Business
Socket Mobile Reports Fourth Quarter 2023 and Full Year Results
FREMONT, Calif., March 5, 2024 /PRNewswire/ -- Socket Mobile, Inc. (NASDAQ: SCKT), a leading provider of data capture and delivery solutions for enhanced
About this update from Socket Mobile, Inc.
[{"type":"text","content":"FREMONT, Calif., March 5, 2024 /PRNewswire/ -- Socket Mobile, Inc. (NASDAQ: SCKT), a leading provider of data capture and delivery solutions for enhanced workplace productivity, today reported financial results that are determined in accordance with generally accepted accounting principles in the United States (\"GAAP\") for the three and twelve months ended December 31, 2023.\n\n \n \n \n \n \n \n\n \nFourth Quarter 2023 Financial Highlights: \nRevenue of $4.4 million, a 15% decrease compared to $5.2 million in the comparable prior year quarter and a 37% increase sequentially compared to $3.7 million in Q3 2023.Gross margin of 52.8% compared with 49.3% in the prior year quarter and 44.2% in the preceding quarter.Operating loss was $475,000 compared to an operating loss of $152,000 a year ago and an operating loss of $1,399,000 in the preceding quarter.Diluted earnings per share of $0.08 compared to diluted earnings per share of $0.06 a year ago and a net loss per share of ($0.16) in the prior quarter.Full Year 2023 Financial Highlights:\nRevenue for the full year of 2023 was $17.0 million versus $21.2 million in 2022, a decrease of 20% year-over-year.Gross margin for 2023 was 49.7% compared to 48.8% in 2022.Operating loss was $3.1 million in 2023 compared to operating loss of $446,000 in 2022.Diluted loss per share of $0.27, compared to diluted earnings per share of $0.01 in the prior year.\"Our financial performance in 2023 was below our expectations. However, we believe that the $17M in reported revenue does not accurately reflect the underlying demand for our products and services. In 2023, our sales through distribution partners to resellers and end customers totaled $19.1 million, making a 2.8% decrease from the $19.7M in sales through distributor partners to resellers and end customers in 2022. While the demand softened in 2023, the timing of shipments to distributors in late 2022 had a positive impact on 2022 and a negative impact on 2023, contributing to the more dramatic decline. Additionally, reductions in distributor inventory and adjustments to distribution reserves also impacted the reported revenue for 2023,\" said Kevin Mills, President and Chief Executive Officer.\n\"In Q4 2023, we saw a 37% increase in reported revenue compared to Q3. Additionally, our gross margin improved by 8.5% compared to Q3. Moving forwar...