Rambus Inc · Q3 2022 earnings

Briefing

Exceeded guidance for Q3 revenue and earnings, delivered record quarterly product revenue, generated $80 million in cash from operations, and initiated a $100 million accelerated share repurchase program.

Rambus reported an excellent performance in Q3 2022, exceeding guidance with record cash and product revenue. GAAP revenue was $112.2 million. The company's strategic focus and strong execution in the data center market, combined with a diverse portfolio of offerings, drive long-term profitable growth and enable consistent capital returns to stockholders.

• Exceeded guidance for Q3 revenue and earnings
• Delivered record quarterly product revenue driven by memory interface chips
• Generated $80 million in cash from operations
• Initiated $100 million accelerated share repurchase program

Headline financials

Revenue & EPS history

For the fourth quarter of 2022, the Company expects licensing billings to be between $59 million and $65 million. The Company also expects royalty revenue to be between $29 million and $35 million, product revenue to be between $63 million and $69 million and contract and other revenue to be between $21 million and $27 million. The Company also expects operating costs and expenses to be between $100 million and $96 million. Additionally, the Company expects non-GAAP operating costs and expenses to be between $86 million and $82 million. These expectations also assume non-GAAP interest and other income (expense), net, of ($1 million), tax rate of 24% and diluted share count of 110 million, and exclude stock-based compensation expense ($10 million), amortization expense ($4 million), non-cash interest expense ($0.1 million) and interest income related to the significant financing component from fixed-fee patent and technology licensing arrangements ($1 million).