Socket Mobile(US:SCKT)2022-02-17 02:16Financial Data and Key Metrics Changes - In 2021, the company achieved a revenue growth of 48% to $23.1 million, with a gross margin maintained in the 53% range and reported operating income of $2.7 million [4][10] - For Q4, revenue grew by 31% to $6.1 million, with gross margins slightly lower at 52.1% due to increased supply chain costs, resulting in an operating income of $700,000 for the quarter [5][10] - The net income for Q4 was $1.1 million, down from $1.9 million in the prior year, while the annual net income was $4.5 million compared to a loss of $3.3 million in 2020 [12][13] Business Line Data and Key Metrics Changes - The company focused on the data capture markets, benefiting from the success of application partners, which contributed to the revenue growth [5][10] - The introduction of the SocketCam C820 is aimed at expanding the product offerings to meet diverse data capture needs, enhancing the company's market position [7][9] Market Data and Key Metrics Changes - The company noted that approximately 70% of end-users transitioned from keyboard or camera-based scanning to Socket scanners, indicating a growing market for performance-sensitive data capture solutions [8][9] Company Strategy and Development Direction - The company aims to strengthen its position as a comprehensive data capture company, with a focus on enhancing its product offerings and go-to-market strategy [4][7] - Continued investment in technology and talent is deemed essential for developing new products and better servicing development partners [11][12] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in navigating supply constraints and meeting customer needs despite ongoing industry-wide electronic component shortages [10][11] - The company plans to increase outreach to institutional investors to stabilize stock prices and enhance market perception [20] Other Important Information - The company generated a record $2.1 million in cash from operations in 2021, ending the year with a cash balance of $6.1 million [13][14] - A stock repurchase program was approved by the Board of Directors, indicating confidence in the company's financial health and future prospects [15] Q&A Session Summary Question: Consideration of listing on the New York Stock Exchange - Management acknowledged market instability and the impact of retail trading platforms on stock price volatility, indicating no immediate plans for a second exchange listing but a focus on attracting institutional investors [19][20] Question: Details on the share repurchase program - The company will enter a 10b5 plan for the share repurchase program, which will be executed by brokers following a 45-day waiting period [31]