here is my ramblings after listening to CC, correct me if I didnt' get something right.
Arthur rubinfeld, on the board of directors at starbucks, familiar with creating the starbucks
brand name and image is joining CLRN board of directors
61.2 million in revenue, 15% over 4th quarter, sequential growth
149% increase quarter over quarter compared to 1st quarter of 2000
53% of sales came from their hot new product, open access solution
major acceptance for open access solutions
revenue: asia pacific 78%, america's 14%, europe 8%
compared to 53%, 27%, and 20% for 4th quarter of 2000
america drop because of slow down in american market
Asia is the hot place to be with regards to building out networks
Gross margins, 71% !!!! Up from 63% last quarter.
gross margins increased because of open access softswitch
customers bringing much follow on businss, contributed 76% of revenue for quarter
loss for 1st quarter of 2.1 million, or 5 cents, as expected
Have $7 a share in cash
Balance sheet: 228.1 million in cash and short term investments
will be announcing a new high density gateway capable of 1,920 ports
collectable times 108 days, higher than they want of 90 days
comments about this quarter and looking forward:
January through march, difficult quarter, as we all know. In the challenging
environement, they announced results in line with estimates(raised in december)
doubtfull accounts have increased this quarter, 7.6 mill charges??? will decrease
reserves in the future by screening customers more closely.
90% of asia pacific accounts are current(been a big concern in the past). Tighting
credit for doubtful customers
Guidance for the future:
revenue front: expect revenue in 2nd quarter flat from 1st quarter, 3-5% sequential
growth in 3rd and 4th of quarter
gross margins will be lower in the next few quarters because of product mix, back to
60% range until local access market emerges in full force. 60% still pretty impressive....
profitable sometime in the 1st half of 2002(moved back somewhat from what was expected)
cash balance to decline by 25-30 million this next quarter, and burn rate will be 15-20 mill in
3rd and 4th quarter.
Merill Lynch on conference call(are they finally interested in clarent?, currently don't have a
rating on clarent)
are being product on guidance just because of the current environment and are being
conservative in their estimates, no customers are dropping orders. Makes sense to me.
3 of their customers are 10% each, soemwhat worriesome, IMHO.
Asia market, has it softened any? No, very good especially in 4th quarter in year.
New softswitch runs on NT, but will be running on Unix in 3rd quarter. using NT in a lot of
cusotmers trials, but can switch easily to Unix in 3rd quarter
what kind of concern related to china/US relations? have very close relations with
distributors, can munipulate distributors depending on where they would need to push product
through...
I listened to the SONS conference call, it is BLATENTLY obvious that the analyst just like
SONS, and is their darling. it's pathetic, but true. All I heard on the SONS conference call
was the analyst congratulating them, blah, blah, blah. Not once did anyone congradulate CLRN
on their results, analyst were extremely hard on clrn, even though they are just as good a
company or better than SONS, and SONS is way overvalued. |
