Socket Mobile, Inc.
Summary Statements of Operations (Unaudited)
(Amounts in Thousands)
| | Three months ended Sept 30, | Nine months ended Sept 30, |
| | 2018 | 2017 | 2018 | 2017 |
Revenue | $ 4,137 | $ 5,475 | $ 12,310 | $ 16,903 |
Cost of revenue | 1,960 | 2,429 | 5,937 | 7,834 |
Gross profit | 2,177 | 3,046 | 6,373 | 9,069 |
Gross profit percent | 52.6% | 55.6% | 51.8% | 53.7% |
Research and development | 885 | 874 | 2,749 | 2,529 |
Sales and marketing | 739 | 737 | 2,211 | 2,238 |
General and administrative | 584 | 660 | 1,873 | 1,950 |
Total operating expenses | 2,208 | 2,271 | 6,833 | 6,717 |
Operating income (loss) | (31) | 775 | (460) | 2,352 |
Interest expense, net | 32 | 21 | 100 | 81 |
Net income (loss) before income taxes | (63) | 754 | (560) | 2,271 |
Income taxes - current | 0 | 28 | 0 | 54 |
Income taxes (benefit) - deferred | (18) | 312 | (152) | 927 |
Net income (loss) | $ (45) | $ 414 | $ (408) | $ 1,290 |
Net income (loss) per share: Basic Fully Diluted | $ (0.01) $ (0.01) | $ 0.07 $ 0.06 | $ (0.07) $ (0.07) | $ 0.21 $ 0.19 |
Weighted average shares outstanding: Basic Diluted | 5,883 5,883 | 6,261 7,130 | 6,166 6,166 | 6,048 6,936 |
Reconciliation of GAAP Net Income to Income Before Interest, Taxes, Depreciation and Amortization (EBITDA) (Unaudited)
| | Three months ended
Sept 30, | Nine months ended
Sep 30, |
| | 2018 | 2017 | 2018 | 2017 |
Net income (loss) GAAP Interest expense, net Income tax expense (benefit) Depreciation Stock option compensation expense | $ (45) 32 (18) 107 131 | $ 414 21 340 77 112 | $ (408) 100 (152) 291 362 | $ 1,290 81 981 236 315 |
Net income EBITDA | $ 207 | $ 964 | $ 193 | $ 2,903 |
Socket Mobile, Inc.
Condensed Summary Balance Sheets
(Amounts in Thousands)
| | September 30, 2018
(Unaudited) | December 31, 2017* |
Cash Accounts receivable, net Inventories, net Deferred cost on shipments to distributors Other current assets | $ 1,324 2,532 1,893 196 314 | $ 3,380 2,687 2,198 204 386 |
Total current assets Property and equipment, net Goodwill Deferred tax assets Other assets | 6,259 761 4,427 5,789 247 | 8,855 663 4,427 5,637 272 |
| Total assets | $ 17,483 | $ 19,854 |
Accounts payable and accrued liabilities Bank revolving line of credit Bank term loan – current portion Deferred revenue on shipments to distributors Other current liabilities | $ 1,736 1,527 500 479 90 | $ 1,743 -- -- 493 87 |
Total current liabilities Bank term loan – non-current portion Other non-current liabilities | 4,332 458 252 | 2,323 301 |
Total liabilities | 5,042 | 2,624 |
Common stock Accumulated deficit | 60,404 (47,963) | 64,784 (47,554) |
Total stockholders’ equity | 12,441 | 17,230 |
Total liabilities and equity | $ 17,483 | $ 19,854 |
*Derived from audited financial statements.