Micronet Enertec Technologies, Inc. Reports
First Quarter Results
- Revenue grew by 14% compared to Q1 2015
- Increased interest in the ELD solution.
- Total operating expenses decrease by 8 %
Montvale, NJ, May 16, 2016 -Micronet Enertec Technologies, Inc. (NASDAQCM: MICT), a developer and manufacturer of rugged computers, tablets and computer-based systems for the commercial Mobile Resource Management (MRM) market and for the defense and aerospace markets, today announced financial results for the first quarter ended March 31, 2016.
David Lucatz, Chief Executive Officer of Micronet Enertec Technologies, Inc. stated, “During the quarter we saw growing marketplace interest in our products as the transportation industry makes preparations to meet the requirements of the recent federal mandate requiring electronic logging (the ELD mandate). As we expected, the ELD mandate is driving increased demand for our products, particularly the TREQ®317 rugged tablet, because they are an easily adaptable and compliant solution. We have received favorable feedback on the field performance of our devices and we are seeing a steady stream of opportunities in the pipeline. In addition to our existing fleet solutions, we continue to develop additional solutions and to broaden our product lines in order to penetrate additional market segments and we expect to further expand our current opportunities in the MRM market. Our backlog and pipeline are increasing and we are consistently growing our customer base and our reputation as a provider of reliable, rugged ELD compliance solutions.”
First Quarter 2015 Review
- Total revenue increased 14% to $6.5 million for the first quarter of 2016, as compared to $5.7 million in the first quarter of 2015.
- Gross profit margin was 32%, as compared to 31% in the first quarter of 2015. The increase in overall gross margin was related to cost savings and higher margin in first quarter product mix.
- Research and development (R&D) expense for the first quarter of 2016 was $700,000, or 11% of sales, compared to $743,000, or 13% of sales, in the first quarter of 2015.
- Selling, General and Administrative (SG&A) expense decreased by $86,000 to $1.5 million, or 23% of sales, as compared to $1.6 million, or 28% of sales, in the first quarter of 2015.
- Net loss attributed to MICT for the first quarter of 2016 was $339,000, or ($0.06) per basic and diluted share, as compared to a net loss of $705,000, or ($0.12) per basic and diluted share, for the first quarter of 2015. Non-GAAP net loss for the quarter was $116,000 or ($0.02) per basic and diluted share, as compared to $456,000, or ($0.08) per basic and diluted share, for the first quarter of 2015. A reconciliation of GAAP to non-GAAP net income and earnings per share is provided in the table at the end of this press release.
- The Company reported an operating loss of $343,000 for the first quarter of 2016, as compared to an operating loss of $874,000 in the first quarter of 2015.
- At March 31, 2016, the Company reported cash and marketable securities totaling $11.4 million and working capital of $13.1 million.