Company: AOSL
Filing Date: 2025-05-08
Form Type: 10-Q
Source: 0001387467-25-000044
Chunk: 49

Company: ALPHA & OMEGA SEMICONDUCTOR Ltd
Filing Date: 2025-05-08
Form: 10-Q
Item: Item 1
Chunk 49
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, 2025, an increase of $34.5 million, or 9.4%, as compared to $365.5 million for the same period last year. The increase was primarily due to 4.8% increase in sales.  Gross margin decreased by 3.3 percentage points to 23.0% for the nine months ended March 31, 2025, as compared to 26.3% for the same period last year. The decrease in gross margin was primarily due to average selling price erosion, higher material costs and less favorable product mix during the periods.

36

Research and development expenses

Three Months Ended March 31,Nine Months Ended March 31, 20252024Change20252024Change (in thousands)(in thousands)(in percentage)(in thousands)(in thousands)(in percentage)Research and development expenses$23,398 $23,095 $303 1.3 %$69,844 $68,127 $1,717 2.5 %

Research and development expenses were $23.4 million for the three months ended March 31, 2025, an increase of $0.3 million, or 1.3%, as compared to $23.1 million for the same quarter last year.  The increase was primarily attributable to a $0.5 million increase in employee compensation and benefit expense mainly due to higher bonus expense and higher severance expenses, as well as a $0.2 million increase in product prototyping engineering expense as a result of increased engineering activities, partially offset by a $0.3 million decrease in share-based compensation expense primarily due to more cancellation of awards in current quarter.

Research and development expenses were $69.8 million for the nine months ended March 31, 2025, an increase of $1.7 million, or 2.5%, as compared to $68.1 million for the same period last year.  The increase was primarily attributable to a $1.4 million increase in share-based compensation as a result of a modification of market-based restricted stock units in August 2024, as well as a $0.4 million increase in employee compensation and benefit expense mainly due to higher bonus expense and higher severance expenses.

Selling, general and administrative expenses

Three Months Ended March 31,Nine Months Ended March 31, 20252024Change20252024Change (in thousands)(in thousands)(in percentage)(in thousands)(in thousands)(in