COMSovereign Continues Product Sales to Tier One Customers and the Military as Team Leads Business Transition
COMSovereign Holding Corp. (NASDAQ: COMS) announced ongoing product sales to tier one telecommunications and military customers. The company is focused on supporting these existing sales while significantly reducing corporate expenses, including a 75% headcount cut. They continue to deliver their radio systems, with recent advancements in their Drone Aviation unit's production milestones. COMSovereign anticipates filing its 10-Q for Q1 2022 in October. The transition led by interim CEO David Knight is aimed at realigning corporate operations and enhancing capabilities to meet customer needs.
- Continued product sales to multiple tier one telecommunications operators in North America.
- Advancements in production milestones for the Drone Aviation unit's WASP platform.
- Significant reduction in operating expenses through a 75% reduction in headcount.
- The company is undergoing significant leadership transitions, which may cause operational instability.
- Ongoing delays in completing and filing financial statements, including the 10-Q for the period ended March 31, 2022.
DALLAS, Sept. 29, 2022 /PRNewswire/ -- COMSovereign Holding Corp. (NASDAQ: COMS) ("COMSovereign" or the "Company"), a U.S.-based developer of 4G LTE Advanced and 5G Communication Systems and Solutions today provided an update on product sales to multiple tier one and other telecommunication and military customers.
On September 7th, the Company announced that David Knight was appointed as interim CEO as part of the team leading COMSovereign's transition. The Company's plan is focused on supporting existing sales, the significant reduction of corporate expenses and the realignment of its corporate operations and business activities.
"The entire COMSovereign team has worked tirelessly to advance progress across several key operational aspects of our transition including our ability to support existing tier one and other network operators and military customers who continue to seek out our products. The unique capabilities of our offerings such as our wireless solutions remain a critical enabling asset for our customers, and we are working to ensure that we can continue to meet their needs," said David Knight.
Recent sales and corporate developments include:
- The Company continues to deliver its Fastback and DragonWave radio systems from existing inventory to customers, including multiple tier one operators in North America.
- COMSovereign's Drone Aviation unit continues to advance against key production and delivery milestones for its Winch Aerostat Small Platform ("WASP") under the
$8.4 million subcontract from a U.S. Government prime contractor received in January. - The Company has significantly reduced operating expenses including overhead through an approximate
75% reduction in headcount. - Significant progress towards the completion of the Company 10-Q for the period ended March 31, 2022 has been made and is expected to be filed in October. The team continues to address issues related to the timely preparation and review of the Company's outstanding financial statements.
The Company anticipates releasing additional information regarding its ongoing transition and operations later in October as it completes further strategic actions.
COMSovereign Holding Corp. (Nasdaq: COMS) offers a portfolio of advanced communications technology for connectivity across private and public networks. Through its core strategic acquisitions and internal research and development efforts, COMSovereign has built a U.S.-based communications solution provider to deliver 4G LTE Advanced and 5G-NR telecom solutions to network operators, enterprises, and governments. For more information about COMSovereign, please visit www.COMSovereign.com.
Certain statements in this press release that are not historical facts are forward-looking statements that reflect management's current expectations, assumptions, and estimates of future performance and economic conditions, and involve risks and uncertainties that could cause actual results to differ materially from those anticipated by the statements made herein. Forward-looking statements are generally identifiable by the use of forward-looking terminology such as "believe," "expects," "may," "looks to," "will," "should," "plan," "intend," "on condition," "target," "see," "potential," "estimates," "preliminary," or "anticipates" or the negative thereof or comparable terminology, or by discussion of strategy or goals or other future events, circumstances, or effects. Moreover, forward-looking statements in this release include, but are not limited to, the impact of the current COVID-19 pandemic, supply chain disruptions and chip shortages, the ability of Management and Board to reduce overhead, divest non-core assets, improve production, and file all required financial statements including its quarterly financial reports on SEC Form 10-Q. Further information relating to factors that may impact the Company's results and forward-looking statements are disclosed in the Company's filings with the SEC. The forward-looking statements contained in this press release are made as of the date of this press release, and the Company disclaims any intention or obligation, other than imposed by law, to update or revise any forward-looking statements, whether as a result of new information, future events, or otherwise.
Investor Relations for COMSovereign Holding Corp.:
Steve Gersten, Director of Investor Relations
COMSovereign Holding Corp.
813-334-9745
investors@comsovereign.com
and
Media Relations for COMSovereign Holding Corp.:
Michael Glickman
MWGCO, Inc.
917-397-2272
mike@mwgco.net
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SOURCE COMSovereign Holding Corp.
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