FARO Announces Second Quarter Financial Results

Core Insights - FARO Technologies, Inc. reported a revenue of $82.1 million for Q2 2024, a decrease of 7% year-over-year, but achieved a gross margin of 54.6%, significantly up from 37.8% in the prior year period [3][20] - The company recorded a net loss of $0.5 million, or $(0.03) per share, compared to a net loss of $28.2 million, or $(1.49) per share in the same period last year, indicating substantial improvement in financial performance [3][21] - Non-GAAP earnings per share were $0.18, exceeding guidance, while adjusted EBITDA reached $8.4 million, representing 10.3% of total sales, a notable recovery from a negative adjusted EBITDA of $(7.2) million in the prior year [2][25] Financial Performance - Total sales for Q2 2024 were $82.1 million, down from $88.2 million in Q2 2023 [3][26] - Gross margin improved to 54.6% from 37.8% year-over-year, with a non-GAAP gross margin of 55.0% compared to 38.7% in the prior year [3][20] - Operating expenses decreased to $43.0 million from $58.7 million in the prior year, with non-GAAP operating expenses at $40.0 million, down from $44.1 million [3][20] Cash Flow and Liquidity - Cash flow from operations was reported at $4.2 million, indicating positive operational cash generation [1] - The company had cash, cash equivalents, and short-term investments totaling $97.9 million as of June 30, 2024, compared to $96.3 million at the end of 2023 [3][20] Outlook - For Q3 2024, FARO expects revenue in the range of $76 to $84 million, with gross margin projected between 53.0% and 54.5% [4] - The company anticipates operating expenses to be between $45 to $47 million, with a net loss per share expected in the range of $(0.32) to $(0.12) [4]