The Weebit Nano Ltd (ASX: WBT) share price has soared into the green in afternoon trade on Monday.
Weebit shares are exchanging hands at $2.82 apiece, up 6% after hitting an intraday high of $2.90 apiece, a 9% jump from the market open.
Today's moves in the Weebit share price come after it finished in the red last Friday as the computer chip developer released its FY21 earnings.
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A quick refresher on Weebit Nano
Weebit Nano develops 'next-generation' memory technology for the semiconductor industry.
Its flagship technology uses resistive RAM (ReRAM) technology to make semiconductor elements cheaper and more efficient.
At the time of writing, Weebit Nano has a market capitalisation of $327 million.
How did the Weebit share price respond to the company's FY21 earnings?
Weebit recorded no revenue for FY21, stating it was still in the "research and development (R&D) stage" and had not yet reached a commercial stage.
The company recorded losses before tax of $11.3 million, a massive 180% year on year increase from the loss recognised in FY20.
The widened loss was underlined by a 3,400% jump in R&D costs that came to $5.3 million, amid a 380% rise in sales and marketing expenses. This was coupled with a 23% increase in administrative expenses over the year.
This came through to a loss on earnings per share of 10.1 cents, signifying a 77% increase from the year prior.
Investors were quick to put the selling pressure on Weebit shares on Friday, selling the company's shares in droves. As a result, the Weebit share price closed around 4% lower from the open on Friday.
Despite this downward pressure, the Weebit share price has made a recovery on Monday. However, it is still trading well below its 52-week high of $4.27 back in January.
Weebit Nano share price snapshot
The Weebit Nano share price has posted a year to date return of 19%, extending the previous 12 month's gain of 368%.
These results have outpaced the S&P/ASX 200 index (ASX: XJO)'s climb of about 25% in the past year.
