Exhibit 99.1
TransAct Technologies
Reports Preliminary Second Quarter 2023 Financial Results
2023 Second Quarter Net Sales of $19.9 Million,
up 58% on a Year-Over-Year Basis
Casino and Gaming Sales of $12.2 Million, up 87%
on a Year-Over-Year Basis
FST Sales of $3.9 Million, up 14% on a Year-Over-Year
Basis
Hamden, CT – August 9, 2023 – TransAct Technologies
Incorporated (Nasdaq: TACT) (“TransAct” or the “Company”), a global leader in software-driven technology and printing
solutions for high-growth markets, today reported preliminary results for the second quarter ended June 30, 2023.
“Our team continues to capitalize on opportunities
in our core markets as they present themselves, and while the competitive environment in casino and gaming has started to normalize as
predicted, we believe that we will see a sustainable, net market share gain in the long run,” said John Dillon, Chief Executive
Officer of TransAct. “We have also been hard at work with our now restructured food service technology (“FST”) sales
team, and are beginning to actively market and demonstrate our new BOHA! Terminal 2 to existing and potential customers. While these are
multi-stage sales opportunities with lengthy cycle times, we are encouraged by our early results and pre-orders, and believe a solid foundation
has been laid for future growth.”
Second Quarter 2023 Financial Highlights
| • | Net Sales: Net sales for the second quarter
of 2023 were $19.9 million, up 58% compared to $12.6 million for the second quarter of 2022. |
| • | FST Recurring Revenue: FST recurring revenue
for the second quarter of 2023 was $2.5 million, up 14% compared to $2.2 million for the second quarter of 2022. |
| • | Gross Profit: Gross profit for the second
quarter of 2023 was $10.9 million, resulting in gross margin of 54.5%, compared to gross profit of $5.4 million for the second quarter
of 2022, which delivered a 43.0% gross margin. |
| • | Operating income (loss): Operating income
for the second quarter of 2023 was $1.2 million, compared to operating loss of $(3.0) million for the second quarter of 2022. |
| • | Net income (loss): Net income for the
second quarter of 2023 was $765 thousand, or $0.08 net income per diluted share, based on 10.0 million weighted average common shares
outstanding. Net loss for the comparable 2022 period was $(2.4) million, or $(0.24) net loss per diluted share, based on 9.9 million weighted
average common shares outstanding. |
| • | Adjusted net income (loss): Adjusted net
income for the second quarter of 2023 was $2.2 million, or $0.22 net income per diluted share. Adjusted net loss for the comparable 2022
period was $(2.4) million, or $(0.24) net loss per diluted share. |
| • | EBITDA: EBITDA was $1.6 million for the
second quarter of 2023, compared to EBITDA loss of $(2.8) million for the second quarter of 2022. |
| • | Adjusted EBITDA: Adjusted EBITDA was $3.2
million for the second quarter of 2023, compared to adjusted EBITDA loss of $(2.5) million for the second quarter of 2022. |
2023 Financial Outlook
| • | Total Net Sales: The Company currently
expects total net sales of between $71.5-73.5 million. |
| • | Total Adjusted EBITDA: The Company currently
expects total adjusted EBITDA of between $8.0 -$8.5 million. |
Our outlook for non-GAAP adjusted EBITDA is presented
only on a non-GAAP basis because not all of the information necessary for a quantitative reconciliation of this forward-looking non-GAAP
financial measure to the most directly comparable GAAP financial measure is available without unreasonable effort, primarily due to uncertainties
relating to the occurrence or amount of these adjustments that may arise in the future. If one or more of the currently unavailable items
is applicable, some items could be material, individually or in the aggregate, to GAAP reported results.
2023 Second Quarter Conference Call and Webcast
TransAct is hosting a conference call and webcast
today, August 9, 2023, beginning at 4:30 p.m. ET to discuss the Company’s preliminary second quarter 2023 results and
other matters. Both the call and the webcast are open to the general public. The conference call number is 888-886-7786 and the conference
ID number is 45546995 (domestic or international). Please call ten minutes prior to the presentation to ensure that you are connected.
Interested parties may also access the conference
call live on the Internet at www.transact-tech.com (select “Investor Relations” followed by “Events & Presentations”).
Approximately two hours after the call has concluded, an archived version of the webcast will be available for replay at the same location.
Non-GAAP Financial Measures
TransAct is providing certain non-GAAP financial
measures because the Company believes that these measures are helpful to investors and others in assessing the ongoing nature of what
the Company’s management views as TransAct’s core operations. EBITDA and adjusted EBITDA provide the Company with an understanding
of one aspect of earnings before the impact of investing and financing charges and income taxes. The Company believes that these non-GAAP
financial measures provide relevant and useful information to an investor evaluating the Company’s operating performance because
these measures are: (i) widely used by investors to measure a company’s operating performance without regard to items that do not
reflect the Company’s ongoing operations and are excluded from the calculation of such measure; (ii) used as financial measurements
by lenders and other parties to evaluate creditworthiness; and (iii) used by the Company’s management for various purposes including
strategic planning and forecasting and assessing financial performance. Adjusted net income (loss) and adjusted net income (loss) per
diluted share provide the Company with an understanding of the results of the primary operations of the business by excluding the effects
of special items (for example, the $1.5 million severance charge related to the resignation of the Company’s former CEO) that do
not reflect the ordinary earnings of the Company’s operations. The Company uses these measures to evaluate period-over-period operating
performance because the Company believes this provides a more comparable measure of the Company’s continuing business, as these
measures adjust for the special items that are not reflective of the normal results of the business. The presentation of this non-GAAP
information is not considered superior to or a substitute for, and should be read in conjunction with, the financial information prepared
in accordance with GAAP.
EBITDA is defined as net income (loss) before
net interest expense, income taxes, depreciation, and amortization. A reconciliation of EBITDA to net income (loss), the most comparable
GAAP financial measure, can be found attached to this release.
Adjusted EBITDA is defined as net income (loss)
before net interest expense, income taxes, depreciation and amortization and is adjusted for (1) share-based compensation and (2) the
$1.5 million severance charge related to the resignation of the Company’s former CEO. The Company adjusts EBITDA for share-based
compensation because the Company considers share-based compensation to be a non-cash expense similar to depreciation and amortization.
The Company also adjustes for the severance charge related to the resignation of the Company’s former CEO because the Company believes
this charge does not reflect the ordinary earnings of the Company’s operations. A reconciliation of adjusted EBITDA to net income
(loss), the most comparable GAAP financial measure, can be found attached to this release.
Adjusted net income (loss) is defined as net income
(loss) adjusted for the $1.5 million severance charge related to the resignation of the Company’s former CEO. A reconciliation of
adjusted net income (loss) to net income (loss), the most comparable GAAP financial measure, can be found attached to this release.
Adjusted net income (loss) per diluted share is
defined as adjusted net income (loss) divided by diluted shares outstanding. A reconciliation of adjusted net income (loss) per diluted
share to net income (loss) per diluted share, the most comparable GAAP financial measure, can be found attached to this release.
About TransAct Technologies Incorporated
TransAct Technologies Incorporated is a global
leader in developing and selling software-driven technology and printing solutions for high-growth markets including food service, casino
and gaming, and POS automation. The Company’s solutions are designed from the ground up based on customer requirements and are sold
under the BOHA!™, AccuDate™, EPICENTRAL®, Epic and Ithaca® brands. TransAct has sold over 3.7 million printers, terminals
and other hardware devices around the world and is committed to providing world-class service, spare parts, and accessories to support
its installed product base. Through the TransAct Services Group, the Company also provides customers with a complete range of supplies
and consumable items both online at http://www.transactsupplies.com and through its direct sales team. TransAct is headquartered in Hamden,
CT. For more information, please visit http://www.transact-tech.com or call (203) 859-6800.
©2023 TRANSACT Technologies Incorporated.
All rights reserved. TransAct®, BOHA!™, AccuDate, Epic Edge®, EPICENTRAL®, Ithaca® areTrademarks of TransAct Technologies
Incorporated.
Cautionary Statement Regarding Preliminary
Financial Information
The Company has prepared the preliminary financial
information set forth below on a materially consistent basis with its historical financial information and in good faith based upon its
internal reporting as of and for the three and six months ended June 30, 2023. This financial information is preliminary and is thus inherently
uncertain and subject to change as the Company finalizes its financial results and related review for the three and six months ended June
30, 2023. During the course of the preparation of the Company’s condensed consolidated financial statements and related notes as
of and for the three and six months ended June 30, 2023, the Company may identify items that could cause its final reported results to
be materially different from the preliminary financial information set forth above. As a result, there can be no assurance that the Company’s
final results for this period will not differ from the preliminary financial information.
This preliminary financial information should
not be viewed as a substitute for full financial statements prepared in accordance with GAAP. In addition, this preliminary financial
information is not necessarily indicative of the results to be achieved for any future period.
Forward-Looking Statements
Certain statements included in this press release
may be forward-looking statements. Forward-looking statements are any statements other than statements of historical fact. Forward-looking
statements represent current views about possible future events and are often identified by the use of forward-looking terminology, such
as "may", "will", "expect", "intend", "estimate", "anticipate", "believe",
"project”, "plan”, "design" or "continue", or the negative thereof, or other similar words.
Forward-looking statements are subject to certain risks, uncertainties and assumptions. In the event that one or more of such risks or
uncertainties materialize, or one or more underlying assumptions prove incorrect, actual results may differ materially from those expressed
or implied by the forward-looking statements. Important factors and uncertainties that could cause actual results to differ materially
from those expressed or implied by the forward-looking statements include, but are not limited to, the following: the adverse effects
of current economic conditions, whether due to the COVID-19 pandemic or otherwise, on our business, operations, financial condition, results
of operations and capital resources, difficulties or delays in manufacturing or delivery of inventory or other supply chain disruptions,
inflation and the Russia/Ukraine conflict, an inability of our customers to make payments on time or at all, diversion of management attention,
a possible future reduction in the value of goodwill or other intangible assets, inadequate manufacturing capacity or a shortfall or excess
of inventory as a result of difficulty in predicting manufacturing requirements due to volatile economic conditions, price increases or
decreased availability of component parts or raw materials, exchange rate fluctuations, volatility of and decreases in trading prices
of our common stock and the availability of needed financing on acceptable terms or at all; our ability to successfully develop new products
that garner customer acceptance and generate sales, both domestically and internationally, in the face of substantial competition; our
reliance on an unrelated third party to develop, maintain and host certain web-based food service application software and develop and
maintain selected components of our downloadable software applications pursuant to a non-exclusive license agreement, and the risk that
interruptions in our relationship with that third party could materially impair our ability to provide services to our food service technology
customers on a timely basis or at all and could require substantial expenditures to find or develop alternative software products; our
ability to successfully transition our business into the food service technology market; risks associated with potential future acquisitions;
general economic conditions; our dependence on contract manufacturers for the assembly of a large portion of our products in Asia; our
dependence on significant suppliers; our ability to recruit and retain quality employees as the Company grows; our dependence on third
parties for sales outside the United States; our dependence on technology licenses from third parties; marketplace acceptance of new products;
risks associated with foreign operations; the availability of third-party components at reasonable prices; price wars, supply chain disruptions
or other significant pricing pressures affecting the Company’s products in the United States or abroad; increased product costs
or reduced customer demand for our products due to changes in U.S. policy that may result in trade wars or tariffs; our ability to protect
intellectual property; and other risk factors detailed in the Company’s Annual Report on Form 10-K for the year ended December 31,
2022, and other reports filed with the Securities and Exchange Commission. Actual results may differ materially from those discussed in,
or implied by, the forward-looking statements. We caution readers not to place undue reliance on forward-looking statements, which speak
only as of the date of this release. We undertake no obligation to publicly or otherwise revise any forward-looking statements, whether
as a result of new information, future events or other factors, except where we are expressly required to do so by applicable law.
# # #
Investor Contact:
Ryan Gardella
ICR, Inc.
Ryan.Gardella@icrinc.com
- Financial tables follow-
TRANSACT TECHNOLOGIES INCORPORATED
CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS
(Preliminary and Unaudited)
| | |
Three months ended | | |
Six months ended | |
| | |
June 30, | | |
June 30, | |
| | |
2023 | | |
2022 | | |
2023 | | |
2022 | |
| | |
(In thousands, except per share data) | |
| | |
| | |
| | |
| | |
| |
| Net sales | |
$ | 19,906 | | |
$ | 12,623 | | |
$ | 42,176 | | |
$ | 22,325 | |
| Cost of sales | |
| 9,048 | | |
| 7,189 | | |
| 19,063 | | |
| 14,325 | |
| Gross profit | |
| 10,858 | | |
| 5,434 | | |
| 23,113 | | |
| 8,000 | |
| | |
| | | |
| | | |
| | | |
| | |
| Operating expenses: | |
| | | |
| | | |
| | | |
| | |
| Engineering, design and product development | |
| 2,505 | | |
| 2,172 | | |
| 4,774 | | |
| 4,455 | |
| Selling and marketing | |
| 2,684 | | |
| 3,293 | | |
| 5,441 | | |
| 5,976 | |
| General and administrative | |
| 4,445 | | |
| 2,923 | | |
| 7,861 | | |
| 6,127 | |
| | |
| 9,634 | | |
| 8,388 | | |
| 18,076 | | |
| 16,558 | |
| Operating income (loss) | |
| 1,224 | | |
| (2,954 | ) | |
| 5,037 | | |
| (8,558 | ) |
| | |
| | | |
| | | |
| | | |
| | |
| Interest and other income (expense): | |
| | | |
| | | |
| | | |
| | |
| Interest, net | |
| (68 | ) | |
| (28 | ) | |
| (134 | ) | |
| (92 | ) |
| Other, net | |
| - | | |
| (264 | ) | |
| 21 | | |
| (299 | ) |
| | |
| (68 | ) | |
| (292 | ) | |
| (113 | ) | |
| (391 | ) |
| | |
| | | |
| | | |
| | | |
| | |
| Income (loss) before income taxes | |
| 1,156 | | |
| (3,246 | ) | |
| 4,924 | | |
| (8,949 | ) |
| Income tax (expense) benefit | |
| (391 | ) | |
| 870 | | |
| (1,020 | ) | |
| 2,225 | |
| Net income (loss) | |
$ | 765 | | |
$ | (2,376 | ) | |
$ | 3,904 | | |
$ | (6,724 | ) |
| | |
| | | |
| | | |
| | | |
| | |
| Net income (loss) per common share: | |
| | | |
| | | |
| | | |
| | |
| Basic | |
$ | 0.08 | | |
$ | (0.24 | ) | |
$ | 0.39 | | |
$ | (0.68 | ) |
| Diluted | |
$ | 0.08 | | |
$ | (0.24 | ) | |
$ | 0.39 | | |
$ | (0.68 | ) |
| | |
| | | |
| | | |
| | | |
| | |
| Shares used in per share calculation: | |
| | | |
| | | |
| | | |
| | |
| Basic | |
| 9,956 | | |
| 9,910 | | |
| 9,943 | | |
| 9,898 | |
| Diluted | |
| 10,017 | | |
| 9,910 | | |
| 10,016 | | |
| 9,898 | |
SUPPLEMENTAL INFORMATION
– SALES BY MARKET:
(Preliminary and Unaudited)
| | |
Three months ended | | |
Six months ended | |
| | |
June 30, | | |
June 30, | |
| | |
2023 | | |
2022 | | |
2023 | | |
2022 | |
| | |
(In thousands) | |
| | |
| | |
| | |
| | |
| |
| Food service technology | |
$ | 3,895 | | |
$ | 3,432 | | |
$ | 7,353 | | |
$ | 5,562 | |
| POS automation | |
| 1,904 | | |
| 1,172 | | |
| 3,701 | | |
| 2,472 | |
| Casino and gaming | |
| 12,172 | | |
| 6,525 | | |
| 27,983 | | |
| 11,287 | |
| TransAct Services Group | |
| 1,935 | | |
| 1,494 | | |
| 3,139 | | |
| 3,004 | |
| Total net sales | |
$ | 19,906 | | |
$ | 12,623 | | |
$ | 42,176 | | |
$ | 22,325 | |
TRANSACT TECHNOLOGIES INCORPORATED
CONDENSED CONSOLIDATED BALANCE SHEETS
(Preliminary and Unaudited)
| | |
June 30, | | |
December 31, | |
| | |
2023 | | |
2022 | |
| | |
(In thousands) | |
| Assets: | |
| | |
| |
| Current assets: | |
| | |
| |
| Cash and cash equivalents | |
$ | 10,756 | | |
$ | 7,946 | |
| Accounts receivable, net | |
| 14,441 | | |
| 13,927 | |
| Employee retention credit receivable | |
| - | | |
| 1,500 | |
| Inventories | |
| 15,408 | | |
| 12,028 | |
| Other current assets | |
| 707 | | |
| 724 | |
| Total current assets | |
| 41,312 | | |
| 36,125 | |
| | |
| | | |
| | |
| Fixed assets, net | |
| 2,838 | | |
| 2,781 | |
| Right-of-use asset, net | |
| 2,053 | | |
| 2,488 | |
| Goodwill | |
| 2,621 | | |
| 2,621 | |
| Deferred tax assets | |
| 6,565 | | |
| 7,327 | |
| Intangible assets, net | |
| 165 | | |
| 242 | |
| Other assets | |
| 333 | | |
| 248 | |
| | |
| 14,575 | | |
| 15,707 | |
| Total assets | |
$ | 55,887 | | |
$ | 51,832 | |
| | |
| | | |
| | |
| Liabilities and Shareholders’ Equity: | |
| | | |
| | |
| Current liabilities: | |
| | | |
| | |
| Current portion of revolving loan payable | |
$ | 2,250 | | |
$ | 2,250 | |
| Accounts payable | |
| 6,321 | | |
| 7,395 | |
| Accrued liabilities | |
| 5,511 | | |
| 4,077 | |
| Lease liability | |
| 904 | | |
| 875 | |
| Deferred revenue | |
| 1,222 | | |
| 1,329 | |
| Total current liabilities | |
| 16,208 | | |
| 15,926 | |
| | |
| | | |
| | |
| Deferred revenue, net of current portion | |
| 152 | | |
| 143 | |
| Lease liability, net of current portion | |
| 1,210 | | |
| 1,683 | |
| Other liabilities | |
| 227 | | |
| 218 | |
| | |
| 1,589 | | |
| 2,044 | |
| Total liabilities | |
| 17,797 | | |
| 17,970 | |
| | |
| | | |
| | |
| Shareholders’ equity: | |
| | | |
| | |
| Common stock | |
| 140 | | |
| 139 | |
| Additional paid-in capital | |
| 56,594 | | |
| 56,282 | |
| Retained earnings | |
| 13,534 | | |
| 9,630 | |
| Accumulated other comprehensive loss, net of tax | |
| (68 | ) | |
| (79 | ) |
| Treasury stock, at cost | |
| (32,110 | ) | |
| (32,110 | ) |
| Total shareholders’ equity | |
| 38,090 | | |
| 33,862 | |
| Total liabilities and shareholders’ equity | |
$ | 55,887 | | |
$ | 51,832 | |
TRANSACT TECHNOLOGIES INCORPORATED
RECONCILIATION OF GAAP EARNINGS FINANCIAL MEASURES
TO CORRESPONDING
NON-GAAP FINANCIAL MEASURES
(Preliminary and Unaudited,
in thousands of dollars, except percentages and per share data)
| | |
Three months ended
June 30, 2023 | |
| | |
Reported | | |
Adjustments(1) | | |
Adjusted
Non-GAAP | |
| Operating expenses | |
$ | 9,634 | | |
$ | (1,461 | ) | |
$ | 8,173 | |
| % of net sales | |
| 48.4 | % | |
| | | |
| 41.1 | % |
| | |
| | | |
| | | |
| | |
| Operating income | |
| 1,224 | | |
| 1,461 | | |
| 2,685 | |
| % of net sales | |
| 6.1 | % | |
| | | |
| 13.5 | % |
| | |
| | | |
| | | |
| | |
| Interest and other expense | |
| (68 | ) | |
| - | | |
| (68 | ) |
| Income before income taxes | |
| 1,156 | | |
| 1,461 | | |
| 2,617 | |
| Income tax expense | |
| (391 | ) | |
| (70 | ) | |
| (461 | ) |
| Net income | |
| 765 | | |
| 1,391 | | |
| 2,156 | |
| Net income per common share: | |
| | | |
| | | |
| | |
| Basic | |
$ | 0.08 | | |
$ | 0.14 | | |
$ | 0.22 | |
| Diluted | |
$ | 0.08 | | |
$ | 0.14 | | |
$ | 0.22 | |
| (1) | Adjustment includes a severance charge of $1,461 incurred in April 2023 related to the resignation of
the Company’s former CEO. |
| | |
Three months ended
June 30, 2022 | |
| | |
Reported | | |
Adjustments(2) | | |
Adjusted
Non-GAAP | |
| Operating expenses | |
$ | 8,388 | | |
$ | - | | |
$ | 8,388 | |
| % of net sales | |
| 66.5 | % | |
| | | |
| 66.5 | % |
| | |
| | | |
| | | |
| | |
| Operating loss | |
| (2,954 | ) | |
| - | | |
| (2,954 | ) |
| % of net sales | |
| (23.4 | )% | |
| | | |
| (23.4 | )% |
| | |
| | | |
| | | |
| | |
| Interest and other expense | |
| (292 | ) | |
| - | | |
| (292 | ) |
| Loss before income taxes | |
| (3,246 | ) | |
| - | | |
| (3,246 | ) |
| Income tax benefit | |
| 870 | | |
| - | | |
| 870 | |
| Net loss | |
| (2,376 | ) | |
| - | | |
| (2,376 | ) |
| Net loss per common share: | |
| | | |
| | | |
| | |
| Basic | |
$ | (0.24 | ) | |
$ | - | | |
$ | (0.24 | ) |
| Diluted | |
$ | (0.24 | ) | |
$ | - | | |
$ | (0.24 | ) |
TRANSACT TECHNOLOGIES INCORPORATED
RECONCILIATION OF GAAP EARNINGS FINANCIAL MEASURES
TO CORRESPONDING
NON-GAAP FINANCIAL MEASURES
(Preliminary and Unaudited,
in thousands of dollars, except percentages and per share data)
| | |
Six months ended
June 30, 2023 | |
| | |
Reported | | |
Adjustments(3) | | |
Adjusted
Non-GAAP | |
| Operating expenses | |
$ | 18,076 | | |
$ | (1,461 | ) | |
$ | 16,615 | |
| % of net sales | |
| 42.9 | % | |
| | | |
| 39.4 | % |
| | |
| | | |
| | | |
| | |
| Operating income | |
| 5,037 | | |
| 1,461 | | |
| 6,498 | |
| % of net sales | |
| 11.9 | % | |
| | | |
| 15.4 | % |
| | |
| | | |
| | | |
| | |
| Interest and other expense | |
| (113 | ) | |
| - | | |
| (113 | ) |
| Income before income taxes | |
| 4,924 | | |
| 1,461 | | |
| 6,385 | |
| Income tax expense | |
| (1,020 | ) | |
| (70 | ) | |
| (1,090 | ) |
| Net income | |
| 3,904 | | |
| 1,391 | | |
| 5,295 | |
| Net income per common share: | |
| | | |
| | | |
| | |
| Basic | |
$ | 0.39 | | |
$ | 0.14 | | |
$ | 0.53 | |
| Diluted | |
$ | 0.39 | | |
$ | 0.14 | | |
$ | 0.53 | |
| (3) | Adjustment includes a severance charge of $1,461 incurred in April 2023 related to the resignation of
the Company’s former CEO. |
| | |
Six months ended
June 30, 2022 | |
| | |
Reported | | |
Adjustments(4) | | |
Adjusted
Non-GAAP | |
| Operating expenses | |
$ | 16,558 | | |
$ | - | | |
$ | 16,558 | |
| % of net sales | |
| 74.2 | % | |
| | | |
| 74.2 | % |
| | |
| | | |
| | | |
| | |
| Operating loss | |
| (8,558 | ) | |
| - | | |
| (8,558 | ) |
| % of net sales | |
| (38.3 | )% | |
| | | |
| (38.3 | )% |
| | |
| | | |
| | | |
| | |
| Interest and other expense | |
| (391 | ) | |
| - | | |
| (391 | ) |
| Loss before income taxes | |
| (8,949 | ) | |
| - | | |
| (8,949 | ) |
| Income tax benefit | |
| 2,225 | | |
| - | | |
| 2,225 | |
| Net loss | |
| (6,724 | ) | |
| - | | |
| (6,724 | ) |
| Net loss per common share: | |
| | | |
| | | |
| | |
| Basic | |
$ | (0.68 | ) | |
$ | - | | |
$ | (0.68 | ) |
| Diluted | |
$ | (0.68 | ) | |
$ | - | | |
$ | (0.68 | ) |
TRANSACT TECHNOLOGIES INCORPORATED
RECONCILIATION OF NET INCOME (LOSS) TO EBITDA
AND ADJUSTED EBITDA
NON-GAAP FINANCIAL MEASURES
(Preliminary and Unaudited)
| | |
Three months ended | | |
Six months ended | |
| | |
June 30, | | |
June 30, | |
| | |
2023 | | |
2022 | | |
2023 | | |
2022 | |
| | |
(In thousands) | |
| | |
| | |
| | |
| | |
| |
| Net income (loss) | |
$ | 765 | | |
$ | (2,376 | ) | |
$ | 3,904 | | |
$ | (6,724 | ) |
| | |
| | | |
| | | |
| | | |
| | |
| Interest expense, net | |
| 68 | | |
| 28 | | |
| 134 | | |
| 92 | |
| Income tax expense (benefit) | |
| 391 | | |
| (870 | ) | |
| 1,020 | | |
| (2,225 | ) |
| Depreciation and amortization | |
| 370 | | |
| 397 | | |
| 722 | | |
| 625 | |
| | |
| | | |
| | | |
| | | |
| | |
| EBITDA | |
| 1,594 | | |
| (2,821 | ) | |
| 5,780 | | |
| (8,232 | ) |
| | |
| | | |
| | | |
| | | |
| | |
| Share-based compensation expense | |
| 120 | | |
| 285 | | |
| 398 | | |
| 581 | |
Severance charge related to resignation of the
Company’s’ former CEO | |
| 1,461 | | |
| - | | |
| 1,461 | | |
| - | |
| | |
| | | |
| | | |
| | | |
| | |
| Adjusted EBITDA | |
$ | 3,175 | | |
$ | (2,536 | ) | |
$ | 7,639 | | |
$ | (7,651 | ) |
