Wolfspeed Reports Financial Results for First Quarter of 2022

DURHAM, N.C. — Wolfspeed, Inc., formerly known as Cree, Inc., today announced revenue of $156.6 million for its first quarter of fiscal 2022, ended September 26, 2021. This represents a 36% increase compared to revenue from continuing operations of $115.5 million reported for the first quarter of fiscal 2020, and a 7% increase compared to the fourth quarter of fiscal 2021. GAAP net loss from continuing operations for the first quarter of fiscal 2022 was $70.1 million, or $0.60 per diluted share, compared to GAAP net loss from continuing operations of $75.3 million, or $0.69 per diluted share, for the first quarter of fiscal 2021. On a non-GAAP basis, net loss from continuing operations for the first quarter of fiscal 2022 was $23.8 million, or $0.21 per diluted share, compared to non-GAAP net loss from continuing operations for the first quarter of fiscal 2021 of $26.5 million, or $0.24 per diluted share.

“We are pleased to report a solid fiscal first quarter, our fifth consecutive quarter of revenue growth bolstered by the rapidly expanding marketplace for Silicon Carbide products. We are driving the transition to Silicon Carbide-based solutions during a period of momentous change, which is demonstrated by our expanding list of customers and formal name change,” said Wolfspeed Chief Executive Officer, Gregg Lowe. “We remain confident that the business is well positioned to realize its full potential as a pure-play global semiconductor powerhouse.” Business Outlook: For its second quarter of fiscal 2022, Wolfspeed targets revenue in a range of $165 million to $175 million. GAAP net loss is targeted at $69 million to $73 million, or $0.59 to $0.63 per diluted share. Non-GAAP net loss is targeted to be in a range of $19 million to $23 million, or $0.16 to $0.20 per diluted share. Targeted non-GAAP net loss excludes $50 million of estimated expenses, net of tax, related to stock-based compensation expense, amortization or impairment of acquisition-related intangibles, factory optimization restructuring and start-up costs, net accretion on convertible notes, interest income from transaction-related note receivable and project, transformation, transaction and transition costs.