Low-power chip designer Transmeta Inc., hammered the delayed release of a new processor, saw its losses mount in the fourth quarter as the Silicon Valley companys revenues plunge from last year.
For the quarter, the maker of Crusoe processors on Thursday reported a net loss $49.7 million, or 38 cents per share, far worse than the 18 cents per share projected by Wall Street analysts, according to Thomson Financial/First Call.
Revenues fell steeply to only $1.5 million, well below the $12.4 million the Santa Clara, Calif., company garnered a year earlier.
The designer of low-power chips for ultralight notebook PCs and high-density servers has been hurt by problems that have held up the release of a new microprocessor, the TM5800. Originally scheduled for launch last summer, the new processor is now tentatively set for release next month.
Problems surrounding the processor led to the ouster of Transmetas CEO Mark Allen in October after only seven months on the job. Company Chairman Murray Goldman has since taken the reins as acting CEO.
"Transmeta is meeting the milestones of the recovery plan that resolve the issues that caused changes to our Crusoe TM5800 shipping schedule," Goldman said in a statement accompanying the earnings reports. "Based on the data we have received to date, the plan continues to contemplate volume shipments to our customers beginning in early February."
Looking ahead, the company predicted revenue for the current quarter would rise up to $4 million, but warned that it does not expect to achieve profitability this year.
For the year, Transmeta recorded a net loss of $171.3 million, or $1.33 per share, compared with a net loss of $97.7 million, or $2.18 per share, a year earlier. Revenue totaled $35.6 million, up from $16.2 million in 2000.