Westell Technologies, Inc. (NASDAQ:WSTL), a leading provider
of high-performance wireless infrastructure solutions, today issued
an open letter to shareholders.
Dear Shareholders:
We want to take this opportunity to highlight some of the recent
actions Westell has taken to solidify its strong financial position
and operational platform.
During fiscal year 2017, which ended March 31, 2017, we
completed our plan to reset the Company’s cost and expense
structure, leading to significant changes in how we operate the
business. Today, Westell benefits from a major reduction in
operating expense and a more effective organizational
structure. Over the past six months we have turned a corner
by delivering improved profitability, growing cash, and maintaining
a strong, debt-free balance sheet.
With this strong financial and operational foundation in place,
we now turn our attention to growing the Company and building
greater value for shareholders. Our vision for fiscal 2018
and beyond is to effectively harness our position as a leading
provider of high-performance wireless network infrastructure
solutions to secure new business opportunities.
As a result of Westell’s longstanding commitment to customers
and high-quality products and solutions, the Company has
established itself as a trusted supplier to a diversified customer
base of service providers, integrators/OEMs, neutral host
operators, and distribution channel partners. These customers
include several Blue Chip companies, and we plan to leverage these
relationships to expand in areas where we have identified
significant growth potential.
Our main area of focus in the immediate future is the emerging
market for in-building wireless public safety equipment. A
growing awareness of the need for fire, police, and Emergency
Medical Services (EMS) personnel to have reliable and modern mobile
communication capabilities inside buildings has led to greater
investment in indoor public safety communication. With local
governments increasingly having the jurisdiction to set in-building
public safety coverage requirements, we are seeing expanding
regulatory requirements to ensure proper coverage in case of
emergencies. We are also excited about the future prospects
for FirstNet, the new, planned nationwide broadband network for
first responders.
Over the past year, we have introduced new products specifically
for public safety. These products are gaining traction in the
marketplace, and we have other new products in development for
release later this year. We are confident that our years of
in-building wireless experience has equipped us well to serve the
public safety market.
The recent months have been a pivotal time for the Company and
we believe Westell is well positioned for the future. On May
30, our shareholders recommitted the Company to its NASDAQ listing
by approving a reverse stock split. Although this was a
difficult decision, the NASDAQ listing has an important role in
supporting liquidity and volume in the stock, and we believe this
will serve the long-term interests of all shareholders.
Westell’s stock began trading at the post-split level on June
8. In addition, on May 17, the Board of Directors authorized
a new stock repurchase program of up to $2 million of our Class A
common stock. This repurchase program is expected to return
value to our loyal shareholders and reflects our confidence in the
future of the Company. We are now reaching an exciting
inflection point due to our successful campaign to reset expenses
and improve overall efficiencies. Our goal is to drive revenue
growth and continue improving profitability moving forward.
On behalf of management and the Board of Directors, we thank you
for your continued support and we look forward to our mutual
success.
Sincerely,
Dennis Harris |
Kirk Brannock |
Chairman of the Board
of Directors |
President and Chief
Executive Officer |
Westell Technologies,
Inc. |
Westell Technologies,
Inc. |
About Westell Technologies
Westell is a leading provider of high-performance wireless
infrastructure solutions focused on innovation and differentiation
at the edge of communication networks where end users
connect. The Company's portfolio of products and solutions
enables service providers and network operators to improve
performance and reduce operating expenses. With millions of
products successfully deployed worldwide, Westell is a trusted
partner for transforming networks into high-quality reliable
systems. For more information, please visit westell.com.
Twitter - Company: @Westell_Tech
“Safe Harbor” Statement under the Private Securities
Litigation Reform Act of 1995
Certain statements contained herein that are not historical
facts or that contain the words “believe,” “expect,” “intend,”
“anticipate,” “estimate,” “may,” “will,” “plan,” “should,” or
derivatives thereof and other words of similar meaning are
forward-looking statements that involve risks and
uncertainties. Actual results may differ materially from
those expressed in or implied by such forward-looking
statements. Factors that could cause actual results to differ
materially include, but are not limited to, product demand and
market acceptance risks, customer spending patterns, need for
financing and capital, economic weakness in the United States
(“U.S.”) economy and telecommunications market, the effect of
international economic conditions and trade, legal, social and
economic risks (such as import, licensing and trade restrictions),
the impact of competitive products or technologies, competitive
pricing pressures, customer product selection decisions, product
cost increases, component supply shortages, new product
development, excess and obsolete inventory, commercialization and
technological delays or difficulties (including delays or
difficulties in developing, producing, testing and selling new
products and technologies), the ability to successfully consolidate
and rationalize operations, the ability to successfully identify,
acquire and integrate acquisitions, the effect of the Company's
accounting policies, retention of key personnel and other risks
more fully described in the Company's SEC filings, including the
Form 10-K for the fiscal year ended March 31, 2017, under
Item 1A - Risk Factors. The Company undertakes no
obligation to publicly update these forward-looking statements to
reflect current events or circumstances after the date hereof, or
to reflect the occurrence of unanticipated events, or
otherwise.
Westell Investor Relations Contact
Tom Minichiello
Senior Vice President, Chief Financial Officer, Treasurer, and Secretary
Westell Technologies
630-375-4740
tminichiello@westell.com
Westell Technologies (NASDAQ:WSTL)
Historical Stock Chart
From Mar 2024 to Apr 2024
Westell Technologies (NASDAQ:WSTL)
Historical Stock Chart
From Apr 2023 to Apr 2024