ADDvantage Technologies Group, Inc. - AEY STOCK NEWS

ADDvantage Technologies Group (NASDAQ: AEY) has announced an expansion of its Triton Datacom subsidiary's product line to meet increasing demand from businesses. The new offerings include refurbished Telepresence and Video Conferencing solutions from Cisco and Polycom, as well as Meraki switches and wireless equipment. This strategy aims to attract new customers and provide cost-effective telecom solutions, particularly amid rising costs and supply chain challenges.

ADDvantage Technologies Group (NASDAQ: AEY) announced its role in enhancing telecommunications access during the 2022 Lollapalooza Music Festival, held from July 28-31 in Chicago. The company’s subsidiary, Fulton Technologies, constructed three temporary towers around Grant Park to improve AT&T's wireless coverage for over 300,000 attendees. This deployment, which provided coverage equivalent to approximately twelve traditional towers, strengthens ADDvantage's ongoing partnership with AT&T, showcasing their capabilities in managing large-scale events.

ADDvantage Technologies Group (NASDAQ: AEY) reported strong financial results for Q3 2022, achieving GAAP profitability with net income of $875,000 and record revenues of $27.8 million, a 63% increase year-over-year. Both Wireless and Telco segments contributed significantly, with Wireless revenue soaring by 75% due to 5G demand and Telco revenue rising 60% driven by robust sales of refurbished equipment. The company generated $5.0 million in cash from operations and improved gross profit margins, indicating effective cost optimization strategies.

ADDvantage Technologies Group, Inc. (NASDAQ: AEY) will release its financial results for the nine-month period ending June 30, 2022, on August 11, 2022, after market close. Following this, a conference call will take place at 5 p.m. Eastern to discuss the results. Investors can access the call via webcast through the company's Investor Relations page, and a replay will be available until August 25, 2022. The company specializes in communications infrastructure services, operating through subsidiaries like Fulton Technologies and Nave Communications.

ADDvantage Technologies (AEY) reported record revenues for Q2 FY2022, with total sales reaching $23.8 million, an 88% increase from $12.7 million a year prior. The Wireless segment grew 79%, while Telco revenue surged 92%, driven by demand for refurbished telecom equipment. Despite a net loss narrowing to $1.4 million per diluted share, ongoing cost-reduction initiatives are expected to enhance margins in Q3. Notably, cash and cash equivalents rose to $3.9 million as of March 31, 2022, alongside improved financing flexibility with a new accounts receivable purchase facility.

ADDvantage Technologies Group (NASDAQ: AEY) will release its financial results for the six months ended March 31, 2022, on May 12, 2022, before market open. A conference call to discuss the results is scheduled for 9 a.m. Eastern, with toll-free access via 1-800-289-0438. The conference call will also be available via webcast on the company’s website. A replay will be accessible until May 26, 2022. ADDvantage operates in the communications infrastructure sector, providing services through its subsidiaries, including Fulton Technologies and Nave Communications.

ADDvantage Technologies Group (NASDAQ: AEY) announced leadership changes on April 4, 2022. Damon Slachter has been promoted to President of Triton Datacom, and Mike Burch to President of Nave Communications. Slachter joined Triton in 2013, advancing through key sales roles, while Burch has been with Nave since 2004, enhancing customer relations. Former President Reginald Jaramillo Leal has departed for new opportunities. Additionally, Jimmy Taylor has taken on the role of Chief Marketing Officer-Wireless, aiming to leverage the 5G market.

ADDvantage Technologies Group, Inc. (NASDAQ: AEY) has enhanced its financial flexibility by converting its Telco line of credit into a factoring line, raising total borrowing capacity to $19.0 million. The new agreement allows borrowing of up to $9 million against Nave receivables and $1.5 million against Triton receivables, while restructuring the existing Fulton line.

This strategic move aims to better position the company for growth in the 5G and Telco sectors.

ADDvantage Technologies Group (NASDAQ: AEY) has announced a $2.4 million cost-reduction plan as part of its strategy to enhance operational efficiency. The initiative, confirmed on March 17, 2022, aims to lower annual operating, general, and administrative expenses at its Fulton Technologies subsidiary.

Management anticipates the benefits to become evident in the third fiscal quarter of 2022. The reductions will primarily affect headcount (60%) and external overhead (40%). CEO Joe Hart expressed confidence in revenue growth driven by the accelerating 5-G rollout, expecting growth beyond the $7 million achieved in the second fiscal quarter.