Wednesday, April 25, 2007

Rambus Inc. Q1 Revenue

Rambus Inc., one of the world’s premier technology licensing companies specializing in the invention and design of high-speed chip architectures reported an increase in revenue of 6% Q1 '07 as compared with Q1 '06.

Cash, cash equivalents and marketable securities as of March 31, 2007 climbed to $445.0 million, an increase of $54.3 million from the first quarter of fiscal year 2006. This despite the fact that Rambus employs a sizable pack of lawyers to protect and collect from its growing intellectual property portfolio and rewarded its lawyers with a $10 million bonus.

CEO Harold Hughes acknowledged the frustration of shareholders waiting for Rambus to complete and issue its restatement and resolve matters with the FTC and then stated he wanted to talk about the future. The future is the solution XDR offers to a bandwidth thirsty world. Hughes was upbeat, self-assured and sounded ready to face the likes of John Dowd - he will have to wait until the annual shareholder meeting for that reunion.

Unfortunately, the reinvented or well-rehearsed Hughes and his cohorts had little in substance to offer shareholders and analysts. Rambus, infamous for revealing little to nothing - "we do not discuss licensing details or negotiations" . . ."we do not speculate about (insert legal/litigation topic)" . . . "we are designing solutions for 5 and 10 years into the future" - resembles Sergeant Shultz since its misdated options investigation commenced.

Ramboids have little guidance to project the future. No hint regarding royalties associated with XDR. Limited guidance as to the structure of licensing agreements - except that ATI via AMD gets a free ride. Sharon Holt, Rambus licensing goddess, put to rest the notion that Rambus has stashed agreements - leading to the obvious question . . . "what the heck is going on?"

The chat board apologists have their work cut out. It could be a long, very long summer . . . then again, the Rally Monkey might awaken with a deal or two from Ms. Holt's office.

HT to Harold Hughes for acknowledging the shareholders, practicing his lines and sticking to them. Now give us something of substance and I will buy you a Coke.

1 comment:

jester said...

HT to Any Donkey for last few posts.

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