Ultralife Corporation Reports Third Quarter Results
Ultralife Corporation (ULBI) reported third-quarter 2022 results with revenue of $33.2 million, a 52.7% increase from $21.8 million a year prior. The operating loss was $0.6 million, an improvement from a $0.8 million loss last year. Government/defense revenue surged 99.8%, significantly contributing to total growth. Despite increased revenue, gross profit margins declined from 23.5% to 20.2% due to supply chain issues and inflation. The backlog grew to $106.2 million, indicating potential future growth.
- Revenue increased by 52.7% to $33.2 million compared to Q3 2021.
- Government/defense revenue doubled, reflecting higher demand.
- Total backlog rose to $106.2 million, a 34.1% increase from the prior quarter.
- Operating loss of $0.6 million, despite revenue growth.
- Gross profit margin decreased from 23.5% to 20.2%.
NEWARK, N.Y., Oct. 27, 2022 (GLOBE NEWSWIRE) -- Ultralife Corporation (NASDAQ: ULBI) reported an operating loss of
“For the third quarter, government/defense revenue doubled year-over-year reflecting higher demand from our customers in Battery & Energy Products and shipments of larger awards in Communications Systems. This increase in government/defense revenue along with the addition of Excell, resulted in a
Third Quarter 2022 Financial Results
Revenue was
Gross profit was
Operating expenses were
Operating loss was
Net loss was
Adjusted EBITDA, defined as EBITDA including non-cash, stock-based compensation expense, was
See the “Non-GAAP Financial Measures” section of this release for a reconciliation of Adjusted EPS to EPS and adjusted EBITDA to net (loss) income attributable to Ultralife Corporation.
About Ultralife Corporation
Ultralife Corporation serves its markets with products and services ranging from power solutions to communications and electronics systems. Through its engineering and collaborative approach to problem solving, Ultralife serves government, defense and commercial customers across the globe.
Headquartered in Newark, New York, the Company's business segments include Battery & Energy Products and Communications Systems. Ultralife has operations in North America, Europe and Asia. For more information, visit www.ultralifecorporation.com.
Conference Call Information
Ultralife will hold its third quarter earnings conference call today at 8:30 AM ET. To participate in the live call, please dial (800) 915-4836 at least ten minutes before the scheduled start time, identify yourself and ask for the Ultralife call. A live webcast of the conference call will be available to investors in the Events & Presentations section of the Company's website at http://investor.ultralifecorporation.com. For those who cannot listen to the live broadcast, a replay of the webcast will be available shortly after the call at the same location.
This press release may contain forward-looking statements based on current expectations that involve a number of risks and uncertainties. The potential risks and uncertainties that could cause actual results to differ materially include the impact of COVID-19 and related supply chain disruptions, potential reductions in revenues from key customers, acceptance of our new products on a global basis and uncertain global economic conditions. The Company cautions investors not to place undue reliance on forward-looking statements, which reflect the Company's analysis only as of today's date. The Company undertakes no obligation to publicly update forward-looking statements to reflect subsequent events or circumstances. Further information on these factors and other factors that could affect Ultralife’s financial results is included in Ultralife’s Securities and Exchange Commission (SEC) filings, including the latest Annual Report on Form 10-K.
Company Contact: | Investor Relations Contact: |
Ultralife Corporation | LHA |
Philip A. Fain | Jody Burfening |
(315) 210-6110 | (212) 838-3777 |
pfain@ulbi.com | jburfening@lhai.com |
ULTRALIFE CORPORATION AND SUBSIDIARIES | |||||||||
CONSOLIDATED BALANCE SHEETS (Dollars in Thousands) | |||||||||
(Unaudited) | |||||||||
ASSETS | |||||||||
September 30, 2022 | December 31, 2021 | ||||||||
Current Assets: | |||||||||
Cash | |||||||||
Trade Accounts Receivable, Net | 26,876 | 20,232 | |||||||
Inventories, Net | 40,769 | 33,189 | |||||||
Prepaid Expenses and Other Current Assets | 6,241 | 4,690 | |||||||
Total Current Assets | 78,937 | 66,524 | |||||||
Property, Plant and Equipment, Net | 21,898 | 23,205 | |||||||
Goodwill | 37,066 | 38,068 | |||||||
Other Intangible Assets, Net | 16,095 | 17,390 | |||||||
Deferred Income Taxes, Net | 11,963 | 11,472 | |||||||
Other Non-Current Assets | 1,981 | 2,879 | |||||||
Total Assets | |||||||||
LIABILITIES AND SHAREHOLDERS' EQUITY | |||||||||
Current Liabilities: | |||||||||
Accounts Payable | |||||||||
Current Portion of Long-Term Debt | 2,000 | 2,000 | |||||||
Accrued Compensation and Related Benefits | 2,000 | 1,842 | |||||||
Accrued Expenses and Other Current Liabilities | 8,254 | 5,259 | |||||||
Total Current Liabilities | 28,081 | 18,924 | |||||||
Long-Term Debt, Net | 20,874 | 18,857 | |||||||
Deferred Income Taxes | 1,996 | 2,254 | |||||||
Other Non-Current Liabilities | 1,673 | 1,760 | |||||||
Total Liabilities | 52,624 | 41,795 | |||||||
Shareholders' Equity: | |||||||||
Common Stock | 2,057 | 2,052 | |||||||
Capital in Excess of Par Value | 187,181 | 186,518 | |||||||
Accumulated Deficit | (47,727) | (47,832) | |||||||
Accumulated Other Comprehensive Loss | (4,842) | (1,653) | |||||||
Treasury Stock | (21,480) | (21,469) | |||||||
Total Ultralife Equity | 115,189 | 117,616 | |||||||
Non-Controlling Interest | 127 | 127 | |||||||
Total Shareholders’ Equity | 115,316 | 117,743 | |||||||
Total Liabilities and Shareholders' Equity |
ULTRALIFE CORPORATION AND SUBSIDIARIES | |||||||
CONSOLIDATED STATEMENTS OF (LOSS) INCOME | |||||||
(In Thousands Except Per Share Amounts) | |||||||
(Unaudited) | |||||||
Three-Month Period Ended | Nine-Month Period Ended | ||||||
September 30, | September 30, | September 30, | September 30, | ||||
2022 | 2021 | 2022 | 2021 | ||||
Revenues: | |||||||
Battery & Energy Products | |||||||
Communications Systems | 4,651 | 1,753 | 7,860 | 9,510 | |||
Total Revenues | 33,234 | 21,761 | 95,733 | 74,504 | |||
Cost of Products Sold: | |||||||
Battery & Energy Products | 23,238 | 15,216 | 68,656 | 48,750 | |||
Communications Systems | 3,281 | 1,437 | 5,758 | 6,401 | |||
Total Cost of Products Sold | 26,519 | 16,653 | 74,414 | 55,151 | |||
Gross Profit | 6,715 | 5,108 | 21,319 | 19,353 | |||
Operating Expenses: | |||||||
Research and Development | 1,896 | 1,723 | 5,425 | 5,223 | |||
Selling, General and Administrative | 5,405 | 4,164 | 15,982 | 12,866 | |||
Total Operating Expenses | 7,301 | 5,887 | 21,407 | 18,089 | |||
Operating (Loss) Income | (586) | (779) | (88) | 1,264 | |||
Other (Income) Expense | (254) | (1) | (22) | 76 | |||
(Loss) Income Before Income Taxes | (332) | (778) | (66) | 1,188 | |||
Income Tax (Benefit) Provision | (90) | (175) | (171) | 290 | |||
Net (Loss) Income | (242) | (603) | 105 | 898 | |||
Net (Loss) Income Attributable to Non-Controlling Interest | (3) | (18) | - | 1 | |||
Net (Loss) Income Attributable to Ultralife Corporation | ( | ( | |||||
Net (Loss) Income Per Share Attributable to Ultralife Common Shareholders – Basic | ($.01) | ($.04) | $.01 | $.06 | |||
Net (Loss) Income Per Share Attributable to Ultralife Common Shareholders – Diluted | ($.01) | ($.04) | $.01 | $.06 | |||
Weighted Average Shares Outstanding – Basic | 16,133 | 16,065 | 16,122 | 16,020 | |||
Weighted Average Shares Outstanding – Diluted | 16,133 | 16,065 | 16,144 | 16,200 |
Non-GAAP Financial Measures:
Adjusted EBITDA
In evaluating our business, we consider and use adjusted EBITDA, a non-GAAP financial measure, as a supplemental measure of our operating performance in addition to GAAP financial measures. We define adjusted EBITDA as net income (loss) attributable to Ultralife Corporation before net interest expense, provision (benefit) for income taxes, depreciation and amortization, and stock-based compensation expense, plus/minus expense/income that we do not consider reflective of our ongoing continuing operations. We reconcile adjusted EBITDA to net income (loss) attributable to Ultralife Corporation, the most comparable financial measure under GAAP. Neither current nor potential investors in our securities should rely on adjusted EBITDA as a substitute for any GAAP measures and we encourage investors to review the following reconciliation of adjusted EBITDA to net income attributable to Ultralife Corporation.
ULTRALIFE CORPORATION AND SUBSIDIARIES |
CALCULATION OF ADJUSTED EBITDA |
(Dollars in Thousands) |
(Unaudited) |
Three-Month Period Ended | Nine-Month Period Ended | ||||||
September 30, 2022 | September 30, 2021 | September 30, 2022 | September 30, 2021 | ||||
Net (Loss) Income Attributable to Ultralife Corporation | ( | ( | |||||
Adjustments: | |||||||
Interest and Financing Expense | 272 | 53 | 583 | 164 | |||
Income Tax (Benefit) Provision | (90) | (175) | (171) | 290 | |||
Depreciation Expense | 815 | 700 | 2,450 | 2,160 | |||
Amortization Expense | 318 | 148 | 969 | 458 | |||
Stock-Based Compensation Expense | 179 | 142 | 552 | 512 | |||
Non-Cash Purchase Accounting Adjustment | - | - | 55 | - | |||
Adjusted EBITDA |
FAQ
What were Ultralife Corporation's Q3 2022 earnings results?
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