Exhibit 99.1
TransAct Technologies
Reports Preliminary Third Quarter 2022 Financial Results
2022 Third Quarter Net Sales of $17.9 Million,
up 68% on a Year-Over-Year Basis
FST Recurring Revenue of $2.6 Million, up 27% on
a Year-Over-Year Basis
FST Paid Terminals Up 36% from September 30, 2021
Reports Positive Net Income
Hamden, CT – November 10, 2022 –
TransAct Technologies Incorporated (Nasdaq: TACT) (“TransAct” or the “Company”), a global leader in software-driven
technology and printing solutions for high-growth markets, today reported preliminary operating results for the quarter ended September
30, 2022.
“Our quarterly results broke not only a
number of Company sales records, but also mark the end of our best nine months in sales since 2018. This would not be possible without
the incredible work of our engineering, operations and sales teams who have worked tirelessly to get a near record number of casino and
POS printers manufactured, sold and delivered in the face of supply shortages, and I cannot thank the TransAct team enough for their efforts,”
said Bart C. Shuldman, Chief Executive Officer of TransAct. Mr. Shuldman continued, “This quarter saw continued momentum in our
Food Service Technology (“FST”) business with new records set for total FST revenue at $3.7 million, and total recurring FST
revenue of nearly $2.6 million, including label sales. Furthermore, with the new additions to our sales force settling in, we have a solid
pipeline of opportunities with a number of customer evaluations in progress with world-class organizations.”
“In addition, I am thrilled with the Casino
and Gaming market where historic demand continues to outstrip our supply. Every printer we can make is being shipped out which helped
us see a double-digit gain in our domestic sales and yet another triple digit gain in our international markets in the third quarter of
2022 compared to the third quarter of 2021. I could not be more pleased with the whole team as TransAct looks to capitalize on these trends
going into 2023.”
Third Quarter 2022 Financial Highlights
| • | Net Sales: Net sales for the third quarter
of 2022 were $17.9 million, up 68% compared to $10.6 million for the third quarter of 2021. |
| • | FST Recurring Revenue: FST recurring revenue
for the third quarter of 2022 was $2.6 million, up 27% compared to $2.0 million for the third quarter of 2021. |
| • | Gross Profit: Gross profit for the third
quarter of 2022 was $8.2 million, resulting in gross margin of 45.9%, compared to gross profit of $4.3 million for the third quarter of
2021, which resulted in a 40.5% gross margin. |
| • | Operating income (loss): Operating income
for the third quarter of 2022 was $0.4 million, compared to operating loss of $(1.6) million for the third quarter of 2021. |
| • | Net income: Net income for the third quarter
of 2022 was $0.5 million, or $0.05 net income per diluted share, based on 9.9 million weighted average common shares outstanding. Net
income for the comparable 2021 period was $0.9 million, or $0.09 net income per diluted share, based on 9.8 million weighted average common
shares outstanding. |
| • | Adjusted net income (loss): Adjusted net
income for the third quarter of 2022 was $0.5 million, or $0.05 adjusted net income per diluted share compared to adjusted net loss for
the third quarter of 2021 of $(1.3) million, or $(0.14) adjusted net loss per diluted share. |
| • | EBITDA: EBITDA was $0.9 million for the
third quarter of 2022, compared to EBITDA of $0.7 million for the third quarter of 2021. |
| • | Adjusted EBITDA: Adjusted EBITDA was $1.2
million for the third quarter of 2022, compared to adjusted EBITDA loss of $(1.2) million for the third quarter of 2021. |
| • | Paid Terminals: Paid terminals in the market were 11,929 on September
30, 2022, compared to 8,749 on September 30, 2021, an increase of 36%. |
2022 Third Quarter Conference Call and Webcast
TransAct is hosting a conference call and webcast
today, November 10, 2022, beginning at 4:30 p.m. ET to discuss the Company’s preliminary third quarter 2022 results and
other matters. Both the call and the webcast are open to the general public. The conference call number is 888-394-8218 and the conference
ID number is 6552635 (domestic or international). Please call ten minutes prior to the presentation to ensure that you are connected.
Interested parties may also access the conference
call live on the Internet at www.transact-tech.com (select “Investor Relations” followed by “Events & Presentations”).
Approximately two hours after the call has concluded, an archived version of the webcast will be available for replay at the same location.
Change in Accounting Principle
Effective April 1, 2022, TransAct changed its
method of inventory valuation from standard costing which approximates first-in first-out “FIFO” to the average costing methodology.
The Company believes this method is preferable because it reflects a better estimate of inventory cost as the Company does not perform
intensive manufacturing of its finished products which are therefore better measured under average cost. In addition, the Company’s
business is projected to include an increasing sales volume of software going forward, which better aligns with average costing. Comparative
financial statements of prior periods have been adjusted to apply the new method retrospectively and are labeled “As Adjusted”
in the Condensed Consolidated Statements of Operations and Condensed Consolidated Balance Sheets attached to this release.
Non-GAAP Financial Measures
TransAct is providing certain non-GAAP financial
measures because the Company believes that these measures are helpful to investors and others in assessing the ongoing nature of what
the Company’s management views as TransAct’s core operations. EBITDA and adjusted EBITDA provide the Company with an understanding
of one aspect of earnings before the impact of investing and financing charges and income taxes. The Company believes that these non-GAAP
financial measures provide relevant and useful information to an investor evaluating the Company’s operating performance because
these measures are: (i) widely used by investors to measure a company’s operating performance without regard to items that do not
reflect the Company’s ongoing operations and are excluded from the calculation of such measure; (ii) used as financial measurements
by lenders and other parties to evaluate creditworthiness; and (iii) used by the Company’s management for various purposes including
strategic planning and forecasting and assessing financial performance. Adjusted net income (loss) and adjusted net income (loss) per
diluted share provide the Company with an understanding of the results of the primary operations of the business by excluding the effects
of special items (for example, the forgiveness of the Company’s $2.2 million loan under the Paycheck Protection Program (the “PPP
Loan”) administered by the Small Business Administration ( the “SBA”) pursuant to the Coronavirus Aid, Relief, and Economic
Security Act of 2020 (the “CARES Act”)) that do not reflect the ordinary earnings of the Company’s operations. The Company
believes this provides a more comparable measure of the Company’s continuing business, as these measures adjust for the special
items that are not reflective of the normal results of the business. These measures may be useful to an investor in evaluating the underlying
operating performance of the Company’s business. The presentation of this non-GAAP information is not considered superior to or
a substitute for, and should be read in conjunction with, the financial information prepared in accordance with GAAP.
EBITDA is defined as net income (loss) before
net interest expense, income taxes, depreciation, and amortization. A reconciliation of EBITDA to net income (loss), the most comparable
GAAP financial measure, can be found attached to this release.
Adjusted EBITDA is defined as net income (loss)
before net interest expense, income taxes, depreciation and amortization and is adjusted for share-based compensation and the impact of
the forgiveness of the PPP Loan by the SBA pursuant to the CARES Act. The Company adjusts EBITDA for share-based compensation because
the Company considers share-based compensation to be a non-cash expense similar to depreciation and amortization. A reconciliation of
adjusted EBITDA to net income (loss), the most comparable GAAP financial measure, can be found attached to this release.
Adjusted net income (loss) is defined as net income (loss) adjusted
for the impact of the forgiveness of the PPP Loan by the SBA pursuant to the CARES Act. A reconciliation of adjusted net income (loss)
to net income (loss), the most comparable GAAP financial measure, can be found attached to this release.
Adjusted net income (loss) per diluted share is defined as adjusted
net income (loss) divided by diluted shares outstanding. A reconciliation of adjusted net income (loss) per diluted share to net income
(loss) per diluted share, the most comparable GAAP financial measure, can be found attached to this release.
About TransAct Technologies Incorporated
TransAct Technologies Incorporated is a global
leader in developing and selling software-driven technology and printing solutions for high-growth markets including food service, casino
and gaming, and POS automation. The Company’s solutions are designed from the ground up based on customer requirements and are sold
under the BOHA! ™, AccuDate™, EPICENTRAL®, Epic® and Ithaca® brands. TransAct has sold over 3.6 million printers,
terminals and other hardware devices around the world and is committed to providing world-class service, spare parts, and accessories
to support its installed product base. Through the TransAct Services Group, the Company also provides customers with a complete range
of supplies and consumable items both online at http://www.transactsupplies.com and through its direct sales team. TransAct is headquartered
in Hamden, CT. For more information, please visit http://www.transact-tech.com or call (203) 859-6800.
TransAct®, BOHA!™, AccuDate™,
Epic, EPICENTRAL™ and Ithaca® are trademarks of TransAct Technologies Incorporated. ©2022 TRANSACT Technologies Incorporated.
All rights reserved.
Cautionary Statement Regarding Preliminary
Financial Information
The Company has prepared the preliminary financial
information set forth below on a materially consistent basis with its historical financial information and in good faith based upon its
internal reporting as of and for the three and nine months ended September 30, 2022. This financial information is preliminary and is
thus inherently uncertain and subject to change as the Company finalizes its financial results and related review for the three and nine
months ended September 30, 2022. During the course of the preparation of the Company’s condensed consolidated financial statements
and related notes as of and for the three and nine months ended September 30, 2022, the Company may identify items that could cause its
final reported results to be materially different from the preliminary financial information set forth above. As a result, there can be
no assurance that the Company’s final results for this period will not differ from the preliminary financial information.
This preliminary financial information should
not be viewed as a substitute for full financial statements prepared in accordance with GAAP. In addition, this preliminary financial
information is not necessarily indicative of the results to be achieved for any future period.
Forward-Looking Statements
Certain statements in this press release include
forward-looking statements. Forward-looking statements generally can be identified by the use of forward-looking terminology, such as
"may", "will", "expect", "intend", "estimate", "anticipate", "believe",
"project”, "plan”, "design" or "continue", or the negative thereof, or other similar words.
All forward-looking statements involve risks and uncertainties, including, but not limited to, the adverse effects of current economic
conditions, whether due to the COVID-19 pandemic or otherwise on our business, operations, financial condition, results of operations
and capital resources, including difficulties or delays in manufacturing or delivery of inventory or other supply chain disruptions, shutdowns
and/or operational restrictions imposed on our customers, an inability of our customers to make payments on time or at all, diversion
of management attention, necessary modifications to our business practices and operations, cost cutting measures we have made and may
continue to make, a possible future reduction in the value of goodwill or other intangible assets, inadequate manufacturing capacity or
a shortfall or excess of inventory as a result of difficulty in predicting manufacturing requirements due to volatile economic conditions,
price increases or decreased availability of component parts or raw materials, exchange rate fluctuations, volatility of and decreases
in trading prices of our common stock and the availability of needed financing on acceptable terms or at all; our ability to successfully
develop new products that garner customer acceptance and generate sales, both domestically and internationally, in the face of substantial
competition; our reliance on an unrelated third party to develop, maintain and host certain web-based food service application software
and develop and maintain selected components of our downloadable software applications pursuant to a non-exclusive license agreement,
and the risk that interruptions in our relationship with that third party could materially impair our ability to provide services to our
food service technology customers on a timely basis or at all and could require substantial expenditures to find or develop alternative
software products; our ability to successfully transition our business into the food service technology market; risks associated with
potential future acquisitions; general economic conditions; our dependence on contract manufacturers for the assembly of a large portion
of our products in Asia; our dependence on significant suppliers; our ability to recruit and retain quality employees as the Company grows;
our dependence on third parties for sales outside the United States; our dependence on technology licenses from third parties; marketplace
acceptance of new products; risks associated with foreign operations; the availability of third-party components at reasonable prices;
price wars or other significant pricing pressures affecting the Company's products in the United States or abroad; increased product costs
or reduced customer demand for our products due to changes in U.S. policy that may result in trade wars or tariffs; our ability to protect
intellectual property; the effect of the United Kingdom’s withdrawal from the European Union; the ongoing war between Russia and
Ukraine and the global response to this war; risks associated with the Company’s ongoing implementation of a new ERP system; and
other risk factors detailed in the Company’s Annual Report on Form 10-K for the year ended December 31, 2021, and other reports
filed with the Securities and Exchange Commission. Actual results may differ materially from those discussed in, or implied by, the forward-looking
statements. The forward-looking statements speak only as of the date of this release, and the Company assumes no duty to update them to
reflect new, changing or unanticipated events or circumstances, except as required by applicable law.
# # #
| Investor Contact: |
|
| Bart Shuldman |
Ryan Gardella |
| Chief Executive Officer |
ICR, Inc. |
| TransAct Technologies Incorporated |
Ryan.Gardella@icrinc.com |
- Financial tables follow –
TRANSACT TECHNOLOGIES INCORPORATED
CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS
(Preliminary and Unaudited)
| | |
Three months ended | | |
Nine months ended | |
| | |
September 30, | | |
September 30, | |
| | |
2022 | | |
2021 | | |
2022 | | |
2021 | |
| | |
| | |
As Adjusted | | |
As Adjusted | | |
As Adjusted | |
| | |
(In thousands, except per share data) | |
| | |
| | |
| | |
| | |
| |
| Net sales | |
$ | 17,856 | | |
$ | 10,637 | | |
$ | 40,181 | | |
$ | 28,263 | |
| Cost of sales | |
| 9,663 | | |
| 6,332 | | |
| 23,988 | | |
| 17,187 | |
| Gross profit | |
| 8,193 | | |
| 4,305 | | |
| 16,193 | | |
| 11,076 | |
| | |
| | | |
| | | |
| | | |
| | |
| Operating expenses: | |
| | | |
| | | |
| | | |
| | |
| Engineering, design and product development | |
| 1,985 | | |
| 1,876 | | |
| 6,440 | | |
| 5,483 | |
| Selling and marketing | |
| 2,748 | | |
| 1,899 | | |
| 8,724 | | |
| 5,109 | |
| General and administrative | |
| 3,073 | | |
| 2,146 | | |
| 9,200 | | |
| 7,264 | |
| | |
| 7,806 | | |
| 5,921 | | |
| 24,364 | | |
| 17,856 | |
| Operating income (loss) | |
| 387 | | |
| (1,616 | ) | |
| (8,171 | ) | |
| (6,780 | ) |
| | |
| | | |
| | | |
| | | |
| | |
| Interest and other income (expense): | |
| | | |
| | | |
| | | |
| | |
| Interest, net | |
| (53 | ) | |
| (29 | ) | |
| (145 | ) | |
| (71 | ) |
| Other, net | |
| 132 | | |
| (69 | ) | |
| (167 | ) | |
| (169 | ) |
Gain on forgiveness of long-term debt | |
| - | | |
| 2,173 | | |
| - | | |
| 2,173 | |
| | |
| 79 | | |
| 2,075 | | |
| (312 | ) | |
| 1,933 | |
| | |
| | | |
| | | |
| | | |
| | |
| Income (loss) before income taxes | |
| 466 | | |
| 459 | | |
| (8,483 | ) | |
| (4,847 | ) |
| Income tax benefit | |
| 62 | | |
| 442 | | |
| 2,287 | | |
| 1,629 | |
| Net income (loss) | |
$ | 528 | | |
$ | 901 | | |
$ | (6,196 | ) | |
$ | (3,218 | ) |
| | |
| | | |
| | | |
| | | |
| | |
| Net income (loss) per common share: | |
| | | |
| | | |
| | | |
| | |
| Basic | |
$ | 0.05 | | |
$ | 0.10 | | |
$ | (0.63 | ) | |
$ | (0.35 | ) |
| Diluted | |
$ | 0.05 | | |
$ | 0.09 | | |
$ | (0.63 | ) | |
$ | (0.35 | ) |
| | |
| | | |
| | | |
| | | |
| | |
| Shares used in per share calculation: | |
| | | |
| | | |
| | | |
| | |
| Basic | |
| 9,911 | | |
| 9,408 | | |
| 9,902 | | |
| 9,112 | |
| Diluted | |
| 9,911 | | |
| 9,846 | | |
| 9,902 | | |
| 9,112 | |
SUPPLEMENTAL INFORMATION
– SALES BY MARKET:
(Preliminary and Unaudited)
| | |
Three months ended | | |
Nine months ended | |
| | |
September 30, | | |
September 30, | |
| | |
2022 | | |
2021 | | |
2022 | | |
2021 | |
| | |
(In thousands) | |
| | |
| | |
| | |
| | |
| |
| Food service technology | |
$ | 3,748 | | |
$ | 3,282 | | |
$ | 9,310 | | |
$ | 9,103 | |
| POS automation | |
| 5,228 | | |
| 1,188 | | |
| 7,700 | | |
| 3,608 | |
| Casino and gaming | |
| 7,743 | | |
| 4,036 | | |
| 19,030 | | |
| 10,368 | |
| Printrex | |
| - | | |
| 160 | | |
| - | | |
| 431 | |
| TransAct Services Group | |
| 1,137 | | |
| 1,971 | | |
| 4,141 | | |
| 4,753 | |
| Total net sales | |
$ | 17,856 | | |
$ | 10,637 | | |
$ | 40,181 | | |
$ | 28,263 | |
TRANSACT TECHNOLOGIES INCORPORATED
CONDENSED CONSOLIDATED BALANCE SHEETS
(Preliminary and Unaudited)
| | |
| | |
As Adjusted | |
| | |
September 30, | | |
December 31, | |
| | |
2022 | | |
2021 | |
| | |
(In thousands) | |
| Assets: | |
| | |
| |
| Current assets: | |
| | |
| |
| Cash and cash equivalents | |
$ | 6,364 | | |
$ | 19,457 | |
| Accounts receivable, net | |
| 13,639 | | |
| 7,593 | |
| Employee retention credit receivable | |
| 1,500 | | |
| 1,500 | |
| Inventories | |
| 11,115 | | |
| 7,711 | |
| Prepaid income taxes | |
| 188 | | |
| 137 | |
| Other current assets | |
| 984 | | |
| 738 | |
| Total current assets | |
| 33,790 | | |
| 37,136 | |
| | |
| | | |
| | |
| Fixed assets, net | |
| 2,737 | | |
| 2,684 | |
| Right-of-use asset | |
| 2,693 | | |
| 2,553 | |
| Goodwill | |
| 2,621 | | |
| 2,621 | |
| Deferred tax assets | |
| 7,520 | | |
| 5,143 | |
| Intangible assets, net | |
| 281 | | |
| 397 | |
| Other assets | |
| 297 | | |
| 400 | |
| | |
| 16,149 | | |
| 13,798 | |
| Total assets | |
$ | 49,939 | | |
$ | 50,934 | |
| | |
| | | |
| | |
| Liabilities and Shareholders’ Equity: | |
| | | |
| | |
| Current liabilities: | |
| | | |
| | |
| Current portion of revolving loan payable | |
$ | 2,250 | | |
$ | - | |
| Accounts payable | |
| 6,156 | | |
| 4,308 | |
| Accrued liabilities | |
| 3,998 | | |
| 3,894 | |
| Lease liability | |
| 827 | | |
| 789 | |
| Deferred revenue | |
| 1,158 | | |
| 805 | |
| Total current liabilities | |
| 14,389 | | |
| 9,796 | |
| | |
| | | |
| | |
| Deferred revenue, net of current portion | |
| 164 | | |
| 186 | |
| Lease liability, net of current portion | |
| 1,909 | | |
| 1,781 | |
| Other liabilities | |
| 195 | | |
| 187 | |
| | |
| 2,268 | | |
| 2,154 | |
| Total liabilities | |
| 16,657 | | |
| 11,950 | |
| | |
| | | |
| | |
| Shareholders’ equity: | |
| | | |
| | |
| Common stock | |
| 139 | | |
| 139 | |
| Additional paid-in capital | |
| 55,995 | | |
| 55,246 | |
| Retained earnings | |
| 9,370 | | |
| 15,566 | |
| Accumulated other comprehensive (loss) income, net of tax | |
| (112 | ) | |
| 143 | |
| Treasury stock, at cost | |
| (32,110 | ) | |
| (32,110 | ) |
| Total shareholders’ equity | |
| 33,282 | | |
| 38,984 | |
| Total liabilities and shareholders’ equity | |
$ | 49,939 | | |
$ | 50,934 | |
TRANSACT TECHNOLOGIES INCORPORATED
RECONCILIATION OF GAAP EARNINGS FINANCIAL MEASURES
TO CORRESPONDING
NON-GAAP FINANCIAL MEASURES
(Preliminary and Unaudited,
thousands of dollars, except percentages and per share amounts)
| | |
Three months ended
September 30, 2022 | |
| | |
Reported | | |
Adjustments(1) | | |
Adjusted
Non-GAAP | |
| Operating expenses | |
$ | 7,806 | | |
$ | - | | |
$ | 7,806 | |
| % of net sales | |
| 43.7 | % | |
| | | |
| 43.7 | % |
| | |
| | | |
| | | |
| | |
| Operating income | |
| 387 | | |
| - | | |
| 387 | |
| % of net sales | |
| 2.2 | % | |
| | | |
| 2.2 | % |
| | |
| | | |
| | | |
| | |
| Interest and other income | |
| 79 | | |
| - | | |
| 79 | |
| Income before income taxes | |
| 466 | | |
| - | | |
| 466 | |
| Income tax benefit | |
| 62 | | |
| - | | |
| 62 | |
| Net income | |
| 528 | | |
| - | | |
| 528 | |
| Net income per common share: | |
| | | |
| | | |
| | |
| Basic | |
$ | 0.05 | | |
$ | - | | |
$ | 0.05 | |
| Diluted | |
$ | 0.05 | | |
$ | - | | |
$ | 0.05 | |
| | |
Three months ended
September 30, 2021 | |
| | |
Reported | | |
Adjustments(2) | | |
Adjusted
Non-GAAP | |
| Operating expenses | |
$ | 5,921 | | |
$ | - | | |
$ | 5,921 | |
| % of net sales | |
| 55.7 | % | |
| | | |
| 55.7 | % |
| | |
| | | |
| | | |
| | |
| Operating loss | |
| (1,616 | ) | |
| - | | |
| (1,616 | ) |
| % of net sales | |
| (15.2 | )% | |
| | | |
| (15.2 | )% |
| | |
| | | |
| | | |
| | |
| Interest and other income (expense) | |
| 2,075 | | |
| (2,173 | ) | |
| (98 | ) |
| Income (loss) before income taxes | |
| 459 | | |
| (2,173 | ) | |
| (1,714 | ) |
| Income tax benefit | |
| 442 | | |
| - | | |
| 442 | |
| Net income (loss) | |
| 901 | | |
| (2,173 | ) | |
| (1,272 | ) |
| Net income (loss) per common share: | |
| | | |
| | | |
| | |
| Basic | |
$ | 0.10 | | |
$ | (0.23 | ) | |
$ | (0.14 | ) |
| Diluted | |
$ | 0.09 | | |
$ | (0.22 | ) | |
$ | (0.13 | ) |
| (2) | Adjustment includes $2,173 gain on forgiveness of the PPP Loan that occurred in July 2021. |
TRANSACT TECHNOLOGIES INCORPORATED
RECONCILIATION OF GAAP EARNINGS FINANCIAL MEASURES
TO CORRESPONDING
NON-GAAP FINANCIAL MEASURES
(Preliminary and Unaudited,
thousands of dollars, except percentages and per share amounts)
| | |
Nine months ended
September 30, 2022 | |
| | |
Reported | | |
Adjustments(3) | | |
Adjusted
Non-GAAP | |
| Operating expenses | |
$ | 24,364 | | |
$ | - | | |
$ | 24,364 | |
| % of net sales | |
| 60.6 | % | |
| | | |
| 60.6 | % |
| | |
| | | |
| | | |
| | |
| Operating loss | |
| (8,171 | ) | |
| - | | |
| (8,171 | ) |
| % of net sales | |
| (20.3 | )% | |
| | | |
| (20.3 | )% |
| | |
| | | |
| | | |
| | |
| Interest and other income (expense) | |
| (312 | ) | |
| - | | |
| (312 | ) |
| Loss before income taxes | |
| (8,483 | ) | |
| - | | |
| (8,483 | ) |
| Income tax benefit | |
| 2,287 | | |
| - | | |
| 2,287 | |
| Net loss | |
| (6,196 | ) | |
| - | | |
| (6,196 | ) |
| Net loss per common share: | |
| | | |
| | | |
| | |
| Basic | |
$ | (0.63 | ) | |
$ | - | | |
$ | (0.63 | ) |
| Diluted | |
$ | (0.63 | ) | |
$ | - | | |
$ | (0.63 | ) |
| | |
Nine months ended
September 30, 2021 | |
| | |
Reported | | |
Adjustments(4) | | |
Adjusted
Non-GAAP | |
| Operating expenses | |
$ | 17,856 | | |
$ | - | | |
$ | 17,856 | |
| % of net sales | |
| 63.2 | % | |
| | | |
| 63.2 | % |
| | |
| | | |
| | | |
| | |
| Operating loss | |
| (6,780 | ) | |
| - | | |
| (6,780 | ) |
| % of net sales | |
| (24.0 | )% | |
| | | |
| (24.0 | )% |
| | |
| | | |
| | | |
| | |
| Interest and other income (expense) | |
| 1,933 | | |
| (2,173 | ) | |
| (240 | ) |
| Loss before income taxes | |
| (4,847 | ) | |
| (2,173 | ) | |
| (7,020 | ) |
| Income tax benefit | |
| 1,629 | | |
| - | | |
| 1,629 | |
| Net loss | |
| (3,218 | ) | |
| (2,173 | ) | |
| (5,391 | ) |
| Net loss per common share: | |
| | | |
| | | |
| | |
| Basic | |
$ | (0.35 | ) | |
$ | (0.24 | ) | |
$ | (0.59 | ) |
| Diluted | |
$ | (0.35 | ) | |
$ | (0.24 | ) | |
$ | (0.59 | ) |
| (4) | Adjustment includes $2,173 gain on forgiveness of the PPP Loan that occurred in July 2021. |
TRANSACT TECHNOLOGIES INCORPORATED
RECONCILIATION OF NET INCOME (LOSS) TO EBITDA
AND ADJUSTED EBITDA
NON-GAAP FINANCIAL MEASURES
(Preliminary and Unaudited)
| | |
Three months ended | | |
Nine months ended | |
| | |
September 30, | | |
September 30, | |
| | |
2022 | | |
2021 | | |
2022 | | |
2021 | |
| | |
| | |
As Adjusted | | |
As Adjusted | | |
As Adjusted | |
| | |
(In thousands) | |
| | |
| | |
| | |
| | |
| |
| Net income (loss) | |
$ | 528 | | |
$ | 901 | | |
$ | (6,196 | ) | |
$ | (3,218 | ) |
| | |
| | | |
| | | |
| | | |
| | |
| Interest expense, net | |
| 53 | | |
| 29 | | |
| 145 | | |
| 71 | |
| Income tax (benefit) | |
| (62 | ) | |
| (442 | ) | |
| (2,287 | ) | |
| (1,629 | ) |
| Depreciation and amortization | |
| 359 | | |
| 235 | | |
| 984 | | |
| 721 | |
| | |
| | | |
| | | |
| | | |
| | |
| EBITDA | |
| 878 | | |
| 723 | | |
| (7,354 | ) | |
| (4,055 | ) |
| | |
| | | |
| | | |
| | | |
| | |
| Share-based compensation expense | |
| 287 | | |
| 257 | | |
| 868 | | |
| 952 | |
| Gain on forgiveness of PPP Loan | |
| - | | |
| (2,173 | ) | |
| - | | |
| (2,173 | ) |
| | |
| | | |
| | | |
| | | |
| | |
| Adjusted EBITDA | |
$ | 1,165 | | |
$ | (1,193 | ) | |
$ | (6,486 | ) | |
$ | (5,276 | ) |
