MALVERN, PA -- USA Technologies Inc. has reported results for the second quarter of fiscal 2015, ended Dec. 31. Total revenue for the quarter was $12.8 million, up 21% from the comparable prior period. License and transaction fee revenue also rose 21%, to $10.5 million from the $8.7 million generated a year earlier. This revenue, consisting 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 with $1.9 million in last year's second quarter, a 23% increase.
Adjusted earnings before interest, taxes, depreciation and amortization totaled $1.7 million for the quarter. USAT reported a net loss for the quarter of $0.3 million, determined under generally accepted accounting principles. This represented 1¢ per share, and included a charge for a noncash income tax provision of approximately $0.4 million. For the period, the non-GAAP loss was very close to zero.
USA Technologies also said it inked an agreement with an equipment leasing company on Feb. 13 to finance its QuickStart program. This is a five-year non-cancellable lease program relating to the company's 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 made use of its own cash resources in connection with the QuickStart program.
"We believe 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 USAT chairman and chief executive Stephen P. Herbert. "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."
For its full 2015 fiscal year, USAT management expects total revenue in the range of $51 million to $53 million, for a growth rate of 20% to 26%. License and transaction fee revenue is expected to be in the range of $44 million to $47 million, for a growth rate of 24% to 31%. Net new connections are expected to be in the range of 66,000 to 76,000 for a growth rate of 27% to 46%.