TechWeb

Concurrent Reports Fiscal 2012 Fourth Quarter and Fiscal Year Financial Results

Aug 28, 2012 (05:08 PM EDT)
URL: http://www.techweb.com/show-press-release/X920068/concurrent-reports-fiscal-2012-fourth-quarter-and-fiscal-year-financial-results.html

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.

(Logo: http://photos.prnewswire.com/prnh/20110317/CL67141LOGO )

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.

Recent Company Highlights

  • Deployed its MediaHawk® VX Unified Content Delivery Solution to J:COM, the largest cable operator in Japan, to deliver TV Everywhere services to a wide range of connected consumer devices, including Apple® iPads®, iPhones® and Android® mobile devices and PCs across J:COM's 2.5 million subscribers;
  • Enhanced MediaHawk VX Unified CDN solution to support the ATIS IIF specification for IPTV, enabling Concurrent's products to work within pre-existing IP CDN environments;  
  • Released SIMulation Workbench™ 5.0-2 with support for Simulink bus structures and an enhanced scheduler to support our real-time customers in both the aerospace and automotive markets;
  • Initiated a quarterly cash dividend of $0.06 per share; and
  • Expanded its Board of Directors with the addition of two experienced telecommunication industry leaders, Robert Pons and Dilip Singh.

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.

Click here to view Financial Results

About Concurrent
Concurrent (NASDAQ: CCUR) is a global leader in multi-screen video delivery, media data management and real-time computing solutions. Built on a solid foundation of Emmy Award-winning technology, service providers, content providers, and others across the video ecosystem are provided with enterprise-level CDN technology, multi-screen video delivery, content workflow applications, and video on demand. Additionally, Concurrent's media data solutions provide media stakeholders with a holistic view of their consumers' video experience, offering opportunities for monetization. Concurrent's video solutions are built upon a rich heritage of Real-Time technology, which has powered solutions for the aerospace, defense, automotive, transportation, energy and financial industries for more than four decades. Concurrent is headquartered in Atlanta with offices in North America, Europe and Asia.  Visit www.ccur.com for further information. Follow us on Twitter: www.twitter.com/Concurrent_CCUR.

For more information, contact:

Investor Relations:
Concurrent                                          
Kirk Somers
(678) 258-4000
investor.relations@ccur.com                               

Media Relations:
Concurrent
Kristen Izzo
(678) 258-4221
Kristen.Izzo@ccur.com

Arketi Group                                        
Joy Reddy                                 
(404) 929-0091 x 209                            
jreddy@arketi.com  

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.

 




Concurrent Computer Corporation




Condensed Consolidated Statements of Operations (Unaudited)




(In Thousands Except Per Share Data)


















 Three Months Ended June 30, 


 Twelve Months Ended June 30, 






2012


2011


2012


2011













Revenues:










Product 


$             8,167


$             8,426


$           34,981


$           41,287


Service 


6,541


6,667


25,316


25,513




Total revenues


14,708


15,093


60,297


66,800













Cost of sales:










Product 


3,038


3,552


13,706


17,437


Service 


3,224


3,085


11,854


11,966




Total cost of sales


6,262


6,637


25,560


29,403













Gross margin


8,446


8,456


34,737


37,397













Operating expenses:










Sales and marketing


3,666


4,630


16,257


17,346


Research and development


2,781


3,453


13,153


14,129


General and administrative


1,812


2,191


7,373


8,641




Total operating expenses


8,259


10,274


36,783


40,116













Operating income (loss)


187


(1,818)


(2,046)


(2,719)













Other income (expense), net


241


(51)


(190)


10

Income (loss) before income taxes


428


(1,869)


(2,236)


(2,709)













Income tax provision (benefit)


219


(516)


651


546













Net income (loss)


$                209


$           (1,353)


$           (2,887)


$           (3,255)













Basic net income (loss) per share


$               0.02


$             (0.16)


$             (0.34)


$             (0.39)













Diluted net income (loss) per share


$               0.02


$             (0.16)


$             (0.34)


$             (0.39)













Basic weighted average shares outstanding


8,658


8,438


8,602


8,409













Diluted weighted average shares outstanding


8,776


8,438


8,602


8,409













 




Concurrent Computer Corporation




Condensed Consolidated Statements of Operations (Unaudited)




(In Thousands Except Per Share Data)















 Three Months Ended  







 June 30, 


 March 31, 







2012


2012











Revenues:







Product 


$             8,167


$             9,996



Service 


6,541


6,295





Total revenues


14,708


16,291











Cost of sales:







Product 


3,038


3,329



Service 


3,224


2,950





Total cost of sales


6,262


6,279











Gross margin


8,446


10,012











Operating expenses:







Sales and marketing


3,666


3,993



Research and development


2,781


3,446



General and administrative


1,812


1,841





Total operating expenses


8,259


9,280











Operating income


187


732











Other (expense), net


241


(264)


Income before income taxes


428


468











Provision for income taxes


219


131











Net income 


$                209


$                337











Basic net income per share


$               0.02


$               0.04











Diluted net income per share


$               0.02


$               0.04











Basic weighted average shares outstanding


8,658


8,644











Diluted weighted average shares outstanding


8,776


8,751











 


Concurrent Computer Corporation



 Condensed Consolidated Balance Sheets



(In Thousands)
















June 30,


March 31,


June 30,







2012


2012


2011







(unaudited)


(unaudited)

















ASSETS











 Cash and cash equivalents 


$           29,613


$           23,332


$           27,814





 Short-term investments 


-


-


5,497





 Trade accounts receivable, net 


8,739


15,255


8,033





 Inventories 


3,683


4,111


3,847





 Prepaid expenses and other current assets 


2,129


2,453


1,888





    Total current assets 


44,164


45,151


47,079
















 Property, plant and equipment, net 


3,966


4,026


4,754





 Intangible assets, net 


1,667


1,891


2,565





 Other long-term assets 


1,076


977


1,588




 Total assets 


$           50,873


$           52,045


$           55,986















 LIABILITIES 











 Accounts payable and accrued expenses 


$             5,931


$             8,466


$             7,534





 Deferred revenue 


8,850


7,464


9,266





    Total current liabilities 


14,781


15,930


16,800
















 Long-term deferred revenue 


2,788


3,281


3,655





 Revolving bank line of credit, non-current 


-


-


-





 Other long-term liabilities 


4,198


3,659


4,052





     Total liabilities 


21,767


22,870


24,507















 STOCKHOLDERS' EQUITY 











 Common stock 


87


87


85





 Additional paid-in capital 


207,830


207,697


207,116





 Accumulated deficit 


(179,415)


(179,624)


(176,528)





 Treasury stock, at cost 


(255)


(255)


(255)





 Accumulated other comprehensive income  


859


1,270


1,061





    Total stockholders' equity 


29,106


29,175


31,479




 Total liabilities and stockholders' equity 


$           50,873


$           52,045


$           55,986














 

SOURCE Concurrent