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More on OCZ: No FQ3 guidance provided, cash balance at $10.6M

  • OCZ's official FQ2 numbers are different from the ones found in a mistakenly-filed 10-Q the company said shouldn't be relied upon, but not dramatically so. FQ2 gross margin was 4.2%, -1050 bps Q/Q thanks to flash memory procurement issues and declining PC SSD sales. Enterprise margins "remained consistent."
  • OCZ isn't providing FQ3 guidance due to "uncertainties in being able to procure forecasted flash amounts and credit constraints." The company says it continues to "engage with interested parties" in exploring strategic options.
  • Though OCZ raised $13.1M in the quarter through a private placement, its cash balance only rose to $10.6M from $5M. U.S. sales -44% Y/Y to $18.5M, EMEA -70% to $11.7M, rest of world -80% to $3.3M.
  • Enterprise sales accounted for roughly half of revenue, down from ~60% in FQ1 thanks to the completion of a major project by a data center customer.
  • OCZ -3.8% AH. CC at 5PM ET.
  • FQ2 results, PR
Comments (1)
  • Stock Market Mike
    , contributor
    Comments (1854) | Send Message
     
    Those EPS numbers are not looking good. They can burn through that cash in less than a quarter... they'll need to raise more.
    15 Oct 2013, 05:48 PM Reply Like
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