Connect with us

Technology

iRobot Reports Fourth-Quarter and Full-Year 2023 Financial Results

Published

on

 Provides Annual Guidance for 2024

BEDFORD, Mass., Feb. 26, 2024  /PRNewswire/ — iRobot Corp. (NASDAQ: IRBT), a leader in consumer robots, today announced its financial results for the fourth quarter and full year ended December 30, 2023.  

Fourth Quarter 2023 Financial Performance Highlights

Revenue was $307.5 million compared to $357.9 million last yearGAAP net loss per share was ($2.28) compared to GAAP net loss per share of ($3.07) last yearNon-GAAP net loss per share was ($1.82) compared to non-GAAP net loss per share of ($1.54) last year

Fiscal 2023 Financial Performance Highlights

Revenue declined to $890.6 million from $1,183.4 million in 2022GAAP net loss per share was ($11.01) compared to GAAP net loss of ($10.52) in 2022Non-GAAP net loss per share was ($7.73) compared to non-GAAP net loss per share of ($4.50) in 2022

“As we shared last month, we are actively implementing an operational restructuring plan designed to both stabilize the business in the current environment and advance our growth initiatives,” said Glen Weinstein, Interim CEO of iRobot. “The plan will simplify our cost structure, create a more sustainable business model, and enable us to focus on our core value drivers. As we move forward with urgency and focus, our management team and Board are confident in iRobot’s ability to build on our innovation and to navigate this period successfully as a standalone company.”

“We are managing through a challenging period and making critical strategic progress that we believe will help expand and better position our business for the future,” added Weinstein. “We are confident that the actions we are taking today will drive improved performance going forward.”

iRobot anticipates full year 2024 revenue between $825 and $865 million. iRobot expects full year 2024 GAAP net loss per share between ($3.13) and ($2.70) and non-GAAP net loss per share between ($3.73) and ($3.30).

iRobot’s top financial priorities are liquidity and careful cash management. With the operational restructuring plan announced last month, iRobot anticipates a significant improvement in cash outflow from operations in fiscal 2024 compared with the reported cash outflow from operations of ($114.8) million for full year 2023. Excluding the net proceeds from the $94 million break-up fee from Amazon, iRobot expects negative cash flow from operations in Q1 and Q2 and anticipates generating modest positive cash flow from operations in both Q3 and Q4 during fiscal 2024.

Operational Restructuring Plan

As announced on January 29, 2024, the Company has initiated an operational restructuring plan designed to more closely align its cost structure with near-term revenue expectations and drive bottom-line improvement. These measures include:

Achieving margin improvements through a focus on design-to-value and more attractive terms with manufacturing partners with an anticipated GAAP gross margin of between 31% and 33% and non-GAAP gross margin of between 32% and 34% in 2024;Reducing research and development expense by approximately $25 million through relocating certain non-core engineering functions and pausing work unrelated to iRobot’s core floorcare business to focus on innovation and development efforts on the Company’s key revenue generators;Centralizing global marketing activities to be more efficient in iRobot’s demand generation efforts, which we anticipate will result in a decrease in overall selling and marketing expenses by $40 million including working marketing reduction of $20 million;Streamlining the Company’s legal entity and real estate footprint to fit its current business needs and near-term revenue expectations; andImplementing workforce reductions of approximately 350 employees, which represents 31 percent of the Company’s workforce as of December 30, 2023, with the majority of notifications taking place by March 30, 2024. As part of this workforce reduction, iRobot expects to record restructuring charges totaling between $12 million and $13 million, primarily for severance and related costs.

Fourth-Quarter Operational and Recent Highlights

Geographically, fourth quarter 2023 revenue declined 20% in the U.S., 19% in Japan and 5% in EMEA over the prior period last year. Full year 2023 revenue declined 30% in the U.S., 21% in Japan and 11% in EMEA.Revenue from mid-tier robots (with an MSRP between $300 and $499) and premium robots (with an MSRP of $500 or more) represented 83% of total robot sales in the fourth quarter of 2023 versus 84% from the same period last year.iRobot’s product lineup received positive reviews across regions in media outlets including Reviewed, TechRadar, Homes & Gardens, CNN Underscored, Lifehacker, TechHive, ZDNET, Xataka, T3, Tom’s Guide and Gear Patrol.The iRobot Roomba Combo j9+ was named ‘Best Robot Vacuum’ by U.S. News & World Report. The Company’s products received other notable accolades from media outlets including GQ, Popular Mechanics, Gear Patrol and GoodsPress.iRobot products were featured as recommended deals and gifts in Black Friday/Cyber Monday and holiday gift guide-related coverage in TODAY, Good Morning America, Esquire and many other top media outlets.

2024 Financial Outlook
iRobot is providing GAAP and non-GAAP financial expectations for the fiscal year ending December 28, 2024. A detailed reconciliation between the Company’s GAAP and non-GAAP expectations is included in the attached financial tables.

Fiscal Year 2024:

Metric

GAAP

Adjustments

Non-GAAP

Revenue

$825 – $865 million

$825 – $865 million

Gross Margin

31% to 33%

~1%

32% to 34%

Operating Loss

($41) – ($29) million

~($17) million

($58) – ($46) million

Net Loss Per Share

($3.13) – ($2.70)

~($0.60)

($3.73) – ($3.30)

For the first half of 2024, revenue is expected to decline in the high teens to low 20s percentage range compared to the first half of 2023, with Q2 expected to be the weaker quarter as the Company expects a shifting of orders into Q3.For the second half of the year, the Company anticipates a mid-single-digit percentage improvement in revenue compared to the second half of 2023.iRobot anticipates that the majority of the gross margin improvement will occur in the second half of the year as the Company ramps its initiatives.

Fourth-Quarter 2023 Results Conference Call
iRobot will host a live webcast and conference call tomorrow at 8:30 a.m. ET to discuss its fourth-quarter 2023 financial results and its outlook for fiscal year 2024. Pertinent conference call details include:

Date:                           February 27, 2024
Time:                           8:30 a.m. ET
Call-In Number:          203-518-9783
Conference ID:           IRBTQ423

A live webcast of the conference call will be accessible on the event section of the Company’s website at https://investor.irobot.com/events/event-details/q4-2023-irobot-corp-earnings-conference-call. An archived version of the broadcast will be available on the same website shortly after the conclusion of the live event. A replay of the telephone conference call will be available through March 5, and can be accessed by dialing 402-220-7330.

About iRobot Corp.
iRobot is a global consumer robot company that designs and builds thoughtful robots and intelligent home innovations that make life better. iRobot introduced the first Roomba robot vacuum in 2002. Today, iRobot is a global enterprise that has sold more than 50 million robots worldwide. iRobot’s product portfolio features technologies and advanced concepts in cleaning, mapping and navigation. Working from this portfolio, iRobot engineers are building robots and smart home devices to help consumers make their homes easier to maintain and healthier places to live. For more information about iRobot, please visit www.irobot.com

Cautionary Statement Regarding Forward-Looking Statements
This communication contains “forward-looking statements” within the meaning of the federal securities laws, including Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended, which relate to, among other things: the Company’s expectations regarding future financial performance, including with respect to 2024 revenue, gross margin, operating loss and loss per share; and the Company’s implementation of its operational restructuring plan, the expected business and financial impacts thereof, and related restructuring charges. These forward-looking statements are based on the Company’s current expectations, estimates and projections about its business and industry, all of which are subject to change. In this context, forward-looking statements often address expected future business and financial performance and financial condition, and often contain words such as “expect,” “anticipate,” “intend,” “plan,” “believe,” “could,” “seek,” “see,” “will,” “may,” “would,” “might,” “potentially,” “estimate,” “continue,” “expect,” “target,” similar expressions or the negatives of these words or other comparable terminology that convey uncertainty of future events or outcomes. All forward-looking statements by their nature address matters that involve risks and uncertainties, many of which are beyond our control, and are not guarantees of future results, such as statements about the consummation of the proposed transaction and the anticipated benefits thereof. These and other forward-looking statements are not guarantees of future results and are subject to risks, uncertainties and assumptions that could cause actual results to differ materially from those expressed in any forward-looking statements. Accordingly, there are or will be important factors that could cause actual results to differ materially from those indicated in such statements and, therefore, you should not place undue reliance on any such statements and caution must be exercised in relying on forward-looking statements. Important risk factors that may cause such a difference include, but are not limited to: (i) the Company’s ability to obtain capital when desired on favorable terms, if at all; (ii) our restructuring efforts may not be successful;  (iii) the impact of the COVID-19 pandemic and various global conflicts on the Company’s business and general economic conditions; (iv) the Company’s ability to implement its business strategy; (v) the risk that disruptions from the proposed restructuring will harm the Company’s business, including current plans and operations; (vi) the ability of the Company to retain and hire key personnel, including successfully navigating its leadership transition; (vii) legislative, regulatory and economic developments affecting the Company’s business; (viii) general economic and market developments and conditions; (ix) the evolving legal, regulatory and tax regimes under which the Company operates; (x) potential business uncertainty, including changes to existing business relationships that could affect the Company’s financial performance; (xi) unpredictability and severity of catastrophic events, including, but not limited to, acts of terrorism or outbreak of war or hostilities, (xii) current supply chain challenges including current constraints in the availability of certain semiconductor components used in the Company’s products; (xiii) the financial strength of the Company’s customers and retailers; (xiv) the impact of tariffs on goods imported into the United States; and (xv) competition, as well as the Company’s response to any of the aforementioned factors. Additional risks and uncertainties that could cause actual outcomes and results to differ materially from those contemplated by the forward-looking statements are included under the caption “Risk Factors” in the Company’s most recent annual and quarterly reports filed with the SEC and any subsequent reports on Form 10-K, Form 10-Q or Form 8-K filed from time to time and available at www.sec.gov. While the list of factors presented here is considered representative, no such list should be considered to be a complete statement of all potential risks and uncertainties. Unlisted factors may present significant additional obstacles to the realization of forward-looking statements. Consequences of material differences in results as compared with those anticipated in the forward-looking statements could include, among other things, business disruption, operational problems, financial loss, legal liability and similar risks, any of which could have a material adverse effect on the Company’s financial condition, results of operations, or liquidity. The forward-looking statements included herein are made only as of the date hereof. The Company does not assume any obligation to publicly provide revisions or updates to any forward-looking statements, whether as a result of new information, future developments or otherwise, should circumstances change, except as otherwise required by securities and other applicable laws.

iRobot Corporation

Consolidated Statements of Operations

(in thousands, except per share amounts)

(unaudited)

For the three months ended

For the twelve months ended

December 30, 2023

December 31, 2022

December 30, 2023

December 31, 2022

Revenue

$                307,544

$              357,872

$                890,580

$             1,183,383

Cost of revenue:

Cost of product revenue

249,112

272,367

693,217

830,478

Amortization of acquired intangible assets

301

280

1,166

2,812

Total cost of revenue

249,413

272,647

694,383

833,290

Gross profit

58,131

85,225

196,197

350,093

Operating expenses:

Research and development

26,951

40,615

144,087

166,508

Selling and marketing

59,673

95,952

201,676

293,307

General and administrative

18,903

33,527

109,148

118,112

Amortization of acquired intangible assets

4,837

(54)

5,366

12,549

Total operating expenses

110,364

170,040

460,277

590,476

Operating loss

(52,233)

(84,815)

(264,080)

(240,383)

Other expense, net

(4,758)

(1,393)

(28,975)

(21,300)

Loss before income taxes

(56,991)

(86,208)

(293,055)

(261,683)

Income tax expense (benefit)

6,603

(2,107)

11,655

24,612

Net loss

$                (63,594)

$                (84,101)

$              (304,710)

$              (286,295)

Net loss per share:

Basic

$                    (2.28)

$                    (3.07)

$                  (11.01)

$                  (10.52)

Diluted

$                    (2.28)

$                    (3.07)

$                  (11.01)

$                  (10.52)

Number of shares used in per share calculations:

Basic

27,880

27,379

27,676

27,214

Diluted

27,880

27,379

27,676

27,214

Stock-based compensation included in above figures:

Cost of revenue

$                       935

$                       620

$                    3,160

$                    2,194

Research and development

3,653

2,816

12,391

10,473

Selling and marketing

1,622

1,558

5,843

6,358

General and administrative

3,966

3,402

14,662

12,880

Total

$                  10,176

$                    8,396

$                  36,056

$                  31,905

 

 iRobot Corporation

 Condensed Consolidated Balance Sheets

 (unaudited, in thousands)

December 30, 2023

December 31, 2022

 Assets

 Cash and cash equivalents

$                      185,121

$                    117,949

 Accounts receivable, net

79,387

66,025

 Inventory

152,469

285,250

 Other current assets

48,513

59,076

Total current assets

465,490

528,300

 Property and equipment, net

40,395

60,909

 Operating lease right-of-use assets

19,642

26,084

 Deferred tax assets

8,512

16,248

 Goodwill

175,105

167,724

 Intangible assets, net

5,044

11,260

 Other assets

19,510

24,918

Total assets

$                      733,698

$                    835,443

 Liabilities and stockholders’ equity

 Accounts payable

$                      178,318

$                    184,016

 Accrued expenses

97,999

98,959

 Deferred revenue and customer advances

10,830

13,208

Total current liabilities

287,147

296,183

 Term loan

201,501

 Operating lease liabilities

27,609

33,247

 Other long-term liabilities

20,954

30,297

Total long-term liabilities

250,064

63,544

Total liabilities

537,211

359,727

 Stockholders’ equity

196,487

475,716

Total liabilities and stockholders’ equity

$                      733,698

$                    835,443

 

 iRobot Corporation

Consolidated Statements of Cash Flows

 (unaudited, in thousands)

For the twelve months ended

December 30, 2023

December 31, 2022

Cash flows from operating activities:

Net loss

$              (304,710)

$              (286,295)

Adjustments to reconcile net loss to net cash used in operating activities:

Depreciation and amortization

32,791

47,869

Loss on equity investment

3,910

19,718

Stock-based compensation

36,056

31,905

Change in fair value of term loan

5,904

Debt issuance costs expensed under fair value option

11,837

Deferred income taxes, net

6,563

18,799

Other

(17,694)

(1,003)

Changes in operating assets and liabilities — (use) source

Accounts receivable

(11,748)

94,750

Inventory

125,710

49,399

Other assets

13,941

52,029

Accounts payable 

(4,604)

(73,598)

Accrued expenses and other liabilities

(12,749)

(43,594)

Net cash used in operating activities

(114,793)

(90,021)

Cash flows from investing activities:

Additions of property and equipment

(2,862)

(12,325)

Purchase of investments

(233)

(3,150)

Sales and maturities of investments

17,723

Net cash (used in) provided by investing activities

(3,095)

2,248

Cash flows from financing activities:

Proceeds from employee stock plans

9

4,719

Income tax withholding payment associated with restricted stock vesting

(2,802)

(1,775)

Proceeds from term loan

200,000

Payment of debt issuance costs

(11,837)

Net cash provided by financing activities

185,370

2,944

Effect of exchange rate changes on cash, cash equivalents and restricted cash

2,456

1,321

Net increase (decrease) in cash, cash equivalents and restricted cash

69,938

(83,508)

Cash, cash equivalents and restricted cash, at beginning of period

117,949

201,457

Cash, cash equivalents and restricted cash, at end of period

$                187,887

$                117,949

Cash, cash equivalents and restricted cash, at end of period:

Cash and cash equivalents

$                185,121

$                117,949

Restricted cash, current (included in other current assets)

1,000

Restricted cash, non-current (included in other assets)

1,766

Cash, cash equivalents and restricted cash, at end of period

$                187,887

$                117,949

 

 iRobot Corporation

Supplemental Information

(unaudited)

For the three months ended

For the twelve months ended

December 30, 2023

December 31, 2022

December 30, 2023

December 31, 2022

Revenue by Geography: *

    Domestic

$                139,806

$                175,481

$                428,531

$                615,107

    International

167,738

182,391

462,049

568,276

Total

$                307,544

$                357,872

$                890,580

$             1,183,383

Robot Units Shipped *

      Vacuum

1,075

1,213

2,834

3,772

      Mopping

64

122

200

410

Total

1,139

1,335

3,034

4,182

Revenue by Product Category **

      Vacuum***

$                       291

$                       331

$                       831

$                    1,066

      Mopping and other****

17

27

60

117

Total

$                       308

$                       358

$                       891

$                    1,183

Average gross selling prices for robot units

$                       370

$                       362

$                       360

$                       337

Headcount

1,113

1,254

* in thousands

** in millions

*** Includes Roomba robot vacuum-related accessory revenue

**** Includes Braava robot mop-related accessory revenue and air purifier, handheld vacuum and Root 

Certain numbers may not total due to rounding

iRobot Corporation
Explanation of Non-GAAP Measures

In addition to disclosing financial results in accordance with U.S. GAAP, this earnings release contains references to the non-GAAP financial measures described below. We use non-GAAP measures to internally evaluate and analyze financial results. We believe these non-GAAP financial measures provide investors with useful supplemental information about the financial performance of our business, enable comparison of financial results between periods where certain items may vary independent of business performance, and enable comparison of our financial results with other public companies, many of which present similar non-GAAP financial measures.

Our non-GAAP financial measures reflect adjustments based on the following items. These non-GAAP financial measures should not be considered a substitute for, or superior to, financial measures calculated in accordance with GAAP, and the financial results calculated in accordance with GAAP and reconciliations from these results should be carefully evaluated.

Amortization of acquired intangible assets: Amortization of acquired intangible assets consists of amortization of intangible assets including completed technology, customer relationships, and reacquired distribution rights acquired in connection with business combinations as well as any non-cash impairment charges associated with intangible assets in connection with our past acquisitions. Amortization charges for our acquisition-related intangible assets are inconsistent in size and are significantly impacted by the timing and valuation of our acquisitions. We exclude these charges from our non-GAAP measures to facilitate an evaluation of our current operating performance and comparisons to our past operating performance.

Net Merger, Acquisition and Divestiture (Income) Expense: Net merger, acquisition and divestiture (income) expense primarily consists of transaction fees, professional fees, and transition and integration costs directly associated with mergers, acquisitions and divestitures, including with respect to the iRobot-Amazon Merger which was terminated on January 28, 2024. It also includes business combination adjustments including adjustments after the measurement period has ended. The occurrence and amount of these costs will vary depending on the timing and size of these transactions. We exclude these charges from our non-GAAP measures to facilitate an evaluation of our current operating performance and comparisons to our past operating performance.

Stock-Based Compensation: Stock-based compensation is a non-cash charge relating to stock-based awards. We exclude this expense as it is a non-cash expense, and we assess our internal operations excluding this expense and believe it facilitates comparisons to the performance of other companies.

Tariff Refunds: Our exclusion from Section 301 List 3 tariffs was reinstated in March 2022, which temporarily eliminates tariffs on our Roomba products imported from China beginning on October 12, 2021 until December 31, 2022. This temporary exclusion, which was subsequently extended until December 31, 2023, and then further extended until May 31, 2024, entitles us to a refund of all related tariffs previously paid since October 12, 2021. We exclude the refunds for tariff costs expensed during fiscal 2021 from our 2022 non-GAAP measures because those tariff refunds associated with tariff costs incurred in the past have no impact to our current period earnings.

Restructuring and Other: Restructuring charges are related to one-time actions associated with realigning resources, enhancing operational productivity and efficiency, or improving our cost structure in support of our strategy. Such actions are not reflective of ongoing operations and include costs primarily associated with severance costs, certain professional fees, costs associated with consolidation of facilities, warehouses and any other leased properties, and other non-recurring costs directly associated with resource realignments tied to strategic initiatives or changes in business conditions. We exclude this item from our non-GAAP measures when evaluating our recent and prospective business performance as such items vary significantly based on the magnitude of the action and do not reflect anticipated future operating costs. In addition, these charges do not necessarily provide meaningful insight into the fundamentals of current or past operations of our business.

Gain/Loss on Strategic Investments: Gain/loss on strategic investments includes fair value adjustments, realized gains and losses on the sales of these investments and losses on the impairment of these investments. We exclude these items from our non-GAAP measures because we do not believe they correlate to the performance of our core business and may vary in size based on market conditions and events. We believe that the exclusion of these gains or losses provides investors with a supplemental view of our operational performance.

Debt issuance costs: Debt issuance costs include various incremental fees and commissions paid to third parties in connection with the issuance of debt.

Income tax adjustments: Income tax adjustments include the tax effect of the non-GAAP adjustments, calculated using the appropriate statutory tax rate for each adjustment. We regularly assess the need to record valuation allowances based on non-GAAP profitability and other factors. We also exclude certain tax items, including the impact from stock-based compensation windfalls/shortfalls, that are not reflective of income tax expense incurred as a result of current period earnings. During fiscal 2023, we concluded that, based on the introduction of negative evidence associated with increased expenses expected from the Term Loan issued during 2023, it is no longer more likely than not that the net deferred tax assets are recoverable on a non-GAAP basis. Accordingly, we recorded a valuation allowance as a non-GAAP adjustment during fiscal 2023. We believe disclosure of the income tax provision before the effect of such tax items is important to permit investors’ consistent earnings comparison between periods.

iRobot Corporation

Supplemental Reconciliation of GAAP Actuals to Non-GAAP Actuals

(in thousands, except per share amounts)

(unaudited)

For the three months ended

For the twelve months ended

December 30, 2023

December 31, 2022

December 30, 2023

December 31, 2022

 GAAP Revenue

$                307,544

$                357,872

$                890,580

$             1,183,383

 GAAP Gross Profit

$                  58,131

$                  85,225

$                196,197

$                350,093

Amortization of acquired intangible assets

301

280

1,166

2,812

Stock-based compensation

935

620

3,160

2,194

Tariff refunds

(11,727)

Net merger, acquisition and divestiture expense

(1,159)

462

(262)

462

Restructuring and other

174

4,551

 Non-GAAP Gross Profit

$                  58,208

$                  86,587

$                200,435

$                348,385

 GAAP Gross Margin

18.9 %

23.8 %

22.0 %

29.6 %

 Non-GAAP Gross Margin

18.9 %

24.2 %

22.5 %

29.4 %

 GAAP Operating Expenses

$                110,364

$                170,040

$                460,277

$                590,476

Amortization of acquired intangible assets

(4,837)

54

(5,366)

(12,549)

Stock-based compensation 

(9,241)

(7,776)

(32,896)

(29,711)

Net merger, acquisition and divestiture expense

7,167

(10,079)

(14,824)

(18,195)

Restructuring and other

81

(3,628)

(7,981)

(9,042)

 Non-GAAP Operating Expenses*

$                103,534

$                148,611

$                399,210

$                520,979

 GAAP Operating Expenses as a % of GAAP Revenue

35.9 %

47.5 %

51.7 %

49.9 %

 Non-GAAP Operating Expenses as a % of Non-GAAP Revenue*

33.7 %

41.5 %

44.8 %

44.0 %

 GAAP Operating Loss

$                (52,233)

$                (84,815)

$              (264,080)

$              (240,383)

Amortization of acquired intangible assets

5,138

226

6,532

15,361

Stock-based compensation

10,176

8,396

36,056

31,905

Tariff refunds

(11,727)

Net merger, acquisition and divestiture expense

(8,326)

10,541

14,562

18,657

Restructuring and other

(81)

3,628

8,155

13,593

 Non-GAAP Operating Loss*

$                (45,326)

$                (62,024)

$              (198,775)

$              (172,594)

 GAAP Operating Margin

(17.0) %

(23.7) %

(29.7) %

(20.3) %

 Non-GAAP Operating Margin*

(14.7) %

(17.3) %

(22.3) %

(14.6) %

 

iRobot Corporation

Supplemental Reconciliation of GAAP Actuals to Non-GAAP Actuals continued

(in thousands, except per share amounts)

(unaudited)

For the three months ended

For the twelve months ended

December 30, 2023

December 31, 2022

December 30, 2023

December 31, 2022

 GAAP Income Tax Expense (Benefit)

$                    6,603

$                  (2,107)

$                  11,655

$                  24,612

Tax effect of non-GAAP adjustments

155

(22,986)

720

(50,635)

Other tax adjustments

(6,182)

4,690

(10,331)

(25,789)

 Non-GAAP Income Tax Expense (Benefit)

$                       576

$                (20,403)

$                    2,044

$                (51,812)

 GAAP Net Loss

$                (63,594)

$                (84,101)

$              (304,710)

$              (286,295)

Amortization of acquired intangible assets

5,138

226

6,532

15,361

Stock-based compensation

10,176

8,396

36,056

31,905

Tariff refunds

(11,727)

Net merger, acquisition and divestiture expense

(8,326)

10,541

14,562

18,657

Restructuring and other

(81)

3,628

8,155

13,593

Loss on strategic investments

890

3,910

19,718

Debt issuance costs

11,837

Income tax effect

6,027

18,296

9,611

76,424

 Non-GAAP Net Loss*

$                (50,660)

$                (42,124)

$              (214,047)

$              (122,364)

 GAAP Net Loss Per Diluted Share

$                    (2.28)

$                    (3.07)

$                  (11.01)

$                  (10.52)

Amortization of acquired intangible assets

0.18

0.01

0.24

0.56

Stock-based compensation

0.36

0.31

1.30

1.17

Tariff refunds

(0.43)

Net merger, acquisition and divestiture expense

(0.30)

0.38

0.53

0.69

Restructuring and other

0.13

0.29

0.50

Loss on strategic investments

0.03

0.14

0.72

Debt issuance costs

0.43

Income tax effect

0.22

0.67

0.35

2.81

 Non-GAAP Net Loss Per Diluted Share*

$                    (1.82)

$                    (1.54)

$                    (7.73)

$                    (4.50)

Number of shares used in diluted per share calculation

27,880

27,379

27,676

27,214

Supplemental Information

Days sales outstanding

24

17

GAAP Days in inventory

56

95

Non-GAAP Days in inventory(1)

56

96

* Beginning in the fourth quarter of 2023, we updated our calculation of non-GAAP financial measures to no longer exclude “IP litigation expense, net.” The metrics for each period are presented in accordance with this updated methodology; as a result, the 2022 fiscal year measures differ from those previously presented by the amount of IP litigation expense, net recorded in such period.

(1) Non-GAAP Days in inventory is calculated as inventory divided by (Revenue minus Non-GAAP Gross Profit), multiplied by 91 days.

 

 iRobot Corporation

Supplemental Data – Impact of Section 301 Tariffs 

(in thousands, except per share amounts)

(unaudited)

For the three months ended

For the twelve months ended

December 30, 2023

December 31, 2022

December 30, 2023

December 31, 2022

Section 301 Tariff Costs

$                       467

$                       497

$                    1,560

$                    2,968

Impact of Section 301 tariff costs to gross and operating margin (GAAP & non-GAAP)

(0.2) %

(0.1) %

(0.2) %

(0.3) %

Tax effected impact of Section 301 tariff costs to net income per diluted share (GAAP)

$                    (0.02)

$                    (0.02)

$                    (0.06)

$                    (0.11)

Tax effected impact of Section 301 tariff costs to net income per diluted share (non-GAAP)

$                    (0.02)

$                    (0.01)

$                    (0.06)

$                    (0.08)

Certain numbers may not total due to rounding

 

 iRobot Corporation

Supplemental Reconciliation of Fiscal Year 2024 GAAP to Non-GAAP Guidance

(unaudited)

FY-24

GAAP Gross Profit

$258 – $288 million

Stock-based compensation

~$4 million

Restructuring and other

~$2 million

Total adjustments

~$6 million

Non-GAAP Gross Profit

$264 – $294 million

FY-24

GAAP Gross Margin

31% – 33%

Stock-based compensation

~1%

Restructuring and other

~0%

Total adjustments

~1%

Non-GAAP Gross Margin

32% – 34%

FY-24

GAAP Operating Loss 

($41) – ($29) million

Amortization of acquired intangible assets

~$1 million

Stock-based compensation

~$41 million

Net merger, acquisition and divestiture expense (income)

~($74) million

Restructuring and other

~$15 million

Total adjustments

~($17) million

Non-GAAP Operating Loss

($58) – ($46) million

FY-24

GAAP Net Loss Per Diluted Share

($3.13) – ($2.70)

Amortization of acquired intangible assets

~$0.03

Stock-based compensation

~$1.45

Net merger, acquisition and divestiture expense (income)

~($2.61)

Restructuring and other

~$0.53

Income tax effect

~$0

Total adjustments

~($0.60)

Non-GAAP Net Loss Per Diluted Share

($3.73) – ($3.30)

Number of shares used in diluted per share calculations

~28.3 million

 

View original content to download multimedia:https://www.prnewswire.com/news-releases/irobot-reports-fourth-quarter-and-full-year-2023-financial-results-302071604.html

SOURCE iRobot Corporation

Continue Reading
Click to comment

Leave a Reply

Your email address will not be published. Required fields are marked *

Technology

The Inner Circle acknowledges Russell E. Jones as a Pinnacle Professional Member

Published

on

By

CHANDLER, Ariz., July 21, 2026 /PRNewswire/ — Prominently featured in The Inner Circle, Russell E. Jones is acknowledged as a Pinnacle Professional Member Inner Circle of Excellence for his contributions to Pioneering Innovation in Software Engineering and Communications.

With over three decades of experience in software engineering and software quality engineering, Russell E. Jones continues to lead transformative innovations in the field of communications as the Executive Director of Integration, Verification, and Validation at Iridium Communications Inc.. Since stepping into this role in 2021, Mr. Jones has overseen critical processes that ensure the seamless integration and functionality of the company’s sophisticated communication systems.

His promotion to this key leadership position followed a successful tenure as Director of SV Software Engineering at Iridium, where his leadership was pivotal in advancing the company’s technological capabilities. Before joining Iridium, Mr. Jones gained extensive experience in systems engineering and software testing through impactful roles at Motorola and Boeing, further solidifying his reputation as an innovator in the field.

Mr. Jones’s academic foundation includes an Associate of Arts in Electronics Technology (1990) and a Bachelor of Science in Technical Management (2001), both from DeVry University. These credentials have been instrumental in shaping his career, which has spanned satellite testing, systems engineering, and software integration.

Throughout his journey, Mr. Jones credits his family’s unwavering love and support and his mother and father’s influence for instilling the values of hard work and resourcefulness—traits that have been the cornerstone of his success.

Looking to the future, Mr. Jones is passionate about educating the next generation of engineers. His vision includes addressing educational gaps by teaching courses, presenting at conferences, and advocating for the inclusion of testing and integration in academic curricula. His goal is to inspire future leaders while continuing to contribute to the advancement of technology at Iridium.

Contact: Katherine Green, 516-825-5634, editorialteam@continentalwhoswho.com

View original content to download multimedia:https://www.prnewswire.com/news-releases/the-inner-circle-acknowledges-russell-e-jones-as-a-pinnacle-professional-member-302831135.html

SOURCE The Inner Circle

Continue Reading

Technology

Vision Marine Technologies Announces Next Phase of Its Marine Technology Strategy

Published

on

By

Company plans to leverage its integrated operating platform to support technology development, commercialization and long-term growth.

BOISBRIAND, QC, July 21, 2026 /PRNewswire/ — Vision Marine Technologies Inc. (NASDAQ: VMAR; TSXV: VMAR) (“Vision Marine” or the “Company”), a marine technology company combining proprietary high-voltage electric propulsion technology with an integrated marine retail, marina and service platform through Nautical Ventures, today announced the next phase of its long-term strategy to advance and commercialize marine technologies through its operating platform.

The initiative establishes a framework through which Vision Marine intends to pursue internal development, technology partnerships and selected strategic opportunities, which may include mergers or acquisitions, that complement its existing capabilities and relate to the recreational boating industry.

The initiative builds upon the strategy presented by Vision Marine in May 2026: connecting proprietary marine technology with direct retail distribution, vessel integration capabilities, marina infrastructure, service operations and established customer relationships.

Over the past year, Vision Marine has integrated and expanded the Nautical Ventures platform, commercially launched and begun customer deliveries of its E-Motion™ 180 high-voltage electric propulsion system, expanded its intellectual property portfolio, continued optimizing its real estate and operating structure, and completed its previously announced at-the-market equity offering program. As previously disclosed, the Company currently has no active ATM program.

As previously disclosed, net cash provided by operating activities totaled approximately US$2.4 million for the nine-month period ended May 31, 2026. This result was supported by working-capital management, including the reduction and monetization of inventory. Management believes this reflects its focus on operational discipline and capital efficiency. Net cash provided by operating activities is distinct from net income and should not be interpreted as profitability.

The Company intends to use its existing customer relationships, distribution channels and service infrastructure to evaluate and, where appropriate, commercialize complementary marine technologies.

By combining technology development and vessel integration with retail distribution, marina operations, service, rentals and direct customer engagement, Vision Marine intends to evaluate whether new technologies can be introduced and supported through its existing operations. Any such initiatives will remain subject to customer demand, technical development and integration requirements, operating costs, financing availability, market conditions, regulatory approvals and disciplined capital allocation. There can be no assurance that these initiatives will result in commercialization, additional revenue or anticipated financial benefits.

“We are not beginning from a concept. We are expanding from a platform that is already in operation,” said Alexandre Mongeon, Chief Executive Officer of Vision Marine. “Vision Marine now connects proprietary technology with vessel integration, retail distribution, marina infrastructure, service capabilities and direct customer access. Our objective is to use these capabilities to evaluate and, where appropriate, support the development and commercialization of complementary marine technologies.”

“Proprietary electric propulsion remains central to Vision Marine’s technology strategy,” continued Mongeon. “We intend to evaluate complementary technologies that could improve vessel integration, energy management, connectivity, serviceability and the overall ownership experience. Our objective is to strengthen our marine technology platform through internal development, strategic partnerships and carefully selected strategic opportunities, while maintaining disciplined capital allocation.”

Vision Marine intends to prioritize initiatives that it believes complement its existing platform and may provide commercial value. In evaluating potential opportunities, the Company will consider expected costs, technical and operational requirements, financing needs, integration risks and potential financial benefits. There can be no assurance that any initiative will expand recurring revenue, improve margins or strengthen cash generation.

This announcement does not constitute the announcement of any acquisition, merger or definitive transaction. There can be no assurance that any evaluation or discussion will result in a completed transaction. Any material transaction will be disclosed in accordance with applicable securities laws and the requirements of Nasdaq and the TSX Venture Exchange.

About Vision Marine Technologies Inc.

Vision Marine Technologies Inc. (NASDAQ: VMAR; TSXV: VMAR) is a marine technology company specializing in high-voltage electric propulsion systems and recreational boating solutions. Its E-Motion™ electric powertrain technology is designed to provide a marine-specific, integration-ready propulsion solution for boat manufacturers. Through Nautical Ventures, Vision Marine also operates an integrated marine retail, marina, service and rental platform supporting both electric and internal-combustion recreational boating. For more information, visit visionmarinetechnologies.com.

Forward-Looking Statements

This press release contains forward-looking statements within the meaning of applicable Canadian securities laws and the safe harbor provisions of the United States Private Securities Litigation Reform Act of 1995. Forward-looking statements in this press release include, without limitation, statements regarding Vision Marine’s business strategy; the advancement and commercialization of marine technologies; internal development initiatives; potential technology partnerships, investments, mergers, acquisitions and other strategic opportunities; the anticipated use and potential benefits of the Company’s operating platform; the introduction and commercialization of complementary technologies; the potential expansion of recurring revenue; potential improvements in margins and cash generation; and the Company’s capital allocation priorities and long-term growth objectives.

Forward-looking statements can often be identified by words such as “expects,” “plans,” “believes,” “intends,” “anticipates,” “continues,” “estimates,” “projects,” “potential,” “opportunity,” “may,” “could,” “would,” “will” and similar expressions or variations of such words and phrases.

These forward-looking statements are based on management’s current expectations, assumptions, estimates and projections and are subject to known and unknown risks, uncertainties and other factors that may cause actual results, performance or achievements to differ materially from those expressed or implied. These factors include, without limitation, the Company’s ability to execute its business strategy; identify, negotiate, finance, complete and integrate potential strategic transactions; develop and commercialize new technologies; generate market acceptance for its products and services; improve operating performance and achieve profitability; manage liquidity, inventory and floor-plan financing requirements; realize anticipated benefits from the integration of Nautical Ventures; maintain relationships with manufacturers, suppliers and commercial partners; protect its intellectual property; comply with applicable regulatory and listing requirements; and respond to competition, economic conditions, capital-market volatility, supply-chain disruptions and changes affecting the recreational marine industry.

Additional risks and uncertainties are described in the Company’s Annual Report on Form 20-F, as amended, for the year ended August 31, 2025, and in its subsequent filings with the U.S. Securities and Exchange Commission and on SEDAR+. Readers should not place undue reliance on these forward-looking statements, which speak only as of the date of this press release. Vision Marine undertakes no obligation to update or revise any forward-looking statement as a result of new information, future events or otherwise, except as required by applicable law.

Neither the TSX Venture Exchange nor its Regulation Services Provider accepts responsibility for the adequacy or accuracy of this release.

View original content to download multimedia:https://www.prnewswire.com/news-releases/vision-marine-technologies-announces-next-phase-of-its-marine-technology-strategy-302831148.html

SOURCE Vision Marine Technologies, Inc

Continue Reading

Technology

World-Renowned MAGURA USV Manufacturer UFORCE Partners with RECONCRAFT to Build Combat-Tested Autonomous Maritime Drones in the U.S.

Published

on

By

MAGURA family of drones, made exclusively by UFORCE, holds one of the most impactful and reliable combat records in modern maritime warfare, helping drive the Russian Navy from the Black Sea

LONDON and KYIV, Ukraine and WASHINGTON, July 21, 2026 /PRNewswire/ — UFORCE, the Ukraine-origin, UK-based autonomous systems defense technology company built to unify and scale the world’s most combat-proven unmanned platforms, today announced the signing of a memorandum of understanding (MoU) with leading Special Operations combatant craft manufacturer RECONCRAFT, following a ceremony hosted by the Embassy of Ukraine in the United States.

UFORCE USA and RECONCRAFT are partnering to build the world’s most capable autonomous surface vessels as part of the Arsenal of Freedom. UFORCE has also entered the U.S. Drone Dominance competition and related programs in partnership with RECONCRAFT.

The initiative will be led by Sean Plankey, CEO of UFORCE USA. Plankey most recently served as Senior Advisor to the Secretary of Homeland Security, overseeing the United States Coast Guard, and was twice nominated by the President of the United States to lead the Cybersecurity and Infrastructure Security Agency.

Through the partnership, UFORCE will work to make available to the United States its combat-proven full-stack aerial, maritime, and ground unmanned systems, advanced autonomy software, and command-and-control technologies.

The company’s MAGURA family of autonomous surface vessels holds one of the most impactful and reliable combat records in modern maritime warfare and contributed to the destruction of more than a dozen Russian warships in the Black Sea. UFORCE’s portfolio also includes the first autonomous surface vessel to successfully down manned helicopters and fighter aircraft in combat.

“Today’s combat environments show that autonomous warfighting capabilities are a must-have. UFORCE is exceptionally positioned to deliver capabilities already tested by some of the world’s most sophisticated militaries under the most demanding battlefield conditions,” said Oleg Rogynskyy, CEO of UFORCE. “Through this partnership with RECONCRAFT, these combat-proven capabilities will become available to the U.S., combining Ukrainian battlefield innovation with American manufacturing excellence.”

“This partnership demonstrates what’s possible when American manufacturing and combat-proven innovation come together,” said Sean Plankey, CEO of UFORCE USA. “Working with RECONCRAFT, we will help ensure these proven autonomous capabilities become available to the U.S. It’s exactly the kind of industrial partnership the Arsenal of Democracy is designed to enable.”

“RECONCRAFT is building multiple combatant craft platforms trusted by U.S. and Partner Special Operations Forces in the world’s most demanding environments,” said Joe Silkowski, Co-Founder of RECONCRAFT. “Partnering with UFORCE combines our manufacturing expertise and capabilities with the combat-proven autonomy of the MAGURA platform, allowing us to deliver greater capability to American warfighters faster than developing a new system from the ground up.”

About UFORCE

UFORCE USA is a U.S. based, wholly owned subsidiary of Ukrainian-origin defense technology operating company UFORCE, built to unify and scale the world’s most battle-proven autonomous systems. UFORCE unified nine leading Ukrainian defense technology developers and manufacturers into a single company, with registered in London and operations in Ukraine. By combining Ukrainian frontline innovation with Western capital, governance, and global distribution, UFORCE delivers next-generation autonomous defense capabilities to allied militaries. The company’s full-stack platform includes hardware systems spanning aerial, maritime and ground unmanned platforms, advanced autonomy software, and command-and-control solutions.

Media Contact: KekstCNC-UFORCE@kekstcnc.com

About RECONCRAFT

RECONCRAFT is the leading designer and manufacturer of combatant craft for U.S. and Foreign Partner forces.  RECONCRAFT’s global headquarters and primary manufacturing campus is located in the Portland, Oregon, area where the skilled team produces highly sophisticated vessels, manned and unmanned, between multiple Programs of Record.

View original content to download multimedia:https://www.prnewswire.com/news-releases/world-renowned-magura-usv-manufacturer-uforce-partners-with-reconcraft-to-build-combat-tested-autonomous-maritime-drones-in-the-us-302831197.html

SOURCE UFORCE

Continue Reading

Trending