Wireless Telecom Group, Inc. (NYSE American: WTT) (the “Company”)
today announced results for the three months ended September 30,
2021.
Tim Whelan, CEO of Wireless Telecom Group, Inc.
stated, “The sequential improvements in quarterly revenue we have
experienced throughout 2021 is encouraging. We ended the 2021 third
quarter with the highest quarter of revenues since 2019, which
reflects the continued success of our acquisitions, investments in
organic growth initiatives, and improved market conditions.
Long-term investments in 5G solutions, satellite applications,
semiconductor test investments, and carrier network densification
continue to drive demand for our products. In addition, we
experienced strong orders across all our product groups and signed
another 5G software contract in the quarter for 5G small cell
deployment.”
Mr. Whelan continued, “During the quarter, we
also demonstrated our ability to generate improving profitability
and cash flow and we prepaid almost half of our outstanding term
debt. This is expected to decrease interest expense and improve
overall cash flow and profitability going forward.”
“Despite industry-wide supply chain challenges,
we expect to achieve another quarter of sequential revenue growth
in the fourth quarter. We anticipate incremental investment in the
fourth quarter as we continue to expand our team to support our
growing backlog and long-term growth opportunities, specifically in
our RBS product group for 5G small cell and private network
opportunities. As our business recovers, I want to thank our global
team members for their hard work and commitment,” concluded Mr.
Whelan.
Third Quarter 2021 Operating
Results:
|
● |
Net revenues of $12.8 million, an increase of $2.0 million, or
18.0% over the prior year period primarily due to increased sales
at our RF Components (“RFC”) product group due to increased carrier
spending and increased sales at our Radio, Baseband and Software
(“RBS”) product group due to higher sales of our digital signal
processing cards. |
|
● |
Gross profit of $6.5 million, an increase of $886,000, or 15.7%
over the prior year period primarily due to higher sales at RFC.
Gross profit margin declined marginally from 52% to 51% due to mix
primarily at RBS. |
|
● |
Backlog of $12.7 million, an increase of $267,000 from June 30,
2021. |
|
● |
As a percent of revenue, total operating expenses were 55.3%,
compared to 55.2% for the same period last year. Operating expenses
were $7.1 million, an increase of $1.1 million, or 18.1% from the
prior year period primarily due to the recognition of a loss on the
change in the fair value of contingent consideration related to the
year two Holzworth earn out. |
|
● |
GAAP net loss of $187,000 compared to a net loss of $775,000 in the
prior year period primarily due to the loss on change in fair value
of contingent consideration in the current year offset by improved
gross profit and the recognition of a tax benefit in the current
year. |
|
● |
Non-GAAP adjusted EBITDA of $1.1 million compared to $722,000 in
the prior year primarily due to higher revenues and gross profit.
Non-GAAP adjusted EBITDA is a metric the Company uses to measure
our core operations. A reconciliation of non-GAAP adjusted EBITDA
to GAAP net income is provided later in this press release. |
Cash Flow and Balance
Sheet:
|
● |
Cash provided by operations of $535,000 compared to cash used by
operations of $852,000 in the prior year period, due primarily to
an increase in operating income and lower cash used for working
capital as compared to the prior year. |
|
● |
Net debt of $3.2 million as of September 30, 2021, compared to $5.4
million as of December 31, 2020. |
|
● |
Outstanding borrowings under the asset-based revolver of $45,000
and availability of $5.1 million after giving effect to borrowing
base calculations as of September 30, 2021. |
Conference Call
Wireless Telecom Group Inc. will host a
conference call on November 11, 2021, at 8:30 a.m. EDT in which
management will discuss third quarter 2021 results and related
matters. To participate in the conference call, dial 800-346-7359
or 973-528-0008. The conference identification number is 903292.
The call will also be webcast over the internet at the following
URL:
https://www.webcaster4.com/Webcast/Page/1690/43473
A replay will be made available on the Wireless
Telecom website following the conference call.
Contacts:
Mike Kandell 973-386-9696
SM Berger and Company 216-464-6400
Use of Non-GAAP Financial Measures and
Key Performance Indicators
The Company reports its financial results in
accordance with generally accepted accounting principles (“GAAP”).
Management believes, however, that certain non-GAAP financial
measures used in managing the Company’s business may provide users
of this financial information with additional meaningful
comparisons between current results and prior reported results.
Certain of the information set forth herein and certain of the
information presented by the Company from time to time may
constitute non-GAAP financial measures within the meaning of
Regulation G adopted by the Securities and Exchange Commission. We
have presented herein a reconciliation of these measures to the
most directly comparable GAAP financial measure. The non-GAAP
measures presented herein may not be comparable to similarly titled
measures presented by other companies. The foregoing measures do
not serve as a substitute and should not be construed as a
substitute for GAAP performance but provide supplemental
information concerning our performance that our investors and we
find useful.
The Company defines EBITDA as its net earnings
before interest, taxes, depreciation, and amortization. “Adjusted
EBITDA” is EBITDA excluding our stock compensation expense,
restructuring charges, acquisition expenses, integration expenses,
unrealized and realized foreign exchange gains and losses, purchase
accounting adjustments, non-recurring legal fees associated with
the Harris arbitration, goodwill impairment charges, loss on change
in fair value of contingent consideration and other non-recurring
costs. A reconciliation of net income/(loss) to non-GAAP adjusted
EBITDA is included as an attachment to this press release.
The Company defines adjusted EBITDA margin as
adjusted EBITDA divided by revenue. The Company does not provide a
forward-looking reconciliation of expected adjusted EBITDA margin
because the amount and significance of special items required to
develop meaningful comparable GAAP financial measures cannot be
estimated at this time without unreasonable efforts. These special
items could be meaningful.
Book-to-bill ratio is the ratio of orders
received to units shipped and billed for a specified period. The
Company excludes billable freight from the calculation of units
shipped in determining the book-to-bill ratio.
GAAP operating expenses (“GAAP opex”) includes
research and development expenses, sales and marketing expenses,
general and administrative expenses, non-cash goodwill impairment
charges and loss on change in fair value of contingent
consideration. The Company defines non-GAAP operating expenses
(“Non-GAAP opex”) as GAAP opex excluding stock compensation
expense, restructuring charges, acquisition expenses, integration
expenses, depreciation and amortization expense, non-recurring
legal fees associated with the Harris arbitration, non-cash
goodwill impairment charges, loss on change in fair value of
contingent consideration and other non-recurring costs and
expenses.
The Company views adjusted EBITDA, adjusted
EBITDA margin and non-GAAP opex as important indicators of
performance, consistent with the manner in which management
measures and forecasts the Company’s performance. We believe
adjusted EBITDA is an important performance metric because it
facilitates the analysis of our results, exclusive of certain
non-cash and non-recurring items, including items which do not
directly correlate to our business operations.
The Company believes that adjusted EBITDA and
non GAAP opex metrics provide qualitative insight into our current
performance; we use these measures to evaluate our results, the
performance of our management team and our management’s entitlement
to incentive compensation; and we believe that making this
information available to investors enables them to view our
performance the way that we view our performance and thereby gain a
meaningful understanding of our core operating results, in general,
and from period to period.
The Company believes the book-to-bill ratio is a
key performance indicator used in measuring supply and demand in
the industries in which we operate as well as measuring how quickly
the Company fulfills the demand for its products.
Forward-Looking Statements
This press release contains “forward-looking
statements” within the meaning of Section 27A of the Securities Act
of 1933, as amended, and Section 21E of the Securities Exchange Act
of 1934, as amended. In some cases, such forward-looking statements
may be identified by terms such as believe, expect, seek, may,
will, intend, project, anticipate, plan, estimate, guidance, or
similar words. Forward-looking statements include, among others,
our expectation to decrease interest expense and improve overall
cash flow and profitability going forward and that our fourth
quarter will include another quarter of sequential growth along
with cost increases related to continued investments in our people
and expansion for growth in our backlog. Investors are cautioned
that such forward-looking statements are not guarantees of future
performance and involve a number of risks and uncertainties that
could materially affect actual results, including but not limited
to, the impact that the evolving COVID-19 pandemic may have on our
business, our supply chain, freight costs and the economy in the
future, our ability to hire and retain key personnel with
appropriate technical abilities, our dependency on capital spending
on data and communication networks by our customers and end users,
our dependency on the deployment of 4G LTE and 5G NR private
networks and related services to grow our business, the impact of
the loss of any significant customers, the ability of our
management to successfully implement our business plan and
strategy, our ability to raise additional capital to fund our
operations given our degree of leverage, product demand and
development of competitive technologies in our market sector, the
impact of competitive products and pricing, our abilities to
protect our intellectual property rights, our ability to manage
risks related to our information technology and cyber security,
among others. Should one or more of these risks or uncertainties
materialize, or should underlying assumptions prove incorrect,
actual results may vary materially from those anticipated,
estimated or projected. These risks and uncertainties are disclosed
in our Annual Report on Form 10-K for the year ended December 31,
2020, as supplemented and revised by the risks and uncertainties
set forth in the Company’s subsequent reports filed with the SEC.
The Company’s forward-looking statements speak only as of the date
of this release. The Company undertakes no obligation to publicly
update or review any forward-looking statements whether as a result
of new information, future developments or otherwise, as except as
required by law.
About Wireless Telecom Group,
Inc.
Wireless Telecom Group, Inc.,
comprised of Boonton, CommAgility, Holzworth, Microlab and
Noisecom, is a global designer and manufacturer of advanced RF and
microwave components, modules, systems, and instruments. Serving
the wireless, telecommunication, satellite, military, aerospace,
semiconductor and medical industries, Wireless Telecom Group
products enable innovation across a wide range of traditional and
emerging wireless technologies. With a unique set of
high-performance products including peak power meters, signal
generators, phase noise analyzers, signal processing modules, LTE
PHY/stack software, power splitters and combiners, GPS repeaters,
public safety components, noise sources, and programmable noise
generators, Wireless Telecom Group enables the development,
testing, and deployment of wireless technologies around the globe.
Wireless Telecom Group is headquartered in Parsippany, New Jersey,
in the New York City metropolitan area, and maintains a global
network of Sales and Service offices for excellent product service
and support. Wireless Telecom Group’s website address is
http://www.wirelesstelecomgroup.com.
Wireless Telecom Group Inc.25 Eastmans
RoadParsippany, NJ 07054Tel: (973) 386-9696Fax: (973) 402-4042
Wireless Telecom Group INC.
CONSOLIDATED STATEMENT OF OPERATIONS AND
COMPREHENSIVE
INCOME/(LOSS)(UNAUDITED)(In
thousands, except per share amounts)
|
|
For the Three Months Ended |
|
|
For the Nine Months Ended |
|
|
|
September 30 |
|
|
September 30 |
|
|
|
2021 |
|
|
2020 |
|
|
2021 |
|
|
2020 |
|
Net
revenues |
|
$ |
12,824 |
|
|
$ |
10,868 |
|
|
$ |
36,168 |
|
|
$ |
31,404 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Cost of revenues |
|
|
6,284 |
|
|
|
5,214 |
|
|
|
17,549 |
|
|
|
15,655 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Gross
profit |
|
|
6,540 |
|
|
|
5,654 |
|
|
|
18,619 |
|
|
|
15,749 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Operating expenses |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Research and development |
|
|
1,435 |
|
|
|
1,826 |
|
|
|
4,281 |
|
|
|
5,080 |
|
Sales and marketing |
|
|
1,854 |
|
|
|
1,732 |
|
|
|
5,266 |
|
|
|
5,111 |
|
General and administrative |
|
|
2,800 |
|
|
|
2,444 |
|
|
|
8,469 |
|
|
|
7,322 |
|
Loss on change in contingent consideration |
|
|
1,000 |
|
|
|
- |
|
|
|
1,000 |
|
|
|
- |
|
Total operating expenses |
|
|
7,089 |
|
|
|
6,002 |
|
|
|
19,016 |
|
|
|
17,513 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Operating income/(loss) |
|
|
(549 |
) |
|
|
(348 |
) |
|
|
(397 |
) |
|
|
(1,764 |
) |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Extinguishment of PPP
Loan |
|
|
- |
|
|
|
- |
|
|
|
2,045 |
|
|
|
- |
|
Other income/(expense) |
|
|
20 |
|
|
|
(43 |
) |
|
|
29 |
|
|
|
252 |
|
Interest expense |
|
|
(365 |
) |
|
|
(256 |
) |
|
|
(947 |
) |
|
|
(727 |
) |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Income/(Loss) before
taxes |
|
|
(894 |
) |
|
|
(647 |
) |
|
|
730 |
|
|
|
(2,239 |
) |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Tax provision/(benefit) |
|
|
(707 |
) |
|
|
128 |
|
|
|
(386 |
) |
|
|
352 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net
income/(loss) |
|
$ |
(187 |
) |
|
$ |
(775 |
) |
|
$ |
1,116 |
|
|
$ |
(2,591 |
) |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Other comprehensive
income/(loss): |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Foreign currency translation
adjustments |
|
|
(152 |
) |
|
|
565 |
|
|
|
(64 |
) |
|
|
(406 |
) |
Comprehensive
Income/(Loss) |
|
$ |
(339 |
) |
|
$ |
(210 |
) |
|
$ |
1,052 |
|
|
$ |
(2,997 |
) |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Loss per share: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Basic |
|
$ |
(0.01 |
) |
|
$ |
(0.04 |
) |
|
$ |
0.05 |
|
|
$ |
(0.12 |
) |
Diluted |
|
$ |
(0.01 |
) |
|
$ |
(0.04 |
) |
|
$ |
0.05 |
|
|
$ |
(0.12 |
) |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Weighted average shares
outstanding: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Basic |
|
|
22,234 |
|
|
|
21,703 |
|
|
|
21,900 |
|
|
|
21,643 |
|
Diluted |
|
|
22,234 |
|
|
|
21,703 |
|
|
|
24,219 |
|
|
|
21,643 |
|
CONSOLIDATED BALANCE
SHEET(In thousands, except number of shares and
par value)
|
|
(unaudited) |
|
|
|
|
|
|
September 302021 |
|
|
December 312020 |
|
CURRENT
ASSETS |
|
|
|
|
|
|
|
|
Cash & cash equivalents |
|
$ |
1,283 |
|
|
$ |
4,910 |
|
Accounts receivable - net of reserves of $216 and $143,
respectively |
|
|
7,420 |
|
|
|
5,520 |
|
Inventories - net of reserves of $1,241 and $1,129,
respectively |
|
|
9,655 |
|
|
|
8,796 |
|
Prepaid expenses and other current assets |
|
|
2,058 |
|
|
|
2,172 |
|
|
|
|
|
|
|
|
|
|
TOTAL CURRENT
ASSETS |
|
|
20,416 |
|
|
|
21,398 |
|
|
|
|
|
|
|
|
|
|
PROPERTY PLANT AND
EQUIPMENT - NET |
|
|
1,629 |
|
|
|
1,824 |
|
|
|
|
|
|
|
|
|
|
OTHER
ASSETS |
|
|
|
|
|
|
|
|
Goodwill |
|
|
11,461 |
|
|
|
11,512 |
|
Acquired intangible assets, net |
|
|
4,249 |
|
|
|
5,242 |
|
Deferred income taxes, net |
|
|
6,162 |
|
|
|
5,701 |
|
Right of use assets |
|
|
1,282 |
|
|
|
1,680 |
|
Other |
|
|
548 |
|
|
|
561 |
|
|
|
|
|
|
|
|
|
|
TOTAL OTHER
ASSETS |
|
|
23,702 |
|
|
|
24,696 |
|
|
|
|
|
|
|
|
|
|
TOTAL
ASSETS |
|
$ |
45,747 |
|
|
$ |
47,918 |
|
|
|
|
|
|
|
|
|
|
CURRENT
LIABILITIES |
|
|
|
|
|
|
|
|
Short term debt |
|
$ |
150 |
|
|
$ |
512 |
|
Accounts payable |
|
|
2,205 |
|
|
|
1,546 |
|
Short term leases |
|
|
572 |
|
|
|
534 |
|
Accrued expenses and other current liabilities |
|
|
7,656 |
|
|
|
7,997 |
|
Deferred revenue |
|
|
691 |
|
|
|
924 |
|
|
|
|
|
|
|
|
|
|
TOTAL CURRENT
LIABILITIES |
|
|
11,274 |
|
|
|
11,513 |
|
|
|
|
|
|
|
|
|
|
LONG TERM
LIABILITIES |
|
|
|
|
|
|
|
|
Long term debt |
|
|
3,578 |
|
|
|
8,895 |
|
Long term leases |
|
|
766 |
|
|
|
1,200 |
|
Other long term liabilities |
|
|
1,678 |
|
|
|
82 |
|
Deferred tax liability |
|
|
444 |
|
|
|
377 |
|
TOTAL LONG TERM
LIABILITIES |
|
|
6,466 |
|
|
|
10,554 |
|
|
|
|
|
|
|
|
|
|
COMMITMENTS AND
CONTINGENCIES |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
SHAREHOLDERS’
EQUITY |
|
|
|
|
|
|
|
|
Preferred Stock, $.01 par value, 2,000,000 shares authorized, none
issued |
|
|
- |
|
|
|
- |
|
Common Stock, $.01 par value, 75,000,000 shares
authorized35,550,342 and 34,888,904 shares issued, 22,310,889 and
21,669,361 shares outstanding |
|
|
355 |
|
|
|
349 |
|
Additional paid in capital |
|
|
51,305 |
|
|
|
50,163 |
|
Retained earnings/(deficit) |
|
|
171 |
|
|
|
(946 |
) |
Treasury stock at cost, 13,239,453 and 13,219,543 shares |
|
|
(24,600 |
) |
|
|
(24,556 |
) |
Accumulated other comprehensive income |
|
|
776 |
|
|
|
841 |
|
TOTAL SHAREHOLDERS’
EQUITY |
|
|
28,007 |
|
|
|
25,851 |
|
|
|
|
|
|
|
|
|
|
TOTAL LIABILITIES AND
SHAREHOLDERS’ EQUITY |
|
$ |
45,747 |
|
|
$ |
47,918 |
|
CONSOLIDATED STATEMENTS OF CASH
FLOWS(UNAUDITED)(In
thousands)
|
|
For the Nine Months |
|
|
|
Ended September 30, |
|
|
|
2021 |
|
|
2020 |
|
CASH FLOWS
PROVIDED/(USED) BY OPERATING ACTIVITIES |
|
|
|
|
|
|
|
|
Net income/(loss) |
|
$ |
1,116 |
|
|
$ |
(2,591 |
) |
Adjustments to reconcile net income/(loss) to net cash provided by
operating activities: |
|
|
|
|
|
|
|
|
Depreciation and amortization |
|
|
1,604 |
|
|
|
1,631 |
|
Extinguishment of PPP Loan |
|
|
(2,045 |
) |
|
|
- |
|
Amortization of debt issuance fees |
|
|
217 |
|
|
|
215 |
|
Share-based compensation expense |
|
|
301 |
|
|
|
360 |
|
Deferred rent |
|
|
(22 |
) |
|
|
(22 |
) |
Deferred income taxes |
|
|
(387 |
) |
|
|
1,057 |
|
Provision for doubtful accounts |
|
|
72 |
|
|
|
(28 |
) |
Inventory reserves |
|
|
115 |
|
|
|
119 |
|
Changes in assets and
liabilities, net of acquisition: |
|
|
|
|
|
|
|
|
Accounts receivable |
|
|
(1,998 |
) |
|
|
(1,343 |
) |
Inventories |
|
|
(993 |
) |
|
|
(461 |
) |
Prepaid expenses and other assets |
|
|
459 |
|
|
|
(226 |
) |
Accounts payable |
|
|
728 |
|
|
|
(451 |
) |
Accrued expenses and other liabilities |
|
|
1,368 |
|
|
|
888 |
|
Net cash provided/(used) by operating
activities |
|
|
535 |
|
|
|
(852 |
) |
|
|
|
|
|
|
|
|
|
CASH FLOWS
PROVIDED/(USED) BY INVESTING ACTIVITIES |
|
|
|
|
|
|
|
|
Capital expenditures |
|
|
(417 |
) |
|
|
(228 |
) |
Acquisition of business, net of cash acquired |
|
|
(200 |
) |
|
|
(7,189 |
) |
Net cash provided/(used) by investing
activities |
|
|
(617 |
) |
|
|
(7,417 |
) |
|
|
|
|
|
|
|
|
|
CASH FLOWS
PROVIDED/(USED) BY FINANCING ACTIVITIES |
|
|
|
|
|
|
|
|
Revolver borrowings |
|
|
50,220 |
|
|
|
27,432 |
|
Revolver repayments |
|
|
(50,175 |
) |
|
|
(29,786 |
) |
Term loan borrowings |
|
|
345 |
|
|
|
8,400 |
|
Term loan repayments |
|
|
(4,191 |
) |
|
|
(405 |
) |
Debt issuance fees |
|
|
- |
|
|
|
(1,305 |
) |
Paycheck Protection Program loan |
|
|
- |
|
|
|
2,045 |
|
Payment of contingent consideration |
|
|
(460 |
) |
|
|
- |
|
Proceeds from exercise of stock options |
|
|
209 |
|
|
|
15 |
|
Tax withholding payments for vested equity awards |
|
|
(44 |
) |
|
|
(31 |
) |
ATM Shares Sold |
|
|
565 |
|
|
|
- |
|
Net cash provided/(used) by financing
activities |
|
|
(3,531 |
) |
|
|
6,365 |
|
|
|
|
|
|
|
|
|
|
Effect of exchange rate
changes on cash and cash equivalents |
|
|
(14 |
) |
|
|
(138 |
) |
NET INCREASE/(DECREASE) IN
CASH AND CASH EQUIVALENTS |
|
|
(3,627 |
) |
|
|
(2,042 |
) |
|
|
|
|
|
|
|
|
|
Cash and cash equivalents, at beginning of period |
|
|
4,910 |
|
|
|
4,245 |
|
|
|
|
|
|
|
|
|
|
CASH AND CASH EQUIVALENTS, AT END OF PERIOD |
|
$ |
1,283 |
|
|
$ |
2,203 |
|
|
|
|
|
|
|
|
|
|
SUPPLEMENTAL INFORMATION: |
|
|
|
|
|
|
|
|
Cash paid during the period for interest |
|
$ |
698 |
|
|
$ |
527 |
|
Cash paid during the period for income taxes |
|
$ |
150 |
|
|
$ |
53 |
|
NET REVENUE AND GROSS PROFIT BY PRODUCT
GROUP(In thousands, unaudited)
|
|
Three months ended September 30 |
|
|
|
Revenue |
|
|
% of Revenue |
|
|
Change |
|
|
|
2021 |
|
|
2020 |
|
|
2021 |
|
|
2020 |
|
|
Amount |
|
|
Pct. |
|
RF components |
|
$ |
5,448 |
|
|
$ |
4,418 |
|
|
|
42.5 |
% |
|
|
40.7 |
% |
|
$ |
1,030 |
|
|
|
23.3 |
% |
Test and measurement |
|
|
5,931 |
|
|
|
5,797 |
|
|
|
46.2 |
% |
|
|
53.3 |
% |
|
|
134 |
|
|
|
2.3 |
% |
Radio, baseband, software |
|
|
1,445 |
|
|
|
653 |
|
|
|
11.3 |
% |
|
|
6.0 |
% |
|
|
792 |
|
|
|
121.3 |
% |
Total net revenues |
|
$ |
12,824 |
|
|
$ |
10,868 |
|
|
|
100.0 |
% |
|
|
100.0 |
% |
|
$ |
1,956 |
|
|
|
18.0 |
% |
|
|
Three months ended September 30 |
|
|
|
Gross Profit |
|
|
Gross Profit % |
|
|
Change |
|
|
|
2021 |
|
|
2020 |
|
|
2021 |
|
|
2020 |
|
|
Amount |
|
|
Pct. |
|
RF components |
|
$ |
2,497 |
|
|
$ |
1,927 |
|
|
|
45.8 |
% |
|
|
43.6 |
% |
|
$ |
570 |
|
|
|
29.6 |
% |
Test and measurement |
|
|
3,367 |
|
|
|
3,182 |
|
|
|
56.8 |
% |
|
|
54.9 |
% |
|
|
185 |
|
|
|
5.8 |
% |
Radio, baseband, software |
|
|
676 |
|
|
|
545 |
|
|
|
46.8 |
% |
|
|
83.5 |
% |
|
|
131 |
|
|
|
24.0 |
% |
Total gross profit |
|
$ |
6,540 |
|
|
$ |
5,654 |
|
|
|
51.0 |
% |
|
|
52.0 |
% |
|
$ |
886 |
|
|
|
15.7 |
% |
|
|
Nine months ended September 30 |
|
|
|
Revenue |
|
|
% of Revenue |
|
|
Change |
|
|
|
2021 |
|
|
2020 |
|
|
2021 |
|
|
2020 |
|
|
Amount |
|
|
Pct. |
|
RF components |
|
$ |
12,820 |
|
|
$ |
14,555 |
|
|
|
35.4 |
% |
|
|
46.4 |
% |
|
$ |
(1,735 |
) |
|
|
-11.9 |
% |
Test and measurement |
|
|
16,779 |
|
|
|
14,013 |
|
|
|
46.4 |
% |
|
|
44.6 |
% |
|
|
2,766 |
|
|
|
19.7 |
% |
Radio, baseband, software |
|
|
6,569 |
|
|
|
2,836 |
|
|
|
18.2 |
% |
|
|
9.0 |
% |
|
|
3,733 |
|
|
|
131.6 |
% |
Total net revenues |
|
$ |
36,168 |
|
|
$ |
31,404 |
|
|
|
100.0 |
% |
|
|
100.0 |
% |
|
$ |
4,764 |
|
|
|
15.2 |
% |
|
|
Nine months ended September 30 |
|
|
|
Gross Profit |
|
|
Gross Profit % |
|
|
Change |
|
|
|
2021 |
|
|
2020 |
|
|
2021 |
|
|
2020 |
|
|
Amount |
|
|
Pct. |
|
RF components |
|
$ |
5,345 |
|
|
$ |
6,576 |
|
|
|
41.7 |
% |
|
|
45.2 |
% |
|
$ |
(1,231 |
) |
|
|
-18.7 |
% |
Test and measurement |
|
|
9,690 |
|
|
|
7,451 |
|
|
|
57.8 |
% |
|
|
53.2 |
% |
|
|
2,239 |
|
|
|
30.0 |
% |
Radio, baseband, software |
|
|
3,584 |
|
|
|
1,722 |
|
|
|
54.6 |
% |
|
|
60.7 |
% |
|
|
1,862 |
|
|
|
108.1 |
% |
Total gross profit |
|
$ |
18,619 |
|
|
$ |
15,749 |
|
|
|
51.5 |
% |
|
|
50.1 |
% |
|
$ |
2,870 |
|
|
|
18.2 |
% |
RECONCILIATION OF NET INCOME TO NON-GAAP
EBITDA AND NON-GAAP ADJUSTED EBITDA(In thousands,
unaudited)
|
|
Three Months Ended |
|
|
Nine Months Ended |
|
|
|
September 30 |
|
|
September 30 |
|
|
|
2021 |
|
|
2020 |
|
|
2021 |
|
|
2020 |
|
GAAP net
income/(loss), as reported |
|
$ |
(187 |
) |
|
$ |
(775 |
) |
|
$ |
1,116 |
|
|
$ |
(2,591 |
) |
Tax provision/(benefit) |
|
|
(707 |
) |
|
|
128 |
|
|
|
(386 |
) |
|
|
352 |
|
Depreciation and amortization
expense |
|
|
539 |
|
|
|
579 |
|
|
|
1,604 |
|
|
|
1,631 |
|
Interest expense |
|
|
365 |
|
|
|
256 |
|
|
|
947 |
|
|
|
727 |
|
Non-GAAP
EBITDA |
|
|
10 |
|
|
|
188 |
|
|
|
3,281 |
|
|
|
119 |
|
Stock compensation |
|
|
98 |
|
|
|
151 |
|
|
|
301 |
|
|
|
360 |
|
Merger and
acquisition/integration |
|
|
43 |
|
|
|
15 |
|
|
|
114 |
|
|
|
243 |
|
Restructuring costs |
|
|
- |
|
|
|
46 |
|
|
|
36 |
|
|
|
119 |
|
Inventory impairment
recovery |
|
|
- |
|
|
|
(14 |
) |
|
|
- |
|
|
|
(29 |
) |
US GAAP purchase
accounting |
|
|
- |
|
|
|
258 |
|
|
|
- |
|
|
|
548 |
|
Change in fair value of
contingent consideration |
|
|
1,000 |
|
|
|
- |
|
|
|
1,000 |
|
|
|
- |
|
FX (gain)/loss |
|
|
(14 |
) |
|
|
95 |
|
|
|
(19 |
) |
|
|
(140 |
) |
PPP Loan forgiveness |
|
|
- |
|
|
|
- |
|
|
|
(2,045 |
) |
|
|
- |
|
Non recurring arbitration
legal costs |
|
|
- |
|
|
|
(17 |
) |
|
|
4 |
|
|
|
(14 |
) |
Non-GAAP Adjusted
EBITDA |
|
$ |
1,137 |
|
|
$ |
722 |
|
|
$ |
2,672 |
|
|
$ |
1,206 |
|
RECONCILIATION OF OPEX TO NON-GAAP
OPEX(In thousands, unaudited)
|
|
Three Months Ended |
|
|
Nine Months Ended |
|
|
|
September 30 |
|
|
September 30 |
|
|
|
2021 |
|
|
2020 |
|
|
2021 |
|
|
2020 |
|
GAAP
Opex |
|
$ |
7,089 |
|
|
$ |
6,002 |
|
|
$ |
19,016 |
|
|
$ |
17,513 |
|
Stock compensation |
|
|
(98 |
) |
|
|
(151 |
) |
|
|
(301 |
) |
|
|
(360 |
) |
Merger and
acquisition/integration |
|
|
(43 |
) |
|
|
(15 |
) |
|
|
(114 |
) |
|
|
(243 |
) |
Restructuring costs |
|
|
- |
|
|
|
(46 |
) |
|
|
(36 |
) |
|
|
(119 |
) |
US GAAP purchase
accounting |
|
|
- |
|
|
|
- |
|
|
|
- |
|
|
|
(100 |
) |
Depreciation &
amortization (ex. COGS) |
|
|
(456 |
) |
|
|
(478 |
) |
|
|
(1,354 |
) |
|
|
(1,356 |
) |
Change in fair value of
contingent consideration |
|
|
(1,000 |
) |
|
|
- |
|
|
|
(1,000 |
) |
|
|
- |
|
Non recurring arbitration
legal costs |
|
|
- |
|
|
|
17 |
|
|
|
(4 |
) |
|
|
14 |
|
Non GAAP
Opex |
|
$ |
5,492 |
|
|
$ |
5,329 |
|
|
$ |
16,207 |
|
|
$ |
15,349 |
|
Wireless Telecom (AMEX:WTT)
Historical Stock Chart
From Mar 2024 to Apr 2024
Wireless Telecom (AMEX:WTT)
Historical Stock Chart
From Apr 2023 to Apr 2024