) per diluted share/ADS, compared to a net loss USD 5.6 million, or (USD 0.07) per diluted share/ADS, in the first quarter of 2017 and a net loss of USD 5.1 million, or (USD 0.09) per diluted share/ADS, in the second quarter of 2016.

Sequans is a provider of single-mode 4G LTE wireless semiconductor solutions for Internet of Things (IoT) and a wide range of broadband data devices. Founded in 2003, Sequans has developed and delivered seven generations of 4G technology and its chips are certified and shipping in 4G networks around the world.