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Jun 30, 2020
Cantaloupe Q4 2020 Earnings Report
Reported a decrease in revenue due to COVID-19 impacts, while controlling costs and making organizational changes to position the company for long-term growth.
Key Takeaways
USA Technologies reported a revenue of $32.6 million, a 15.2% decrease year-over-year. The company focused on cost control and organizational changes to position itself for future growth amidst the ongoing impact of COVID-19.
Revenue decreased by 15.2% year-over-year to $32.6 million.
License and transaction fee revenue decreased by 15.6% year-over-year to $27.8 million.
Equipment revenue decreased by 13.0% year-over-year to $4.8 million.
Net loss applicable to common shares was $(11.4) million, or $(0.18) per basic share.
Cantaloupe
Cantaloupe
Forward Guidance
For the full fiscal year 2021, the Company expects revenue to be between $170 million to $180 million and Adjusted EBITDA to be between $2 million and $5 million.
Positive Outlook
- Revenue is expected to be between $170 million and $180 million for fiscal year 2021.
- Adjusted EBITDA is expected to be between $2 million and $5 million for fiscal year 2021.
- The second half of the fiscal year is expected to be more amenable in terms of office/school/hotel traffic.
- The company anticipates making significant progress on the business turnaround in the second half of the fiscal year.
- New executive team is in place.
Challenges Ahead
- The first half of the year will continue to be impacted by the COVID-19 pandemic.
- The company will continue to turnaround the business during the first half of the year.
- Uncertainties associated with COVID-19, including its effects on the Company’s operations, financial condition, and the demand for the Company’s products and services
- Failure to comply with the financial covenants of our credit agreement with JPMorgan Chase Bank, N.A. entered into on August 14, 2020
- Failure to otherwise raise additional capital from other lenders or investors as needed