Radisys announced preliminary results for the first quarter of 2015, saying it now expects revenues of $48.7 million, up over 10% from the first quarter of 2014, and at the high end of its previously announced guidance.. Non-GAAP earnings are expected to be $.03 per share, above the company’s midpoint guidance of $.01 per share.
Some other highlights for the quarter:
- Software-Systems revenue growth of over 20% year over year;
- Embedded Products and Hardware Services operating income of approximately $4 million;
- Retired the Company’s $18 million convertible debt; and
- Cash generation, net of debt repayment and $1.5 million in cash restructuring payments, of nearly $3 million. Operating cash flows of nearly $4 million represent the best cash generation quarter since the second quarter of 2013.
“With cost reduction initiatives and personnel changes largely complete, the evaluation of various strategic alternatives behind us, and our new strategy defined and rolled out to all stakeholders, my team has now been able to focus 100% of their attention towards executing the transformation and delivering financial results,” said Brian Bronson, Radisys President and CEO. “We are off to a good start in 2015 and these results provide further confidence in our ability to deliver on our outlook for the full year. More specifically, we continue to see the funnel of opportunities building within our Software-Systems product lines, our Embedded Products business is off to a strong start against the 2015 cash flow objectives we set forth and our legacy revenue appears to be stable.”
