SAN JOSE, Calif., Dec. 18, 2012 /PRNewswire/ --
Symmetricom®, Inc. (NASDAQ: SYMM) updated revenue and
earnings per share guidance today for the second quarter of fiscal
2013, ending December 30,
2012.
(Logo:
http://photos.prnewswire.com/prnh/20110829/AQ59077LOGO)
Second quarter revenue is expected to range from $46.0 to $49.0 million, a revision from previous
revenue guidance of $55.0 to $62.0
million. This decrease is due primarily to lower than
expected revenue in two areas: U.S. government and domestic
communications service provider spending. Purchases of
Symmetricom products by U.S. government customers declined further
in the second quarter. In addition, wireline-related
purchases by communications service providers have been soft, most
notably in the United States. Partially offsetting this
weakness in the quarter is continued strength in shipments of the
company's QuantumTM SA.45s Chip Scale Atomic Clock
(CSAC), a key growth initiative for the company.
"Despite the unexpected financial results this quarter, we
continue to see strong long-term demand in our key growth areas
such as QuantumTM CSAC, PackeTime® and Government
Programs," said Dave Cote, president
and chief executive officer of Symmetricom. "We have focused,
and will continue to focus, on controlling our expenses to
effectively manage our business through this period of
uncertainty."
As a result of this updated revenue information, the company
expects a GAAP loss for the second quarter of fiscal 2013 in the
range of $(0.11) to $(0.05) per share
and non-GAAP loss in the range of $(0.05) to
$(0.01) per share. A reconciliation of GAAP and
non-GAAP guidance is provided at the end of this press release.
The company expects to report second quarter financial results
during the week of January 21, 2013,
at which time it will provide more detailed commentary on the
company's performance and outlook.
About Symmetricom, Inc.
Symmetricom (NASDAQ:SYMM), a world leader in precise time
solutions, sets the world's standard for time. The company
generates, distributes and applies precise time for the
communications, aerospace/defense, IT infrastructure and metrology
industries. Symmetricom's customers, from communications service
providers and network equipment manufacturers to governments and
their suppliers worldwide, are able to build more reliable networks
and systems by using the company's advanced timing technologies,
atomic clocks, services and solutions. All products support today's
precise timing standards, including GPS-based timing, IEEE 1588
(PTP), Network Time Protocol (NTP), Synchronous Ethernet and
DOCSIS® timing. Symmetricom is the recipient of the
following 2012 awards: Frost & Sullivan Global Technology
Innovation Award, Best Carrier Ethernet Core Product at Carrier
Ethernet World Congress and GNSS Leadership Product Award.
Symmetricom is based in San Jose,
Calif., with offices worldwide. For more information, visit:
http://www.symmetricom.com or join the dialogue at
http://www.twitter.com/symmetricom.
Non-GAAP Information
Certain non-GAAP financial information is included in this press
release. In the reconciliation of GAAP to non-GAAP results,
Symmetricom excludes certain items related to non-cash equity-based
compensation, acquisition related costs, amortization of intangible
assets, restructuring charges, and off-shore development transition
costs that the company does not consider indicative of its ongoing
performance. The income tax effect after these non-GAAP
adjustments is determined based upon Symmetricom's estimate of its
annual non-GAAP effective tax rate excluding these non-GAAP
adjustments. Symmetricom believes that excluding such items
provides investors, analysts and management with a representation
of the Company's core operating performance and with information
useful in assessing, in conjunction with GAAP results, underlying
trends in operating performance. Management uses such
non-GAAP information to evaluate financial results and to establish
operational goals. Non-GAAP information should not be
considered superior to or as a substitute for data prepared in
accordance with GAAP. A reconciliation of the non-GAAP
results to the GAAP results is provided in the financial schedules
portion of this press release.
Safe Harbor
This press release contains forward-looking information within the
meaning of Section 27A of the Securities Act of 1933, as amended,
and Section 21E of the Securities Exchange Act of 1934, as amended,
and is subject to the safe harbor created by those sections.
These forward-looking statements include statements concerning
second quarter fiscal 2013 guidance and future performance,
expectations regarding demand for Symmetricom's products,
Symmetricom's ability to control expenses as well as the
information regarding the usefulness of the non-GAAP financial
information. The statements in this press release are made as
of the date of this press release, even if subsequently made
available by Symmetricom on its website or otherwise.
Symmetricom expressly disclaims any obligation to update or revise
any forward-looking statement contained herein, whether as a result
of a change in its expectations, a change in any events, conditions
or circumstances on which a forward-looking statement is based, or
otherwise. Symmetricom's actual results could differ
materially from those projected or suggested in these
forward-looking statements. Factors that could cause future
actual results to differ materially from the results projected in
or suggested by such forward-looking statements include: but are
not limited to, risks relating to general economic conditions in
the markets we address and the telecommunications market in
general, risks related to the development of our new products and
services, reliance on our contract manufacturer, the effects of
increasing competition and competitive pricing pressure,
uncertainties associated with changing intellectual property laws,
developments in and expenses related to litigation, the inability
to obtain sufficient amounts of key components, the rescheduling or
cancellation of key customer orders, the loss of a key customer,
the effects of new and emerging technologies, the risk that excess
inventory may result in write-offs, price erosion and decreased
demand, fluctuations in the rate of exchange of foreign currency,
changes in our effective tax rate, market acceptance of our new
products and services, technological advancements, undetected
errors or defects in our products, the risks associated with our
international sales, potential short-term investment losses and
other risks due to credit market dislocation, geopolitical risks
and risk of terrorist activities, the risks associated with
attempting to integrate other companies and businesses we acquire,
and the risk factors listed from time to time in Symmetricom's
reports filed with the Securities and Exchange Commission,
including the annual report on Form 10-K for the fiscal year ended
July 1, 2012 and subsequent Forms
10-Q and 8-K.
SYMM-F
Contact:
Justin Spencer
Chief Financial Officer
+1-408-428-7801
jspencer@symmetricom.com
SYMMETRICOM, INC.
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RECONCILIATION OF FORWARD-LOOKING GUIDANCE FOR
NON-GAAP FINANCIAL MEASURES
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TO
PROJECTED GAAP REVENUE AND EPS
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(In
thousands, except per share amounts)
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(Unaudited)
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Three
Months Ending December 30, 2012
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Revenue
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Earnings /
(Loss) Per
Share
from
Continuing
Operations
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From
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To
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From
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To
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GAAP
Guidance
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$46,000
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$49,000
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($0.11)
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($0.05)
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Estimated Non-GAAP Adjustments
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|
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Equity-based compensation expense
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$0.05
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$0.04
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Amortization of intangible assets
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$0.01
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$0.01
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Integration and restructuring charges
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$0.03
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$0.03
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Income tax
effect of non-GAAP adjustments
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|
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($0.03)
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($0.04)
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Total
Non-GAAP Adjustments
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$0.06
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$0.04
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Non-GAAP Guidance
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$46,000
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$49,000
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($0.05)
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($0.01)
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SOURCE Symmetricom, Inc.