Concurrent Reports Fiscal Year 2013 Third Quarter Financial Results

Apr 30, 2013, 16:01 ET from Concurrent

ATLANTA, April 30, 2013 /PRNewswire/ -- Concurrent (NASDAQ: CCUR), a global leader in video, media data intelligence and real-time Linux® solutions, today announced financial results for the third quarter of its fiscal 2013 ended March 31, 2013.

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

Revenue for the third quarter of fiscal 2013 was $16.9 million compared with $16.3 million for the same period in fiscal 2012, and $16.6 million in the preceding quarter. 

Gross margin for the third quarter of fiscal 2013 was 59.1% compared with 61.5% for the same period in fiscal 2012, and 57.5% in the preceding quarter, primarily reflecting the mix of customers.  Operating expenses were $8.8 million, compared with $9.3 million for the same period in fiscal 2012, and $8.7 million in the preceding quarter.  

The company reported net income of $937 thousand, or $0.11 per diluted share, in the third quarter of fiscal 2013, compared with net income of $337 thousand, or $0.04 per diluted share, in the same period in fiscal 2012, and net income of $673 thousand, or $0.08 per diluted share, in the preceding quarter.

"We are pleased to report continued improvement in our business performance coupled with positive market acceptance of our latest generation video, media data and high performance real time solutions. All in all, it was another solid quarter for Concurrent," said Dan Mondor, the company's president and CEO. "We continue to focus our efforts on addressing the fundamental market drivers in our served markets and on winning new customers, better serving existing customers, and expanding our deployment footprint worldwide."

The company paid four quarterly dividends of $0.06 each and a $0.50 special dividend in the first nine months of the fiscal year.  At March 31, 2013, Concurrent had cash and cash equivalents of $22.4 million. The company has no debt.

Recent Company Highlights

  • Concurrent's MediaHawk VX™ Unified Content Delivery Solution was selected by Virgin Media in support of their multi-screen Virgin TV Anywhere service.  Virgin Media is the largest quad-play provider of broadband Internet, television, mobile and fixed line telephony services in the United Kingdom
  • A top 5 North American cable operator launched Concurrent's content delivery solution nationwide to dramatically expand its video-on-demand content library
  • Independent analyst firm Current Analysis once again named Concurrent the leader for on demand video servers
  • Concurrent's Real-Time business delivered visual servers to KCEI in Korea for the K-Series Tank Platoon Simulation program and iHawk systems to a major contractor for a U.S. Army program

Conference Call Information      

Concurrent will hold a conference call to review its third quarter of fiscal 2013 financial results today, Tuesday, April 30th, at 4:30 p.m. ET.  The call will be broadcast live at www.ccur.com, under the "Investors" section.  The call can be accessed live by dialing 1-877-209-9920 (U.S.) 612-332-0802 (international) and entering pass code 130430.  A webcast of the live call as well as a replay will also be available at www.ccur.com.

To view Financial Results visit our investor relations page here.

About Concurrent    Concurrent (NASDAQ: CCUR) is a global leader in video, media data intelligence and real-time Linux® solutions.  Concurrent provides customers with transformative solutions to fuel their business beyond what was thought possible. Concurrent's unified video delivery and media data intelligence solutions support every screen simultaneously, making it easier for cable MSOs, fixed-line telecommunications providers, mobile operators, online media companies and satellite TV broadcasters to deliver revenue generating video services to consumers on any device, over any network. The world's leading telecommunication and online media companies have selected Concurrent to provide the solutions and services required to support their next-generation multi-screen video initiatives. Concurrent's Emmy award-winning video solutions are based upon a rich heritage of high-performance real-time technology.  Concurrent's real-time Linux solutions are used to support applications in the defense, aerospace, automotive and financial industries. Concurrent has offices in North America, Europe and Asia. Visit www.ccur.com for further information and follow us on Twitter: www.twitter.com/Concurrent_CCUR.

For more information, contact:

Media Relations:  Concurrent   Kristen Bryant  (678) 258-4221  kristen.izzo@ccur.com   

Horn Group   Nicole Matthews (646) 202-9773 nicole.matthews@horngroup.com

Investor Relations Contact:   Concurrent   Sandra Dover  (678) 258-4112   investor.relations@ccur.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: United States government sequestration; European austerity measures; 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 28, 2012 with the Securities and Exchange Commission ("SEC"), and in subsequent filings of periodic reports with the SEC. The risk factors discussed in the Forms 10-K and subsequently filed periodic reports 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 March 31, 

 Nine Months Ended March 31, 

2013

2012

2013

2012

Revenues:

Product 

$          10,714

$            9,996

$           29,777

$           26,814

Service 

6,213

6,295

18,743

18,775

Total revenues

16,927

16,291

48,520

45,589

Cost of sales:

Product 

4,591

3,329

12,439

10,668

Service 

2,336

2,950

7,726

8,630

Total cost of sales

6,927

6,279

20,165

19,298

Gross margin

10,000

10,012

28,355

26,291

Operating expenses:

Sales and marketing

3,527

3,993

10,808

12,591

Research and development

2,878

3,446

8,673

10,372

General and administrative

2,362

1,841

6,352

5,561

Total operating expenses

8,767

9,280

25,833

28,524

Operating income (loss)

1,233

732

2,522

(2,233)

Other expense, net

(229)

(264)

(407)

(431)

Income (loss) before income taxes

1,004

468

2,115

(2,664)

Income tax provision

67

131

180

432

Net income (loss)

$               937

$               337

$             1,935

$           (3,096)

Basic net income (loss) per share

$              0.11

$              0.04

$               0.22

$             (0.36)

Diluted net income (loss) per share

$              0.11

$              0.04

$               0.22

$             (0.36)

Basic weighted average shares outstanding

8,754

8,644

8,726

8,584

Diluted weighted average shares outstanding

8,894

8,751

8,873

8,584

Cash dividends declared per common share

$              0.06

$                  -

$               0.74

$                  -

 

Concurrent Computer Corporation

Condensed Consolidated Statements of Operations (Unaudited)

(In Thousands Except Per Share Data)

 Three Months Ended  

 March 31, 

 December 31, 

2013

2012

Revenues:

Product 

$           10,714

$           10,099

Service 

6,213

6,490

Total revenues

16,927

16,589

Cost of sales:

Product 

4,591

4,295

Service 

2,336

2,751

Total cost of sales

6,927

7,046

Gross margin

10,000

9,543

Operating expenses:

Sales and marketing

3,527

3,643

Research and development

2,878

2,948

General and administrative

2,362

2,076

Total operating expenses

8,767

8,667

Operating income

1,233

876

Other expense, net

(229)

(197)

Income before income taxes

1,004

679

Provision for income taxes

67

6

Net income

$                937

$                673

Basic net income per share

$               0.11

$               0.08

Diluted net income per share

$               0.11

$               0.08

Basic weighted average shares outstanding

8,754

8,741

Diluted weighted average shares outstanding

8,894

8,851

Cash dividends declared per common share

$               0.06

$               0.56

 

Concurrent Computer Corporation

Condensed Consolidated Statements of Comprehensive Income (Unaudited)

(In Thousands Except Per Share Data)

 Three Months Ended 

 Nine Months Ended March 31, 

March 31, 

December 31,

March 31,

2013

2012

2012

2013

2012

Net income (loss)

$            937

$            673

$            337

$         1,935

$        (3,096)

Other comprehensive income (loss):

Foreign currency translation adjustment

(24)

(172)

(22)

(242)

207

Pension and post-retirement benefits, net of tax

2

2

-

6

2

Other comprehensive income (loss)

(22)

(170)

(22)

(236)

209

     Comprehensive income (loss)

$            915

$            503

$            315

$         1,699

$        (2,887)

 

Concurrent Computer Corporation

 Condensed Consolidated Balance Sheets

(In Thousands)

March 31,

December 31, 

June 30,

2013

2012

2012

(unaudited)

(unaudited)

ASSETS

 Cash and cash equivalents 

$           22,370

$           24,591

$           29,613

 Trade accounts receivable, net 

16,862

10,129

8,739

 Inventories 

2,949

2,460

3,683

 Prepaid expenses and other current assets 

1,559

1,672

2,129

    Total current assets 

43,740

38,852

44,164

 Property, plant and equipment, net 

3,114

3,318

3,966

 Intangible assets, net 

994

1,218

1,667

 Other long-term assets 

845

935

1,076

 Total assets 

$           48,693

$           44,323

$           50,873

 LIABILITIES 

 Accounts payable and accrued expenses 

$             7,376

$             6,209

$             5,931

 Dividend payable 

74

76

-

 Deferred revenue 

10,575

7,849

8,850

    Total current liabilities 

18,025

14,134

14,781

 Non-current deferred revenue 

1,607

1,605

2,788

 Non-current dividend payable 

259

254

-

 Revolving bank line of credit, non-current 

-

-

-

 Other non-current liabilities 

4,215

4,354

4,198

     Total liabilities 

24,106

20,347

21,767

 STOCKHOLDERS' EQUITY 

 Common stock 

88

88

87

 Additional paid-in capital 

208,422

208,198

207,830

 Accumulated deficit 

(184,291)

(184,700)

(179,415)

 Treasury stock, at cost 

(255)

(255)

(255)

 Accumulated other comprehensive income  

623

645

859

    Total stockholders' equity 

24,587

23,976

29,106

 Total liabilities and stockholders' equity 

$           48,693

$           44,323

$           50,873

 

SOURCE Concurrent



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