Technology
RADCOM Achieves 20% Year-over-Year Revenue Growth and Reaches a Record $90.2 Million Cash Level
Published
2 years agoon
By
Appointed Mr. Benny Eppstein as its new Chief Executive Officer, Effective December 1st, 2024
TEL AVIV, Israel, Nov. 13, 2024 /PRNewswire/ — RADCOM Ltd. (NASDAQ: RDCM) announced today its financial results for the third quarter ended September 30, 2024.
Third-quarter 2024 highlights:
Revenue for the third quarter was $15.8 million, up 20% year-over-year, a new company recordGAAP net income was $2.3 million, or $0.14 diluted EPS, compared to a net loss of $0.3 million or $0.02 diluted EPS for the third quarter of 2023.Non-GAAP net income was $3.7 million, or $0.23 diluted EPS, compared to $2.4 million, or $0.15 diluted EPS, for the third quarter of 2023.$4 million positive cash flow, ending the quarter with $90.2 million of cash, cash equivalents, and short-term bank deposits, the company’s highest-ever cash level.
First nine-month of 2024 highlights:
Revenue for the period was $44.8 million, up 19% year-over-yearGAAP net income was $4.7 million, or $0.29 diluted EPS, compared to a net income of $1.1 million or $0.07 diluted EPS for the first nine months of 2023.Non-GAAP net income was $9.7 million, or $0.61 diluted EPS, compared to $6.3 million, or $0.4 diluted EPS, for the first nine months of 2023.
Hilik Itman, RADCOM’s Interim Chief Executive Officer, stated, “We have made significant progress in expanding our business and are confident in our ability to continue profitable growth and increase market share by leveraging our healthy sales pipeline. We believe our best-in-class 5G assurance platform, combined with integrated artificial intelligence (AI) capabilities, positions us well to meet evolving customer needs and requirements in the 5G market.”
“Following our successful acquisition of Continual in May 2023, we secured a seven-figure, multi-year contract this quarter with a North American operator for our advanced mobility experience analytics. The acquisition of Continual has been beneficial, expanding our innovative service assurance solutions and their value to our current and new customers.
“We achieved record quarterly revenues of $15.8 million, and I am grateful to the RADCOM team for their unwavering dedication and exceptional execution as we drive the company to new heights. With the appointment of our new CEO, Mr. Eppstein, I look forward to partnering with him to accelerate revenue growth, enhance profitability, and increase shareholder value. I will return to my previous role as Chief Operating Officer and focus on driving future product innovations to fuel the company’s growth and ensure customer satisfaction.
“We remain confident in achieving a fifth consecutive year of revenue growth and increased profitability. This confidence enables us to raise our 2024 revenue guidance to $59 to $62 million (from $58 to $61 million).”
Earnings conference call and webcast
RADCOM’s management will hold an interactive conference call on the same day at 8:00 AM Eastern Time (3:00 PM Israel Standard Time) to discuss the results and answer participants’ questions.
Live webcast: A live webcast of the presentation will be available at https://veidan.activetrail.biz/radcomq3-2024. The webcast will be archived for 90 days following the live presentation.Joining the interactive call: Please dial in approximately five minutes before the call is scheduled to begin:From the US (toll-free): +1-866-652-8972 or +1-800-994-4498From other locations: +972-3-918-0644
A conference call replay will be available a few hours after the call on RADCOM’s investor relations webpage at https://radcom.com/investor-relations.
For all investor inquiries, please contact:
Investor Relations:
Miri Segal
MS-IR LLC
917-607-8654
msegal@ms-ir.com
Company Contact:
Hadar Rahav
CFO
+972-77-7745062
hadar.rahav@radcom.com
About RADCOM
RADCOM (NASDAQ: RDCM) is the leading expert in 5G-ready cloud-native, network intelligence solutions for telecom operators transitioning to 5G. RADCOM Network Intelligence consists of RADCOM Network Visibility, RADCOM Service Assurance, and RADCOM Network Insights. The RADCOM Network Intelligence suite offers intelligent, container-based, on-demand solutions to deliver network analysis from the RAN to the core for 5G assurance. Utilizing automated and dynamic solutions with smart minimal data collection and on-demand troubleshooting, and cutting-edge techniques based on machine learning, these solutions work in harmony to provide operators with an understanding of the entire customer experience and allow them to troubleshoot network performance from a high to granular level while reducing storage costs and cloud resource utilization. For more information on how to RADCOMize your network today, please visit www.radcom.com, the content of which does not form a part of this press release.
Non-GAAP Information
Certain non-GAAP financial measures are included in this press release. These non-GAAP financial measures are provided to enhance the reader’s overall understanding of the Company’s financial performance. By excluding non-cash stock-based compensation that has been expensed in accordance with ASC Topic 718, financial income (expenses), acquisition-related expenses, and amortization of intangible assets related to acquisitions, the Company’s non-GAAP results provide information to both management and investors that is useful in assessing the Company’s core operating performance and in evaluating and comparing the Company’s results of operations on a consistent basis from period to period. These non-GAAP financial measures are also used by management to evaluate financial results and to plan and forecast future periods. The presentation of this additional information is not meant to be considered a substitute for the corresponding financial measures prepared in accordance with GAAP.
Risks Regarding Forward-Looking Statements
Certain statements made herein that use words such as “estimate,” “project,” “intend,” “expect,” “‘believe,” “may,” “might,” ” potential,” “anticipate,” “plan” or similar expressions are intended to identify forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995 and other securities laws. For example, when the Company discusses its full-year 2024 revenue guidance, positioning the Company to meet evolving customer needs and requirements in the 5G market, future benefits from the acquisition of Continual, expanding the Company’s offering and the value to the Company’s installed and new customers and propelling the Company to new heights, it is using forward-looking statements. These forward-looking statements involve known and unknown risks and uncertainties that could cause the actual results, performance, or achievements of the Company to be materially different from those that may be expressed or implied by such statements, including, among others, changes in general economic and business conditions and specifically, decline in demand for the Company’s products, inability to timely develop and introduce new technologies, products, and applications, loss of market share and pressure on prices resulting from competition and the effects of the war in Israel. For additional information regarding these and other risks and uncertainties associated with the Company’s business, reference is made to the Company’s reports filed from time to time with the U.S. Securities and Exchange Commission. The Company does not undertake to revise or update any forward-looking statements for any reason.
RADCOM Ltd.
Consolidated Statements of Operations
Unaudited
(thousands of U.S. dollars, except share and per share data)
Three months ended
September 30,
Nine months ended
September 30,
2024
2023
2024
2023
Revenues
$ 15,821
$ 13,195
$ 44,745
$ 37,590
Cost of revenues
4,064
3,510
11,609
10,338
Gross profit
11,757
9,685
33,136
27,252
Research and development, gross
4,696
5,527
13,910
15,248
Less – royalty-bearing
participation
182
104
571
546
Research and development, net
4,514
5,423
13,339
14,702
Sales and marketing
4,552
4,208
13,162
10,872
General and administrative
1,484
1,317
4,858
3,761
Total operating expenses
10,550
10,948
31,359
29,335
Operating income (loss)
1,207
(1,263)
1,777
(2,083)
Financial income, net
1,076
1,023
3,035
3,309
Income (loss) before taxes on
income
2,283
(240)
4,812
1,226
Taxes on income
(32)
(41)
(92)
(105)
Net income (loss)
$ 2,251
$ (281)
$ 4,720
$ 1,121
Basic net income (loss) per
ordinary share
$ 0.14
$ (0.02)
$ 0.30
$ 0.07
Diluted net income (loss) per
ordinary share
$ 0.14
$ (0.02)
$ 0.29
$ 0.07
Weighted average number of
ordinary shares used in
computing basic net income (loss)
per ordinary share
15,748,498
15,143,221
15,595,365
15,033,508
Weighted average number of
ordinary shares used in
computing diluted net income
(loss) per ordinary share
16,159,110
15,143,221
16,002,167
15,691,545
RADCOM LTD.
Reconciliation of GAAP to Non-GAAP Financial Information
Unaudited
(thousands of U.S. dollars, except share and per share data)
Three months ended
September 30,
Nine months ended
September 30,
2024
2023
2024
2023
GAAP gross profit
$ 11,757
$ 9,685
$ 33,136
$ 27,252
Stock-based compensation
107
207
290
370
Amortization of intangible assets
57
51
169
94
Non-GAAP gross profit
$ 11,921
$ 9,943
$ 33,595
$ 27,716
GAAP research and development, net
$ 4,514
$ 5,423
$ 13,339
$ 14,702
Stock-based compensation
488
1,185
1,550
2,266
Non-GAAP research and development, net
$ 4,026
$ 4,238
$ 11,789
$ 12,436
GAAP sales and marketing
$ 4,552
$ 4,208
$ 13,162
$ 10,872
Stock-based compensation
528
813
1,517
1,449
Amortization of intangible assets
29
27
87
48
Non-GAAP sales and marketing
$ 3,995
$ 3,368
$ 11,558
$ 9,375
GAAP general and administrative
$ 1,484
$ 1,317
$ 4,858
$ 3,761
Stock-based compensation
224
335
1,265
849
Acquisition related expenses
–
20
–
57
Non-GAAP general and administrative
$ 1,260
$ 962
$ 3,593
$ 2,855
GAAP total operating expenses
$ 10,550
$ 10,948
$ 31,359
$ 29,335
Stock-based compensation
1,240
2,333
4,332
4,564
Amortization of intangible assets
29
27
87
48
Acquisition related expenses
–
20
–
57
Non-GAAP total operating expenses
$ 9,281
$ 8,568
$ 26,940
$ 24,666
GAAP operating income (loss)
$ 1,207
$ (1,263)
$ 1,777
$ (2,083)
Stock-based compensation
1,347
2,540
4,622
4,934
Amortization of intangible assets
86
78
256
142
Acquisition related expenses
–
20
–
57
Non-GAAP operating income
$ 2,640
$ 1,375
$ 6,655
$ 3,050
RADCOM LTD.
Reconciliation of GAAP to Non-GAAP Financial Information
Unaudited
(thousands of U.S. dollars, except share and per share data)
Three months ended
September 30,
Nine months ended
September 30,
2024
2023
2024
2023
GAAP income (loss) before taxes on income
$ 2,283
$ (240)
$ 4,812
$ 1,226
Stock-based compensation
1,347
2,540
4,622
4,934
Amortization of intangible assets
86
78
256
142
Acquisition related expenses
40
66
111
132
Non-GAAP income before taxes on income
$ 3,756
$ 2,444
$ 9,801
$ 6,434
GAAP net income (loss)
$ 2,251
$ (281)
$ 4,720
$ 1,121
Stock-based compensation
1,347
2,540
4,622
4,934
Amortization of intangible assets
86
78
256
142
Acquisition related expenses
40
66
111
132
Non-GAAP net income
$ 3,724
$ 2,403
$ 9,709
$ 6,329
GAAP net income (loss) per diluted share
$ 0.14
$ (0.02)
$ 0.29
$ 0.07
Stock-based compensation
0.08
0.17
0.30
0.31
Amortization of intangible assets
0.01
(*)
0.02
0.01
Acquisition related expenses
(*)
(*)
(*)
0.01
Non-GAAP net income per diluted share
$ 0.23
$ 0.15
$ 0.61
$ 0.40
Weighted average number of shares used to compute diluted net
income per share
16,159,110
15,843,711
16,002,167
15,691,545
(*) Less than $ 0.01
RADCOM Ltd.
Consolidated Balance Sheets
(thousands of U.S. dollars)
(Unaudited)
As of
As of
September 30,
2024
December 31,
2023
Current Assets
Cash and cash equivalents
$ 15,805
$ 10,892
Short-term bank deposits
74,444
71,273
Trade receivables, net
18,978
13,412
Inventories
2,249
246
Other accounts receivable and prepaid expenses
1,991
1,592
Total Current Assets
113,467
97,415
Non-Current Assets
Severance pay fund
3,066
3,142
Other long-term receivables
3,239
1,573
Property and equipment, net
849
798
Operating lease right-of-use assets
875
1,651
Goodwill and intangible assets, net
2,695
2,950
Total Non-Current Assets
10,724
10,114
Total Assets
$ 124,191
$ 107,529
Liabilities and Shareholders’ Equity
Current Liabilities
Trade payables
$ 5,851
$ 2,640
Deferred revenues and advances from customers
4,870
1,469
Employee and payroll accruals
5,875
5,400
Operating lease liabilities
424
1,062
Other liabilities and accrued expenses
10,098
9,540
Total Current Liabilities
27,118
20,111
Non-Current Liabilities
Accrued severance pay
3,738
3,728
Operating lease liabilities
469
561
Other liabilities and accrued expenses
663
638
Total Non-Current Liabilities
4,870
4,927
Total Liabilities
$ 31,988
$ 25,038
Shareholders’ Equity
Share capital
$ 762
$ 736
Additional paid-in capital
159,294
154,697
Accumulated other comprehensive loss
(2,661)
(3,030)
Accumulated deficit
(65,192)
(69,912)
Total Shareholders’ Equity
92,203
82,491
Total Liabilities and Shareholders’ Equity
$ 124,191
$ 107,529
View original content:https://www.prnewswire.com/news-releases/radcom-achieves-20-year-over-year-revenue-growth-and-reaches-a-record-90-2-million-cash-level-302304031.html
SOURCE RADCOM Ltd.
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View original content:https://www.prnewswire.com/news-releases/naver-partners-with-brookfield-and-nvidia-to-expand-koreas-national-ai-factory-infrastructure-buildout-302834577.html
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https://x.com/beijingreview/status/2080104404552663067?s=46&t=yfVMVdMyE2zKAFrYaLoV-g
https://www.facebook.com/share/v/1EtGCCKzy4/?mibextid=wwXIfr
https://youtu.be/jGONWTqwduc?is=KfL-Zn3HyVYE-KEm
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View original content:https://www.prnewswire.com/news-releases/beijing-review-walking-through-time-china-and-us-youths-explore-dalis-past-and-future-302834587.html
SOURCE Beijing Review
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Hyundai Motor Group Executive Chair Euisun Chung Announces Physical AI Vision at San Francisco AI Summit
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SAN FRANCISCO, July 25, 2026 /PRNewswire/ — Hyundai Motor Group (the Group) Executive Chair Euisun Chung today outlined the Group’s vision and strategy for Physical AI at the San Francisco AI Summit held in San Francisco, California.
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Accelerating the Transition to a Physical AI Solution Company
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By combining Hyundai Motor Group’s manufacturing competitiveness, mobility and robotics technologies and extensive operational data with the AI infrastructure and algorithm capabilities of global technology leaders, the Group aims to help foster a new innovation ecosystem for the Physical AI era.
Executive Chair Chung also introduced initiatives designed to support the growth of Korea’s robotics and AI ecosystem, including the development of a Robot Reference Platform with NVIDIA that combines Hyundai Motor Group’s and NVIDIA’s Physical AI capabilities, as well as investments in initiatives such as the Saemangeum AI Valley.
Physical AI Vision: From Intelligent Devices to Integrated Intelligence at the City Level
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Accelerating the Future of Physical AI Through Partnerships with Global Tech Leaders
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“By combining Hyundai Motor Group’s strengths in manufacturing, robotics and data with the capabilities of global technology leaders, we can help create a new innovation ecosystem for the Physical AI era.” — Hyundai Motor Group Executive Chair Euisun Chung
NVIDIA – Advancing Physical AI infrastructure and talent development
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Waymo – Strengthening autonomous driving collaboration
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Hyundai Motor Group plans to produce IONIQ 5 vehicles with specific autonomous-ready modifications at Hyundai Motor Group Metaplant America (HMGMA) in Georgia.
Google DeepMind – Accelerating next-generation humanoid robotics
Boston Dynamics has established a strategic partnership with Google DeepMind to accelerate the development of next-generation humanoid robots. Advanced AI models and training systems are essential for robots to perform complex tasks in real-world environments and collaborate effectively with people. Through this partnership, Boston Dynamics robots are expected to achieve greater autonomy and adapt more effectively to complex operating environments.
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Building an Open Ecosystem Through the Robot Reference Platform and Continued Investment in Korea’s Physical AI Future
Executive Chair Chung also outlined initiatives aimed at supporting the growth of Korea’s Physical AI ecosystem through open collaboration and continued investment.
“The outcomes of collaboration with global technology leaders should contribute to the growth of Korea’s Physical AI industry. To that end, Hyundai Motor Group plans to foster an open ecosystem that supports innovation in robotics and AI technologies.” — Hyundai Motor Group Executive Chair Euisun Chung
Key initiatives to build an open ecosystem for robotics and AI innovation include:
Robot Reference Platform: Hyundai Motor Group and NVIDIA are collaborating to develop a Robot Reference Platform that combines Hyundai Motor Group’s and NVIDIA’s Physical AI capabilities.
The platform will provide research robot models to universities, research institutes and startups, helping foster an open ecosystem that supports technological innovation and the development of Physical AI talent while contributing to the broader growth of Korea’s robotics and AI industries.
Supporting universities, research institutes and startups: The Robot Reference Platform is expected to provide universities, research institutes and startups with a standardized hardware and software environment, enabling them to more easily develop and validate Physical AI technologies. The initiative aims to help address challenges faced by organizations with innovative ideas but limited access to commercialization opportunities and validation infrastructure.
Hyundai Motor Group is also continuing large-scale investments aimed at driving the next leap forward in Korea’s industrial and technology ecosystem. Continued investments in Korea’s industrial and technology ecosystem include:
Saemangeum AI Valley: In the Saemangeum region of Jeonbuk State, the Group is developing Saemangeum AI Valley, which includes an approximate KRW 9 trillion investment in AI data centers, robotics manufacturing clusters, electrolyzer plants and AI hydrogen city infrastructure.
In particular, the robotics manufacturing cluster will serve not only as a production base for the Group’s own robotics products, but also as a robotics foundry that provides manufacturing services for small and medium-sized enterprises that lack manufacturing expertise.
Advanced industrial hubs in the Yeongnam region: Hyundai Motor Group plans to invest a total of KRW 42 trillion over the next decade to foster advanced industrial hubs focused on AI-driven manufacturing, future aerospace industries and sustainable energy infrastructure.
Through these initiatives, Hyundai Motor Group aims to strengthen key foundations for the Physical AI era, including data and energy infrastructure, robotics production capabilities and real-world validation capabilities. The Group also expects these investments to contribute to enhanced industrial competitiveness, balanced regional development, job creation and broader economic vitality in Korea.
About Hyundai Motor Group
Hyundai Motor Group is a global enterprise that has created a value chain based on mobility, steel, and construction, as well as logistics, finance, IT, and service. With about 250,000 employees worldwide, the Group’s mobility brands include Hyundai, Kia, and Genesis. Armed with creative thinking, cooperative communication, and the will to take on any challenges, we strive to create a better future for all.
More information about Hyundai Motor Group can be found at: http://www.hyundaimotorgroup.com or Newsroom: Media Hub by Hyundai, Kia Global Newsroom, Genesis Newsroom
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SOURCE Hyundai Motor Company
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