KVH reports revenue increase, net loss in 3Q

KVH Industries Inc. reported a nearly 1 increase in revenue in the third quarter that ended Sept. 30.
KVH Industries Inc. reported a nearly 1 increase in revenue in the third quarter that ended Sept. 30.

MIDDLETOWN – KVH Industries Inc. reported a nearly 1 percent increase in revenue in the third quarter, but in a reversal from a year ago, a $151,000 net loss for the period.
The provider of guidance, communication and Internet systems for the maritime, retail, leisure and defense industries reported $44.5 million in revenue, a 0.5 percent increase compared with $44.3 million in revenue during the same prior-year quarter.
A loss of $463,000 was recorded, or 3 cents per diluted share, compared with profit of $151,000, or 1 cent per diluted share, a year ago.
In separate calculations, the company reported that non-GAAP net income also was lower, coming in at $1.8 million, or 12 cents per diluted share, compared with $3 million, or 20 cents per share, a year ago. The company subtracted “discrete tax expense,” stock-based compensation expense (net of tax), acquisition-related compensation and amortization of intangibles to arrive at its non-GAAP net income figure.
KVH said it experienced a currency loss in the quarter that negatively affected earnings per share on both a GAAP and non-GAAP basis.
KVH says that it provides non-GAAP financial information to assess operational performance and liquidity, and that the information is beneficial to investors because they can help assess the health of a business.

“Overall we reported solid results in the third quarter with both revenue and EPS coming in within our previous guidance range,” Martin Kits van Heyningen, KVH’s CEO, said in a statement.
“We recorded record sales of our new IMU product line, which has been well accepted by our customers. Although we continued to see more vessels serving the offshore oil and gas services being laid up, other sectors, like commercial shipping and leisure, remained strong during the quarter. We’re expecting record revenue in the fourth quarter with strong sales of our TACNAV products based on the current backlog,” he said.
TACNAV KVH is a tactical navigation system for military vehicles.
Fourth-quarter revenue is estimated to range from $52 million to $56 million. GAAP net income per diluted share is projected to be between 23 and 28 cents, while non-GAAP net income is expected to be between 38 and 43 cents.
The company said that earnings going forward may be affected by currency exchange rates, as a portion of its revenue is denominated in pounds sterling.

No posts to display