AltiGen Communications announced its financial results for the fourth quarter ended September 30, 2015. Q4 revenue was $2.4 million, in comparison to $2.5 million in the same quarter last year.
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Gross margin rates improved substantially in the fourth quarter of fiscal year 2015, rising to 81.5% compared to 61.6% for the fourth quarter last year.
The increase in gross margin was primarily attributable to increased sales of higher margin products, such as software and service related product lines and in the fourth quarter of fiscal year 2014, a one-time adjustment of $284,000 was recorded for excess inventory related to the iFusion SmartStations, which negatively impacted our gross margin by approximately 8.4 points.
Net income for the fourth quarter of fiscal year 2015 was $209,000, or $0.01 per diluted share, compared with net income of $146,000, or $0.01 per diluted share in the fourth quarter one year ago.
Operating expenses were $1.7 million for both fourth quarter of fiscal year 2015 and fourth quarter of fiscal year 2014.
For the twelve months ended September 30, 2015, revenue was $9.8 million, compared to $9.6 million for fiscal 2014, an increase of 2% on a year-over-year basis. Gross margin increased 11.3 points to 80.3% for the twelve-month period of fiscal 2015, compared to 69.0% in the comparable period last year.
The increase in gross margin for 2015 was primarily the result of the aforementioned increased sales of higher margin products.
Net income for fiscal year 2015 was $644,000, or $0.03 per diluted share, compared to a net loss of $270,000, or $0.04 per share, in the year-ago period. The increase was driven by a modest increase in revenue and a decrease of 35% in cost of goods sold, which was primarily driven by the positive impact of stronger software and service related product lines.
Product mix favors software and service, and we continue to see improved margins as we experience a favorable revenue shift in these product lines. Operating expenses totaled $7.2 million for both fiscal year 2015 and 2014.
The Company had total cash and cash equivalents of $4.6 million from its continuing operations as of September 30, 2015, compared to $3.8 million in the comparable period last year. ■