Here's the earnings news:
Westell Technologies Posts Record Revenue In Excess of $107 Million With First Quarter Results for Fiscal 2001
Company Reports First Pro Forma Profit as Public Company; CPE DSL Sales Up Over 275% From Prior Quarter
AURORA, ILLINOIS ... (July 19, 2000) ...Westell Technologies, Inc. (NASDAQ: WSTL) today announced results for its first quarter fiscal year 2001 ending June 30, 2000.
Revenues for the first quarter of fiscal year 2001 were $107.9 million compared with $24.2 million for the same period last year, an increase of 347%. Pro forma net income which excludes the inventory step-up and amortization of goodwill associated with the acquisition of Teltrend on March 17, 2000 was $3.7 million or $0.06 per share compared with a net loss of $3.4 million or net loss of $0.09 per share in the first quarter of fiscal 2000. This marks the seventh consecutive quarter of improvement in EPS performance. Consolidated net loss including the inventory step-up and amortization of goodwill associated with the acquisition of Teltrend on March 17, 2000 was $5.2 million or $0.08 per share.
Customer Premise Equipment (CPE) revenues climbed 283%, to $61.9 million for the three months ended June 30, 2000 from $16.2 million in the prior quarter ending March 31, 2000. Transport Systems posted sales of $6.0 million for the three months ended June 30, 2000, compared to $2.3 million in the same quarter last year, a 175% increase. Combined DSL revenues in the current quarter comprised 63% of total revenue compared to 46% in prior quarter and 14% in the same quarter last year.
Telco Access Products revenues were $30.2 million for the three months ended March 31, 2000 representing a 119% increase compared to $13.8 million of revenue in the same quarter last year. Service revenue from the Company’s subsidiary, Conference Plus, Inc. (CPI), increased 40% over the same period last year to $9.8 million in the June 30, 2000 quarter from $7.0 million in the same quarter last year.
Pro forma gross margins for equipment, which exclude the inventory step-up associated with the acquisition of Teltrend on March 17, 2000, for the first fiscal quarter or 2001 were 21% compared to pro forma gross margins for equipment of 17% in the prior quarter ending March 31, 2000. Gross margins for equipment, including the inventory step-up were 20%.
Gross margins for services for the June 30, 2000 quarter were 37% compared to gross margins for services of 40% in the prior quarter ending March 31, 2000. Gross margins for CPI are expected to remain in the 36-40% range and were impacted this quarter by the implementation of several IP based initiatives with key customers.
Pro forma operating expenses, which exclude the amortization of goodwill for the three months ending June 30, 2000 were $20.5 million or 19% of revenue compared to $10.5 million or 44% of revenue in the same quarter last year. Including goodwill, operating expenses for the three months were $28.4 million.
"We are delighted with our record quarter,” remarked Nicholas Hindman, Westell Technologies Chief Financial Officer. “We demonstrated significant top-line growth in our equipment business and DSL revenues climbed to 63% of revenues from 46% in the prior quarter.”
Westell Technologies, Inc, headquartered in Aurora, Illinois, is a holding company for Westell, Inc. and Conference Plus, Inc. Westell, Inc. manufactures and licenses DSL systems and value added Customer Premise Equipment, and manufactures telecommunications access products. Conference Plus, Inc. is a collaborative Application Service Provider that manages and hosts voice, video, IP applications and back-office services. Additional information can be obtained by visiting Westell’s Web site at www.westell.com.
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Thoughts, anyone? Heh heh heh! Now.....if only Uncle Green Sammy will be agreeable...*ahem*
John~ |
