|MRV reports Q4 revenue of $46.0m, up 32.6% sequentially, net loss of $4.2m|
Announced Date: 4/2/2013 Published Date: 4/4/2013
MRV Communications, a provider of optical communications network infrastructure solutions and equipment as well as integration and managed services, reported the following financial results for the fourth quarter and year ended December 31, 2012:
NB: In the fourth quarter of 2012, MRV closed the sale of Network Integration subsidiaries Alcadon-MRV and Interdata from which it recognised a gain of $7.1 million.
Fourth quarter 2012 revenue of $46.0 million, compared with revenue of $34.7 million in the third quarter of 2012 and $44.7 million in the fourth quarter of 2011.
Sequentially, revenue was impacted by a 70% increase in Tecnonet revenue in Italy, offset by a 4% sequential decline in Network Equipment, primarily attributed to lower sales in Europe and the timing of a product deployment with a large carrier in Asia.
Fourth quarter gross margin of 32.2%, compared with 41.5% in the third quarter of 2012, and 37.0% in the fourth quarter of 2011.
Fourth quarter operating loss of $2.8 million, compared with an operating loss of $1.3 million in the fourth quarter of 2011.
Fourth quarter net loss from continuing operations of $4.2 million, compared with a net loss of $2.8 million in the same quarter of 2011.
Full year 2012 revenue of $151.7 million, gross margin of 36.4% and an operating loss of $9.8 million, compared with 2011 results of $157.1 million in revenue, gross margin of 39.3% and operating loss of $3.7 million.
Full year Network Equipment segment revenue of $87.7 million, down 9% compared with $96.2 million in 2011 attributable to lower sales in Europe. Sales for the Optiswitch and Fiber Driver product lines increased over the prior year.
Full year Network Integration revenue of $72.4 million, compared with $76.4 million in 2011, all generated in Italy and subject to foreign exchange rates.
David Stehlin, MRV's CEO, commented:
"2012 was a year of significant achievement for MRV resulting in a clear strategic direction for the business... we sold three non-core business units, paid out $58 million in cash dividends to our stockholders, commenced a buyback program for our common stock, streamlined our operations, strengthened our management team and renewed our focus on building a world class Network Equipment business".
"Our optical communications equipment business is well positioned in the market, and we have been making targeted investments that will greatly enhance our product and solutions offerings in high growth segments such as mobile backhaul, data centre, cloud computing connectivity and business class Ethernet".
"Additionally, our customer base is expanding through both returning and new customers as our optical communications solutions gain momentum... in Q4 we saw a 20% increase in the number of customers who purchased products and the addition of more than 25 new customers".