Annex 99.1
ClearOne, Inc. first quarter reports2023financial performance
Salt Lake City, Utah --May 16, 2023– ClearOne (NASDAQ: CLRO), a global provider of audio and video communications solutions, reports financial resultsthree month periodFinishMarch 31, 2023.
"During the first quarter, we continued to focus on developing unique products that meet the needs of our partners and end users, supported by a leaner and improved cost structure," said ClearOne CEO Derek Graham. “We continue to support our growing inventory of leading audio conferencing products and have launched our new CHAT® 150 BT team speaker and UNITE 260 Pro camera products that we introduced in January. While our Q1 revenue is still driven by our China-to-Singapore sourcing, creating pressure for continued transformation, we expect our revenue performance to improve in the second half of this year. We will continue to work hard to grow our market share and create long-term value for our investors in the year ahead.
"The special dividend recently announced by our board of directors further demonstrates our commitment to rewarding investors. Our strong balance sheet, and especially our cash position following the payment of the special dividend, allows us to launch products, build a strong effectively competing in the market provided the necessary opportunity."
recent highlights
- On May 8, 2023, the Company announced that the Company's Board of Directors declared a one-time special cash dividend of $1.00 per common share or eligible warrants of the Company, payable on May 31, 2023 on the date of May 22 registration. , 2023. The ex-dividend date for this distribution is June 1, 2023, pursuant to FINRA UPC Rule 11140 (Uniform Business Code). The dividend distribution is expected to generate a cash outflow of approximately US$29 million.
financial Summary
To beThe Company uses certain non-GAAP financial measures and reconciles them with the GAAP measures in the exhibits.
- Revenue will be $4.2 million in Q1 2023, compared to $7.5 million in Q1 2022 and $4.0 million in Q4 2022.The sequential and year-over-year declines were primarily due to (a) the dVideo product revenue declined due to lower demand and (b) continued challenges in fulfilling orders for our core audio conferencing and beamforming microphone assemblies due to continued delays in moving our manufacturing from China to Singapore.
- Gross profit for the first quarter of 2023 was $1.3 million, compared to $2.8 million for the first quarter of 2022 and $1.3 million for the fourth quarter of 2022. Gross margin for the first quarter 2023 and Q4 2022 will be 31%, compared to 37% in Q1 2022.Gross margin decreased year-over-year due to a significant decrease in revenue and an increase in G&A expenses as a percentage of revenue.
- Operating expenses for the first quarter of 2023 are $3.5million compared to US dollars4.7One million US dollarsfirst quarter of 2022e $3.9One million US dollarsfourth quarter of 2022.Non-GAAP operating expensesfirst quarter of 2023,and fourth quarter of 2022, $3.4million compared to US dollars4.0One million US dollarsQ1The year-over-year decrease in non-GAAP operating expenses was primarily due to additional cost-cutting measures beginning in 2022.
(Dollar)000, except per action) | For the quarter ended March 31, | |||||||||
2023 | 2022 | Change in some aspect % favorable/(disadvantageous) | ||||||||
Accounting Standards | ||||||||||
income | $ | 4.178 | $ | 7.545 | (45 | ) | ||||
gross profit | 1.315 | 2,816 people | (53 | ) | ||||||
Operational expenses | 3.504 | 4.669 | 25 | |||||||
functional loss | (2.189 | ) | (1.853 | ) | (18 | ) | ||||
net loss | (832 | ) | (1.967 | ) | 58 | |||||
Reduced loss per share | (0,03 | ) | (0,08 | ) | 63 | |||||
Non-GAAP | ||||||||||
Non-GAAP operating expenses | 3.365 | 3,966 people | 15 | |||||||
Non-GAAP Operating Losses | (2.048 | ) | (1.148 | ) | (78 | ) | ||||
Non-GAAP net loss | (2.041 | ) | (1,262 people | ) | (62 | ) | ||||
Non-GAAP Adjusted EBITDA | (1.678 | ) | (1.069 | ) | (57 | ) | ||||
| Non-GAAP Loss Per Diluted Share | (0,09 | ) | (0,05 | ) | (80 | ) | ||||
Balance Sheet Characteristics
asMarch 31, 2023, cash, cash equivalents and investments $59,0million USD, compared to USD1,0million toDecember 31, 2022.asMarch 31, 2023, tonsYour firm's total debt is $1.7million for the December 2019 Senior Convertible Notes issue.The company's cash position is bolstered by revenue of more than $56 million in the first quarter of 2023, based on legal agreement. The company also paid off the short-term bridge loan in January 2023.
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About ClearOne
ClearOne is a global company that designs, develops and markets web conferencing, collaboration and streaming solutions for voice and visual communications. The performance and simplicity of its advanced integrated solutions offer unprecedented functionality, reliability and scalability. Visit ClearOnewww.clearone.com.
Non-GAAP financial measures
In completing the consolidated financial statements presented on a GAAP basis, ClearOne uses non-GAAP measures of gross profit, operating income (loss), net income (loss), adjusted earnings before interest, taxes, depreciation and amortization (EBITDA) and net income (loss) per share, adjusted to exclude certain costs, expenses, gains and losses that we believe are appropriate to improve our overall understanding of our prior period financial performance and our future prospects. The purpose of these adjustments to current period GAAP results is to provide management and investors with a more complete understanding of theby ClearOneUnderlying operating results and trends and our market performance. Non-GAAP results represent our core performance before certain gains, losses or other expenses that management believes do not form part of our core operating results. In addition, these adjusted non-GAAP results are one of the key metrics that management uses as the basis for our planning and forecasting for future periods. The presentation of this additional non-GAAP financial information is not intended to be considered in isolation or as a substitute for gross income, operating income (loss), net income (loss), earnings (loss) per share or other generally accepted financial measures. accounting. There are limitations to the use of non-GAAP financial measures.other companies, including companies inby ClearOneindustries, non-GAAP financial measures may be calculated differentlyseiichiIn fact, this limits the usefulness of these measures for comparative purposes. A detailed reconciliation of the non-GAAP financial measure to the most directly comparable GAAP financial measure is included in this press release.
future statement
This press release contains information based on current conditions andby ClearOneForecasts of events that have not yet occurred, may not occur or may occur, with consequences and timing different from those we currently assume or expect. Such forward-looking statements, as well as any statements made by management regarding plans and objectives for future operations and projections of future growth and value and the likely outcome of the dispute, are not guarantees of future performance or results and involve risks that could lead to actual events and uncertainties. or results that could differ materially from those described in the forward-looking statements. Such forward-looking statements speak only as of the date of this press release, and ClearOne undertakes no obligation to update any forward-looking statements to reflect subsequent events or circumstances. Readers should not place undue reliance on these forward-looking statements. The information contained in this press release should be read in conjunction with and amended by the Annual Report Form as a whole.The company's 10-K ("10-K") was concurrently filed with the US Securities and Exchange Commission. ("SEC") and all other public filings filed by the Company with the SEC ("Public Files").
In particular, the financial information contained herein is subject to and referred to in the financial statements included on Form 10-Q (including the footnotes) and the Company's annual report on Form 10-KDecember 31, 2022(“10-K”), its footnotes and the limitations set forth therein. Investors should not rely on the press release without reference to the 10-Q, 10-K and public records.
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claron corp.
Unaudited Consolidated Balance Sheet
(in thousands of dollars, except face value)
March 31, 2023 | December 31, 2022 | |||||||
active | ||||||||
Existing economic data: | ||||||||
Cash and cash equivalents | $ | 59.006 | $ | 984 | ||||
Legal Agreement Requirements | — | 55.000 | ||||||
Accounts receivable, net of Provision $326 | 3,541 people | 3.603 | ||||||
stock, clean | 8.395 | 8.961 | ||||||
| mandatory income tax | — | 1.071 | ||||||
Prepaid expenses and other assets | 3.635 | 7.808 | ||||||
Total current assets | 74.577 | 77.427 | ||||||
Long-term inventories, net | 2.885 | 2.707 | ||||||
Property and equipment, clean | 356 | 383 | ||||||
Operating leases - right-of-use asset, net | 1.259 | 1.047 | ||||||
Intangible assets, liquid | 1.995 | 2.071 | ||||||
other assets | 112 | 115 | ||||||
the total assets | $ | 81.184 | $ | 83.750 | ||||
liabilities and equity | ||||||||
Current liabilities: | ||||||||
bills to pay | $ | 1.820 | $ | 1.284 | ||||
Estimated Liabilities | 2.454 | 3.041 | ||||||
| to postponeproduct recipe | 71 | 63 | ||||||
short term debt | 1.556 | 3.732 | ||||||
total current liabilities | 5.901 | 8.120 | ||||||
Operating lease obligations, net of | 949 | 492 | ||||||
Other long-term liabilities | 1.008 | 1.008 | ||||||
total responsibilities | 7.858 | 9.620 | ||||||
Net worth: | ||||||||
Common stock, par value $0,001,50.000.000stock authorization,23.955.767Issued and outstanding shares | 24 | 24 | ||||||
additional capital payment | 74.933 | 74.910 | ||||||
Other cumulative total damage | (283 | ) | (288 | ) | ||||
cumulative deficit | (1,348 people | ) | (516 | ) | ||||
Capital total | 73.326 | 74.130 | ||||||
Total liabilities and equity | $ | 81.184 | $ | 83.750 | ||||
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claron corp.
uncontrolledConsolidated Statements of Operationsand total loss
(in thousands of dollars, except value per share)
For the quarter ended March 31, | ||||||||
2023 | 2022 | |||||||
income | $ | 4.178 | $ | 7.545 | ||||
cost of goods sold | 2.863 | 4.729 | ||||||
gross profit | 1.315 | 2,816 people | ||||||
Operational expenses: | ||||||||
Sales and Marketing | 1.192 | 1.560 | ||||||
Product Research and Development | 1.043 | 1.353 | ||||||
General and Administration | 1.269 | 1.756 | ||||||
total operating expenses | 3.504 | 4.669 | ||||||
functional loss | (2.189 | ) | (1.853 | ) | ||||
interest expense | (292 | ) | (101 | ) | ||||
Other income, net | 1,666 people | 3 | ||||||
Loss before income tax | (815 | ) | (1.951 | ) | ||||
income tax forecast | 17 | 16 | ||||||
net loss | $ | (832 | ) | $ | (1.967 | ) | ||
Basic Weighted Average of Outstanding Shares | 23.955.767 | 23.897.305 | ||||||
Diluted weighted average of outstanding shares | 23.955.767 | 23.897.305 | ||||||
Basic loss per share | $ | (0,03 | ) | $ | (0,08 | ) | ||
Reduced loss per share | $ | (0,03 | ) | $ | (0,08 | ) | ||
Total loss: | ||||||||
net loss | $ | (832 | ) | $ | (1.967 | ) | ||
Unrealized losses on available-for-sale securities, net of taxes | — | (28 | ) | |||||
Changes to foreign currency translation adjustments | 5 | (11 | ) | |||||
total loss | $ | (827 | ) | $ | (2.006 | ) | ||
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claron corp.
Reconciliation of unaudited GAAP measures with non-GAAP measures
(in thousands of dollars, except value per share)
For the quarter ended March 31, | ||||||||
2023 | 2022 | |||||||
GAAP operating loss | $ | (2.189 | ) | $ | (1.853 | ) | ||
stock compensation | 23 | 35 | ||||||
Amortization of intangible assets | 118 | 670 | ||||||
Non-GAAP Operating Losses | $ | (2.048 | ) | $ | (1.148 | ) | ||
GAAP net loss | $ | (832 | ) | $ | (1.967 | ) | ||
stock compensation | 23 | 35 | ||||||
Amortization of intangible assets | 118 | 670 | ||||||
Other income adjustments | (1.350 | ) | — | |||||
Non-GAAP net loss | $ | (2.041 | ) | $ | (1,262 people | ) | ||
GAAP net loss | $ | (832 | ) | $ | (1.967 | ) | ||
Stocks used to calculate GAAP diluted loss per share | 23.955.767 | 23.897.305 | ||||||
GAAP loss per diluted share | $ | (0,03 | ) | $ | (0,08 | ) | ||
Non-GAAP net loss | $ | (2.041 | ) | $ | (1,262 people | ) | ||
Number of shares used to calculate non-GAAP diluted loss per share | 23.955.767 | 23.897.305 | ||||||
Non-GAAP Loss Per Diluted Share | $ | (0,09 | ) | $ | (0,05 | ) | ||
GAAP net loss | $ | (832 | ) | $ | (1.967 | ) | ||
stock compensation | 23 | 35 | ||||||
| interest expense | 292 | 101 | ||||||
devaluation | 54 | 76 | ||||||
Amortization of intangible assets | 118 | 670 | ||||||
Other income adjustments | (1.350 | ) | — | |||||
(provide) provision for income tax | 17 | 16 | ||||||
Non-GAAP Adjusted EBITDA | $ | (1.678 | ) | $ | (1.069 | ) | ||
tap:
nasinarayana
385-426-0565
[email protected]
http://investors.clearone.com
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