QUICKLOGIC CORPORATION

SUPPLEMENTAL RECONCILIATIONS OF US GAAP AND NON-GAAP FINANCIAL MEASURES

(in thousands, except per share amounts and percentages)

(Unaudited)

Three Months Ended

Year Ended

December 31,
2017

January 1,
2017

October 1,
2017

December 31,
2017

January 1,
2017

US GAAP loss from operations

$

(3,474)

$

(3,752)

$

(3,455)

$

(13,950)

$

(18,802)

Adjustment for stock-based compensation within:

Cost of revenue

36

13

32

121

132

Research and development

190

55

151

614

658

Selling, general and administrative

155

57

212

706

793

Adjustment for the write-off of equipment within:

Cost of revenue

—

17

—

—

50

   Research and development

2

—

10

12

313

   Selling, general and administrative

—

—

—

—

5

Non-GAAP loss from operations

$

(3,091)

$

(3,610)

$

(3,050)

$

(12,497)

$

(16,851)

US GAAP net loss

$

(3,409)

$

(3,858)

$

(3,550)

$

(14,131)

$

(19,148)

Adjustment for stock-based compensation within:

Cost of revenue

36

13

32

121

132

Research and development

190

55

151

614

658

Selling, general and administrative

155

57

212

706

793

Adjustment for the write-off of equipment within:

Cost of revenue

—

17

—

—

50

   Research and development

2

—

10

12

313

   Selling, general and administrative

—

—

—

—

5

Non-GAAP net loss

$

(3,026)

$

(3,716)

$

(3,145)

$

(12,678)

$

(17,197)

US GAAP net loss per share

$

(0.04)

$

(0.05)

$

(0.04)

$

(0.18)

$

(0.29)

Adjustment for stock-based compensation

*

*

*

0.01

0.03

Adjustment for the write-off of equipment

*

*

*

*

*

Non-GAAP net loss per share

$

(0.04)

$

(0.05)

$

(0.04)

$

(0.17)

$

(0.26)

US GAAP gross margin percentage

50.4

%

32.3

%

42.6

%

45.5

%

33.0

%

Adjustment for stock-based compensation

1.2

%

0.4

%

1.1

%

0.9

%

1.2

%

    Adjustment for the write-off of equipment

*

0.6

%

*

*

0.4

%

Non-GAAP gross margin percentage

51.6

%

33.3

%

43.7

%

46.4

%

34.6

%

* Figures were not considered for reconciliation due to the insignificant amount.