In This Article:
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Revenue: Increased 73% year-over-year to $8.7 million.
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Gross Profit: Increased to $4.9 million from $2.6 million in the prior year period.
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Gross Margin: Improved to 56% from 53% in the prior year.
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Total Expenses: Increased to $11.3 million from $8.4 million in the prior year period.
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Operating Loss: Improved to negative $2.6 million from negative $3.4 million in the prior year period.
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Net Loss: Improved to negative $2.3 million or negative $0.93 per share from negative $3 million or negative $1.27 per share in the prior year period.
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Cash and Short-term Investments: $11.5 million as of June 30, 2024, compared to $14.2 million at December 31, 2023.
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Working Capital: $29 million at the end of the second quarter compared to $31.8 million at December 31, 2023.
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Weighted Sales Pipeline: Valued at $51 million, up from record levels reported in Q1.
Release Date: August 14, 2024
For the complete transcript of the earnings call, please refer to the full earnings call transcript.
Positive Points
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Vislink Technologies Inc (NASDAQ:VISL) achieved a 73% year-over-year increase in revenue, reaching $8.7 million, driven by growth in both Live Production and MilGov markets.
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The company has secured NATO Stock Numbers for its AVDS product portfolio, enhancing credibility and market access in the defense sector.
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Vislink's weighted sales pipeline has expanded to $51 million, reflecting strong demand for its offerings and potential for market expansion.
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The company has made significant progress in its Drone Command and Control technology, positioning itself for growth in the emerging drone market.
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Vislink has joined the Grass Valley Technology Alliance, extending its potential customer base and enhancing product offerings.
Negative Points
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Total expenses increased to $11.3 million from $8.4 million in the prior year, driven by talent acquisitions, legal fees, and R&D investments.
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The company experienced higher-than-expected cash usage during Q2, primarily due to onetime corporate items.
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Vislink's operating loss was $2.6 million, although improved from the prior year, it still indicates ongoing financial challenges.
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The company is undergoing an ERP system upgrade, which involves additional costs and operational complexities.
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Despite revenue growth, Vislink is still working towards achieving cash flow neutrality by the end of 2024 and positivity in 2025.
Q & A Highlights
Q: Can you discuss your journey towards cash flow neutrality and positivity next year? How much will be attributed to revenue growth versus operating costs? A: Carleton Miller, CEO: We see operating leverage as we contribute to fixed costs associated with being a public company. Doubling our revenue with current margins will help achieve EBITDA growth and positive cash flow. The ERP upgrade will enhance efficiency and reduce operating costs. Michael Bond, CFO: We expect increased sales with new products and potential margin improvements. We're focusing on cost containment, and the ERP system will provide operational efficiency, reducing expenses.