|By Marketwired .||
|February 25, 2013 10:23 PM EST||
BOSTON, MA -- (Marketwire) -- 02/25/13 -- Zoom Telephonics, Inc. ("Zoom") (OTCQB: ZMTP), a leading manufacturer of modems and other communication products, today reported net sales of $3.4 million for the fourth quarter ended December 31, 2012 ("Q4 2012"), down 5.6% from $3.7 million for the fourth quarter of 2011 ("Q4 2011"). The lower sales were primarily due to lower dial-up modem sales, as Zoom's sales mix continued to shift toward cable modems. Zoom reported a net loss of $253 thousand or $0.04 per share for Q4 2012, compared to a net profit of $5 thousand or $0.00 per share for Q4 2011.
Gross profit was $866 thousand or 25.1% of net sales in Q4 2012, down from gross profit of $987 thousand or 27.0% of net sales in Q4 2011. Gross profit declined due to lower sales and a product mix shift toward cable modems, which have lower gross margins than most other Zoom products.
Operating expenses were $1.098 million or 31.8% of net sales in Q4 2012, up from $984 thousand or 27.0% of net sales in Q4 2011. General and administrative ("G&A") expenses increased $89 thousand to $344 thousand from Q4 2011 to Q4 2012, with the largest increase due to reallocation of a portion of certain employees' salary and benefit expenses from manufacturing to G&A to better reflect their job functions. Research and development expenses increased $45 thousand to $306 thousand from Q4 2011 to Q4 2012, with the largest increase due to increased expenses for cable modem certifications. Selling expenses decreased $20 thousand to $448 thousand from Q4 2011 to Q4 2012 due primarily to reduced freight costs.
Zoom's net sales of $14.7 million for the fiscal year ended December 31, 2012 ("FY 2012") were up 15.9% from net sales of $12.7 million for the fiscal year ended December 31, 2011 ("FY 2011"), primarily due to higher cable modem sales in FY 2012. Zoom's net loss was $0.7 million for FY 2012 compared to a net loss of $0.9 million for FY 2011. The lower net loss for FY 2012 was primarily due to an increase of $0.3 million in gross profit as a result of higher sales, partially offset by a $0.1 million increase in operating expenses for the period.
Gross profit for FY 2012 was $3.6 million or 24.7% of sales, up from gross profit of $3.3 million or 26.1% of net sales in FY 2011. The increase in gross profit was primarily due to increased sales during FY 2012.
Operating expenses were $4.3 million or 29.4% of net sales in FY 2012, down slightly from $4.2 million or 33.5% of net sales in FY 2011. Research and development expenses increased $146 thousand to $1.2 million from FY 2011 to FY 2012, with the largest increases due to increased ZoomGuard development costs and higher costs for cable modem certifications. General and administrative expenses increased $80 thousand to $1.3 million from FY 2011 to FY 2012, with the largest increase due to reallocation of a portion of certain key employees' salary and benefit expenses from manufacturing to G&A to better reflect their job functions. Selling expenses decreased $157 thousand to $1.9 million from FY 2011 to FY 2012 due primarily to lower freight costs and lower search-related advertising costs.
Zoom's cash balance on December 31, 2012 was $196 thousand, down $448 thousand from December 31, 2011. Zoom's $0.6 million increase in net accounts receivable and $0.7 million loss in 2012 were the main reasons for the decrease in cash. Zoom's $0.9 million increase in bank debt increased cash as Zoom moved to minimize early-pay discounts and thereby increased its average time to collect receivables. Zoom's current ratio was 2.3 on December 31, 2012.
"As we enter 2013, we are encouraged by cable modem developments including Time Warner Cable's Q4 2012 start of a retail certification program for cable modems," said Frank Manning, Zoom's President and CEO. "We are also encouraged by our significant progress in ZoomGuard development. We have begun shipping ZoomGuard samples, and we expect volume shipments of several ZoomGuard products during Q2 2013. We believe that the upside for our Company is the best it's been in many years, especially if we can continue building cable modem momentum and successfully introduce ZoomGuard."
Zoom has scheduled a conference call for Tuesday, February 26, 2013 at 10:00 a.m. Eastern Time. You may access the conference call by dialing (866) 393-7958 and international callers may dial (706) 643-5255. The conference ID is 16257594. The call will also be simulcast to stock analysts and other interested parties on Zoom's website, www.zoomtel.com/Q4, and to other financial and investor-oriented websites. Shortly after the conference call, a recording of the call will be available on Zoom's website. For additional information, please contact Investor Relations, Zoom Telephonics, 207 South Street, Boston, MA 02111, telephone (617) 753-0897, email [email protected], or visit Zoom's website at www.zoomtel.com
About Zoom Telephonics
Founded in 1977 in Boston, Zoom Telephonics, Inc. designs, produces, markets, and supports modems and other communication products under the Zoom, Hayes®, and Global Village® brands. For more information about Zoom and its products, please see www.zoomtel.com.
This release contains forward-looking information relating to Zoom Telephonics' plans, expectations, and intentions. Actual results may be materially different from expectations as a result of known and unknown risks, including: the potential need for additional funding which Zoom may be unable to obtain; declining demand for certain of Zoom's products; delays, unanticipated costs, interruptions or other uncertainties associated with Zoom's production and shipping; Zoom's reliance on several key outsourcing partners; uncertainty of key customers' plans and orders; risks relating to product certifications; Zoom's dependence on key employees; uncertainty of new product development and introduction for ZoomGuard and other products, including budget overruns, project delays, and the risk that newly introduced products may contain undetected errors or defects or otherwise not perform as anticipated; Zoom's ability to continue as a going concern; costs and senior management distractions due to patent-related matters; and other risks set forth in Zoom's filings with the Securities and Exchange Commission. Zoom cautions readers not to place undue reliance upon any such forward-looking statements, which speak only as of the date made. Zoom expressly disclaims any obligation or undertaking to release publicly any updates or revisions to any such statements to reflect any change in Zoom's expectations or any change in events, conditions or circumstance on which any such statement is based.
ZOOM TELEPHONICS, INC. Condensed Balance Sheets In thousands (Unaudited) 12/31/12 12/31/11 =========== =========== ASSETS Current assets: Cash $ 196 $ 644 Marketable securities 44 82 Accounts receivable, net 1,966 1,399 Inventories 2,630 2,723 Prepaid expenses and other 262 186 ----------- ----------- Total current assets 5,098 5,034 Property and equipment, net 26 20 ----------- ----------- Total assets $ 5,124 $ 5,054 =========== =========== LIABILITIES AND STOCKHOLDERS' EQUITY ----------- ----------- Current liabilities: Bank debt $ 911 $ -- Accounts payable 931 1,059 Accrued expenses 380 373 ----------- ----------- Total current liabilities 2,222 1,432 ----------- ----------- Total liabilities 2,222 1,432 ----------- ----------- Stockholders' equity: Common stock and additional paid-in capital 33,974 33,935 Accumulated other comprehensive income (loss) 368 356 Unrealized gain (loss) on securities (269) (231) Retained earnings (accumulated deficit) (31,171) (30,438) ----------- ----------- Total stockholders' equity 2,902 3,622 ----------- ----------- ----------- ----------- Total liabilities & stockholders' equity $ 5,124 $ 5,054 =========== =========== ZOOM TELEPHONICS, INC. Condensed Statements of Operations In thousands, except for per share data (Unaudited) Three Months Ended Twelve Months Ended 12/31/12 12/31/11 12/31/12 12/31/11 ========= ========= ========= ========= Net sales $ 3,448 $ 3,651 $ 14,691 $ 12,672 Cost of goods sold 2,582 2,664 11,057 9,369 --------- --------- --------- --------- Gross profit 866 987 3,634 3,303 Operating expenses: Selling 448 468 1,907 2,064 General and administrative 344 255 1,252 1,172 Research and development 306 261 1,155 1,009 --------- --------- --------- --------- Total operating expenses 1,098 984 4,314 4,245 --------- --------- --------- --------- Operating profit (loss) (232) 3 (680) (942) Other income (expense), net (20) 3 (49) 74 --------- --------- --------- --------- Income (loss) before income taxes (252) 6 (729) (868) Income tax expense 1 1 3 2 Net income (loss) $ (253) $ 5 $ (732) $ (870) ========= ========= ========= ========= Earnings (loss) per share: Basic Earnings (loss) per share $ (0.04) $ 0.00 $ (0.11) $ (0.15) Diluted Earnings (loss) per share $ (0.04) $ 0.00 $ (0.11) $ (0.15) ========= ========= ========= ========= Weighted average number of shares outstanding: Basic 6,974 6,113 6,974 5,618 Diluted 6,974 6,113 6,974 5,618 ========= ========= ========= =========
Things are being built upon cloud foundations to transform organizations. This CEO Power Panel at 15th Cloud Expo, moderated by Roger Strukhoff, Cloud Expo and @ThingsExpo conference chair, addressed the big issues involving these technologies and, more important, the results they will achieve. Rodney Rogers, chairman and CEO of Virtustream; Brendan O'Brien, co-founder of Aria Systems, Bart Copeland, president and CEO of ActiveState Software; Jim Cowie, chief scientist at Dyn; Dave Wagstaff, VP and chief architect at BSQUARE Corporation; Seth Proctor, CTO of NuoDB, Inc.; and Andris Gailitis, C...
Jan. 26, 2015 09:00 AM EST Reads: 3,797
Recurring revenue models are great for driving new business in every market sector, but they are complex and need to be effectively managed to maximize profits. How you handle the range of options for pricing, co-terming and proration will ultimately determine the fate of your bottom line. In his session at 15th Cloud Expo, Brendan O'Brien, Co-founder at Aria Systems, session examined: How time impacts recurring revenue How to effectively handle customer plan changes The range of pricing and packaging options to consider
Jan. 26, 2015 09:00 AM EST Reads: 3,934
The Industrial Internet revolution is now underway, enabled by connected machines and billions of devices that communicate and collaborate. The massive amounts of Big Data requiring real-time analysis is flooding legacy IT systems and giving way to cloud environments that can handle the unpredictable workloads. Yet many barriers remain until we can fully realize the opportunities and benefits from the convergence of machines and devices with Big Data and the cloud, including interoperability, data security and privacy.
Jan. 26, 2015 07:45 AM EST Reads: 3,718
Code Halos - aka "digital fingerprints" - are the key organizing principle to understand a) how dumb things become smart and b) how to monetize this dynamic. In his session at @ThingsExpo, Robert Brown, AVP, Center for the Future of Work at Cognizant Technology Solutions, outlined research, analysis and recommendations from his recently published book on this phenomena on the way leading edge organizations like GE and Disney are unlocking the Internet of Things opportunity and what steps your organization should be taking to position itself for the next platform of digital competition.
Jan. 26, 2015 02:00 AM EST Reads: 4,349
In their session at @ThingsExpo, Shyam Varan Nath, Principal Architect at GE, and Ibrahim Gokcen, who leads GE's advanced IoT analytics, focused on the Internet of Things / Industrial Internet and how to make it operational for business end-users. Learn about the challenges posed by machine and sensor data and how to marry it with enterprise data. They also discussed the tips and tricks to provide the Industrial Internet as an end-user consumable service using Big Data Analytics and Industrial Cloud.
Jan. 26, 2015 01:00 AM EST Reads: 3,962
SYS-CON Media announced that Splunk, a provider of the leading software platform for real-time Operational Intelligence, has launched an ad campaign on Big Data Journal. Splunk software and cloud services enable organizations to search, monitor, analyze and visualize machine-generated big data coming from websites, applications, servers, networks, sensors and mobile devices. The ads focus on delivering ROI - how improved uptime delivered $6M in annual ROI, improving customer operations by mining large volumes of unstructured data, and how data tracking delivers uptime when it matters most.
Jan. 26, 2015 12:45 AM EST Reads: 5,298
SYS-CON Events announced today that ActiveState, the leading independent Cloud Foundry and Docker-based PaaS provider, has been named “Silver Sponsor” of SYS-CON's DevOps Summit New York, which will take place June 9-11, 2015, at the Javits Center in New York City, NY. ActiveState believes that enterprises gain a competitive advantage when they are able to quickly create, deploy and efficiently manage software solutions that immediately create business value, but they face many challenges that prevent them from doing so. The Company is uniquely positioned to help address these challenges thro...
Jan. 25, 2015 11:45 PM EST Reads: 2,869
SYS-CON Media announced that Cisco, a worldwide leader in IT that helps companies seize the opportunities of tomorrow, has launched a new ad campaign in Cloud Computing Journal. The ad campaign, a webcast titled 'Is Your Data Center Ready for the Application Economy?', focuses on the latest data center networking technologies, including SDN or ACI, and how customers are using SDN and ACI in their organizations to achieve business agility. The Cisco webcast is available on-demand.
Jan. 25, 2015 07:00 PM EST Reads: 2,079
IoT is still a vague buzzword for many people. In his session at @ThingsExpo, Mike Kavis, Vice President & Principal Cloud Architect at Cloud Technology Partners, discussed the business value of IoT that goes far beyond the general public's perception that IoT is all about wearables and home consumer services. He also discussed how IoT is perceived by investors and how venture capitalist access this space. Other topics discussed were barriers to success, what is new, what is old, and what the future may hold. Mike Kavis is Vice President & Principal Cloud Architect at Cloud Technology Pa...
Jan. 25, 2015 06:15 PM EST Reads: 5,060
Dale Kim is the Director of Industry Solutions at MapR. His background includes a variety of technical and management roles at information technology companies. While his experience includes work with relational databases, much of his career pertains to non-relational data in the areas of search, content management, and NoSQL, and includes senior roles in technical marketing, sales engineering, and support engineering. Dale holds an MBA from Santa Clara University, and a BA in Computer Science from the University of California, Berkeley.
Jan. 25, 2015 06:00 PM EST Reads: 4,783
The Internet of Things (IoT) is rapidly in the process of breaking from its heretofore relatively obscure enterprise applications (such as plant floor control and supply chain management) and going mainstream into the consumer space. More and more creative folks are interconnecting everyday products such as household items, mobile devices, appliances and cars, and unleashing new and imaginative scenarios. We are seeing a lot of excitement around applications in home automation, personal fitness, and in-car entertainment and this excitement will bleed into other areas. On the commercial side, m...
Jan. 25, 2015 06:00 PM EST Reads: 4,501
The Internet of Things (IoT) promises to evolve the way the world does business; however, understanding how to apply it to your company can be a mystery. Most people struggle with understanding the potential business uses or tend to get caught up in the technology, resulting in solutions that fail to meet even minimum business goals. In his session at @ThingsExpo, Jesse Shiah, CEO / President / Co-Founder of AgilePoint Inc., showed what is needed to leverage the IoT to transform your business. He discussed opportunities and challenges ahead for the IoT from a market and technical point of vie...
Jan. 25, 2015 04:30 PM EST Reads: 5,153
SYS-CON Events announced today that CodeFutures, a leading supplier of database performance tools, has been named a “Sponsor” of SYS-CON's 16th International Cloud Expo®, which will take place on June 9–11, 2015, at the Javits Center in New York, NY. CodeFutures is an independent software vendor focused on providing tools that deliver database performance tools that increase productivity during database development and increase database performance and scalability during production.
Jan. 25, 2015 04:00 PM EST Reads: 2,545
Today’s enterprise is being driven by disruptive competitive and human capital requirements to provide enterprise application access through not only desktops, but also mobile devices. To retrofit existing programs across all these devices using traditional programming methods is very costly and time consuming – often prohibitively so. In his session at @ThingsExpo, Jesse Shiah, CEO, President, and Co-Founder of AgilePoint Inc., discussed how you can create applications that run on all mobile devices as well as laptops and desktops using a visual drag-and-drop application – and eForms-buildi...
Jan. 25, 2015 03:00 PM EST Reads: 3,847
"People are a lot more knowledgeable about APIs now. There are two types of people who work with APIs - IT people who want to use APIs for something internal and the product managers who want to do something outside APIs for people to connect to them," explained Roberto Medrano, Executive Vice President at SOA Software, in this SYS-CON.tv interview at Cloud Expo, held Nov 4–6, 2014, at the Santa Clara Convention Center in Santa Clara, CA.
Jan. 25, 2015 02:30 PM EST Reads: 3,896
Performance is the intersection of power, agility, control, and choice. If you value performance, and more specifically consistent performance, you need to look beyond simple virtualized compute. Many factors need to be considered to create a truly performant environment. In his General Session at 15th Cloud Expo, Harold Hannon, Sr. Software Architect at SoftLayer, discussed how to take advantage of a multitude of compute options and platform features to make cloud the cornerstone of your online presence.
Jan. 25, 2015 02:15 PM EST Reads: 4,754
Almost everyone sees the potential of Internet of Things but how can businesses truly unlock that potential. The key will be in the ability to discover business insight in the midst of an ocean of Big Data generated from billions of embedded devices via Systems of Discover. Businesses will also need to ensure that they can sustain that insight by leveraging the cloud for global reach, scale and elasticity.
Jan. 25, 2015 01:00 PM EST Reads: 5,572
Advanced Persistent Threats (APTs) are increasing at an unprecedented rate. The threat landscape of today is drastically different than just a few years ago. Attacks are much more organized and sophisticated. They are harder to detect and even harder to anticipate. In the foreseeable future it's going to get a whole lot harder. Everything you know today will change. Keeping up with this changing landscape is already a daunting task. Your organization needs to use the latest tools, methods and expertise to guard against those threats. But will that be enough? In the foreseeable future attacks w...
Jan. 25, 2015 11:00 AM EST Reads: 4,476
As enterprises move to all-IP networks and cloud-based applications, communications service providers (CSPs) – facing increased competition from over-the-top providers delivering content via the Internet and independently of CSPs – must be able to offer seamless cloud-based communication and collaboration solutions that can scale for small, midsize, and large enterprises, as well as public sector organizations, in order to keep and grow market share. The latest version of Oracle Communications Unified Communications Suite gives CSPs the capability to do just that. In addition, its integration ...
Jan. 25, 2015 11:00 AM EST Reads: 4,271
“The age of the Internet of Things is upon us,” stated Thomas Svensson, senior vice-president and general manager EMEA, ThingWorx, “and working with forward-thinking companies, such as Elisa, enables us to deploy our leading technology so that customers can profit from complete, end-to-end solutions.” ThingWorx, a PTC® (Nasdaq: PTC) business and Internet of Things (IoT) platform provider, announced on Monday that Elisa, Finnish provider of mobile and fixed broadband subscriptions, will deploy ThingWorx® platform technology to enable a new Elisa IoT service in Finland and Estonia.
Jan. 25, 2015 11:00 AM EST Reads: 2,218