UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 Form 10-Q (Mark One) ☒ QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the quarterly period ended November 30, 2021 or ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the transition period from to COMMISSION FILE NUMBER: 0-12182 CALAMP CORP. (Exact name of Registrant as specified in its Charter) Delaware 95-3647070 (State or other jurisdiction of ...

[PART I – FINANCIAL INFORMATION](index=3&type=section&id=PART%20I%20%E2%80%93%20FINANCIAL%20INFORMATION) Presents the company's unaudited condensed consolidated financial statements and management's analysis for the reporting period [Financial Statements](index=3&type=section&id=ITEM%201.%20Financial%20statements) Presents CalAmp Corp.'s unaudited condensed consolidated financial statements, including balance sheets, income, cash flow, and equity statements [Condensed Consolidated Balance Sheets](index=3&type=section&id=Condensed%20Consolidated%20Balance%20Sheets) | Balance Sheet Highlights (In thousands) | Aug 31, 2021 | Feb 28, 2021 | | :--- | :--- | :--- | | **Total Current Assets** | $205,367 | $214,288 | | **Total Assets** | $419,189 | $433,805 | | **Total Current Liabilities** | $99,615 | $107,245 | | **Total Liabilities** | $328,877 | $338,720 | | **Total Stockholders' Equity** | $90,312 | $95,085 | [Condensed Consolidated Statements of Comprehensive Loss](index=4&type=section&id=Condensed%20Consolidated%20Statements%20of%20Comprehensive%20Loss) | Income Statement Highlights (In thousands) | Three Months Ended Aug 31, 2021 | Three Months Ended Aug 31, 2020 | Six Months Ended Aug 31, 2021 | Six Months Ended Aug 31, 2020 | | :--- | :--- | :--- | :--- | :--- | | **Total Revenues** | $79,011 | $74,397 | $158,685 | $148,128 | | **Gross Profit** | $33,370 | $27,462 | $65,817 | $56,567 | | **Operating Loss** | $(998) | $(4,384) | $(2,228) | $(6,465) | | **Net Loss from Continuing Operations** | $(5,425) | $(7,610) | $(11,425) | $(14,198) | | **Net Loss** | $(5,425) | $(9,478) | $(7,373) | $(23,900) | | **Basic Loss Per Share - Continuing** | $(0.15) | $(0.22) | $(0.33) | $(0.42) | [Condensed Consolidated Statements of Cash Flows](index=5&type=section&id=Condensed%20Consolidated%20Statements%20of%20Cash%20Flows) | Cash Flow Highlights (In thousands) | Six Months Ended Aug 31, 2021 | Six Months Ended Aug 31, 2020 | | :--- | :--- | :--- | | **Net Cash Provided by Operating Activities** | $10,451 | $14,121 | | **Net Cash Provided by (Used in) Investing Activities** | $47 | $(7,563) | | **Net Cash Used in Financing Activities** | $(3,117) | $(8,231) | | **Net Change in Cash and Cash Equivalents** | $6,427 | $(259) | | **Cash and Cash Equivalents at End of Period** | $101,051 | $107,145 | [Notes to Unaudited Condensed Consolidated Financial Statements](index=7&type=section&id=Notes%20to%20Unaudited%20Condensed%20Consolidated%20Financial%20Statements) - The COVID-19 pandemic negatively impacted revenues through fiscal 2021 due to postponed capital expenditures by customers and created global supply shortages for certain components[21](index=21&type=chunk) Revenue by Type (In thousands) | Revenue by Type (In thousands) | Three Months Ended Aug 31, 2021 | Six Months Ended Aug 31, 2021 | | :--- | :--- | :--- | | Telematics devices and accessories | $51,529 | $103,526 | | Recurring application subscriptions | $23,987 | $48,054 | | Rental income and other services | $3,495 | $7,105 | | **Total** | **$79,011** | **$158,685** | - Estimated remaining performance obligations for contractually committed revenues were **$141.2 million** as of August 31, 2021, a slight decrease from **$145.1 million** as of February 28, 2021[40](index=40&type=chunk) - The company sold its LoJack North America business to Spireon for approximately **$8.0 million** on March 15, 2021, recognizing a **$5.0 million** gain on sale, with operations presented as discontinued[26](index=26&type=chunk)[57](index=57&type=chunk) - One industrial equipment customer accounted for **18%** and **20%** of consolidated revenue for the three and six months ended August 31, 2021, respectively, with another transportation customer accounting for **12%** for the three-month period[106](index=106&type=chunk) - Four suppliers accounted for approximately **55%** of total inventory purchases for the six months ended August 31, 2021, indicating significant supplier concentration[107](index=107&type=chunk) [Management's Discussion and Analysis of Financial Condition and Results of Operations (MD&A)](index=32&type=section&id=ITEM%202.%20MANAGEMENT%27S%20DISCUSSION%20AND%20ANALYSIS%20OF%20FINANCIAL%20CONDITION%20AND%20RESULTS%20OF%20OPERATIONS) Management discusses financial performance for the three and six months ended August 31, 2021, covering segment performance, gross profit, and liquidity [Operating Results - Three Months Ended August 31, 2021](index=34&type=section&id=Operating%20Results%20-%20Three%20Months%20Ended%20August%2031%2C%202021) Revenue by Segment (In thousands) | Revenue by Segment (In thousands) | Q2 FY22 | Q2 FY21 | % Change | | :--- | :--- | :--- | :--- | | Software & Subscription Services | $41,434 | $33,440 | 23.9% | | Telematics Products | $37,577 | $40,957 | (8.3%) | | **Total** | **$79,011** | **$74,397** | **6.2%** | - Software & Subscription Services revenue grew by **$8.0 million (23.9%)** year-over-year, primarily from a **$7.6 million** increase in transportation and logistics revenues due to 3G to 4G equipment upgrades[147](index=147&type=chunk) - Telematics Products revenue decreased by **$3.4 million (8.3%)** year-over-year, attributed to global supply shortages of silicon wafers and other components limiting order fulfillment[148](index=148&type=chunk) Gross Profit by Segment (In thousands) | Gross Profit by Segment (In thousands) | Q2 FY22 | Q2 FY21 | % Change | | :--- | :--- | :--- | :--- | | Software & Subscription Services | $21,332 | $16,639 | 28.2% | | Telematics Products | $12,038 | $10,823 | 11.2% | | **Total** | **$33,370** | **$27,462** | **21.5%** | - Consolidated gross margin increased by **530 basis points** year-over-year, driven by a higher proportion of revenue from the higher-margin Software & Subscription Services segment and improved margins in both segments[149](index=149&type=chunk) [Operating Results - Six Months Ended August 31, 2021](index=40&type=section&id=Operating%20Results%20-%20Six%20Months%20Ended%20August%2031%2C%202021) Revenue by Segment (In thousands) | Revenue by Segment (In thousands) | YTD FY22 | YTD FY21 | % Change | | :--- | :--- | :--- | :--- | | Software & Subscription Services | $76,477 | $61,213 | 24.9% | | Telematics Products | $82,208 | $86,915 | (5.4%) | | **Total** | **$158,685** | **$148,128** | **7.1%** | - For the six-month period, Software & Subscription Services revenue increased by **$15.3 million (24.9%)**, driven by 3G to 4G upgrades and growth in EMEA and LATAM regions[167](index=167&type=chunk) Adjusted EBITDA by Segment (In thousands) | Adjusted EBITDA by Segment (In thousands) | YTD FY22 | YTD FY21 | % Change | | :--- | :--- | :--- | :--- | | Software & Subscription Services | $15,532 | $14,168 | 9.6% | | Telematics Products | $3,254 | $1,489 | 118.5% | | Corporate Expenses | $(2,100) | $(2,318) | (9.4%) | | **Total** | **$16,686** | **$13,339** | **25.1%** | [Liquidity and Capital Resources](index=43&type=section&id=Liquidity%20and%20Capital%20Resources) - As of August 31, 2021, the company had **$101.1 million** in cash and cash equivalents and **$50 million** available under its revolving credit facility, with no borrowings outstanding[189](index=189&type=chunk)[191](index=191&type=chunk) Cash Flow Summary (In thousands) | Cash Flow Summary (In thousands) | Six Months Ended Aug 31, 2021 | Six Months Ended Aug 31, 2020 | | :--- | :--- | :--- | | Net cash provided by operating activities | $10,451 | $14,121 | | Net cash provided by (used in) investing activities | $47 | $(7,563) | | Net cash used in financing activities | $(3,117) | $(8,231) | - Net cash from investing activities for the six months ended August 31, 2021, includes **$6.6 million** in proceeds from the sale of the LoJack North America business[206](index=206&type=chunk) [Quantitative and Qualitative Disclosures About Market Risk](index=47&type=section&id=ITEM%203.%20QUANTITATIVE%20AND%20QUALITATIVE%20DISCLOSURES%20ABOUT%20MARKET%20RISK) Outlines the company's exposure to market risks, primarily from foreign currency exchange rates and interest rate fluctuations - The company has foreign currency risk from international operations, with a cumulative foreign currency translation loss of **$0.7 million** in Accumulated Other Comprehensive Loss as of August 31, 2021[211](index=211&type=chunk) - Interest rate risk from the fixed debt securities investment portfolio is not expected to materially affect fair market value or operating results due to its short-term nature[213](index=213&type=chunk)[214](index=214&type=chunk) [Controls and Procedures](index=47&type=section&id=ITEM%204.%20CONTROLS%20AND%20PROCEDURES) Management concluded that disclosure controls were effective, noting modifications to internal controls due to a phased ERP system implementation - The principal executive and financial officers concluded that the company's disclosure controls and procedures were effective as of August 31, 2021[217](index=217&type=chunk) - A phased implementation of a new ERP system has led to modifications and new internal controls over financial reporting[218](index=218&type=chunk) [PART II – OTHER INFORMATION](index=48&type=section&id=PART%20II%20%E2%80%93%20OTHER%20INFORMATION) This section provides additional information on legal proceedings, risk factors, securities sales, and filed exhibits [Legal Proceedings](index=48&type=section&id=ITEM%201.%20LEGAL%20PROCEEDINGS) This section refers to Note 16 of the financial statements for detailed information regarding ongoing legal proceedings - For information on legal proceedings, the report refers to Note 16 in the Notes to Unaudited Condensed Consolidated Financial Statements[221](index=221&type=chunk) [Risk Factors](index=48&type=section&id=ITEM%201A.%20RISK%20FACTORS) Directs readers to the Annual Report on Form 10-K for a comprehensive discussion of factors that could materially affect the business - The report refers readers to the 'Risk Factors' section of its Annual Report on Form 10-K for the year ended February 28, 2021, for a comprehensive discussion of potential risks[222](index=222&type=chunk) [Unregistered Sales of Securities and Use of Proceeds](index=48&type=section&id=ITEM%202.%20UNREGISTERED%20SALES%20OF%20SECURITIES%20AND%20USE%20OF%20PROCEEDS) This section details the company's repurchase of common stock from employees to satisfy tax withholding obligations upon restricted stock vesting Common Stock Repurchase Summary | Period | Total Shares Purchased | Average Price Paid per Share | | :--- | :--- | :--- | | June 1 - 30, 2021 | - | - | | July 1 - 31, 2021 | 38,460 | $12.20 | | August 1 - 31, 2021 | - | - | | **Total** | **38,460** | **$12.20** | - The purchased shares represent common stock surrendered by employees to satisfy tax withholding requirements upon restricted stock vesting[223](index=223&type=chunk) [Exhibits](index=49&type=section&id=ITEM%206.%20EXHIBITS) This section lists the exhibits filed with the Form 10-Q, including CEO and CFO certifications and Inline XBRL financial data files - The exhibits filed include CEO and CFO certifications pursuant to Sections 302 and 906 of the Sarbanes-Oxley Act of 2002, and various Inline XBRL documents[225](index=225&type=chunk)

[PART I – FINANCIAL INFORMATION](index=3&type=section&id=PART%20I%20%E2%80%93%20FINANCIAL%20INFORMATION) [Financial Statements](index=3&type=section&id=ITEM%201.%20Financial%20statements) CalAmp's Q1 FY2022 saw **$79.7 million** in revenue, an **8.1% increase**, and a narrowed net loss of **$1.9 million**, aided by a **$4.1 million** gain from discontinued operations [Condensed Consolidated Balance Sheets](index=3&type=section&id=Condensed%20consolidated%20balance%20sheets) Balance Sheet Summary (in thousands) | Account | May 31, 2021 | February 28, 2021 | | :--- | :--- | :--- | | **Total current assets** | $203,813 | $214,288 | | **Total assets** | $420,664 | $433,805 | | **Total current liabilities** | $96,310 | $107,245 | | **Total liabilities** | $324,937 | $338,720 | | **Total stockholders' equity** | $95,727 | $95,085 | [Condensed Consolidated Statements of Comprehensive Loss](index=4&type=section&id=Condensed%20consolidated%20statements%20of%20comprehensive%20loss) Statement of Comprehensive Loss Summary (in thousands, except per share amounts) | Metric | Three Months Ended May 31, 2021 | Three Months Ended May 31, 2020 | | :--- | :--- | :--- | | **Total revenues** | $79,674 | $73,731 | | **Gross profit** | $32,447 | $29,105 | | **Operating loss** | $(1,230) | $(2,081) | | **Net loss from continuing operations** | $(6,000) | $(6,588) | | **Net income (loss) from discontinued operations** | $4,052 | $(7,834) | | **Net loss** | $(1,948) | $(14,422) | | **Basic loss per share - continuing operations** | $(0.17) | $(0.19) | [Condensed Consolidated Statements of Cash Flows](index=5&type=section&id=Condensed%20consolidated%20statements%20of%20cash%20flows) Cash Flow Summary (in thousands) | Cash Flow Activity | Three Months Ended May 31, 2021 | Three Months Ended May 31, 2020 | | :--- | :--- | :--- | | **Net cash provided by operating activities** | $78 | $5,941 | | **Net cash provided by (used in) investing activities** | $3,523 | $(3,091) | | **Net cash used in financing activities** | $(813) | $(7,712) | | **Net change in cash and cash equivalents** | $1,560 | $(3,333) | | **Cash and cash equivalents at end of period** | $96,184 | $104,071 | [Notes to Unaudited Condensed Consolidated Financial Statements](index=7&type=section&id=Notes%20to%20unaudited%20condensed%20consolidated%20financial%20statements) - The COVID-19 pandemic negatively impacted revenues through fiscal 2021 due to postponed capital expenditures by customers and created global supply shortages of certain components[22](index=22&type=chunk) - As of May 31, 2021, the company had estimated remaining performance obligations for contractually committed revenues of **$144.3 million**, with approximately **47%** expected to be recognized in fiscal 2022[40](index=40&type=chunk) Revenue Disaggregation (in thousands) | Revenue by Type | Q1 2021 | Q1 2020 | | :--- | :--- | :--- | | Telematics devices and accessories | $51,997 | $47,921 | | Recurring application subscriptions | $24,067 | $23,792 | | Rental income and other services | $3,610 | $2,018 | | **Total** | **$79,674** | **$73,731** | [Management's Discussion and Analysis of Financial Condition and Results of Operations (MD&A)](index=32&type=section&id=ITEM%202.%20MANAGEMENT%27S%20DISCUSSION%20AND%20ANALYSIS%20OF%20FINANCIAL%20CONDITION%20AND%20RESULTS%20OF%20OPERATIONS) Revenue grew **8.1%** to **$79.7 million**, driven by **26.2%** growth in Software & Subscription Services, offsetting a decline in Telematics Products due to supply shortages, while the LoJack North America sale generated **$6.6 million** Revenue by Segment (in thousands) | Segment | Q1 FY2022 | Q1 FY2021 | % Change | | :--- | :--- | :--- | :--- | | Software & Subscription Services | $35,043 | $27,773 | 26.2% | | Telematics Products | $44,631 | $45,958 | (2.9%) | | **Total** | **$79,674** | **$73,731** | **8.1%** | - The decrease in Telematics Products revenue was attributed to global supply imbalances and shortages of silicon wafers and other components, which limited the company's ability to fulfill customer orders[149](index=149&type=chunk) - The company sold its LoJack North America business to Spireon, receiving net proceeds of **$6.6 million** and recognizing a gain on sale of **$5.0 million**[143](index=143&type=chunk) Adjusted EBITDA by Segment (in thousands) | Segment | Q1 FY2022 | Q1 FY2021 | % Change | | :--- | :--- | :--- | :--- | | Software & Subscription Services | $5,894 | $6,473 | (8.9%) | | Telematics Products | $3,632 | $3,215 | 13.0% | | Corporate Expenses | $(1,141) | $(1,397) | (18.3%) | | **Total Adjusted EBITDA** | **$8,385** | **$8,291** | **1.1%** | [Quantitative and Qualitative Disclosures About Market Risk](index=44&type=section&id=ITEM%203.%20QUANTITATIVE%20AND%20QUALITATIVE%20DISCLOSURES%20ABOUT%20MARKET%20RISK) The company faces minimal foreign currency exchange risk from international operations and no material interest rate risk from its short-term investment portfolio - The company has international operations, which creates exposure to market risks from changes in currency exchange rates; the aggregate foreign currency transaction impact was de minimus for the quarter[192](index=192&type=chunk) - Interest rate risk is primarily related to the investment portfolio of fixed debt securities and money market funds; due to the short-term nature of the portfolio, management does not believe a sudden change in interest rates would have a material effect[194](index=194&type=chunk)[195](index=195&type=chunk) [Controls and Procedures](index=44&type=section&id=ITEM%204.%20CONTROLS%20AND%20PROCEDURES) Management affirmed the effectiveness of disclosure controls and procedures, noting ongoing modifications due to a phased ERP system implementation - The principal executive officer and principal financial officer concluded that the company's disclosure controls and procedures are effective[198](index=198&type=chunk) - The company is undergoing a phased implementation of a new ERP system, which has led to modifications and implementation of new internal controls over financial reporting[199](index=199&type=chunk) [PART II – OTHER INFORMATION](index=45&type=section&id=PART%20II%20%E2%80%93%20OTHER%20INFORMATION) [Legal Proceedings](index=45&type=section&id=ITEM%201.%20LEGAL%20PROCEEDINGS) The company faces ongoing patent infringement claims, with a **$2.2 million** accrued liability for Omega and an unestimable, reasonably possible loss for Philips - Omega patent infringement claim: The company has accrued its best estimate of probable liability of **$2.2 million**; however, it is reasonably possible that a prior judgment could be upheld, resulting in losses up to **$3.2 million** in excess of the accrued amount[125](index=125&type=chunk) - Philips patent infringement claim: Philips filed four separate legal actions alleging infringement of 3G and 4G wireless patents; while a loss is reasonably possible, it is not reasonably estimable at this time[128](index=128&type=chunk)[130](index=130&type=chunk) [Risk Factors](index=45&type=section&id=ITEM%201A.%20RISK%20FACTORS) This section directs readers to the Annual Report on Form 10-K for a comprehensive discussion of material risk factors - The report directs readers to the Risk Factors section of the Annual Report on Form 10-K filed on April 22, 2021, for a full discussion of potential risks[203](index=203&type=chunk) [Unregistered Sales of Securities and Use of Proceeds](index=45&type=section&id=ITEM%202.%20UNREGISTERED%20SALES%20OF%20SECURITIES%20AND%20USE%20OF%20PROCEEDS) The company acquired **49,981** common shares in Q1 FY2022, primarily from employees surrendering stock for tax withholding upon restricted stock vesting Share Repurchases in Q1 FY2022 | Period | Total Shares Purchased | Average Price Paid per Share | | :--- | :--- | :--- | | March 2021 | - | - | | April 2021 | - | - | | May 2021 | 49,981 | $13.87 | | **Total** | **49,981** | **$13.87** | - The shares purchased represent common stock surrendered by employees to the company to satisfy tax withholding requirements upon the vesting of restricted stock[204](index=204&type=chunk)

Table of Contents UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 FORM 10-K ☒ ANNUAL REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 FOR THE FISCAL YEAR ENDED FEBRUARY 28, 2021 ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the transition period from ____ to ____ COMMISSION FILE NUMBER: 0-12182 CALAMP CORP. (Exact name of Registrant as specified in its Charter) Delaware 95-3647070 (State or other jurisdicti ...

UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 Title of each class Trading symbol Name of Each Exchange On Which Registered Common stock, $0.01 per share CAMP Nasdaq Global Select Market Form 10-Q (Mark One) ☒ QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the quarterly period ended November 30, 2020 or ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the transition period from to COMMISSION F ...

UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 Form 10-Q (Mark One) ☒ QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the quarterly period ended August 31, 2020 or ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the transition period from to COMMISSION FILE NUMBER: 0-12182 CALAMP CORP. (Exact name of Registrant as specified in its Charter) Delaware 95-3647070 (State or other jurisdiction of (I ...

UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 Title of each class Trading symbol Name of Each Exchange On Which Registered Common stock, $0.01 per share CAMP Nasdaq Global Select Market Form 10-Q (Mark One) ☒ QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the quarterly period ended May 31, 2020 or ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the transition period from to COMMISSION FILE N ...

Table of Contents UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 FORM 10-K ANNUAL REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 FOR THE FISCAL YEAR ENDED FEBRUARY 29, 2020 COMMISSION FILE NUMBER: 0-12182 CALAMP CORP. (Exact name of Registrant as specified in its Charter) Delaware 95-3647070 (State or other jurisdiction of incorporation or organization) (I.R.S. Employer Identification No.) 15635 Alton Parkway, Suite 250 Irvine, California 92618 (Addres ...

PART I – FINANCIAL INFORMATION [Financial Statements](index=3&type=section&id=ITEM%201.%20Financial%20statements) The company presents its unaudited condensed consolidated financial statements, reporting a decrease in total assets and a significant net loss [Condensed Consolidated Balance Sheets](index=3&type=section&id=Condensed%20consolidated%20balance%20sheets) Total assets decreased to $562.4 million by November 30, 2019, primarily due to a reduction in cash and cash equivalents Condensed Consolidated Balance Sheet Highlights (in thousands) | Account | Nov 30, 2019 | Feb 28, 2019 | | :--- | :--- | :--- | | Cash and cash equivalents | $101,634 | $256,500 | | Total current assets | $253,253 | $403,497 | | Goodwill | $105,584 | $80,805 | | Total assets | $562,411 | $603,626 | | Total current liabilities | $129,831 | $83,592 | | Long-term debt, net | $176,378 | $275,905 | | Total liabilities | $371,758 | $397,973 | | Total stockholders' equity | $190,653 | $205,653 | [Condensed Consolidated Statements of Comprehensive Income (Loss)](index=4&type=section&id=Condensed%20consolidated%20statements%20of%20comprehensive%20income%20%28loss%29) The company reported a net loss of $7.4 million for Q3 and $23.5 million for the nine months ended November 30, 2019 Financial Performance Highlights (in thousands, except per share data) | Metric | Three Months Ended Nov 30, 2019 | Three Months Ended Nov 30, 2018 | Nine Months Ended Nov 30, 2019 | Nine Months Ended Nov 30, 2018 | | :--- | :--- | :--- | :--- | :--- | | Total Revenues | $96,597 | $88,495 | $278,903 | $279,420 | | Gross Profit | $36,884 | $36,381 | $109,965 | $114,293 | | Operating Income (Loss) | $(3,997) | $599 | $(15,248) | $4,274 | | Net Income (Loss) | $(7,415) | $(522) | $(23,477) | $7,135 | | Diluted EPS | $(0.22) | $(0.02) | $(0.70) | $0.20 | [Condensed Consolidated Statements of Cash Flows](index=5&type=section&id=Condensed%20consolidated%20statements%20of%20cash%20flows) Net cash from operating activities significantly declined to $3.3 million for the nine months ended November 30, 2019, leading to a net decrease in cash Cash Flow Summary for Nine Months Ended Nov 30 (in thousands) | Activity | 2019 | 2018 | | :--- | :--- | :--- | | Net Cash from Operating Activities | $3,303 | $48,093 | | Net Cash from Investing Activities | $(62,314) | $(17,148) | | Net Cash from Financing Activities | $(95,462) | $108,578 | | **Net Change in Cash** | **$(154,866)** | **$139,010** | [Notes to Financial Statements](index=7&type=section&id=Notes%20to%20unaudited%20condensed%20consolidated%20financial%20statements) The notes detail accounting policies, recent acquisitions, debt structure, and significant legal proceedings including the Omega patent case [Management's Discussion and Analysis (MD&A)](index=33&type=section&id=ITEM%202.%20Management%27s%20discussion%20and%20analysis%20of%20financial%20condition%20and%20results%20of%20operations) Management discusses financial performance across segments, highlighting revenue growth from acquisitions, liquidity, and operational risks - The company is undergoing a strategic transformation towards higher-value, subscription-based services, accelerated by the acquisitions of Tracker UK, LoJack Mexico, and Synovia[141](index=141&type=chunk) - Telematics Systems revenue declined due to reduced sales to large customers and a product line transition at its largest OEM customer, which is expected to be temporary[146](index=146&type=chunk) - Liquidity is supported by cash on hand and a **$50 million** revolving credit facility. The company expects to settle the remaining **$27.6 million** of its 2020 Convertible Notes with cash in May 2020[190](index=190&type=chunk) [Results of Operations](index=33&type=section&id=Results%20of%20Operations) Revenue increased **9.2%** in Q3 to **$96.6 million**, but operating expenses rose, leading to an operating loss for both the quarter and nine-month period Revenue by Segment - Q3 2019 vs Q3 2018 (in thousands) | Segment | Q3 2019 | Q3 2018 | % Change | | :--- | :--- | :--- | :--- | | Telematics Systems | $63,192 | $68,552 | (7.8%) | | Software & Subscription Services | $33,405 | $19,943 | 67.5% | | **Total** | **$96,597** | **$88,495** | **9.2%** | Revenue by Segment - Nine Months 2019 vs 2018 (in thousands) | Segment | Nine Months 2019 | Nine Months 2018 | % Change | | :--- | :--- | :--- | :--- | | Telematics Systems | $188,782 | $222,004 | (15.0%) | | Software & Subscription Services | $90,121 | $57,416 | 57.0% | | **Total** | **$278,903** | **$279,420** | **(0.2%)** | - Operating expenses for the nine months increased by **$15.2 million (13.8%)** YoY, primarily driven by higher Selling & Marketing and General & Administrative costs related to recent acquisitions[172](index=172&type=chunk)[173](index=173&type=chunk)[174](index=174&type=chunk) [Liquidity and Capital Resources](index=43&type=section&id=Liquidity%20and%20Capital%20Resources) Liquidity is primarily from cash on hand and a revolving credit facility, with significant cash used for acquisitions and debt repurchase - Primary sources of liquidity are **$103.6 million** in cash and marketable securities and an undrawn **$50 million** revolving credit facility[190](index=190&type=chunk) - Significant cash uses in the first nine months of fiscal 2020 included acquisitions of Tracker UK (**$13.1 million**), LoJack Mexico (**$14.3 million**), and Synovia (**$49.8 million**), and the repurchase of **$94.7 million** of convertible notes[192](index=192&type=chunk)[205](index=205&type=chunk) - Net cash from operating activities for the nine months ended Nov 30, 2019 was **$3.3 million**, a significant decrease from **$48.1 million** in the prior year period[201](index=201&type=chunk)[202](index=202&type=chunk) [Quantitative and Qualitative Disclosures About Market Risk](index=47&type=section&id=ITEM%203.%20Quantitative%20and%20qualitative%20disclosures%20about%20market%20risk) The company is exposed to market risks from foreign currency exchange rates and interest rates, though interest rate risk is deemed immaterial - The company has exposure to foreign currency risk from its international operations, resulting in a cumulative translation loss of **$0.8 million** as of November 30, 2019[212](index=212&type=chunk) - Interest rate risk is primarily related to the company's investment portfolio in fixed debt securities. Management believes this risk is not material due to the short-term nature of the portfolio[214](index=214&type=chunk)[215](index=215&type=chunk) [Controls and Procedures](index=47&type=section&id=ITEM%204.%20Controls%20and%20procedures) Management concluded disclosure controls were effective, while a new ERP system implementation is modifying internal controls over financial reporting - The principal executive and financial officers concluded that disclosure controls and procedures are effective as of November 30, 2019[217](index=217&type=chunk) - The company is implementing a new ERP system in phases, which has required modifications to internal controls over financial reporting. The first phase was completed in Q2 FY2020[218](index=218&type=chunk) PART II – OTHER INFORMATION [Legal Proceedings](index=48&type=section&id=ITEM%201.%20Legal%20proceedings) The company is involved in various legal proceedings, most notably the Omega patent infringement lawsuit where a jury awarded damages - In the Omega patent infringement case, a jury awarded Omega damages of **$4.6 million** plus **$0.8 million** in pre-judgment interest in September 2019[134](index=134&type=chunk) - CalAmp plans to file motions seeking judgment as a matter of law or a new trial, and intends to appeal if the judgment remains intact[134](index=134&type=chunk) [Risk Factors](index=48&type=section&id=ITEM%201A.%20Risk%20factors) The company highlights various risk factors including U.S. tariffs, Brexit uncertainty, and operational risks from ERP system implementation - The company faces risks from U.S. tariffs on Chinese imports, though it does not currently expect a material impact. Further tariffs or retaliatory measures could negatively affect revenue or operating results[222](index=222&type=chunk) - Uncertainty related to Brexit could adversely affect relationships with European customers, suppliers, and employees, impacting financial results[223](index=223&type=chunk) - The ongoing implementation of a new ERP system poses significant operational risks, including potential disruptions to supply chain, customer billing, and timely financial reporting[224](index=224&type=chunk) [Exhibits](index=49&type=section&id=ITEM%206.%20Exhibits) This section lists exhibits filed with the Form 10-Q, including employment agreement amendments and Sarbanes-Oxley Act certifications - Filed exhibits include an amendment to the employment agreement for Kurtis Binder and required CEO/CFO certifications under the Sarbanes-Oxley Act[226](index=226&type=chunk)

UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 Title of each class Trading symbol Name of Each Exchange On Which Registered Common stock, $0.01 per share CAMP Nasdaq Global Select Market Form 10-Q (Mark One) ☒ QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the quarter ended August 31, 2019 or ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the transition period from to COMMISSION FILE NUMBER: ...