Financial Highlights of Fiscal 2017 First Quarter:
Net loss for the first quarter improved $1.5 million, or 25%, to $4.5 million compared with $6.0 million in last year’s first quarter.
Loss per share decreased 53% to $0.17 compared to last year’s first quarter loss per share of $0.36 (split adjusted). Weighted average shares outstanding at the end of the first quarter of fiscal 2017 were 27.2 million compared with 16.5 million in the year-ago first quarter.
Total revenue for the first quarter of fiscal 2017 was $19.1 million, a decrease of 29% compared with $27.0 million in the year-ago first quarter.
Gross margin for the quarter was 16% compared to 17% in the year-ago fiscal first quarter, despite a 40% decrease in product shipments.
Operating expenses for the quarter were reduced by $3.1 million, or 30%, to $7.4 million from $10.5 million in the year-ago first quarter.
Cash and cash equivalents were $24.0 million as of June 30, 2016, including $13.1 million in net proceeds from our public offering in April and $5 million of restricted cash related to our Wells Fargo credit facility, compared to cash and cash equivalents of $16.7 million, including restricted cash of $5 million from the credit facility as of March 31, 2016.
Inventories improved to $16.1 million compared with $26.4 million in the year-ago first quarter, a decrease of $10.3 million, and a decrease of $2.2 million from inventories at the end of the fourth quarter of fiscal 2016.
Accounts payable and accrued expenses were $13.2 million compared with $23.4 million in the first quarter fiscal 2016.
Bad debt recovery was $0.9 million during the first quarter of fiscal 2017 primarily from EMI, one of our distributors in the Middle East and Africa. There were no bad debt charges or recoveries recorded during the first quarter of fiscal 2016.
Book-to-bill for the quarter improved to 0.9 compared with 0.7 in the year-ago first quarter.
Positive working capital of $2.0 million was generated for the first quarter of fiscal 2017 compared to $2.5 million used in last year’s fiscal first quarter.
As of June 30, 2016, borrowings on the Wells Fargo credit facility were $6.1 million, a $3.4 million decrease from borrowings as of March 31, 2016.