VUZI Earnings Prediction
The chart below shows how VUZI performed 10 days before and after its earnings report, based on data from the past quarters. Typically, VUZI sees a +11.59% change in stock price 10 days leading up to the earnings, and a +0.60% change 10 days following the report. On the earnings day itself, the stock moves by -4.70%. This data can give you a slight idea of what to expect for the next quarter's release.
VUZI Key Earning Data
2024/Q4
Year Over Year
Quarter Over Quarter
Total Revenue
1.39M
-36.44%
26.83%
Gross Margin
-48.39%
-11.86%
-65.25%
Operating Margin
-657.97%
25.73%
-32.25%
Net Margin
-665.53%
32.10%
-82.10%
EPS
-0.14
-17.65%
-77.42%
No Data Available
VUZI Earnings Analysis
Vuzix Corporation Corporation (VUZI.O) Earnings Conference Call
Positive
Strategic Investment in AR Technology: 1. Strategic Partnership with Quanta Computer: Vuzix received a $10 million investment from Quanta Computer, with additional performance-based tranches totaling $10 million expected in 2025, enhancing their capacity to supply millions of waveguides for AR products.
Cash Operating Expense Reduction: 2. Reduction in Cash Operating Expenses: The company achieved a 28% year-over-year reduction in cash operating expenses, bringing them down to $4.8 million for Q3 2024, which extends their financial runway.
Cash and Debt Status: 3. Strong Cash Position: As of September 30, 2024, Vuzix reported cash and cash equivalents of $14.3 million, alongside a net working capital of $26.5 million, with no current or long-term debt obligations.
R&D Spending Reduction: 4. Progress in R&D Spending: Research and development expenses decreased by approximately 20% to $2.3 million compared to the same period in 2023, reflecting effective cost management while continuing to innovate.
Smart Glasses Market Expansion: 5. Expansion of Z100 Smart Glasses: The Vuzix Z100 smart glasses have been reintroduced at a reduced price of $499, making advanced AR technology more accessible and opening new market opportunities.
Negative
Revenue Decline Analysis: 1. Significant Revenue Decline: Total revenues decreased by 36% to $1.4 million compared to $2.2 million in Q3 2023, driven by a 28% drop in smart glass product sales and a 51% decrease in Engineering Services revenues.
Gross Loss Increase: 2. Increased Gross Loss: The company reported a gross loss of $0.26 million for Q3 2024, a 9% increase from a gross loss of $0.24 million in the same quarter of 2023, attributed to lower product revenues and increased manufacturing overhead costs.
Rising Manufacturing Overhead Costs: 3. High Manufacturing Overhead Costs: Manufacturing overhead costs as a percentage of total product sales surged to 40% in Q3 2024, up from 15% in Q3 2023, indicating inefficiencies in production relative to sales.
Net Loss Improvement: 4. Net Loss: Vuzix recorded a net loss of $9.2 million or $0.14 per share in Q3 2024, although this was an improvement from a net loss of $11 million or $0.17 per share in the same period last year.
Operating Cash Flow Analysis: 5. Cash Used in Operating Activities: The net cash flows used in operating activities amounted to $5.3 million in Q3 2024, compared to a net use of $8 million in Q3 2023, reflecting ongoing cash burn despite reduced operating expenses.
VUZI FAQs
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VUZI Earning Call Sentiment
Vuzix Corporation (VUZI) Q3 2024 Earnings Call Transcript
1.0x
00:00
00:00
VUZI.O
-10.84%Positive
The earnings call reveals a 36% decline in revenue and ongoing financial challenges, including a net loss of $9.2 million. Despite strategic partnerships and reduced expenses, the weak financial performance and market penetration risks overshadow potential growth in the smart glasses market. The Q&A section provided no additional positive insights, leaving the sentiment negative.
