MALVERN, Pa.--(BUSINESS WIRE)-- USA Technologies, Inc., a leader of wireless, cashless payment and M2M/IoT solutions for small-ticket, self-serve retailing industries, today reported results for its second quarter ended December 31, 2015.
Second Quarter Financial Highlights:
- Total quarterly revenue of $18.5 million, a year-over-year increase of 44%
- 20,000 net connections for the quarter compared to 12,000 in the same quarter last year, a year-over-year increase of 67%
- 369,000 connections to ePort service, a year-over-year increase of 28%
- Record 10,625 customers compared to 8,450 in the same quarter last year, a year-over-year increase of 26%
- Quarterly record license and transaction fee revenue of $13.7 million, a year-over-year increase of 30%
- Quarterly license and transaction fees gross margins increased to 33.7% from 31.7% in the prior year
- Quarterly adjusted EBITDA of $2.3 million, a year-over-year increase of 34%
- Quarterly GAAP net loss of $0.9 million, including the impact of $1.2 million non-cash expense for the fair value warrant liability adjustment
- Quarterly Non-GAAP net income of $0.7 million, or $0.02 per share
- Achieved positive free cash flow* for fourth straight quarter fueled by success in the company's QuickStart third-party leasing program
"The growing success at USA Technologies validates that the self-service retail market is moving toward the acceptance and adoption of cashless payments," said Stephen P. Herbert, USA Technologies' chairman and chief executive officer. "This is an exciting time for us as we see major customers move toward migrating all of their machines to the ePort Connect service, as we simultaneously increase our customer base. With the acquisition of VendScreen we are driving additional value to each connection with the most advanced cloud based interactive content delivery system for the self-service market. We are enthusiastic about the traction we have made this quarter and our organic growth, coupled with the increasing operating leverage, underpin our confidence that USAT will continue to deliver strong results." Full report.
