Sonim Technologies Announces Preliminary Select Unaudited Fourth Quarter 2024 Results, Showcasing Global Growth and Next-Generation Innovations
Sonim Technologies (NASDAQ: SONM) released preliminary Q4 2024 results, showing a 13% year-over-year revenue increase to approximately $15.2 million, up from $13.4 million in Q4 2023. However, the company expects a significant GAAP net loss between $20-24 million, compared to $3 million loss in Q3 2024.
The increased loss is attributed to: $12 million in R&D expenses for new product launches, $4 million in higher COGS due to legacy phone lifecycle adjustments, a $2 million provision for credit losses, and a $1 million restructuring charge. Cash position is expected to be approximately $5 million at quarter-end.
Key developments include expansion into Europe, Africa, and Australia markets, new manufacturing facilities in Taiwan and Vietnam, and multiple product launches including the H700 mobile hotspot with Telstra, H500 series with Verizon, UScellular, and Bell Canada, and the XP Pro 5G smartphone with Verizon.
Sonim Technologies (NASDAQ: SONM) ha rilasciato i risultati preliminari del Q4 2024, mostrando un aumento dei ricavi del 13% su base annua, raggiungendo circa 15,2 milioni di dollari, rispetto ai 13,4 milioni di dollari nel Q4 2023. Tuttavia, la società prevede una significativa perdita netta GAAP compresa tra 20 e 24 milioni di dollari, rispetto a una perdita di 3 milioni di dollari nel Q3 2024.
La perdita aumentata è attribuita a: 12 milioni di dollari in spese per ricerca e sviluppo per il lancio di nuovi prodotti, 4 milioni di dollari in costi di vendita aumentati a causa di aggiustamenti del ciclo di vita dei telefoni legacy, un accantonamento di 2 milioni di dollari per perdite su crediti e un costo di ristrutturazione di 1 milione di dollari. Si prevede che la posizione di cassa sia di circa 5 milioni di dollari alla fine del trimestre.
I principali sviluppi includono l'espansione nei mercati di Europa, Africa e Australia, nuovi impianti di produzione in Taiwan e Vietnam, e diversi lanci di prodotti tra cui l'hotspot mobile H700 con Telstra, la serie H500 con Verizon, UScellular e Bell Canada, e lo smartphone XP Pro 5G con Verizon.
Sonim Technologies (NASDAQ: SONM) publicó resultados preliminares para el Q4 2024, mostrando un aumento del 13% en los ingresos interanuales, alcanzando aproximadamente 15.2 millones de dólares, en comparación con los 13.4 millones de dólares en el Q4 2023. Sin embargo, se espera una pérdida neta GAAP significativa entre 20 y 24 millones de dólares, en comparación con una pérdida de 3 millones de dólares en el Q3 2024.
El aumento de la pérdida se atribuye a: 12 millones de dólares en gastos de I+D para el lanzamiento de nuevos productos, 4 millones de dólares en costos de venta más altos debido a ajustes en el ciclo de vida de los teléfonos heredados, una provisión de 2 millones de dólares por pérdidas crediticias, y un cargo de reestructuración de 1 millón de dólares. Se espera que la posición de efectivo sea de aproximadamente 5 millones de dólares al final del trimestre.
Los principales desarrollos incluyen la expansión a los mercados de Europa, África y Australia, nuevas instalaciones de fabricación en Taiwán y Vietnam, y múltiples lanzamientos de productos, incluidos el hotspot móvil H700 con Telstra, la serie H500 con Verizon, UScellular y Bell Canada, y el smartphone XP Pro 5G con Verizon.
Sonim Technologies (NASDAQ: SONM)는 2024년 4분기 예비 결과를 발표하며 전년 대비 13%의 수익 증가를 보였고, 약 1,520만 달러에 달하며, 이는 2023년 4분기의 1,340만 달러에 비해 증가한 수치입니다. 그러나 회사는 GAAP 기준으로 2천만에서 2천4백만 달러의 상당한 순손실을 예상하고 있으며, 이는 2024년 3분기의 300만 달러 손실에 비해 크게 증가한 수치입니다.
증가된 손실은 신규 제품 출시를 위한 연구 개발 비용 1,200만 달러, 레거시 휴대폰 생애 주기 조정으로 인한 매출원가 증가 400만 달러, 신용손실 준비금 200만 달러, 그리고 구조조정 비용 100만 달러에 기인합니다. 분기 말 현금 잔고는 약 500만 달러로 예상됩니다.
주요 개발 사항으로는 유럽, 아프리카 및 호주 시장으로의 확장, 대만과 베트남에 새로운 제조 시설 설립, Telstra와 함께하는 H700 모바일 핫스팟, Verizon, UScellular, Bell Canada와의 H500 시리즈 및 Verizon과의 XP Pro 5G 스마트폰 포함 다수 신제품 출시가 있습니다.
Sonim Technologies (NASDAQ: SONM) a publié des résultats préliminaires pour le 4ème trimestre 2024, montrant une augmentation des revenus de 13% d'une année sur l'autre, atteignant environ 15,2 millions de dollars, contre 13,4 millions de dollars au 4ème trimestre 2023. Cependant, la société prévoit une perte nette GAAP significative comprise entre 20 et 24 millions de dollars, par rapport à une perte de 3 millions de dollars au 3ème trimestre 2024.
La perte accrue est attribuée à : 12 millions de dollars en dépenses de R&D pour le lancement de nouveaux produits, 4 millions de dollars en coûts de vente plus élevés en raison des ajustements de cycle de vie des téléphones anciens, une provision de 2 millions de dollars pour pertes sur créances et un coût de restructuration de 1 million de dollars. La position de trésorerie devrait être d'environ 5 millions de dollars à la fin du trimestre.
Parmi les principaux développements, citons l'expansion sur les marchés d'Europe, d'Afrique et d'Australie, de nouvelles installations de fabrication à Taïwan et au Vietnam, et plusieurs lancements de produits, notamment le point d'accès mobile H700 avec Telstra, la série H500 avec Verizon, UScellular et Bell Canada, et le smartphone XP Pro 5G avec Verizon.
Sonim Technologies (NASDAQ: SONM) hat vorläufige Ergebnisse für das 4. Quartal 2024 veröffentlicht, die einen Umsatzanstieg von 13% im Vergleich zum Vorjahr zeigen, der ungefähr 15,2 Millionen Dollar beträgt, im Vergleich zu 13,4 Millionen Dollar im 4. Quartal 2023. Das Unternehmen erwartet jedoch einen erheblichen GAAP-Nettoverlust zwischen 20 und 24 Millionen Dollar, verglichen mit einem Verlust von 3 Millionen Dollar im 3. Quartal 2024.
Der erhöhte Verlust wird zurückgeführt auf: 12 Millionen Dollar an Forschungs- und Entwicklungskosten für die Einführung neuer Produkte, 4 Millionen Dollar an gestiegenen Herstellungskosten aufgrund von Anpassungen im Lebenszyklus älterer Telefone, eine Rückstellung für Kreditausfälle in Höhe von 2 Millionen Dollar und eine Umstrukturierungsgebühr von 1 Million Dollar. Es wird erwartet, dass die Liquiditätsposition zum Quartalsende etwa 5 Millionen Dollar beträgt.
Zu den wichtigsten Entwicklungen gehören die Expansion in die Märkte Europa, Afrika und Australien, neue Produktionsstätten in Taiwan und Vietnam sowie mehrere Produkteinführungen, darunter den H700 Mobile Hotspot mit Telstra, die H500-Serie mit Verizon, UScellular und Bell Canada sowie das XP Pro 5G-Smartphone mit Verizon.
- 13% year-over-year revenue growth to $15.2 million
- Geographic expansion into Europe, Africa, and Australia markets
- New TAA-certified manufacturing facility in Taiwan
- Launch of multiple new 5G products with major carriers
- Additional manufacturing site established in Vietnam for supply chain diversification
- Significant increase in net loss to $20-24 million from $3 million in Q3
- Substantial R&D expenses of $12 million in Q4
- $4 million increase in COGS expenses
- $2 million provision for credit losses from unpaid receivable
- $1 million restructuring charge for staff reductions
- Low cash position of $5 million at quarter-end
Insights
The preliminary Q4 2024 results reveal a complex financial picture for Sonim Technologies. Revenue growth of
The TAA certification for Taiwan manufacturing and Vietnam expansion demonstrate supply chain diversification, but the
The product portfolio expansion represents a strategic pivot toward higher-value 5G solutions. The H700 mobile hotspot launch with Telstra featuring Rel. 17 5G + Wi-Fi 7 positions Sonim at the technological forefront. Partnerships with major carriers like Verizon, UScellular and Bell Canada for the H500 series demonstrate strong market acceptance. The new XP Pro 5G smartphone's dual focus on ruggedness and sleek design shows evolution beyond traditional rugged-only positioning.
Geographic expansion into Europe, Africa and Australia diversifies revenue streams and reduces market concentration risk. The shift from 4G to 5G products, while causing short-term financial impact, aligns with market evolution and positions Sonim for future growth in the professional rugged device segment.
The market positioning shift is notable - Sonim is evolving from a pure rugged device maker to a broader 5G mobility solutions provider. The expansion into mobile hotspots and next-gen smartphones indicates market diversification beyond traditional industrial customers. Global expansion, particularly in Europe and Australia, opens significant new addressable markets.
However, the increased R&D spending and restructuring suggest a challenging transition period. The
Improved revenue and achieved key milestones, paving the way for sustainable growth and product leadership
San Diego, California--(Newsfile Corp. - January 15, 2025) - Sonim Technologies, Inc. (NASDAQ: SONM), a leading provider of 5G mobility solutions today announces preliminary select unaudited financial results for the fourth quarter of 2024. The company reached significant milestones in product innovation, market reach, and channel development that position Sonim for substantial revenue and earnings growth starting in 2025.
Preliminary Select Unaudited Fourth Quarter 2024 Results
- Net revenue is projected to increase approximately
13% year-over-year to approximately$15.2 million from$13.4 million in the fourth quarter 2023, and to increase sequentially from$15.0 million in the third quarter 2024. - GAAP net loss for the quarter is expected to be between
$20 million and$24 million compared to a net loss of$3 million in the third quarter of 2024 and is due to the following factors in the fourth quarter:- Approximately
$12 million in research & development expenses in the fourth quarter 2024, compared to$1 million in the third quarter 2024. This increase reflects the completion and launch of two new mobile hotspots, two rugged smartphones, and a rugged feature phone. - Approximately
$4 million in higher COGS expenses due to an adjustment in the estimated life span of three legacy phones. This transition will end the production of these phones, freeing up ranged slots with mobile operators for the launch of the new XP Pro rugged smartphone and two upgraded 5G feature phones, replacing the 4G models. - A provision for credit losses of approximately
$2 million was recorded in the fourth quarter to reserve for an unpaid white label product customer receivable from 2023. - A restructuring charge of approximately
$1 million was recorded in the fourth quarter as the company implemented an initiative to reduce operating expenses through staff reductions. - Cash is expected to be approximately
$5 million at the end of the fourth quarter 2024.
- Approximately
Business Highlights
Sonim expanded product portfolio:
- Telstra Australia launch of Sonim H700 mobile hotspot: Sonim expanded its relationship with Telstra with the launch of the industry's first rugged mobile hotspot featuring Rel. 17 5G + Wi-Fi 7, and other features not found on competing devices in its class.
- Verizon, UScellular, and Bell Canada launches of Sonim H500 series 5G mobile hotspot: Sonim expanded its partnerships with major mobile operators, unveiling rugged, high-performance 5G mobile hotspots designed to enhance productivity for enterprises across the U.S. and Canada. The series includes the Sonim H500 5G, which supports the Verizon Ultra Wideband network, and the Sonim Spot H500 which supports the UScellular and Bell 5G networks.
- Verizon launch of Sonim XP Pro 5G smartphone: Sonim's next generation rugged smartphone uniquely engineered and designed to excel and blend effortlessly in diverse environments-boasting rugged features for the field and a slim profile that slips easily into a pocket.
Global Distribution Platform Expands into Europe, Africa and Australia:
Europe: Sonim successfully entered the European market, securing strategic partnerships with leading operators and distributors across the region. The launch of the new XP100 and XP400 phones, alongside additional product releases planned for 2025, underscores the company's robust growth and commitment to meeting market needs.
Australia: Sonim is now fully operational in Australia, partnering with a top-tier operator and a local distribution and representation partner to deliver cutting-edge rugged devices and solutions.
South Africa: Sonim has partnered with a leading distributor to bring its extensive range of rugged phones, wireless internet solutions, and software suite to critical workers across the region.
A Strong Supply Chain Built on Resiliency:
Taiwan: Sonim's new manufacturing facility achieved TAA (Trade Agreements Act) certification, enhancing its ability to meet U.S. government procurement requirements.
Vietnam: Sonim established a manufacturing site in Vietnam to add further diversification to its supply chain, reducing risk and increasing production resilience.
Peter Liu, CEO of Sonim Technologies, commented: "2024 was a pivotal year for Sonim as we successfully launched an expanded portfolio of connectivity products, entered new global markets, strengthened key partnerships, and welcomed new customers to our platform. We made substantial progress in improving our balance sheet, while also investing strategically in operations and R&D to bolster our foundation for growth in 2025. Sonim is well positioned to capture additional market share in the year ahead and further enhance our financial strength. The growing adoption of our connected solutions portfolio demonstrates the value we bring to our customers, and our expansion into the professional rugged market is already gaining momentum."
Preliminary Select Results Subject to Adjustment
Sonim has not completed preparation of its consolidated financial statements for the fourth quarter or fiscal year of 2024. The select results presented in this press release for the fourth quarter ended December 31, 2024, are preliminary and unaudited and are thus inherently uncertain and subject to Sonim Technologies' normal quarter and year-end accounting procedures and external audit by the company's independent registered public accounting firm. As a result, these preliminary select unaudited financial results may change in connection with the finalization of the company's year-end closing and reporting processes and financial statements for the quarter and full year ended December 31, 2024 and may not represent the actual financial results for the quarter ended December 31, 2024. There can be no assurance that final results for these periods will not differ from these estimates. During the course of the preparation of Sonim's consolidated financial statements and related notes as of and for the year ended December 31, 2024, we or our independent registered public accountants may identify items that could cause final reported results to be materially different from the preliminary select unaudited financial estimates presented herein. In addition, these preliminary select unaudited results are not a comprehensive statement of the company's financial results for the year ended December 31, 2024, and should not be viewed as a substitute for full, audited financial statements prepared in accordance with generally accepted accounting principles, and are not necessarily indicative of the company's results for any future period.
About Sonim Technologies
Sonim Technologies is a leading U.S. provider of ultra-rugged and rugged mobile solutions, including phones, wireless internet data devices, accessories and software designed to provide extra protection for users that demand more durability in their work and everyday lives. Trusted by first responders, government, and Fortune 500 customers since 1999, we currently sell our ruggedized mobility solutions through tier one wireless carriers and distributors in North America, EMEA, and Australia/New Zealand. Sonim devices and accessories connect users with voice, data, workflow and lifestyle applications that enhance the user experience while providing an extra level of protection. For more information, visit www.sonimtech.com.
Forward-Looking Statements
This release contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995, as amended. These statements relate to, among other things, the projected revenue growth and discussion of other select financial results, the declaring and reaffirming of Sonim's business strategy and objectives, the successful expansion of Sonim's products in new markets, the impact of certain events on Sonim's business, and Sonim's ability to grow and to capitalize the market opportunity. These forward-looking statements are based on Sonim's current expectations, estimates and projections about its business and industry, management's beliefs and certain assumptions made by Sonim, all of which are subject to change. Forward-looking statements generally can be identified by the use of forward-looking terminology such as "achieve," "aim," "ambitions," "anticipate," "believe," "committed," "continue," "could," "designed," "estimate," "expect," "forecast," "future," "goals," "grow," "guidance," "intend," "likely," "may," "milestone," "objective," "on track," "opportunity," "outlook," "pending," "plan," "position," "possible," "potential," "predict," "progress," "promises," "roadmap," "seek," "should," "strive," "targets," "to be," "upcoming," "will," "would," and variations of such words and similar expressions or the negative of those terms or expressions. Such statements involve risks and uncertainties, which could cause actual results to vary materially from those expressed in or indicated by the forward-looking statements. Factors that may cause actual results to differ materially include, but are not limited to, the following: the availability of cash on hand; potential material delays in realizing projected timelines for Sonim's products; the current interest and potential attempt of hostile takeover from a third party may divert the management attention from Sonim's business and may require significant expenses, Sonim's material dependence on its relationship with a small number of customers who account for a significant portion of Sonim's revenue; risks related to Sonim's ability to comply with the continued listing standards of the Nasdaq Stock Market and the potential delisting of Sonim's common stock; Sonim's ability to continue to develop solutions to address user needs effectively, including its next-generation products; Sonim's reliance on third-party contract manufacturers and partners; Sonim's ability to stay ahead of the competition; Sonim's ongoing transformation of its business; the variation of Sonim's quarterly results; the lengthy customization and certification processes for Sonim's wireless carries customers; various economic, political, environmental, social, and market events beyond Sonim's control, as well as the other risk factors described under "Risk Factors" included in Sonim's most recent Annual Report on Form 10-K and any subsequent quarterly filings on Form 10-Q filed with the Securities and Exchange Commission (available at www.sec.gov). Sonim cautions you not to place undue reliance on forward-looking statements, which speak only as of the date hereof. Sonim assumes no obligation to update any forward-looking statements in order to reflect events or circumstances that may arise after the date of this release, except as required by law.
Media Contact
Anette Gaven
M: 619-993-3058
pr@sonimtech.com
To view the source version of this press release, please visit https://www.newsfilecorp.com/release/237395
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