Loading...
•
Sep 30, 2022
Geospace Q4 2022 Earnings Report
Geospace Technologies reported Q4 2022 results with increased revenue and a net loss.
Key Takeaways
Geospace Technologies experienced a 33% increase in revenue compared to the same quarter last year, driven by strong demand for OBX ocean bottom nodes and specialty geophone sensors. However, the company still reported a net loss of $8.0 million, or ($0.62) per diluted share.
Q4 revenue increased by 33% compared to the previous year.
Net loss for Q4 was $8.0 million, or ($0.62) per diluted share.
Demand for OBX ocean bottom nodes and specialty geophone sensors drove revenue growth.
Adjacent Markets segment revenue was the second highest in history.
Geospace
Geospace
Forward Guidance
Geospace Technologies anticipates continued demand growth for OBX ocean bottom nodes in fiscal year 2023 and is implementing a plan to achieve consistent profitability through diversification and cost reductions.
Positive Outlook
- Expected continued demand growth for OBX ocean bottom nodes in fiscal year 2023.
- Implementation of a board approved dynamic plan intended to lead to consistent profitability.
- Leveraging the successes of diversification strategy in the Adjacent Markets segment.
- Adjustments made in workforce expected to yield annual savings of more than $2 million.
- Confidence in the future is bolstered for increasing revenue.
Challenges Ahead
- Expect additional delays in the timing of a tender.
- Global inflation
- Threatened energy supplies
- Past performance of Quantum acquisition has not met the necessary expectations required to support its goodwill.
- include a non-cash charge of approximately $400,000 for the write-off of certain heavy machinery in our cable shop.