Quantum Reports First Quarter Fiscal 2024 Results

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[{"type":"text","content":"SAN JOSE, Calif., Aug. 8, 2023 /PRNewswire/ -- Quantum Corporation (Nasdaq: QMCO) announced today financial results for its fiscal first quarter ended June 30, 2023.\n\n \n \n \n \n \n \n\n \nFirst Quarter Fiscal 2024 Financial Summary\nRevenue was $91.8 million, a decrease of 5% year-over-yearGAAP gross margin was 38.1%, and non-GAAP gross margin expanded to 38.3%Subscription ARR was up 78% year-over-year at $14.6 millionGAAP net loss was $10.6 million, or ($0.11) per shareNon-GAAP adjusted net loss was $4.8 million, or ($0.05) per shareAdjusted EBITDA increased to $0.8 millionCommenting on the results, Jamie Lerner, Quantum's Chairman and CEO, stated, \"First quarter revenue was impacted by booking delays; an unanticipated drop in Device and Media sales late in the quarter; and higher than anticipated weakness in the hyperscale vertical. Our subscription ARR in the quarter increased 78% year-over-year and 9% sequentially as we continue to advance recurring software subscriptions across our customer base.\n\"Despite the overall decline in quarterly revenue, our global efficiency plan and cost reduction initiatives helped to deliver a 790-basis point sequential improvement in gross margin and a reduction in operating expenses, which together contributed to both sequential and year over year increase in adjusted EBITDA.\n\"Subsequent to quarter-end, our largest hyperscale customer paused orders due to excess capacity driven by broader macro weakness. This development was unexpected and will have a meaningful impact on our second quarter and full year outlook and further punctuates the importance of transitioning our business to a more stable, subscription-based business model to moderate quarterly volatility.\n\"Our entire team is fully focused on executing with a high sense of urgency to secure and convert our expanding pipeline of opportunities into customers. This includes aggressively scaling our non-hyperscale businesses and ramping our full portfolio of end-to-end solutions. We are also further tightening spending across the organization, while maintaining our investment in key sales, marketing, and product development initiatives.\"\nFirst Quarter Fiscal 2024 vs. Prior Year\nRevenue for the first quarter fiscal 2024 was $91.8 million, compared to $97.1 million in the prior year first quarter, primarily reflecting a decreas...

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