PC TEL INC

CIK:0001057083|SEC Filings

Condensed Consolidated Statements of Operations (unaudited) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2023	Sep. 30, 2022	Sep. 30, 2023	Sep. 30, 2022
Income Statement [Abstract]
REVENUES	$ 17,385	$ 25,988	$ 60,936	$ 73,506
COST OF REVENUES	9,773	14,052	31,697	40,810
GROSS PROFIT	7,612	11,936	29,239	32,696
OPERATING EXPENSES:
Research and development	2,881	3,178	8,995	9,784
Sales and marketing	2,487	3,600	9,268	10,910
General and administrative	2,504	3,705	8,964	10,399
Amortization of intangible assets	61	63	188	201
Restructuring expenses	0	57	0	1,309
Total operating expenses	7,933	10,603	27,415	32,603
OPERATING (LOSS) INCOME	(321)	1,333	1,824	93
Other income, net	288	205	855	330
(LOSS) INCOME BEFORE INCOME TAXES	(33)	1,538	2,679	423
Expense (Benefit) for income taxes	77	(434)	466	(396)
NET (LOSS) INCOME	$ (110)	$ 1,972	$ 2,213	$ 819
Net (Loss) Income per Share:
Basic	$ (0.01)	$ 0.11	$ 0.12	$ 0.05
Diluted	$ (0.01)	$ 0.11	$ 0.12	$ 0.04
Weighted Average Shares:
Basic	18,817,294	18,165,611	18,642,704	18,098,694
Diluted	18,817,294	18,187,075	18,745,249	18,213,753

Condensed Consolidated Statements of Cash Flows (unaudited) - USD ($) $ in Thousands	9 Months Ended
	Sep. 30, 2023	Sep. 30, 2022
Operating Activities:
Net income	$ 2,213	$ 819
Adjustments to reconcile net income to net cash provided by operating activities:
Depreciation and amortization	1,630	2,231
Intangible asset amortization	240	257
Stock-based compensation	219	3,007
Loss on disposal of property and equipment	37	0
Restructuring costs	0	(291)
Bad debt provision	12	70
Changes in operating assets and liabilities:
Accounts receivable	5,669	(2,081)
Inventories	2,360	(3,402)
Prepaid expenses and other assets	768	574
Deferred tax assets	339	(484)
Accounts payable	492	974
Income taxes payable	(321)	15
Other accrued liabilities	(5,320)	(175)
Deferred revenue	27	(93)
Net cash provided by operating activities	8,365	1,421
Investing Activities:
Capital expenditures	(1,247)	(550)
Purchases of investments	(31,350)	(21,971)
Redemptions/maturities of short-term investments	23,834	22,386
Net cash (used in) provided by investing activities	(8,763)	(135)
Financing Activities:
Proceeds from issuance of common stock	362	404
Payment of withholding tax on stock-based compensation	(712)	(396)
Principal payments on finance leases	(52)	(48)
Cash dividends	(3,139)	(3,048)
Net cash used in financing activities	(3,541)	(3,088)
Net decrease in cash and cash equivalents	(3,939)	(1,802)
Effect of exchange rate changes on cash	(251)	(532)
Cash and cash equivalents, beginning of period	7,736	8,192
Cash and Cash Equivalents, End of Period	$ 3,546	$ 5,858

Condensed Consolidated Balance Sheets (unaudited) - USD ($) $ in Thousands	Sep. 30, 2023	Dec. 31, 2022
ASSETS
Cash and cash equivalents	$ 3,546	$ 7,736
Short-term investment securities	29,770	22,254
Accounts receivable, net of allowances of $134 and $132 at September 30, 2023 and December 31, 2022, respectively	13,113	18,853
Inventories, net	16,497	18,918
Prepaid expenses and other assets	1,372	1,861
Total current assets	64,298	69,622
Property and equipment, net	9,552	10,004
Goodwill	5,837	5,935
Intangible assets, net	772	1,045
Other noncurrent assets	2,689	3,269
TOTAL ASSETS	83,148	89,875
LIABILITIES AND STOCKHOLDERS’ EQUITY
Accounts payable	5,039	4,648
Accrued liabilities	7,362	12,605
Total current liabilities	12,401	17,253
Long-term liabilities	3,266	3,624
Total liabilities	15,667	20,877
Stockholders’ equity:
Common stock, $0.001 par value, 50,000,000 shares authorized at September 30, 2023 and December 31, 2022, and 19,258,299 and 18,748,529 shares issued and outstanding at September 30, 2023 and December 31, 2022, respectively	19	19
Additional paid-in capital	128,239	128,370
Accumulated deficit	(58,867)	(57,941)
Accumulated other comprehensive loss	(1,910)	(1,450)
Total stockholders’ equity	67,481	68,998
TOTAL LIABILITIES AND STOCKHOLDERS' EQUITY	$ 83,148	$ 89,875