Luna Innovations Incorporated (LUNA) has reported 96.13 percent plunge in profit for the quarter ended Dec. 31, 2016. The company has earned $0.31 million, or $0.01 a share in the quarter, compared with $7.91 million, or $0.29 a share for the same period last year. Revenue during the quarter grew 3.29 percent to $15.96 million from $15.45 million in the previous year period. Gross margin for the quarter expanded 570 basis points over the previous year period to 38.29 percent. Operating margin for the quarter period stood at positive 2.67 percent as compared to a negative 5.28 percent for the previous year period.
Operating income for the quarter was $0.43 million, compared with an operating loss of $0.82 million in the previous year period.
However, the adjusted EBITDA for the quarter stood at $1.58 million compared with $0.42 million in the prior year period. At the same time, adjusted EBITDA margin improved 716 basis points in the quarter to 9.88 percent from 2.72 percent in the last year period.
“Following our merger with API in 2015, we have remained focused on the successful execution of our key strategic initiatives and the realization of operational synergies from the merger to drive the company to profitability,” said My Chung, president and chief executive officer of Luna. “We are extremely pleased with the progress we demonstrated throughout 2016 in increasing our revenues from our high speed optical receiver products and our ODiSI products to fuel our growth and improve our profitability. As a result of this success, for the fourth quarter of 2016 we are able to report positive quarterly earnings from continuing operations for the first time since 2011."
Operating cash flow remains negative
Luna Innovations Incorporated has spent $0.40 million cash to meet operating activities during the year as against cash outgo of $5.09 million in the last year. The company has spent $2 million cash to meet investing activities during the year as against cash inflow of $8.29 million in the last year.
The company has spent $2.26 million cash to carry out financing activities during the year as against cash inflow of $0.14 million in the last year period.
Cash and cash equivalents stood at $12.80 million as on Dec. 31, 2016, down 26.69 percent or $4.66 million from $17.46 million on Dec. 31, 2015.
Working capital declines
Luna Innovations Incorporated has witnessed a decline in the working capital over the last year. It stood at $21.13 million as at Dec. 31, 2016, down 9.77 percent or $2.29 million from $23.42 million on Dec. 31, 2015. Current ratio was at 2.32 as on Dec. 31, 2016, down from 2.53 on Dec. 31, 2015.
Debt comes down significantly
Luna Innovations Incorporated has recorded a decline in total debt over the last one year. It stood at $4.42 million as on Dec. 31, 2016, down 28.61 percent or $1.77 million from $6.19 million on Dec. 31, 2015. Total debt was 8.04 percent of total assets as on Dec. 31, 2016, compared with 10.65 percent on Dec. 31, 2015. Debt to equity ratio was at 0.13 as on Dec. 31, 2016, down from 0.17 as on Dec. 31, 2015. Disclaimer: Please note that this is an auto-generated article. IRIS does not guarantee the accuracy, adequacy or completeness of any information and is not responsible for any errors or omissions or for the results obtained from the use of such information. IRIS especially states that it has no financial liability whatsoever to any user on account of the use of information provided on its website. For queries contact: editor@irisindia.net
