Pixelworks, Inc. reported unaudited consolidated earnings results for the fourth quarter and year ended December 31, 2012. For the quarter, the company reported, total revenue was $13.6 million compared to $16.3 million in the third quarter and $16.8 million in the year ago quarter. Adjusted EBITDA was a negative $1.3 million in fourth quarter compared to a positive $1.4 million in the third quarter of 2012. On a non-GAAP basis, the company recorded a net loss of $2.8 million or $0.15 per share in the fourth quarter. This compares with a non-GAAP net income in the third quarter of $320,000 or $0.02 income per diluted share, and a net loss of $1.3 million or $0.07 loss per share in the fourth quarter of 2011. Loss from operations was $3.23 million against $1.58 million a year ago. Loss before income taxes was $3.33 million against $1.67 million a year ago. Net loss was $3.55 million or $0.19 per basic and diluted share against $1.95 million or $0.11 per basic and diluted share a year ago.

For the year, the company reported revenue, net of $59.7 million against $64.6 million a year ago. Loss from operations was $5.8 million against $7.8 million a year ago. Loss before income taxes was $6.26 million against $6.42 million a year ago. Net loss was $5.6 million or $0.31 per basic and diluted share against $6.56 million or $0.40 per basic and diluted share a year ago. Non-GAAP net loss was $2.96 million or $0.16 per basic and diluted share against $5.97 million or $0.37 per basic and diluted share a year ago. Adjusted EBITDA was $1.6 million.

The company provided earnings guidance for the first quarter of 2013. For the period, the company expects revenue to be lower than typical seasonality, in the range of $9.5 to $10.5 million. Going forward, the company expects first quarter to be the trough with a return to sequential revenue growth in second quarter of 2013 based on a return to normal order patterns and second half growth driven by Topaz and PA168 products. The company expects gross profit margin for the quarter to range between 50% to 52% on a non-GAAP basis and 48% to 50% on a GAAP basis. And finally, the company expects to record a non-GAAP net loss of between 18 cents and 28 cents per share and on a GAAP basis the company expects a net loss per share of between 22 cents and 32 cents. Loss from operations was $5.85 million against $7.80 million a year ago. Loss before income taxes was $6.26 million against $6.42 million a year ago. Net loss was $5.6 million or $0.31 per basic and diluted share against $6.5 million or $0.40 per basic and diluted share a year ago.