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Concurrent Reports Fiscal 2012 Fourth Quarter and Fiscal Year Financial Results
Aug 28, 2012 (05:08 PM EDT)
ATLANTA, Aug. 28, 2012 /PRNewswire/ -- Concurrent (NASDAQ: CCUR), a global leader in video and media data solutions, today announced financial results for its fourth quarter and fiscal year ended June 30, 2012.
Revenue for the fiscal 2012 fourth quarter was $14.7 million compared with $15.1 million for the same period in fiscal 2011, and $16.3 million in the preceding quarter of fiscal 2012.
Gross margin for the fiscal 2012 fourth quarter was 57% compared with 56% for the same period in fiscal 2011, and 61% in the preceding quarter of fiscal 2012, primarily reflecting the mix of product and service revenue. Operating expenses were $8.3 million, compared with $10.3 million for the same period in fiscal 2011, and $9.3 million in the preceding quarter of fiscal 2012.
The company reported net income of $209,000, or $0.02 per diluted share, in the fourth quarter of fiscal 2012, compared with a loss of $1.4 million, or $0.16 per diluted share, in the same period in fiscal 2011, and net income of $337,000, or $0.04 per diluted share, in the preceding quarter of fiscal 2012.
"In the fourth quarter, the company achieved profitability despite a disappointing revenue level," said Dan Mondor, the company's president and CEO. "We improved our operating model by implementing a number of process improvements and made significant organization changes, which resulted in operational efficiency gains. The measures we took throughout the year and primarily in the second half resulted in operating expense reductions of $1 million compared to the prior quarter and $2 million compared to the same quarter last fiscal year." Mondor continued, "The competitive position of our products remains solid, however, we were significantly impacted by lower spending levels by some of our top customers in fiscal 2012."
For fiscal 2012, revenue totaled approximately $60.3 million compared with $66.8 million for fiscal 2011. Consolidated gross margin for the year was over 57% compared with 56% for fiscal 2011. Total operating expenses were $36.8 million compared with total operating expenses of $40.1 million for fiscal 2011. For fiscal 2012, the company posted a net loss of $2.9 million, equal to $0.34 per share, compared with a net loss of $3.3 million, equal to $0.39 per share, in fiscal 2011.
At June 30, 2012, Concurrent had cash and cash equivalents of $29.6 million. The company has no debt.
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Conference Call Information
Concurrent will hold a conference call to discuss its fiscal 2012 fourth quarter and fiscal year financial results today, Tuesday, August 28th, at 4:30 p.m. ET, followed by a question and answer session with analysts. The call will be broadcast live at www.ccur.com, under the "Investors" section. The call can be accessed live by dialing 1-800-230-1059 and entering pass code 120828. A webcast of the live call as well as a replay will also be available at www.ccur.com.
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Certain statements made or incorporated by reference in this release may constitute "forward-looking statements" within the meaning of the federal securities laws. Statements regarding future events and developments and the company's future performance, including, but not limited to, management's expectations, beliefs, plans, estimates, or projections relating to the future, are forward-looking statements within the meaning of these laws. All forward-looking statements are subject to certain risks and uncertainties that could cause actual events to differ materially from those projected.
The risks and uncertainties which could affect our financial condition or results of operations include, without limitation: delays or cancellations of customer orders; changes in product demand; economic conditions; various inventory risks due to changes in market conditions; margins of video business to capture new business; fluctuations and timing of large video orders; doing business in the People's Republic of China; uncertainties relating to the development and ownership of intellectual property; uncertainties relating to our ability and the ability of other companies to enforce their intellectual property rights; the pricing and availability of equipment, materials and inventories; the concentration of our customers; failure to effectively manage change; delays in testing and introductions of new products; the impact of reductions in force on our operations; rapid technology changes; system errors or failures; reliance on a limited number of suppliers and failure of components provided by those suppliers; uncertainties associated with international business activities, including foreign regulations, trade controls, taxes, and currency fluctuations; the impact of competition on the pricing of video solutions products; our ability to satisfy the financial covenants in the Revolver; failure to effectively service the installed base; the entry of new well-capitalized competitors into our markets; the success of new video solutions; the success of our relationships with technology and channel partners; capital spending patterns by a limited customer base; the current challenging macro-economic environment; continuing unevenness of the global economic recovery; privacy concerns over data collection; earthquakes, tsunamis, floods and other natural disasters in areas in which our customers and suppliers operate; and the availability of debt or equity financing to support our liquidity needs.
Other important risk factors are discussed in Concurrent's Form 10-K filed August 30, 2011 and Form 10-Q filed January 31, 2012 with the Securities and Exchange Commission (SEC), and may be discussed in subsequent filings with the SEC. The risk factors discussed in the Forms 10-K and 10-Q under the heading "Risk Factors" are specifically incorporated by reference in this press release. Forward-looking statements are based on current expectations and speak only as of the date of such statements. Concurrent undertakes no obligation to publicly update or revise any forward-looking statement, whether as a result of future events, new information, or otherwise.
Concurrent Computer Corporation and its logo are registered trademarks of Concurrent. All other Concurrent product names are trademarks of Concurrent while all other product names are trademarks or registered trademarks of their respective owners.