Lantronix reported results for its fourth quarter and fiscal year ended June 30, 2015. Net revenue was $42.9 million for fiscal 2015, a decrease of $1.6 million, compared with $44.5 million for fiscal 2014.
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The decrease in net revenue was primarily due to a 10% decline in Legacy Product sales and weakness in capital spending for some large customers. The decline in net revenue was partially offset by 48% growth in New Products.
New Product revenue was $6.8 million for fiscal 2015, an increase of $2.2 million, compared with $4.6 million for fiscal 2014. New Products are defined as products that have been released since the start of the second quarter of the fiscal year ended June 30, 2012.
Gross profit margin was 47.3% for fiscal 2015, compared to 50.0% for fiscal 2014. Gross profit as a percentage of revenue was lower primarily due to charges for excess and obsolete inventories.
Operating expenses were $23 million for fiscal 2015, compared with $23.1 million for fiscal 2014.
GAAP net loss for fiscal 2015 was $2.8 million or $0.19 per share, compared with GAAP net loss of $933,000, or $0.06 per share for fiscal 2014.
Non-GAAP net loss for fiscal 2015 was $767,000 or $0.05 per share, compared with non-GAAP net income of $948,000 or $0.06 per share for fiscal 2014. For additional information regarding our non-GAAP results, see “Discussion of Non-GAAP Financial Measures†below.
Cash and cash equivalents were $5 million as of June 30, 2015, a decrease of $1.3 million, compared with $6.3 million as of June 30, 2014.
Financial results for the fourth quarter of fiscal year 2015
Net revenue was $10.2 million for the fourth quarter of fiscal 2015, a decrease of $871,000, compared with $11.1 million for the fourth quarter of fiscal 2014, and a decrease of $213,000, compared with $10.4 million for the third quarter of fiscal 2015.
The year-over-year and sequential decreases in net revenue were primarily due to a decline in Legacy Product sales. The year-over-year decline in Legacy Products was partially offset by 24% growth in New Product revenue.
New Product revenue was $1.7 million for the fourth quarter of fiscal 2015, compared with $1.4 million for the fourth quarter of fiscal 2014, and an increase of $95,000, compared with $1.7 million for the third quarter of fiscal 2015.
Gross profit as a percentage of net revenue was 47.1% for the fourth quarter of fiscal 2015, compared with 50.1% for the fourth quarter of fiscal 2014, and 45.1% for the third quarter of fiscal 2015. Gross profit as a percentage of revenue was lower primarily due to charges for excess and obsolete inventories. We continue to target a long-term gross margin target in the range of 49% to 51%.
Operating expenses were $5.8 million for the fourth quarter of fiscal 2015, compared with $5.8 million for the fourth quarter of fiscal 2014 and $5.5 million for the third quarter of fiscal 2015. The sequential increase in operating expenses was primarily due to severance and related charges of $230,000.
GAAP net loss for the fourth quarter of fiscal 2015 was $1 million or $0.07 per share, compared with GAAP net loss of $213,000 or $0.01 per share for the fourth quarter of fiscal 2014, and GAAP net loss of $839,000 or $0.06 per share for the third quarter of fiscal 2015.
Non-GAAP net loss for the fourth quarter of fiscal 2015 was $575,000 or $0.04 per share, compared with non-GAAP net income of $206,000 or $0.01 per share for the fourth quarter of fiscal 2014 and non-GAAP net loss of $357,000 or $0.02 per share for the third fiscal of fiscal 2015. ■