LRAD(R) Corporation Reports Fiscal Year 2013 Financial Results
Strong Fourth Quarter Revenues Drive Year-Over-Year Revenue Growth of 16%
SAN DIEGO, Nov. 21, 2013 (GLOBE NEWSWIRE) -- LRAD Corporation (Nasdaq:LRAD),
the world's leading provider of long range acoustic hailing devices (AHDs),
today reported financial results for the fourth quarter and fiscal year ended
September 30, 2013.
Fourth Quarter 2013 Highlights
*Revenue: Fourth quarter 2013 revenue grew by $3.1 million or 56% to $8.8
million, compared to $5.6 million of revenue generated in the fourth
quarter of 2012.
*Net Income: Net Income of $2.9 million, or $0.09 per diluted share, was
more than double the $1.2 million, or $0.04 per diluted share, reported
during the fourth quarter of 2012.
Fiscal Year 2013 Financial Highlights
*Revenue: Revenues for fiscal year 2013 were $17.1 million, up 16% from
$14.8 million reported for fiscal year 2012.
*Net Income: Net income totaled $1.3 million, or $0.04 per diluted share,
in fiscal year 2013, down 14% from net income of $1.5 million, or $0.04
per diluted share in fiscal year 2012. The decrease in net income was the
result of increased legal and other professional fees related to a lawsuit
and potential proxy contest during fiscal year 2013 and increased
commission expense to the Company's international partners.
*Balance Sheet: Cash totaled $15.8 million at September 30, 2013, an
increase of $1.9 million from the $13.9 million reported at September 30,
2012. Working Capital increased to $23.7 million from $21.3 million over
the same period. The Company maintained no debt at fiscal year end.
"We were extremely pleased that we were able to finish the year strong, with
51% of our revenues for fiscal 2013 reported in Q4," commented Tom Brown,
President and CEO of LRAD Corporation. "In particular, our emphasis on growing
international markets proved successful as international revenues grew by 84%
to almost $10 million during fiscal year 2013, representing over 58% of net
Select Operating and Business Highlights
*Achieved the fourth consecutive year of profitability, the first four
profitable years in the Company's history, despite challenging global
market conditions, ongoing United States defense budget uncertainty, and
sequestration which reduced U.S. government purchases of LRAD products by
35% compared to fiscal 2012.
*Successfully increased revenues into international markets by 84% in
fiscal 2013 compared to fiscal 2012.
*Established a new reseller and eventual manufacturing arm for the
government market in China. Revenues into China increased by $1.1 million
in fiscal 2013 compared to fiscal 2012.
*Expanded distribution channels by signing new third party sales
representatives, primarily in Central and South American territories.
*Received a $12.2 million award with the U.S. Navy in a competitive bid
scenario which once again confirms LRAD products as the "best in class"
AHDs. Delivered $2.0 million on this contract during fiscal Q4.
*Expanded the business development team from a total of 5 to 7 people at
September 30, 2013, including new management personnel, and reorganized
our business development team into geographic markets of responsibility.
*Expanded our product offering in the worldwide mass notification market.
Introduced the LRAD 360X in late fiscal 2012, resulting in revenues of
$882,000 in fiscal 2013. During fiscal 2013 we added several additional
product configurations, and introduced the LRAD 360Xm, a smaller version
of the LRAD 360X, subsequent to fiscal year 2013 end.
"Despite the continued sequestration and U.S. defense budget headwinds, we
believe our focus on new geographic markets and the fast growing worldwide
public safety and mass notification markets will continue to drive opportunity
and growth for us in fiscal 2014," concluded Mr. Brown.
Webcast and Conference Call Details
Management will host a conference call to discuss fourth quarter and fiscal
year 2013 financial results this afternoon at 4:30 p.m. ET. The conference
call can be accessed by dialing toll-free at 888-567-1602, or
toll/international at 862-255-5346. A webcast will also be available at the
following link: http://www.visualwebcaster.com/event.asp?id=97010. A replay of
the call will be available two hours after the airing of the call, and
available for 90 days at the aforementioned webcast link. Questions to
management may be submitted during the call by emailing them to:
About LRAD Corporation
LRAD Corporation is using long range communication to peacefully resolve
uncertain situations and save lives on both sides of its proprietary Long
Range Acoustic Device^®. LRAD^® systems are in service in more than 60
countries around the world in diverse applications including fixed and mobile
military deployments, maritime security, critical infrastructure and perimeter
security, commercial security, border and port security, law enforcement and
emergency responder communications, emergency warning and mass notification,
asset protection and wildlife preservation and control. For more information
about the Company and its LRAD systems, please visit www.lradx.com.
Except for historical information contained herein, the matters discussed are
forward-looking statements within the meaning of Section 21E of the Securities
Exchange Act of 1934. You should not place undue reliance on these statements.
We base these statements on particular assumptions that we have made in light
of our industry experience, the stage of product and market development as
well as our perception of historical trends, current market conditions,
current economic data, expected future developments and other factors that we
believe are appropriate under the circumstances. These statements involve
risks and uncertainties that could cause actual results to differ materially
from those suggested in the forward-looking statements. These risks and
uncertainties are identified and discussed in our filings with the Securities
and Exchange Commission. These forward-looking statements are based on
information and management's expectations as of the date hereof. Future
results may differ materially from our current expectations. For more
information regarding other potential risks and uncertainties, see the "Risk
Factors" section of the Company's Form 10-K for the fiscal year ended
September 30, 2013. LRAD Corporation disclaims any intent or obligation to
update those forward-looking statements, except as otherwise specifically
LRAD Corporation and Subsidiary
Consolidated Balance Sheets
September 30, September 30,
Cash and cash equivalents $15,805 $13,860
Accounts receivable, net 4,958 5,518
Inventories, net 4,588 3,112
Prepaid expenses and other 1,004 442
Total current assets 26,355 22,932
Property and equipment, net 237 213
Intangible assets, net 52 158
Prepaid expenses and other - noncurrent 915 1,102
Total assets $27,559 $24,405
LIABILITIES AND STOCKHOLDERS' EQUITY
Accounts payable $1,597 $995
Accrued liabilities 1,055 624
Total current liabilities 2,652 1,619
Other liabilities - noncurrent 146 364
Total liabilities 2,798 1,983
Total stockholders' equity 24,761 22,422
Total liabilities and stockholders' equity $27,559 $24,405
LRAD Corporation and Subsidiary
Consolidated Statements of Operations
(000's omitted except share and per share amounts)
Years Ended September 30,
Revenues $17,088 $14,792
Cost of revenues 8,843 7,314
Gross profit 8,245 7,478
Selling, general and administrative 5,438 4,541
Research and development 1,841 1,660
Total operating expenses 7,279 6,201
Income from operations 966 1,277
Other income 299 34
Income from operations before income taxes 1,265 1,311
Income taxexpense (benefit) 2 (151)
Net income $1,263 $1,462
Net income per common share:
Basic $0.04 $0.05
Diluted $0.04 $0.04
Weighted average common shares outstanding:
Basic 32,464,935 32,374,499
Diluted 32,920,019 33,015,955
CONTACT: Company Contact
E. Brian Harvey
Director, Investor Relations and Capital Markets
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