Calix swung (CALX) to a net loss for the quarter ended Sep. 27, 2014. The company has made a net loss of $3.85 million, or $ 0.08 a share in the quarter, against a net profit of $0.54 million, or $0.01 a share in the last year period.
Revenue during the quarter went up marginally by 2.07 percent to $105.77 million from $103.63 million in the previous year period. Gross margin for the quarter contracted 313 basis points over the previous year period to 42.62 percent. Total expenses were 103.54 percent of quarterly revenues, up from 99.99 percent for the same period last year. Operating margin for the quarter stood at negative 3.54 percent as compared to a positive 0.01 percent for the previous year period.
Operating loss for the quarter was $3.74 million, compared with an operating loss of $0.01 million in the previous year period.
"In addition to achieving record revenues in the quarter, we continued to innovate and expand our product line and our customer base by launching two entirely new solutions," said Carl Russo, Calix president and CEO.
"We launched our new GigaCenters, the industry's first fiber-based products to unleash the power of Carrier-Class Wi-Fi in the home; and the Compass Open Link Cable software solution, allowing cable operators to deliver gigabit services over fiber while continuing to use traditional back office and DOCSIS command and control procedures. These ground-breaking offerings enable our customers to extend the gigabit experience to their subscribers at an accelerated pace and in a cost-effective manner."
Cash Flow
Calix has generated cash of $14.54 million from operating activities during the nine month period, down 60.49 percent or $22.26 million, when compared with the last year period.
The company has spent $58.22 million cash to meet investing activities during the nine month period as against cash outgo of $5.48 million in the last year period. It has incurred net capital expenditure of $9.48 million on net basis during the nine month period, up 72.99 percent or $4 million from year ago period.
Cash flow from financing activities was $0.38 million for the nine month period, down 48.50 percent or $0.36 million, when compared with the last year period. It has raised net of $2.88 million by selling common stocks.
Cash and cash equivalents stood at $39.40 million as on Sep. 27, 2014, down 50.21 percent or $39.72 million from $79.12 million on Sep. 28, 2013.
Working Capital
Calix has recorded an increase in the working capital over the last year. It stood at $121.59 million as at Sep. 27, 2014, up 11.48 percent or $12.52 million from $109.07 million on Sep. 28, 2013. Current ratio was at 2.71 as on Sep. 27, 2014, up from 2.11 on Sep. 28, 2013.
Cash conversion cycle (CCC) has increased to 86 days for the quarter from 85 days for the last year period. Days sales outstanding went down to 39 days for the quarter compared with 51 days for the same period last year.
Days inventory outstanding has increased to 67 days for the quarter compared with 62 days for the previous year period. At the same time, days payable outstanding went down to 20 days for the quarter from 28 for the same period last year.
