Dataram Reports Fiscal 2013 Fourth Quarter and Annual Financial Results
Dataram Reports Fiscal 2013 Fourth Quarter and Annual Financial Results
PRINCETON, N.J.--(BUSINESS WIRE)-- Dataram Corporation (NAS: DRAM) today reported its financial results for its fourth quarter and year ended April 30, 2013. Revenues for the fourth quarter and year ended April 30, 2013 were $6.2 million and $27.6 million, respectively, which compares to $7.0 million and $36.1 million for the comparable prior year periods. The Company reported a net loss of $1.6 million for the fourth quarter which included $0.4 million impairment of goodwill charge, which compares to net income of $3.0 million in the comparable prior year period. Net income for the 2012 fourth quarter included $4.1 million of other income resulting from the sale of patents. The net loss in fiscal year ended April 30, 2013 totaled $4.6 million versus $3.3 million in the comparable prior year period. Loss in fiscal year ended April 30, 2012 was offset by the aforementioned sale of patents.
John H. Freeman, Dataram's President and CEO commented, "The primary factor impacting our financial results was a 33% industry wide decline in material cost per gigabyte. Despite these industry wide challenges, we continue to see signs of revenue growth through our new partnerships, new distribution channels and further development of our RAMDisk software".
Our RAMDisk software continues to generate increasing interest and presence in the personal and commercial marketplace. We introduced new Dataram versions into the market as well as versions specifically designed for Advanced Micro Devices, Inc. ("AMD") and branded Radeon RAMDisk under a branding and licensing agreement. It is a price performance leader in the virtual RAM drive software market and is being used in a number of applications and commercial uses. The relationship with AMD for the RAMDisk product has enabled us to develop a consumer memory product line also branded under the AMD brand Radeon. We have recently begun producing and selling server memory under the Radeon brand name.
Mr. Freeman concluded, "We have eliminated approximately $900,000 of costs on an annual basis since our year end and continue to look for ways to reduce our operating cost. These cost reductions, combined with the AMD branding agreements, provide us with new opportunities and a path to revenue growth in fiscal year 2014. To support our growth we intend to seek additional financing to help us execute our fiscal 2014 plan".
ABOUT DATARAM CORPORATION
Founded in 1967, Dataram is a worldwide leader in the manufacture of high-quality computer memory and software products. Our products and services deliver IT infrastructure optimization, dramatically increase application performance and deliver substantial cost savings. Dataram solutions are deployed in 70 Fortune 100 companies and in mission-critical government and defense applications around the world. For more information about Dataram, visit www.dataram.com.
The information provided in this press release may include forward-looking statements relating to future events, such as the development of new products, pricing and availability of raw materials or the future financial performance of the Company. Actual results may differ from such projections and are subject to certain risks including, without limitation, risks arising from: changes in the price of memory chips, changes in the demand for memory systems, increased competition in the memory systems industry, order cancellations, delays in developing and commercializing new products and other factors described in the Company's most recent Annual Report on Form 10-K, filed with the Securities and Exchange Commission, which can be reviewed athttp://www.sec.gov.
***** Financial Tables Follow *****
DATARAM CORPORATION and Subsidiaries CONSOLIDATED STATEMENTS OF OPERATIONS (In thousands, except per share amounts) (Unaudited) | ||||||||||||||||
Fourth Quarter Ended April 30, | Twelve Months Ended April 30, | |||||||||||||||
2013 | 2012 | 2013 | 2012 | |||||||||||||
Revenues | $ | 6,219 | $ | 6,983 | $ | 27,616 | $ | 36,079 | ||||||||
Costs and expenses: | ||||||||||||||||
Cost of sales | 5,037 | 5,499 | 22,042 | 27,509 | ||||||||||||
Engineering and development | 167 | 168 | 715 | 691 | ||||||||||||
Selling, general and administrative | 2,019 | 2,244 | 8,305 | 11,758 | ||||||||||||
Impairment of goodwill | 438 | - | 438 | - | ||||||||||||
Impairment of capitalized software | - | - | - | 2,387 | ||||||||||||
Stock-based compensation expense* | 26 | 72 | 231 | 451 | ||||||||||||
Intangible asset amortization* | 41 | 41 | 164 | 164 | ||||||||||||
7,728 | 8,024 | $ | 31,895 | $ | 42,960 | |||||||||||
Loss from operations | (1,509 | ) | (1,041 | ) | (4,279 | ) | (6,881 | ) | ||||||||
Other income (expense) | (106 | ) | 3,998 | (341 | ) | 3,627 | ||||||||||
Income (loss) before income taxes | (1,615 | ) | 2,957 | (4,620 | ) | (3,254 | ) | |||||||||
Income tax expense | 5 | - | 5 | 5 | ||||||||||||
Net income (loss) | $ | (1,620 | ) | $ | 2,957 | $ | (4,625 | ) | $ | (3,259 | ) | |||||
Net income (loss) per share: | ||||||||||||||||
Basic | $ | (0.92 | ) | $ | 1.66 | $ | (2.60 | ) | $ | (1.84 | ) | |||||
Diluted | $ | (0.92 | ) | $ | 1.66 | $ | (2.60 | ) | $ | (1.84 | ) | |||||
Weighted average number of shares | ||||||||||||||||
outstanding: | ||||||||||||||||
Basic | 1,755 | 1,784 | 1,777 | 1,771 | ||||||||||||
Diluted | 1,755 | 1,784 | 1,777 | 1,771 | ||||||||||||
Note- All amounts shown have been adjusted to reflect the reverse 6-for-1 stock split effective March 18, 2013. |
* Items are recorded as a component of operating costs and expenses in the Company's financial statements filed with the Securities and Exchange Commission on Form 10-K. |
DATARAM CORPORATION AND SUBSIDIARIES CONDENSED CONSOLIDATED BALANCE SHEETS (In thousands) (Unaudited) | ||||||
April 30, 2013 | April 30, 2012 | |||||
ASSETS | ||||||
Current assets | ||||||
Cash and cash equivalents | $ | 324 | $ | 3,275 | ||
Accounts receivable, net | 2,885 | 2,605 | ||||
Inventories | 2,903 | 2,932 | ||||
Note receivable | 275 | - | ||||
Other current assets | 81 | 116 | ||||
Total current assets | 6,468 | 8,928 | ||||
Property and equipment, net | 425 | 698 | ||||
Other assets | 56 | 54 | ||||
Intangible assets, net | 133 | 297 | ||||
Goodwill | 1,083 | 1,453 | ||||
Total assets | $ | 8,165 | $ | 11,430 | ||
LIABILITIES AND STOCKHOLDERS' EQUITY | ||||||
Current liabilities | ||||||
Note payable-revolving credit line | $ | 1 ,876 | $ | 121 | ||
Accounts payable | 948 | 1,017 | ||||
Accrued liabilities | 684 | 766 | ||||
Due to related party - current portion | 400 | 333 | ||||
Total current liabilities | 3,908 | 2,237 | ||||
Due to related party - long term | 1,267 | 1,667 | ||||
Total liabilities | 5,175 | 3,904 | ||||
Stockholders' equity | 2,990 | 7,526 | ||||
Total liabilities and stockholders' equity | $ | 8,165 | $ | 11,430 | ||
Dataram
Marc P. Palker, 609-799-0071 ext. 2207
CFO
info@dataram.com
KEYWORDS: United States North America New Jersey
INDUSTRY KEYWORDS:
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