Company: AOSL
Filing Date: 2025-02-06
Form Type: 10-Q
Source: 0001387467-25-000017
Chunk: 11

Company: ALPHA & OMEGA SEMICONDUCTOR Ltd
Filing Date: 2025-02-06
Form: 10-Q
Item: Item 1
Chunk 11
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.  During the six months ended December 31, 2024, the Company recorded license and development revenue of $2.6 million that was previously included in the deferred revenue balance as of June 30, 2024.  During the six months ended December 31, 2024, the Company recognized license and development revenue of $8.5 million that precedes its receipt of payments, resulting in a balance of $8.5 million of contract assets as of December 31, 2024.  As of December 31, 2024, the Company had recorded a total of $42.2 million of license and development revenue.During the three and six months ended December 31, 2024, the Company recorded license and development revenue of $5.4 million and $11.0 million, respectively.  During the three and six months ended December 31, 2023, the Company recorded license and development revenue of $5.5 million and $11.1 million, respectively.  Restricted CashThe Company maintains restricted cash in connection with cash balances temporarily restricted by the local custom authority for regular business operations.  These balances have been excluded from the Company’s cash and cash equivalents balance and are classified as restricted cash in the Condensed Consolidated Balance Sheets.  As of December 31, 2024 and June 30, 2024, the amount of restricted cash was $0.2 million and $0.4 million, respectively. 

8

ALPHA AND OMEGA SEMICONDUCTOR LIMITEDNOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS (Unaudited)

Equity method investmentOn March 29, 2016, the Company entered into a joint venture contract (the “JV Agreement”) with two investment funds owned by the Municipality of Chongqing (the “Chongqing Funds”), pursuant to which the Company and the Chongqing Funds formed a joint venture (the “JV Company”).The Company uses the equity method of accounting when it has the ability to exercise significant influence, but not control, as determined in accordance with generally accepted accounting principles, over the operating and financial policies of the investee.  Effective December 1, 2021, the Company reduced its equity interest in the JV Company and no longer controlled the JV Company.  As a result, beginning December 2, 2021, the Company recorded its investment under the equity method of accounting