Aviat Networks Inc
) first-quarter fiscal 2014 adjusted net loss widened to $7.8
million or 13 cents per share from net income of $2.8 million or
5 cents per share in the year-ago quarter. The company's reported
loss was also wider than the Zacks Consensus Estimate of a loss
of 3 cents per share.
On GAAP basis, the company reported a net loss of $13.6
million or 22 cents a share in the quarter compared with loss of
$2.2 million or 4 cents in the prior-year quarter. The quarter's
loss was primarily a result of the pre-tax charges levied on the
company amounting to $6.3 million. The charges consisted of
share-based compensation expense, restructuring expense,
amortization of purchased intangibles and warehouse consolidation
Total revenue for the first quarter was $93.4 million, down
18.8% from $115.0 million in the prior-year quarter. Revenues
from the North America region declined 12.9% to $33.7 million and
that from the International region declined 21.8% to $59.7
million. Apart from these, the top line was also impacted by
additional charges on depreciation and amortization on property
and interest expense.
Income and Expenses
The company incurred total GAAP SG&A expense of
approximately $22.2 million, down 4.7% from $23.3 million in the
first quarter of fiscal 2013. GAAP R&D expense was $9.7
million versus $9.3 million in the prior-year quarter.
Loss from continuing operations of the company was $13.4
million compared with operating income of $0.7 million in the
prior-year period. The company's GAAP gross margin in the quarter
was 23.1% down from 33.7% in the prior-year quarter.
Exiting the quarter, cash and cash equivalents were $79.3
million, down 11.9% from $90.0 million in the last quarter. Cash
and cash equivalents declined 10% year over year. The
shareholder's equity also dropped to $137.9 million compared with
last quarter's figure of $149.9 million.
For second quarter of fiscal 2014, Aviat Networks expects
revenues to be in the range of $100 million to $107 million. The
company also projects adjusted loss per share from continuing
operations between 8 cents and 3 cents per share. The company did
not provide any guidance for fiscal 2014.
Aviat Networks currently has a Zacks Rank #3 (Hold). Some
other better-placed stocks from the same industry that are worth
mentioning at the moment include
Motorola Solutions, Inc.
).ShoreTel currently holds a Zacks Rank #1 (Strong Buy), whereas
Harris Corporation and Motorola carry a Zacks Rank #2 (Buy)
AVIAT NETWORKS (AVNW): Free Stock Analysis
HARRIS CORP (HRS): Free Stock Analysis Report
MOTOROLA SOLUTN (MSI): Free Stock Analysis
SHORETEL INC (SHOR): Free Stock Analysis
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