Wave Reports Q1 ‘15 Revenue of $2.5M on Total Billings of $4.4M; Q1 Total Billings Rose 52% over Q4 ‘14

Lee, MA—April 30, 2015—
Wave Systems Corp. (NASDAQ: WAVX), an enterprise security software provider, today reported first quarter (Q1 ’15) results for the period ended March 31, 2015. Wave will host a live webcast http://www.wave.com/resource-center/webcasts and conference call (212-231-2902) today at 4:30 p.m. ET to review its Q1 ’15 results and progress to date in 2015.

Q1 Financial Highlights
Q1 ’15 total billings for enterprise software license and maintenance sales reached $4.1 million, the highest level in two years. This was primarily attributable to $2.3 million, multi-year order from a major, US-headquartered insurance company for over 250,000 licenses of both Wave Protector and Wave Reporter. This is the largest order in Wave's history with respect to the number of licenses sold and reflects the company’s shift in sales to focus on large enterprises. This order was billed in Q1 ’15 but revenue will be recognized ratably over the 3-year term of the contract.

Q1 ’15 total billings decreased to $4.4 million versus Q1 ’14 total billings of $4.9 million. The decline was due to a $1.8 million decrease in OEM royalties and a $0.3 million decrease in service billings, which were offset by a $1.6 million increase in enterprise licensing and maintenance billings. The OEM royalties decrease of $1.8 million was principally due to a decrease in Dell-related OEM bundling activity, while the $0.3 million decrease in service billings was due to a contract with a partner that was executed in Q1 ’14 that was not repeated in Q1 ’15.

Q1 ’15 total billings increased by $1.5 million or 52% to $4.4 million versus Q4 ’14 total billings of $2.9 million. The increase is attributable to a $1.8 million rise in enterprise licensing and maintenance billings, offset by a $0.3 million decrease in OEM software bundling royalties.

Wave’s Q1 ’15 total net revenues were $2.5 million, a decline from $5.3 million in Q1 ’14 and quarter-over-quarter decline from $2.9 million in Q4 ’14. The decline in net revenues from Q1 ’14 included a decrease in licensing and maintenance net revenues of $2.9 million; $2.0 million of which was due to a decrease in OEM software bundling revenue, resulting primarily from a decline in shipments of Wave’s solutions under its OEM bundling relationship with Dell and a $0.9 million decrease in enterprise license and maintenance revenue.

The $0.4 million decline in total quarter-over-quarter net revenues from Q4 ’14 consisted of a $0.3 million decrease in OEM software bundling revenue and a $0.1 million decrease in enterprise license and maintenance revenue.

Q1 ’15 total operating expenses declined to $7.2 million versus $8.6 million in Q1 ’14. Q4 ’14 total operating expenses were $7.2 million. Beginning in the quarter ended June 30, 2014, Wave further enhanced the ongoing monitoring of operating expenses and has held the level of spending relatively consistent since that time.

Wave’s Q1 ’15 net loss was $4.9 million, or ($0.10) per basic share, compared to a net loss of $3.3 million, or ($0.09) per basic share in Q1 ’14, and a net loss of $3.7 million, or ($0.08) per basic share, in Q4 ’14.

Working Capital & Other
Cash and cash equivalents were $3.2 million at March 31, 2015, compared to $1.8 million at December 31, 2014. Wave’s total current assets were $4.9 million at March 31, 2015, and total current liabilities were $9.6 million, including $5.5 million in short-term deferred revenue. At December 31, 2014, the short-term portion of deferred revenue was $5.1 million.

In addition to the increase in short-term deferred revenue highlighted above, long-term deferred revenue increased to $2.4 million at March 31, 2015 from $0.9 million at December 31, 2014. The increase is attributable to the increase in enterprise billings during Q1 ’15.

On January 26, 2015, Wave received net proceeds of $3.3 million through a registered direct placement of common stock priced at $0.65 per share and warrants priced at $0.70 per share.




The following information was filed by Wave Systems Corp (WAVXQ) on Friday, May 1, 2015 as an 8K 2.02 statement, which is an earnings press release pertaining to results of operations and financial condition. It may be helpful to assess the quality of management by comparing the information in the press release to the information in the accompanying 10-Q Quarterly Report statement of earnings and operation as management may choose to highlight particular information in the press release.

View differences made from one quarter to another to evaluate Wave Systems Corp's financial trajectory

Compare SEC Filings Year-over-Year (YoY) and Quarter-over-Quarter (QoQ)
Sample 10-K Year-over-Year (YoY) Comparison

Compare this 10-Q Quarterly Report to its predecessor by reading our highlights to see what text and tables were  removed  ,   added    and   changed   by Wave Systems Corp.

Continue

Never Miss A New SEC Filing Again


Real-Time SEC Filing Notifications
Screenshot taken from Gmail for a new 10-K Annual Report
Last10K.com Member Feature

Receive an e-mail as soon as a company files an Annual Report, Quarterly Report or has new 8-K corporate news.

Continue

We Highlighted This SEC Filing For You


SEC Filing Sentiment Analysis - Bullish, Bearish, Neutral
Screenshot taken from Wynn's 2018 10-K Annual Report
Last10K.com Member Feature

Read positive and negative remarks made by management in their entirety without having to find them in a 10-K/Q.

Continue

Widen Your SEC Filing Reading Experience


Increased Reading Area for SEC Filings
Screenshot taken from Adobe Inc.'s 10-Q Quarterly Report
Last10K.com Member Feature

Remove data columns and navigations in order to see much more filing content and tables in one view

Continue

Uncover Actionable Information Inside SEC Filings


SEC Filing Disclosures
Screenshot taken from Lumber Liquidators 10-K Annual Report
Last10K.com Member Feature

Read both hidden opportunities and early signs of potential problems without having to find them in a 10-K/Q

Continue

Adobe PDF, Microsoft Word and Excel Downloads


Download Annual and Quarterly Reports as PDF, Word and Excel Documents
Screenshots of actual 10-K and 10-Q SEC Filings in PDF, Word and Excel formats
Last10K.com Member Feature

Export Annual and Quarterly Reports to Adobe PDF, Microsoft Word and Excel for offline viewing, annotations and analysis

Continue

FREE Financial Statements


Download Annual and Quarterly Reports as PDF, Word and Excel Documents
Screenshot of actual balance sheet from company 10-K Annual Report
Last10K.com Member Feature

Get one-click access to balance sheets, income, operations and cash flow statements without having to find them in Annual and Quarterly Reports

Continue for FREE

Intrinsic Value Calculator


Intrinsic Value Calculator
Screenshot of intrinsic value for AT&T (2019)
Last10K.com Member Feature

Our Intrinsic Value calculator estimates what an entire company is worth using up to 10 years of financial ratios to determine if a stock is overvalued or not

Continue

Financial Stability Report


Financial Stability Report
Screenshot of financial stability report for Coco-Cola (2019)
Last10K.com Member Feature

Our Financial Stability reports uses up to 10 years of financial ratios to determine the health of a company's EPS, Dividends, Book Value, Return on Equity, Current Ratio and Debt-to-Equity

Continue

Get a Better Picture of a Company's Performance


Financial Ratios
Available Financial Ratios
Last10K.com Member Feature

See how over 70 Growth, Profitability and Financial Ratios perform over 10 Years

Continue

Log in with your credentials

or    

Forgot your details?

Create Account