Boxlight Reports First Quarter 2024 Financial Results
Financial and Operational Highlights:
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Revenue was
$37.1 million for the quarter, a decrease of 9.9% from the prior year quarter - Gross profit margin in Q1'24 decreased by 230 basis points to 34.5% due to change in product mix from the prior year quarter
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Net loss was
$7.1 million , compared to net loss of$2.9 million in the prior year quarter -
Net loss per basic and diluted common share was (
$0.76 ), compared to ($0.35 ) net loss per basic and diluted common share in the prior year quarter -
Adjusted EBITDA decreased by
$3.1 million to$0.2 million from the prior year quarter -
Ended the quarter with
$11.8 million in cash,$46.6 million in working capital and$9.1 million in stockholders’ equity -
Expect Q2 2024 revenue of
$43-$45 million and adjusted EBITDA of$2-$3 million
Management Commentary
“We have made significant progress in streamlining our organization and positioning Boxlight for profitability,” commented
“Simultaneously, market demand is stabilizing, and we believe there is an opportunity to capture market share over the balance of 2024,” continued Strang. “By adding clarity to our approach to the market, refocusing our sales organization on customer-centric solution selling, and streamlining our overall organization, we are better-positioned for the future.”
“Importantly, subsequent to the end of the quarter, our current lenders provided an additional
Financial Results for the Three Months Ended
Total revenues were
Gross profit for Q1'24 was
Total Q1'24operating expenses were
Net loss increased
Total Q1'24 comprehensive loss was
Basic and diluted EPS for Q1'24 was (
EBITDA loss for Q1'24 was
Balance Sheet
At
First Quarter 2024 Financial Results Conference Call
The Company will hold a conference call to announce its first quarter 2024 financial results on
The conference call details are as follows: |
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Date: |
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Time: |
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Dial-in: |
1-877-545-0523 (Domestic) |
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1-973-528-0016 (International) |
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Participant Access Code: |
992754 |
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Webcast: |
For those unable to participate during the live broadcast, a replay of the conference call will be available until
Use of Non-GAAP Financial Measures
To provide investors with additional insight and allow for a more comprehensive understanding of the information used by management in its financial and decision-making surrounding pro forma operations, we supplement our consolidated financial statements presented on a basis consistent with
We report our operating results in accordance with
We believe disclosure of constant-currency results is helpful to investors because it facilitates period-to-period comparisons of our results by increasing the transparency of our underlying performance by excluding the impact of fluctuating foreign currency exchange rates. However, constant-currency results are non-
Discussion of the Effect of Constant Currency on Financial Condition
We calculate constant-currency amounts by translating local currency amounts in the current period at actual foreign exchange rates for the prior year period. Our constant-currency results do not eliminate the transaction currency impact of purchases and sales of products in a currency other than the functional currency.
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Three Months Ended
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Three Months Ended
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% Decrease |
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(Dollars in thousands) |
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Total revenues |
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As reported |
$ |
37,093 |
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$ |
41,189 |
(10 |
)% |
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Impact of foreign currency translation |
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(883 |
) |
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- |
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Constant-currency |
$ |
36,210 |
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$ |
41,189 |
(12 |
)% |
About
Forward Looking Statements
This press release may contain information about Boxlight’s view of its future expectations, plans and prospects that constitute forward-looking statements. Actual results may differ materially from historical results or those indicated by these forward-looking statements as a result of a variety of factors including, but not limited to, risks and uncertainties associated with its ability to maintain and grow its business, variability of operating results, its development and introduction of new products and services, marketing and other business development initiatives, and competition in the industry, among other things. Boxlight encourages you to review other factors that may affect its future results and performance in Boxlight’s filings with the
Condensed Consolidated Balance Sheets
As of (in thousands, except share and per share amounts) |
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(Unaudited) |
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ASSETS |
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Current assets: |
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Cash and cash equivalents |
$ |
11,812 |
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$ |
17,253 |
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Accounts receivable – trade, net of allowances for credit losses of 357 and 421 |
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26,519 |
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29,523 |
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Inventories, net of reserves |
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39,155 |
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44,131 |
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Prepaid expenses and other current assets |
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8,999 |
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9,471 |
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Total current assets |
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86,485 |
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100,378 |
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Property and equipment, net of accumulated depreciation |
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2,660 |
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2,477 |
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Operating lease right of use asset |
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8,544 |
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|
8,846 |
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Intangible assets, net of accumulated amortization |
|
43,815 |
|
|
|
45,964 |
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Other assets |
|
880 |
|
|
|
906 |
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Total assets |
$ |
142,384 |
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|
$ |
158,571 |
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LIABILITIES AND STOCKHOLDERS’ EQUITY |
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Current liabilities: |
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Accounts payable and accrued expenses |
$ |
24,685 |
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$ |
32,899 |
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Short-term debt |
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1,055 |
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1,037 |
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Operating lease liabilities, current |
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1,917 |
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1,827 |
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Deferred revenues, current |
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8,876 |
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8,698 |
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Derivative liabilities |
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13 |
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205 |
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Other short-term liabilities |
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3,348 |
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1,566 |
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Total current liabilities |
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39,894 |
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46,232 |
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Deferred revenues, non-current |
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16,128 |
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16,347 |
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Long-term debt |
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37,401 |
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39,134 |
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Deferred tax liabilities, net |
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4,319 |
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|
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4,316 |
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Operating lease liabilities, non-current |
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7,050 |
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|
|
7,282 |
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Total liabilities |
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104,792 |
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|
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113,311 |
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Mezzanine equity: |
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Preferred Series B, 1,586,620 shares issued and outstanding |
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16,146 |
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16,146 |
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Preferred Series C, 1,320,850 shares issued and outstanding |
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12,363 |
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12,363 |
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Total mezzanine equity |
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28,509 |
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28,509 |
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Stockholders’ equity: |
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Preferred stock, |
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— |
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— |
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Common stock, |
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1 |
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1 |
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Additional paid-in capital |
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119,956 |
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119,724 |
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Accumulated deficit |
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(111,364 |
) |
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(104,275 |
) |
Accumulated other comprehensive income |
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490 |
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1,301 |
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Total stockholders’ equity |
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9,083 |
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16,751 |
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Total liabilities and stockholders’ equity |
$ |
142,384 |
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$ |
158,571 |
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Condensed Consolidated Statements of Operations and Comprehensive Loss
For the three months ended (Unaudited) (in thousands, except per share amounts) |
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Three Months Ended
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2024 |
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2023 |
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Revenues, net |
$ |
37,093 |
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|
$ |
41,189 |
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Cost of revenues |
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24,278 |
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|
|
26,041 |
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Gross profit |
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12,815 |
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15,148 |
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Operating expense: |
|
|
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General and administrative |
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15,249 |
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|
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14,731 |
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Research and development |
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1,171 |
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|
|
597 |
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Total operating expense |
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16,420 |
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15,328 |
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Loss from operations |
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(3,605 |
) |
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(180 |
) |
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Other (expense) income: |
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Interest expense, net |
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(2,607 |
) |
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|
(2,447 |
) |
Other expense, net |
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(199 |
) |
|
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(22 |
) |
Change in fair value of derivative liabilities |
|
192 |
|
|
|
(224 |
) |
Total other expense |
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(2,614 |
) |
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|
(2,693 |
) |
Loss before income taxes |
$ |
(6,219 |
) |
|
$ |
(2,873 |
) |
Income tax expense |
|
(870 |
) |
|
|
(51 |
) |
Net loss |
$ |
(7,089 |
) |
|
$ |
(2,924 |
) |
Fixed dividends - Series B Preferred |
|
(317 |
) |
|
|
(317 |
) |
Net loss attributable to common stockholders |
$ |
(7,406 |
) |
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$ |
(3,241 |
) |
|
|
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Comprehensive loss: |
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Net loss |
$ |
(7,089 |
) |
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$ |
(2,924 |
) |
Other comprehensive loss: |
|
|
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Foreign currency translation adjustment |
|
(811 |
) |
|
|
558 |
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Total comprehensive loss |
$ |
(7,900 |
) |
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$ |
(2,366 |
) |
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|
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Net loss per common share – basic and diluted, as adjusted* |
$ |
(0.76 |
) |
|
$ |
(0.35 |
) |
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|
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Weighted average number of common shares outstanding – basic and diluted, as adjusted* |
|
9,714 |
|
|
|
9,366 |
|
* As adjusted for reverse stock split. |
Reconciliation of net loss for the three months ended |
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(in thousands) |
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Three Months Ended
|
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Three Months Ended
|
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Net Loss |
|
$ |
(7,089 |
) |
|
$ |
(2,924 |
) |
Depreciation and amortization |
|
|
2,069 |
|
|
|
2,263 |
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Interest expense |
|
|
2,607 |
|
|
|
2,447 |
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Income tax expense |
|
|
870 |
|
|
|
51 |
|
EBITDA |
|
$ |
(1,543 |
) |
|
$ |
1,837 |
|
Stock compensation expense |
|
|
549 |
|
|
|
641 |
|
Change in fair value of derivative liabilities |
|
|
(192 |
) |
|
|
224 |
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Purchase accounting impact of fair valuing inventory |
|
|
113 |
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|
|
143 |
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Purchase accounting impact of fair valuing deferred revenue |
|
|
309 |
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|
|
470 |
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Severance charges |
|
|
943 |
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— |
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Adjusted EBITDA |
|
$ |
179 |
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|
$ |
3,315 |
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View source version on businesswire.com: https://www.businesswire.com/news/home/20240508226626/en/
Media
+1 360-464-2119 x254
sunshine.nance@boxlight.com
Investor Relations
+1 360-464-4478
investor.relations@boxlight.com
Source: