MALVERN, Pa.--(BUSINESS WIRE)-- USA Technologies, Inc. (NASDAQ:USAT) ("USAT"), a leader of wireless, cashless payment and M2M telemetry solutions for small-ticket, self-serve retailing industries, today reported results for the second quarter of fiscal 2015 ended December 31, 2014.
Second Quarter Financial Highlights:
- Total revenue of $12.8 million, a year-over-year increase of 21%
- License and transaction fee revenue of $10.5 million, a year-over-year increase of 21%
- Adjusted EBITDA of $1.7 million
- GAAP net loss of $0.3 million, or $0.01 per share, including a charge for a non-cash income tax provision of approximately $0.4 million
- Approximately Non-GAAP net income break even (see Non GAAP Reconciliation)
Total revenue for the second quarter of fiscal 2015 was $12.8 million, a 21% increase from $10.6 million in the second quarter of fiscal 2014. License and transaction fees were $10.5 million compared with $8.7 million in the year ago quarter, a 21% increase. These fees, which are comprised of recurring monthly service fees as well as transaction processing fees, accounted for approximately 82% of total revenue. Equipment sales were $2.3 million compared to $1.9 million in last year's second quarter, a 23% increase.
USAT announced today that it executed an agreement on February 13, 2015 with an equipment leasing company to finance its QuickStart program - a five year, non-cancellable lease program relating to its ePort hardware. Under the agreement, the leasing company may buy USAT's cashless ePort hardware and, in turn, lease the equipment directly to USAT's customers. Historically, USAT has utilized its own cash resources in connection with the QuickStart Program.
"We believe that the self-serve retail industry is in the midst of a significant transition toward the cashless and mobile solutions we pioneered and have been investing in for more than a decade," said Stephen P. Herbert, USA Technologies' chairman and chief executive officer. "If successful, our third party leasing program for the QuickStart Program would result in improved cash flows from operations and benefit the balance sheet. As our products and services increasingly gain traction, we continue to drive recurring revenue and the fundamentals of our business."
GAAP operating income for the second quarter of fiscal 2015 was approximately $50 thousand compared with GAAP operating income of $0.5 million in the prior corresponding quarter. For the second quarter of fiscal 2015, Adjusted EBITDA was $1.7 million compared with $1.9 million for the second quarter of fiscal 2014.
GAAP net loss for the second quarter of fiscal 2015 was approximately $0.3 million, or $(0.01) per share, compared with GAAP net income of $0.4 million, or $0.01 per share, for the second quarter of fiscal 2014.
On a non-GAAP basis, net loss was approximately zero, or $(0.00) per share, for the second quarter of fiscal 2015, compared to net income of $0.4 million, or $0.01 per share, for the second quarter of fiscal 2014.
Cash was $6.7 million as of December 31, 2014. View full report here.
