Alarm.com Holdings, Inc. (ALRM) has reported 44.74 percent jump in profit for the quarter ended Mar. 31, 2017. The company has earned $3.96 million, or $0.08 a share in the quarter, compared with $2.74 million, or $0.06 a share for the same period last year. On the other hand, adjusted net income for the quarter stood at $11 million, or $0.23 a share compared with $6.12 million or $0.13 a share, a year ago.
Revenue during the quarter grew 25.66 percent to $74.19 million from $59.04 million in the previous year period. Gross margin for the quarter contracted 14 basis points over the previous year period to 64.10 percent. Total expenses were 93.96 percent of quarterly revenues, up from 92.78 percent for the same period last year. That has resulted in a contraction of 117 basis points in operating margin to 6.04 percent.
Operating income for the quarter was $4.48 million, compared with $4.26 million in the previous year period.
However, the adjusted EBITDA for the quarter stood at $14.10 million compared with $10.82 million in the prior year period. At the same time, adjusted EBITDA margin improved 68 basis points in the quarter to 19.01 percent from 18.33 percent in the last year period.
"We're off to a solid start in 2017 with continued growth in SaaS and license revenue and increased profitability," said Steve Trundle, President and chief executive officer of Alarm.com. "Our service provider partners continue to lead the security industry’s transformation from traditional service to higher value interactive solutions, and we announced new product initiatives to help them deliver a best-in-class experience to their customers."
Operating cash flow improves significantlyAlarm.com Holdings has generated cash of $12.97 million from operating activities during the quarter, up 78 percent or $5.68 million, when compared with the last year period. The company has spent $157.93 million cash to meet investing activities during the quarter as against cash outgo of $0.17 million in the last year period.
Cash flow from financing activities was $67.47 million for the quarter, up 18,086.79 percent or $67.10 million, when compared with the last year period.
Cash and cash equivalents stood at $63.15 million as on Mar. 31, 2017, down 53.51 percent or $72.70 million from $135.84 million on Mar. 31, 2016.
Working capital drops significantly
Alarm.com Holdings has witnessed a decline in the working capital over the last year. It stood at $78.26 million as at Mar. 31, 2017, down 43.38 percent or $59.95 million from $138.21 million on Mar. 31, 2016. Current ratio was at 2.91 as on Mar. 31, 2017, down from 5.15 on Mar. 31, 2016.
Days sales outstanding went up to 37 days for the quarter compared with 35 days for the same period last year.
Days inventory outstanding has decreased to 12 days for the quarter compared with 30 days for the previous year period.
Debt increases substantiallyAlarm.com Holdings has witnessed an increase in total debt over the last one year. It stood at $73.70 million as on Mar. 31, 2017, up 1,000 percent or $67 million from $6.70 million on Mar. 31, 2016. Alarm.com Holdings has witnessed an increase in long-term debt over the last one year. It stood at $73.70 million as on Mar. 31, 2017, up 1,000 percent or $67 million from $6.70 million on Mar. 31, 2016. Total debt was 21.96 percent of total assets as on Mar. 31, 2017, compared with 2.84 percent on Mar. 31, 2016. Debt to equity ratio was at 0.37 as on Mar. 31, 2017, up from 0.04 as on Mar. 31, 2016. Interest coverage ratio deteriorated to 20.76 for the quarter from 103.93 for the same period last year. 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: [email protected]
