Radcom (NASDAQ: RDCM) reports its financial results for the second quarter, which ended on June 30, 2020.
- Revenue: Revenue in the second quarter was $ 9.2 million, compared to $ 8.5 million in the second quarter of 2019.
- Net loss: The net loss on a GAAP basis decreased and amounted to $ 0.2 million or 1 cents per share in full dilution, compared to a net loss on a GAAP basis of $ 0.9 million or 7 cents per share in full dilution, in the second quarter of 2019.
- Net income on a non-GAAP basis: Net income on a non-GAAP basis totaled $ 0.2 million, or 2 cents per fully diluted share, compared to a net loss on a non-GAAP basis of $ 0.4 million or 3 cents per full diluted share in the second quarter of 2019.
- Cash: As of June 30, 2020, the Company had cash, cash equivalents and short-term bank deposits amounting to $ 66 million, without debt.
“We are pleased with our second quarter performance, which is in line with our annual growth plan, while increasing revenue and improving the bottom line while continuing to invest in research and development,” said Redcom CEO Eyal Harari. “Along with the challenges posed by the COVID-19 virus, and while complying with health regulations in order to maintain the health of our employees and customers, we have been able to expand our technological capabilities in the 5G field. At the same time, the telecom industry continues to move forward with the deployment of 5G networks. ”
“We were pleased to report last week on the launch of RADCOM ACE – the automated end-to-end service security solution in 5G networks. The launch of this product is the product of many years of investment in product development and of our expertise in the field of virtual communication networks, which we have accumulated in working with leading operators around the world. RADCOM ACE enables operators to integrate service assurance into their cloud platform and automatically operate 5G networks using artificial intelligence (AI) insights. As the implementation of 5G networks progresses, operators will need real-time insights from their networks, and will need to upgrade existing service assurance solutions to those adapted to the cloud for 5G networks. To this end, RADCOM ACE is already being tested in a number of the most advanced cloud technology-based networks around the world.
“We believe that Redcom is well positioned to take advantage of the opportunities arising from the transition of operators to 5G networks and the development of the market in this field. We believe that the cash balance and stable balance will allow us to continue to grow and invest in our innovative solutions, despite the uncertainty of the consequences of the COVID-19 virus. According to the current conditions in the industry and the visibility that exists today, we approve the revenue forecast for 2020 in the range of $ 35-38 million. ”