Utstarcom Holdings Corp · NASDAQ:UTSI
Utstarcom — Q1 2014 Earnings Presentation
21 slides from Utstarcom's earnings presentation, May 15, 2014
Slide 1: Disclosure & Forward Looking Statements
Disclosure & Forward Looking Statements This investor presentation contains forward-looking statements, including statements regarding the Company's expectation regarding its strategic initiatives and business outlook. Forward-looking statements are based on current expectations, estimates, forecast
Slide 2: Earnings Call Agenda
3 Earnings Call Agenda Update on Operating Progress Our Go-forward Strategy Our Portfolio Company - aioTV Overview of First Quarter 2014 Results Company Outlook 1 2 3 4 5
Slide 3: Update on Operating Progress
1 Update on Operating Progress 4
Slide 4: Operating Highlights
Operating Highlights 5 We continued to grow the high-end of our product portfolio, further set the stage for our global sales and market push, increased our engagement with prospective customers in new markets, and notched a significant new sales win. We have made great strides in setting the stage
Slide 5: Driving The Broadband Business
Driving The Broadband Business 6 We launched our latest MPLS-TP and carrier Ethernet-based packet optical transport network product, the TN765 in March. Shipments of the TN765 began earlier in March. We continue making progress on our software defined networking efforts and showcased our SDN technol
Slide 6: Making Smart Strategic Investment in New Media
Making Smart Strategic Investment in New Media 7 iTV Media iTV Media continues to make progress in deploying the TV-over-IP service that it has launched with Thailand’s largest telecom operator, TOT. iTV Media has begun an effort to raise average revenue per user by upselling tiered content packages
Slide 7: Our Go-forward Strategy
Our Go-forward Strategy 8
Slide 8: Post-restructuring plan: maximize broadband growth
Our post-restructuring plan includes several specific initiatives: We will maximize broadband growth globally by undertaking the following: We have kicked off a global marketing and sales initiative to broaden our presence globally including Asia, Americas and Europe. In India, besides winning the N
Slide 9: Post-restructuring plan: monetize investments
Our post-restructuring plan includes several specific initiatives: We will monetize our investments in iTV Media and aioTV. We will benefit as an investor in the appreciation and the investments are maturing. Our partnership will provide opportunities to market new media products to our broadband cu
Slide 10: Our Portfolio Company - aioTV
Our Portfolio Company - aioTV 11
Slide 11: aioTV
aioTV 12 aioTV is an OTT middleware video platform for licensed and unlicensed content targeted at service providers and content owners worldwide to allow them to easily aggregate multiple sources of live, on-demand and freely available video content into a single, unified TV experience, under their
Slide 12: Overview of First Quarter 2014 Results
Overview of First Quarter 2014 Results 13
Slide 13: Key Financial Highlights
14 Summary Overview Key Financial Highlights Key Financial Highlights Revenue decreased slightly year over year and we expect revenue from new products to ramp up beginning in the later part of 2014. Gross profit and gross margin decreased year over year due to Japanese Yen depreciation against the
Slide 14: Total Revenue
Total Revenue Total revenues for the first quarter of 2014 were $32.3 million, a decrease of 13.0% from $37.2 million for the corresponding period of 2013. 15 US$ in millions
Slide 15: Gross Profit and Gross Margin
Gross Profit and Gross Margin 16 Gross profit was $4.6 million for the first quarter of 2014, compared to $11.7 million for the corresponding period of 2013. US$ in millions Gross margin was 14.2% for the first quarter of 2014, compared to 31.4% for the corresponding period of 2013.
Slide 16: Operating Expenses
Operating Expenses 17 Operating expenses were $7.9 million for the first quarter of 2014, a decrease of 48% from $15.3 million for the corresponding period of 2013. US$ in millions
Slide 17: Operating Loss and Net Loss
Operating Loss and Net Loss 18 Operating loss was $3.3 million for the first quarter of 2014, compared to operating loss of $3.6 million for the corresponding period of 2013. US$ in millions US$ in millions Net loss was $3.3 million for the first quarter of 2014, compared to net loss of $5.0 million
Slide 18: Cash Flow Analysis
Cash balance of $100.3 million in cash, cash equivalents and short-term investment, and no debt. Cash used in operating activities for the first quarter of 2014 was $3.1 million. Cash used in investing activities for the first quarter of 2014 was $0.1 million. Cash used in financing activities for t
Slide 19: Company Outlook
Company Outlook 20
Slide 20: Company Outlook
21 The Company is still moving through a transition post-restructuring. New products are in early stages of their product life cycle and new customer wins are going through project deployment phases. The Company is fully committed to broadband as the driver of our business and new products will beco
Slide 21: Investor Relations Contacts
Investor Relations Contacts UTStarcom, Investor Relations Jane Zuo Tel: +852-3750-7632 Email: jane.zuo@utstar.com FTI Consulting, Inc. May Shen (Beijing) Tel: +86-10-8591-1951 Email: May.Shen@fticonsulting.com Daniel DelRe (Hong Kong) Tel: +852-3768-4547 Email: Daniel.DelRe@fticonsulting.com Simona