TransAct Technologies rporated(US:TACT)2024-11-07 21:10Financial Performance - Net sales for Q3 2024 were $10.9 million, down 6% sequentially and down 37% compared to $17.2 million in Q3 2023[3]. - FST recurring revenue for Q3 2024 was $2.9 million, up 4% sequentially but down 8% from $3.1 million in Q3 2023[3]. - Gross profit for Q3 2024 was $5.2 million, with a gross margin of 48.1%, compared to a gross profit of $8.9 million and a margin of 51.9% in Q3 2023[4]. - Operating loss for Q3 2024 was $(837) thousand, compared to an operating loss of $(438) thousand in Q2 2024 and operating income of $1.2 million in Q3 2023[4]. - Net loss for Q3 2024 was $(551) thousand, or $(0.06) per diluted share, compared to a net income of $906 thousand, or $0.09 per diluted share in Q3 2023[5]. - EBITDA for Q3 2024 was negative $(533) thousand, compared to negative $(190) thousand in Q2 2024 and $1.5 million in Q3 2023[6]. - Net sales for the three months ended September 30, 2024, were $10,867 thousand, a decrease from $17,190 thousand in the same period of 2023, representing a decline of 36.5%[21][22]. - Gross profit for the three months ended September 30, 2024, was $5,227 thousand, down from $8,916 thousand in the prior year, reflecting a decrease of 41.5%[21]. - The company reported an operating loss of $837 thousand for the three months ended September 30, 2024, compared to an operating income of $1,191 thousand in the same period of 2023[21][24]. - Net loss for the three months ended September 30, 2024, was $551 thousand, compared to a net income of $906 thousand in the same period of 2023[21][24]. - The company’s total net sales for the nine months ended September 30, 2024, were $33,153 thousand, down from $59,366 thousand in the same period of 2023, a decrease of 44.0%[21][22]. - For the nine months ended September 30, 2023, the net income was $4,810 million, a decrease from $6,201 million in the same period last year[27]. - The operating income for the same period was reported at $6,228 million, representing 10.5% of net sales, compared to 13.0% in the previous year[27]. - Adjusted EBITDA for the nine months ended September 30, 2024, was $(816) million, significantly lower than $9,381 million in the same period last year[28]. - The company reported an EBITDA of $(1,689) million for the nine months ended September 30, 2024, compared to $7,309 million in the previous year[28]. Expenses and Liabilities - Operating expenses for the three months ended September 30, 2024, totaled $6,064 thousand, compared to $7,725 thousand in the same period of 2023, a reduction of 21.5%[21][25]. - Total current assets decreased to $37,407 thousand as of September 30, 2024, from $40,999 thousand at the end of 2023, a decline of 6.3%[23]. - Total liabilities decreased to $12,149 thousand as of September 30, 2024, from $14,784 thousand at the end of 2023, a reduction of 17.7%[23]. - The company incurred a severance charge of $1,461 million related to the resignation of the former CEO[27]. - Operating expenses were reported at $25,801 million, accounting for 43.5% of net sales, compared to 41.0% in the previous year[27]. Cash and Shareholder Information - The company’s cash and cash equivalents were $11,343 thousand as of September 30, 2024, down from $12,321 thousand at the end of 2023[23]. - The company reported a basic net loss per common share of $0.06 for the three months ended September 30, 2024, compared to a basic net income per share of $0.09 in the same period of 2023[21][24]. - Basic and diluted net income per common share for the nine months ended September 30, 2023, was $0.48, down from $0.62 in the previous year[27]. - Income tax expense for the nine months ended September 30, 2023, was $1,189 million, compared to $1,259 million in the previous year[27]. - Interest and other expense remained consistent at $(229) million for both periods[27]. Future Outlook - The company expects full year 2024 net sales to be between $43 million and $45 million[7]. - The company anticipates full year 2024 adjusted EBITDA to be between negative $1 million and negative $2 million[7]. - The company added 12 new FST customers in Q3 2024, representing approximately 2,400 potential Terminal 2 sales opportunities[2]. - The company is actively assessing strategic alternatives with the assistance of Roth Capital Partners, LLC, while pursuing business growth initiatives[8].