In This Article:
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Revenue: $15.2 million in Q2, a 7% increase over the prior quarter, but a 4% decrease year-over-year.
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Enterprise Sales: $8.6 million, a sequential decrease of 3%.
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Consumer Sales: $4.8 million, a sequential increase of $1.3 million.
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Automotive Sales: $1.7 million, a sequential decrease of $0.1 million.
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Gross Margin: 41.5%, 130 basis points higher sequentially and 110 basis points higher year-over-year.
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Operating Expenses: $6.9 million, relatively flat sequentially.
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Adjusted EBITDA: Negative $0.4 million.
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Non-GAAP EPS: Negative $0.05.
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Cash Balance: $8.4 million as of June 30, 2024.
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Accounts Receivable: $8.6 million, $1 million lower sequentially.
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Net Inventory: $3.1 million, $0.5 million higher sequentially.
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Q3 Revenue Guidance: $15.25 million to $16.75 million.
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Q3 Gross Margin Guidance: 41% to 44%.
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Q3 Non-GAAP EPS Guidance: Expected to be negative $0.01 at the midpoint.
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Q3 Adjusted EBITDA Guidance: Expected to be breakeven at the midpoint.
Release Date: August 06, 2024
For the complete transcript of the earnings call, please refer to the full earnings call transcript.
Positive Points
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Airgain Inc (NASDAQ:AIRG) reported $15.2 million in sales for Q2 2024, exceeding the midpoint of their guidance range and marking a 7% increase over the prior quarter.
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The company successfully delivered its first shipments of WiFi-7 antennas to a Tier 1 MSO partner, marking a significant milestone.
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Airgain Inc (NASDAQ:AIRG) secured multiple design wins for embedded modems in 5G, automotive, and enterprise antennas, indicating strong market traction.
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The company's RECON13 5G antenna gained significant market traction in automotive applications, helping to offset inventory challenges.
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Airgain Inc (NASDAQ:AIRG) is optimistic about its strategic transition from a component manufacturer to a comprehensive wireless system solutions provider, with significant growth potential in asset tracking and 5G connectivity solutions.
Negative Points
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Despite the sequential sales increase, Airgain Inc (NASDAQ:AIRG) experienced a 4% year-over-year decline in sales due to ongoing excess inventory challenges.
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Enterprise sales decreased by 3% sequentially, primarily due to a large shipment of custom products in Q1 and subsequent inventory adjustments.
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The automotive sector faced persistent industry-wide excess inventory challenges, which are expected to continue through the end of the year.
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Q2 adjusted EBITDA was negative $0.4 million, and non-GAAP EPS was negative $0.05, indicating financial challenges.
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The company anticipates a slower quarter for design wins in Q3 due to product timelines and inventory normalization with a strategic custom products customer.