Unaudited Reconciliation of GAAP to Non-GAAP Financial Measures

U.S. Dollars in thousands, except per share amounts

Three months ended

March 31,

2023

2022

Unaudited

Unaudited

GAAP net loss

$   (4,872)

$   (1,696)

Equity-based compensation expense included in cost of revenues

404

339

Equity-based compensation expense included in research and development
expenses

2,173

1,995

Equity-based compensation expense included in sales and marketing expenses

393

333

Equity-based compensation expense included in general and administrative
expenses

889

722

Amortization of intangible assets related to acquisition of Intrinsix and Hillcrest
Labs business, investments in NB-IoT and Immervision technologies

677

1,282

Costs associated with the Intrinsix acquisition

326

326

Loss associated with the remeasurement of marketable equity securities, net of
taxes.

117

871

NRE revenues associated with the purchase price allocation (PPA) related to
Intrinsix acquisition

0

42

Non-GAAP net income

$  107

$  4,214

GAAP weighted-average number of Common Stock used in computation of
diluted net loss and loss per share (in thousands)

23,334

23,103

Weighted-average number of shares related to outstanding stock-based awards (in
thousands)

1,021

772

Weighted-average number of Common Stock used in computation of  diluted
earnings per share, excluding the above (in thousands)

24,355

23,875

GAAP diluted loss per share

$  (0.21)

$  (0.07)

Equity-based compensation expense

$  0.17

$  0.14

Amortization of intangible assets related to acquisition of Intrinsix and Hillcrest
Labs business, investments in NB-IoT and Immervision technologies

$  0.03

$  0.06

Costs associated with the Intrinsix acquisition

$  0.01

$  0.01

Loss associated with the remeasurement of marketable equity securities, net of
taxes.

$  0.00

$  0.04

Non-GAAP diluted earnings per share

$  0.00

$  0.18

Three months ended

March 31,

2023

2022

Unaudited

Unaudited

GAAP Operating Income (loss)

$  (4,793)

$  468

Equity-based compensation expense included in cost of revenues

404

339

Equity-based compensation expense included in research and development
expenses

2,173

1,995

Equity-based compensation expense included in sales and marketing expenses

393

333

Equity-based compensation expense included in general and administrative
expenses

889

722

Amortization of intangible assets related to acquisition of Intrinsix  and Hillcrest
Labs business, investments in NB-IoT and Immervision technologies

677

1,282

Costs associated with the Intrinsix acquisition

326

326

Purchase price allocation (PPA) for the Intrinsix acquisition

0

42

Total non-GAAP Operating Income

$  69

$  5,507