Selected Quarterly Financial Information (Unaudited)

The following tables present Kopin’s quarterly operating results for the fiscal years ended December 31, 2016 and December 26, 2015. The information for each of these quarters is unaudited and has been prepared on the same basis as the audited consolidated financial statements. In the opinion of management, all necessary adjustments, consisting only of normal recurring adjustments, have been included to present fairly the unaudited consolidated quarterly results when read in conjunction with Kopin’s audited consolidated financial statements and related notes. These operating results are not necessarily indicative of the results of any future period.

Quarterly Periods During Fiscal Year Ended December 31, 2016:



	Three months ended March 26, 2016			Three months ended June 25, 2016 (3)			Three months ended September 24, 2016			Three months ended December 31, 2016 (4)
	(In thousands, except per share data)
Revenue	$	6,119		$	4,355		$	5,795		$	6,373
Gross profit (2)	$	1,342		$	(550	)	$	949		$	1,560
Loss from operations	$	(6,317	)	$	(993	)	$	(6,883	)	$	(6,280	)
Net (loss) gain attributable to the controlling interest	$	(6,932	)	$	(3,194	)	$	(8,117	)	$	(5,190	)
Net (loss) gain per share (1):
Basic	$	(0.11	)	$	(0.05	)	$	(0.13	)	$	(0.08	)
Diluted	$	(0.11	)	$	(0.05	)	$	(0.13	)	$	(0.08	)
Shares used in computing net loss per share from continuing operations:
Basic	63,978			64,011			64,048			64,138
Diluted	63,978			64,011			64,048			64,138


(1)	Net loss per share is computed independently for each of the quarters presented; accordingly, the sum of the quarterly net income per share may not equal the total computed for the year.


(2)	Gross profit is defined as net product revenue less cost of product revenues.


(3)	Includes $7.7 million impact on net gain attributable to the controlling interest relating to the gain on sale of a facility for the three month period ended June 25, 2016.


(4)	Includes $1.0 million impact on net gain attributable to the controlling interest relating to the gain on sale of an investment for the three month period ended December 31, 2016.

Quarterly Periods During Fiscal Year Ended December 26, 2015:



	Three months ended March 28, 2015 (3)			Three months ended June 27, 2015 (4)			Three months ended September 26, 2015			Three months ended December 26, 2015
	(In thousands, except per share data)
Revenue	$	8,585		$	10,857		$	8,001		$	4,612
Gross profit (2)	$	1,857		$	3,148		$	1,762		$	(118	)
(Loss) income from operations	$	(5,933	)	$	(5,474	)	$	(5,923	)	$	(7,906	)
Net loss attributable to the controlling interest	$	(3,885	)	$	683		$	(4,720	)	$	(6,771	)
Net loss per share from continuing operations (1):
Basic	$	(0.06	)	$	0.01		$	(0.07	)	$	(0.11	)
Diluted	$	(0.06	)	$	0.01		$	(0.07	)	$	(0.11	)
Shares used in computing net loss per share from continuing operations:
Basic	63,084			63,066			63,068			63,608
Diluted	63,084			65,030			63,068			63,608


(1)	Net loss per share is computed independently for each of the quarters presented; accordingly, the sum of the quarterly net income per share may not equal the total computed for the year.


(2)	Gross profit is defined as net component revenue less cost of component revenues.


(3)	Includes $2.1 million impact on net gain attributable to the controlling interest relating to the gain on sale of an investment for the three month period ended March 28, 2015.


(4)	Includes $5.5 million impact on net gain attributable to the controlling interest relating to the gain on sale of an investment for the three month period ended June 27, 2015.

Immaterial Restatement:

As a result of the embezzlement described in Note 14, we have made the following correcting adjustments to the amounts presented in our previously issued quarterly financial information:



Increase (Decrease)
	Three months ended March 26, 2016			Three months ended June 25, 2016			Three months ended March 28, 2015			Three months ended June 27, 2015			Three months ended September 26, 2015			Three months ended December 26, 2015
(In thousands)
Gross Profit	$	11		$	36		$	12		$	21		$	—		$	52
Loss from operations	11			36			12			21			—			52
Net (loss) gain attributable to the controlling interest	(15		)	(65		)	(47		)	(98		)	(45		)	189

The correcting adjustments did not result in any changes to previously reported basic and diluted earnings per share.