6-K

UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

WASHINGTON D.C. 20549

FORM 6-K

REPORT OF FOREIGN PRIVATE ISSUER

PURSUANT TO RULE 13a-16 OR 15D-16 UNDER

THE SECURITIES EXCHANGE ACT OF 1934

For the month of May, 2023

Commission File Number: 000-30540

GIGAMEDIA LIMITED

8F, No.22, Lane 407, Section 2, Tiding Boulevard

Neihu District

Taipei, Taiwan (R.O.C.)

(Indicate by check mark whether the registrant files or will file annual reports under cover of Form 20-F or Form 40-F.)

Form 20-F [ x ] Form 40-F [ ]

(Indicate by check mark whether the registrant by furnishing the information contained in this Form is also thereby furnishing the information to the Commission pursuant to Rule 12g3-2(b) under the Securities Exchange Act of 1934.)

Yes [ ] No [ x ]

(If “Yes” is marked, indicate below the file number assigned to the registrant in connection with Rule 12g3-2(b) :82- .)

GIGAMEDIA LIMITED is submitting under cover of Form 6-K:

GigaMedia Announces First-Quarter 2023 Financial Results (attached hereto as Exhibit 99.1)

Signatures

Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned, thereunto duly authorized.

	GigaMedia Limited
	(Registrant)
Date: May 03, 2023	By: /s/ HUANG, CHENG-MING
	(Signature)
	Name: HUANG, CHENG-MING
	Title: Chief Executive Officer

EX-99

Exhibit 99.1

FOR IMMEDIATE RELEASE	For further information contact:
	Investor Relations Department
	Country/City Code 8862 Tel: 2656-8096
	IR@gigamedia.com.tw

GigaMedia Announces First-Quarter 2023 Financial Results

TAIPEI, Taiwan, May 3, 2023 – GigaMedia Limited (NASDAQ: GIGM) today announced its first quarter 2023 unaudited financial results.

Comments from Management

For the first quarter of 2023, GigaMedia reported revenues of $1.33 million with a gross profit of $0.79 million, an operating loss of $0.70 million and the net loss of $0.31 million.

If compared to the previous quarter, the revenues increased by 20.2% and gross profit increased by 26.5%, exhibiting not only the seasonality arising from the new year and students’ winter vacation, but also our efforts in streamlining the workforce and improving the operating cost structure.

Now with a slimmer team in place, for 2023 we plan to continue our exploration of digital entertainment to further develop and promote our own products and services.

First Quarter Overview

Operating revenues increased by 20.2% in quarter-on-quarter comparison but decreased by 14.3% year-over-year.

Loss from operations slightly increased to $0.70 million from $0.68 million last quarter, and net loss was $0.31 million from net income $0.35 million last quarter mainly due to the fluctuation in foreign exchange and certain year-end evaluation in the previous quarter.

Unaudited Consolidated Financial Results

GigaMedia Limited is a diversified provider of digital entertainment services. GigaMedia’s digital entertainment service business FunTown develops and operates a suite of digital entertainments in Taiwan and Hong Kong, with focus on mobile games and casual games. Unaudited consolidated results of GigaMedia are summarized in the table below.

For the First Quarter

GIGAMEDIA 1Q23 UNAUDITED CONSOLIDATED FINANCIAL RESULTS
(unaudited, all figures in US$ thousands, except per share amounts)	1Q23			4Q22			Change (%)			1Q23			1Q22			Change (%)
Revenues		1,325			1,102			20.2	%		1,325			1,546			(14.3	)%
Gross Profit		792			626			26.5	%		792			901			(12.1	)%
Loss from Operations		(698	)		(675	)	NM				(698	)		(828	)	NM
Net Income (Loss) Attributable to GigaMedia		(313	)		347		NM				(313	)		(1,099	)	NM
Net Income (Loss) Per Share Attributable to GigaMedia, Diluted		(0.03	)		0.03		NM				(0.03	)		(0.10	)	NM
EBITDA (A)		(704	)		13		NM				(704	)		(1,154	)	NM
Cash, Cash Equivalents and Restricted Cash		38,119			39,107			(2.5	)%		38,119			40,534			(6.0	)%

NM= Not Meaningful

(A) EBITDA (earnings before interest, taxes, depreciation, and amortization) is provided as a supplement to results provided in accordance with U.S. generally accepted accounting principles (“GAAP”). (See, “Use of Non-GAAP Measures,” for more details.)

First-Quarter Financial Results

Consolidated revenues for the first quarter of 2023 increased by 20.2% quarter-on-quarter to $1.3 million, from $1.1 million in the fourth quarter of 2022, but decreased by 14.3% year-over-year from $1.5 million in the first quarter of 2022.

Consolidated gross profit increased to $0.8 million from $0.6 million in last quarter and decreased by 12.1% from $0.9 million in the same quarter last year.

Consolidated operating expenses were $1.5 million in the first quarter of 2023, approximately increased by 14.6% when compared to prior quarter.

Net loss for the first quarter of 2023 was $0.3 million, which was an increase of loss from an income of $0.3 million last quarter, but a decrease from a loss of $1.1 million in the same quarter last year.

Cash, cash equivalents and restricted cash at the first quarter-end of 2023 amounted to $38.1 million, decreased by approximately $1.0 million from $39.1 million at the fourth quarter-end of 2022.

Financial Position

GigaMedia maintained its solid financial position, with cash, cash equivalents and restricted cash amounting to $38.1 million, or approximately $3.45 per share as of March 31, 2023.

Business Outlook

The following forward-looking statements reflect GigaMedia’s expectations as of May 3, 2023. Given potential changes in economic conditions and consumer spending, the evolving nature of digital entertainments, and various other risk factors, including those discussed in the Company’s 2022 Annual Report on Form 20-F filed with the U.S. Securities and Exchange Commission as referenced below, actual results may differ materially.

“As life is gradually returning to a post-COVID normal routine,” said GigaMedia CEO James Huang, “we are optimistic for the rebounding of consumer confidence and therefore digital entertainment spendings.” And as always, we will be pursuing sustainable growth and healthy margin by improving our existing products while developing and promoting new offerings in effective ways.

Meanwhile, our business strategies always include expanding through mergers and acquisitions. We will keep looking for investment opportunities that have strategic capacity to accelerate our growth and enhance shareholders’ value.

Use of Non-GAAP Measures

To supplement GigaMedia’s consolidated financial statements presented in accordance with U.S. GAAP, the company uses the following measure defined as non-GAAP by the SEC: EBITDA. Management believes that EBITDA (earnings before interest, taxes, depreciation, and amortization) is a useful supplemental measure of performance because it excludes certain non-cash items such as depreciation and amortization and that EBITDA is a measure of performance used by some investors, equity analysts and others to make informed investment decisions. EBITDA is not a recognized earnings measure under GAAP and does not have a standardized meaning. Non-GAAP measures such as EBITDA should be considered in addition to results prepared in accordance with GAAP, but should not be considered a substitute for, or superior to, other financial measures prepared in accordance with GAAP. A limitation of using EBITDA is that it does not include all items that impact the company’s net income for the period. Reconciliations to the GAAP equivalents of the non-GAAP financial measures are provided on the attached unaudited financial statements.

About the Numbers in This Release

Quarterly results

All quarterly results referred to in the text, tables and attachments to this release are unaudited. The financial statements from which the financial results reported in this press release are derived have been prepared in accordance with U.S. GAAP, unless otherwise noted as “non-GAAP,” and are presented in U.S. dollars.

Q&A

For Q&A regarding the first quarter 2023 performance upon the release, investors may send the questions via email to IR@gigamedia.com.tw, and the responses will be replied individually.

About GigaMedia

Headquartered in Taipei, Taiwan, GigaMedia Limited (Singapore registration number: 199905474H) is a diversified provider of digital entertainment services. GigaMedia’s digital entertainment service business develops and operates a suite of digital entertainments in Taiwan and Hong Kong, with focus on browser/mobile games and casual games. More information on GigaMedia can be obtained from www.gigamedia.com.

The statements included above and elsewhere in this press release that are not historical in nature are “forward-looking statements” within the meaning of the “safe harbor” provisions of the Private Securities Litigation Reform Act of 1995. These forward-looking statements include statements regarding expected financial performance (as described without limitation in the “Business Outlook” section and in quotations from management in this press release) and GigaMedia’s strategic and operational plans. These statements are based on management’s current expectations and are subject to risks and uncertainties and changes in circumstances. There are important factors that could cause actual results to differ materially from those anticipated in the forward looking statements, including but not limited to, our ability to license, develop or acquire additional online games that are appealing to users, our ability to retain existing online game players and attract new players, and our ability to launch online games in a timely manner and pursuant to our anticipated schedule. Further information on risks or other factors that could cause results to differ is detailed in GigaMedia’s Annual Report on Form 20-F filed in April 2023 and its other filings with the United States Securities and Exchange Commission.

# # #

(Tables to follow)

GIGAMEDIA LIMITED

CONSOLIDATED STATEMENTS OF OPERATIONS

	Three months ended
	3/31/2023			12/31/2022			3/31/2022
	unaudited			unaudited			unaudited
	USD			USD			USD
Operating revenues
Digital entertainment service revenues		1,325,352			1,101,507			1,545,575
		1,325,352			1,101,507			1,545,575
Operating costs
Cost of digital entertainment service revenues		533,136			475,714			644,369
		533,136			475,714			644,369
Gross profit		792,216			625,793			901,206
Operating expenses
Product development and engineering expenses		178,192			163,043			322,438
Selling and marketing expenses		431,089			406,749			435,205
General and administrative expenses		879,655			730,850			971,101
Other		1,082			(245	)		226
		1,490,018			1,300,397			1,728,970
Loss from operations		(697,802	)		(674,604	)		(827,764	)
Non-operating income (expense)
Interest income		404,550			343,762			62,835
Foreign exchange (loss) gain - net		(826	)		413,529			(339,131	)
Changes in the fair value of an instrument recognized at fair value		(18,729	)		227,384			—
Other-net		107			37,289			4,922
		385,102			1,021,964			(271,374	)
Income (loss) from continuing operations before income taxes		(312,700	)		347,360			(1,099,138	)
Income tax expense		—			(263	)		—
Net income (loss) attributable to shareholders of GigaMedia		(312,700	)		347,097			(1,099,138	)
Earnings (loss) per share attributable to GigaMedia
Basic:
Earnings (loss) from continuing operations		(0.03	)		0.03			(0.10	)
Diluted:
Earnings (loss) from continuing operations		(0.03	)		0.03			(0.10	)
Weighted average shares outstanding:
Basic		11,052,235			11,052,235			11,052,235
Diluted		11,052,235			11,052,235			11,052,235

GIGAMEDIA LIMITED

CONSOLIDATED BALANCE SHEETS

	3/31/2023		12/31/2022		3/31/2022
	unaudited		audited		unaudited
	USD		USD		USD
Assets
Current assets
Cash and cash equivalents		37,806,540		38,794,467		40,221,362
Marketable securities-current		7,950,000		7,950,000		—
Accounts receivable - net		154,890		199,109		245,742
Prepaid expenses		368,322		60,059		728,280
Restricted cash		312,739		312,823		312,772
Other receivables		766,871		374,025		21,143
Other current assets		122,895		135,624		151,560
Total current assets		47,482,257		47,826,107		41,680,859
Marketable securities - noncurrent		2,371,000		2,371,000		10,322,000
Property, plant & equipment - net		146,094		102,729		79,266
Intangible assets - net		16,537		19,421		9,166
Prepaid licensing and royalty fees		140,850		176,530		299,117
Other assets		1,546,465		1,640,443		2,322,368
Total assets		51,703,203		52,136,230		54,712,776
Liabilities and equity
Accounts payable		78,604		52,660		47,916
Accrued compensation		133,645		186,984		188,353
Accrued expenses		878,269		964,203		1,436,606
Unearned revenue		871,981		817,446		890,395
Other current liabilities		636,631		616,151		820,580
Total current liabilities		2,599,130		2,637,444		3,383,850
Other liabilities		793,946		893,174		1,262,455
Total liabilities		3,393,076		3,530,618		4,646,305
Total equity		48,310,127		48,605,612		50,066,471
Total liabilities and equity		51,703,203		52,136,230		54,712,776

GIGAMEDIA LIMITED

Reconciliations of Non-GAAP Results of Operations

	Three months ended
	3/31/2023			12/31/2022			3/31/2022
	unaudited			unaudited			unaudited
	USD			USD			USD
Reconciliation of Net Income (Loss) to EBITDA
Net income (loss) attributable to GigaMedia		(312,700	)		347,097			(1,099,138	)
Depreciation		10,326			6,998			5,764
Amortization		3,054			2,803			2,239
Interest income		(404,550	)		(343,762	)		(62,835	)
Interest expense		—			—			—
Income tax expense		—			263			—
EBITDA		(703,870	)		13,399			(1,153,970	)