California
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000-30083
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95-3927330
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(State or other jurisdiction of incorporation)
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(Commission File Number)
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(IRS Employer Identification No.)
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3990-B Heritage Oak Court, Simi Valley, CA
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93063
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(Address of principal executive offices)
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(Zip Code)
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Exhibit Number
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Description
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99.1
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Press release of Qualstar Corporation dated February 6, 2013.
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QUALSTAR CORPORATION
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February 6, 2013
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By:
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/s/ Lawrence D. Firestone | |
Lawrence D. Firestone
Chief Executive Officer and President
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Exhibit Number
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Description
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99.1
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Press release of Qualstar Corporation dated February 6, 2013
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Nicki Andalon | Vanessa Lehr/Annie Leschin |
Vice-President & CFO | Investor Relations |
Qualstar Corporation | StreetSmart Investor Relations |
(805) 583-7744 | (415) 775-1788 |
nicki.andalon@qualstar.com |
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·
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39% sequential bookings growth to $4.9 million
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·
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Book to bill of 1.46:1
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·
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Record pro forma gross margins of 43.5%
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- Initiated five-year strategic plan
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- Restructuring the company for greater efficiency
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o Outsourced library manufacturing to CTS
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§ Decreasing inventory and expanding gross margins
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o Exited and consolidated certain facilities
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§ Exited Canoga Park
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§ Shrunk Boulder
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§ Exiting the Simi valley location and moving to smaller more suitable quarters
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o Reduced workforce
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§ Exited legacy product lines and old drive technologies
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o Renegotiated service contract
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- Fully integrated N2Power into Qualstar
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o Reorganized into 2 engineering teams
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o Re-engaging resellers
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o Initiated discussions with first Tier 1 channel partner
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- Strengthened management team and sales and engineering staff
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o Bill Lurie – VP of Engineering
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o Steve Wagner – VP of Sales for N2Power
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o James Steger – Operations leadership
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- Delivered bookings in the annual range of $20 million for the second quarter; above our breakeven point
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- Added two experienced board members
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o Allen Alley
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o Daniel Molhoek
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- Introduced new products and technology to expand addressable market potential
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o Availability of LTO 6
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o Encryption Key Management for XLS
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o Expandable Rack Mount Tape Libraries
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- Exited legacy products and technologies
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o TLS and RLS 8000 – Selling below cost
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o Touchless Mouse and Touchless Pointing
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Three Months Ended
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Six Months Ended
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|||||||||||||||
December 31,
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December 31,
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|||||||||||||||
2012
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2011
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2012
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2011
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|||||||||||||
Net revenues
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$ | 3,355 | $ | 3,555 | $ | 6,808 | $ | 8,179 | ||||||||
Cost of goods sold
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2,086 | 2,728 | $ | 4,595 | 5,638 | |||||||||||
Gross profit
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1,269 | 827 | 2,213 | 2,541 | ||||||||||||
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||||||||||||||||
Operating expenses:
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||||||||||||||||
Engineering
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742 | 650 | 1,408 | 1,298 | ||||||||||||
Sales and marketing
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804 | 448 | 1,335 | 909 | ||||||||||||
General and administrative
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919 | 741 | 1,659 | 1,333 | ||||||||||||
Restructuring expense
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511 | - | 1,393 | - | ||||||||||||
Total operating expenses | 2,976 | 1,839 | 5,795 | 3,540 | ||||||||||||
Loss from operations
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(1,707 | ) | (1,012 | ) | (3,582 | ) | (999 | ) | ||||||||
Other income (expense)
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34 | 41 | (37 | ) | 85 | |||||||||||
Loss before income taxes
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(1,673 | ) | (971 | ) | (3,619 | ) | (914 | ) | ||||||||
Provision for income taxes
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- | - | - | - | ||||||||||||
Net loss
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$ | (1,673 | ) | $ | (971 | ) | $ | (3,619 | ) | $ | (914 | ) | ||||
Loss per share:
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||||||||||||||||
Basic and Diluted
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$ | (0.14 | ) | $ | (0.08 | ) | $ | (0.30 | ) | $ | (0.07 | ) | ||||
Shares used to compute earnings per share:
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||||||||||||||||
Basic and Diluted
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12,253 | 12,253 | 12,253 | 12,253 |
December 31,
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June 30,
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|||||||
2012
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2012
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|||||||
ASSETS
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(Unaudited)
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(Audited)
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||||||
Current assets:
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Cash and cash equivalents
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$ | 6,482 | $ | 7,381 | ||||
Marketable securities, short-term
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7,437 | 7,135 | ||||||
Receivables, net of allowance for doubtful accounts of $48 as of
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||||||||
December 31, 2012 and $38 as of June 30, 2012
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3,056 | 2,995 | ||||||
Inventories, net
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3,991 | 4,475 | ||||||
Prepaid expenses and other current assets
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213 | 151 | ||||||
Total current assets
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21,179 | 22,137 | ||||||
Property and equipment, net
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365 | 268 | ||||||
Marketable securities, long-term
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3,924 | 6,369 | ||||||
Other assets
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46 | 50 | ||||||
Total assets
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$ | 25,514 | $ | 28,824 | ||||
LIABILITIES AND SHAREHOLDERS' EQUITY
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||||||||
Current liabilities:
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Accounts payable
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$ | 1,242 | $ | 2,039 | ||||
Accrued payroll and related liabilities
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538 | 332 | ||||||
Other accrued liabilities
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2,242 | 1,374 | ||||||
Total current liabilities
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4,022 | 3,745 | ||||||
Other long-term liabilities
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26 | 26 | ||||||
Commitments and contingencies
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||||||||
Shareholders' equity:
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Common stock, no par value; 50,000 shares authorized, 12,253 shares issued and outstanding as of December 31, 2012 and June 30, 2012
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18,905 | 18,878 | ||||||
Accumulated other comprehensive income
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14 | 9 | ||||||
Retained earnings
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2,547 | 6,166 | ||||||
Total shareholders' equity
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21,466 | 25,053 | ||||||
Total liabilities and shareholders' equity
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$ | 25,514 | $ | 28,824 |
Three Months Ended December 31, 2012
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Six Months Ended December 31, 2012
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|||||||||||||||||||||||||||||||||||||||
GAAP
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(1)
Labor and overhead change
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(4)
Restructuring Expenses
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Non-GAAP
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GAAP
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(1)
Labor
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(2)
Inventory Reserve
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(3)
Litigation Settlement Expense
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(4)
Restructuring Expenses
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Non-GAAP
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|||||||||||||||||||||||||||||||
Net revenues
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$ | 3,355 | - | - | $ | 3,355 | $ | 6,808 | - | - | - | - | $ | 6,808 | ||||||||||||||||||||||||||
Cost of goods sold
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2,086 | (192 | ) | - | 1,894 | 4,595 | (192 | ) | (325 | ) | - | - | 4,078 | |||||||||||||||||||||||||||
Gross profit
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1,269 | 192 | - | 1,461 | 2,213 | 192 | 325 | - | - | 2,730 | ||||||||||||||||||||||||||||||
Operating expenses:
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Research and development
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742 | - | - | 742 | 1,408 | - | - | - | - | 1,408 | ||||||||||||||||||||||||||||||
Sales and marketing
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804 | - | - | 804 | 1,335 | - | - | - | - | 1,335 | ||||||||||||||||||||||||||||||
General and administrative
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919 | - | - | 919 | 1,659 | - | - | - | - | 1,659 | ||||||||||||||||||||||||||||||
Restructuring Expenses
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511 | - | (511 | ) | - | 1,393 | - | - | - | (1,393 | ) | - | ||||||||||||||||||||||||||||
Total operating expenses
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2,976 | - | (511 | ) | 2,465 | 5,795 | - | - | - | (1,393 | ) | 4,402 | ||||||||||||||||||||||||||||
Loss from operations
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(1,707 | ) | 192 | 511 | (1,004 | ) | (3,582 | ) | 192 | 325 | - | 1,393 | (1,672 | ) | ||||||||||||||||||||||||||
Other income (expense)
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34 | - | - | 34 | (37 | ) | - | - | 94 | - | 57 | |||||||||||||||||||||||||||||
Loss before income taxes
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(1,673 | ) | 192 | 511 | (970 | ) | (3,619 | ) | 192 | 325 | 94 | 1,393 | (1,615 | ) | ||||||||||||||||||||||||||
Provision for income taxes
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- | - | - | - | - | - | - | - | - | - | ||||||||||||||||||||||||||||||
Net loss
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$ | (1,673 | ) | $ | 192 | $ | 511 | $ | (970 | ) | $ | (3,619 | ) | $ | 192 | $ | 325 | $ | 94 | $ | 1,393 | $ | (1,615 | ) | ||||||||||||||||
Loss per share*:
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Basic and Diluted
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$ | (0.14 | ) | $ | 0.02 | $ | 0.04 | $ | (0.08 | ) | $ | (0.30 | ) | $ | 0.02 | $ | 0.03 | $ | 0.01 | $ | 0.11 | $ | (0.13 | ) | ||||||||||||||||
Shares used to compute loss per share:
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||||||||||||||||||||||||||||||||||||||||
Basic and Diluted
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12,253 | 12,253 | 12,253 | 12,253 | 12,253 | 12,253 | 12,253 | 12,253 | 12,253 | 12,253 |