QUICKLOGIC CORPORATION

SUPPLEMENTAL RECONCILIATIONS OF US GAAP AND NON-GAAP FINANCIAL MEASURES

(in thousands, except per share amounts and percentages)

(Unaudited)

Three Months Ended

Nine Months Ended

September 30,
2018

October 1,
2017

July 1, 2018

September 30,
2018

October 1,
2017

US GAAP loss from operations

$

(3,227)

$

(3,455)

$

(3,446)

$

(10,544)

$

(10,476)

Adjustment for stock-based compensation within:

Cost of revenue

30

32

35

99

85

Research and development

220

151

207

610

424

Selling, general and administrative

266

212

237

718

551

Adjustment for the write-off of equipment

10

5

10

—

—

—

—

—

—

—

Non-GAAP loss from operations

$

(2,711)

$

(3,050)

$

(2,967)

$

(9,112)

$

(9,406)

US GAAP net loss

$

(3,260)

$

(3,550)

$

(3,484)

$

(10,714)

$

(10,722)

Adjustment for stock-based compensation within:

Cost of revenue

30

32

35

99

85

Research and development

220

151

207

610

424

Selling, general and administrative

266

212

237

718

551

Adjustment for the write-off of equipment

10

5

10

Non-GAAP net loss

$

(2,744)

$

(3,145)

$

(3,005)

$

(9,282)

$

(9,652)

US GAAP net loss per share

$

(0.03)

$

(0.04)

$

(0.04)

$

(0.12)

$

(0.14)

Adjustment for stock-based compensation

*

*

*

0.01

0.01

Non-GAAP net loss per share

$

(0.03)

$

(0.04)

$

(0.04)

$

(0.11)

$

(0.13)

US GAAP gross margin percentage

49.7

%

42.6

%

49.0

%

49.6

%

43.8

%

Adjustment for stock-based compensation

0.8

%

1.1

%

1.1

%

1.1

%

1.0

%

Non-GAAP gross margin percentage

50.5

%

43.7

%

50.1

%

50.7

%

44.8

%