Vislink Technologies Updates on Financial Performance and Strategy

Vislink Technologies Reports Significant Revenue Growth

Year-to-Date Revenue Increased 26% Year-Over-Year to $24.4 Million

New ERP Implementation Insights Lead to Strategic Restructuring

Vislink Technologies, Inc. (“Vislink” or the “Company”) (NASDAQ: VISL), a leader in high-quality video capture, delivery, and management solutions for various sectors such as media, public safety, and defense, is pleased to announce its financial results for the third quarter of 2024. The Company noted a remarkable increase in year-to-date revenue, achieving $24.4 million, which corresponds to a 26% growth compared to the previous year.

Financial Overview of Q3 2024

Third Quarter Insights

During the third quarter, Vislink reported a revenue of $7.1 million, which is slightly lower than the $7.2 million recorded during the same period in 2023. Despite this minor setback, the gross margin stood at an impressive 51%, although it reflects a slight decrease from 54% of the previous year.

However, the net loss expanded to $(3.0) million, equating to $(1.22) per share, compared to a net loss of $(2.0) million, or $(0.83) per share, a year earlier. Cash and short-term investments were recorded at $9.2 million at the end of the quarter, a decrease from $11.5 million as of June 30, 2024.

Operational Highlights and Growth Strategies

Recent Achievements

Vislink has achieved numerous operational milestones that are essential to its continued growth. The adoption of the AeroLink transceiver, an essential component of its downlink systems, has positively impacted federal, regional, and municipal public safety organizations, enhancing secure connections and video quality.

Additionally, the Company has initiated its Q-Link airborne control system with a U.S. public safety organization, marking a significant stride towards the Air-to-Anywhere™ platform for real-time, secure air-to-ground live video streaming, thereby assuring enhanced situational awareness.

Vislink received an initial order worth $340,000 from the U.S. Department of Homeland Security, reflecting trust in the Company's product offerings. Moreover, the recent deployment of a new ERP system has streamlined operations, driving improved decision-making through better access to real-time data, and increasing agility in response to market changes.

Following the quarter's end, the management embraced a restructuring initiative aimed at consolidating operations and optimizing costs. The planned restructuring intends to produce over $6 million in annualized cost savings beginning in the next quarter.

Management's Perspective on the Future

CEO Mickey Miller expressed optimism regarding the year-to-date growth, noting, "The results recorded in the third quarter only reflect softened revenues due to unusually high seasonal conditions in the Live Production sector." Despite a robust 26% growth in the MilGov market, management recognizes that it trails behind expectations due to longer sales cycles. However, numerous favorable indicators point to promising growth opportunities ahead.

The launch of the DragonFly V, a miniaturized HEVC 5G transmitter capable of delivering high-quality, real-time video from various devices, showcases Vislink's commitment to innovation to meet the evolving demands in video broadcasting. A new corporate brand identity and a revamped website are also components of Vislink's strategy to drive global growth and strengthen its market presence.

Frequently Asked Questions

What were Vislink's total revenues for the year?

Vislink Technologies reported year-to-date revenues of $24.4 million, marking a 26% increase year-over-year.

What was the net loss reported for Q3 2024?

The net loss for the third quarter of 2024 was $(3.0) million, equating to $(1.22) per share.

What strategic measures did Vislink implement recently?

Vislink deployed a new ERP system and initiated a restructuring plan to enhance operational efficiency and achieve substantial cost savings.

How does Vislink plan to maintain growth in the future?

Management is focusing on expanding its product evaluations among law enforcement and defense agencies while consolidating operations for better efficiency.

Which new products did Vislink introduce?

Notably, Vislink has launched the DragonFly V, a miniaturized HEVC 5G transmitter designed for real-time high-quality video streaming.

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