Blog

USA Technologies Q4 Revenues And Income Climb Adds 64000 Connections

MALVERN, PA -- USA Technologies Inc. (NASDAQ:USAT) ("USAT"), a payment technology service provider of integrated cashless and mobile transactions in the self-service retail market, today reported results for its fourth quarter and fiscal year ended June 30, 2017. USAT reported record total revenue of $104.1 million in the fourth quarter, a year-over-year increase of 35%. Quarterly GAAP net income was $0.2 million, or $0.01 per share, compared to a net loss of $(872,000), or $(0.02) a share for the prior...

August 21, 2017 by Emily Jed

MALVERN, PA -- USA Technologies Inc. (NASDAQ:USAT) ("USAT"), a payment technology service provider of integrated cashless and mobile transactions in the self-service retail market, today reported results for its fourth quarter and fiscal year ended June 30, 2017.

USAT reported record total revenue of $104.1 million in the fourth quarter, a year-over-year increase of 35%. Quarterly GAAP net income was $0.2 million, or $0.01 per share, compared to a net loss of $(872,000), or $(0.02) a share for the prior year period.

"Our fiscal fourth quarter performance capped a strong year for USA Technologies. We achieved record revenue, and added the highest number of connections to our ePort service in the company's history. We are executing well in an accelerating market and have exceeded our long-term goals of attaining $100 million in annual revenue and 500,000 connections this fiscal year," said Stephen P. Herbert, USA Technologies' chairman and chief executive.

"Moreover, we strengthened our balance sheet by completing a follow-on offering at the end of July, raising $43.1 million in gross proceeds, to extend our leadership in the unattended retail payments industry with the flexibility to continue our organic growth and pursue potential inorganic growth opportunities that are accretive and strategically complementary," he added. "We are excited about the opportunity ahead of us and believe that we can continue to deliver returns for shareholders through increased growth and profitability."

Fourth-Quarter Highlights:

Achieved record quarterly revenue of $34.3 million, a year-over-year increase of 56% marking the 31st consecutive quarter of growth.

Record net connections of 64,000, a year-over-year increase of 129%.

Quarterly record license and transaction fee revenue of $18.7 million, a year-over-year increase of 22%.

Operating income of $432,000, compared to an operating loss of $1.6 million in the prior year period.

Ended the quarter with $12.7 million in cash, which excludes $11.0 million of short-term finance receivables.

Quarterly Non-GAAP net income of $0.2 million, or $0.01 per share, compared to Non-GAAP net loss of $(1.4) million, or $(0.04) per share for the prior year period.

Quarterly Adjusted EBITDA of $2.8 million, a year-over-year increase of 344%.

Fiscal-Year Highlights: 

Record 568,000 net connections to ePort service as of June 30, 2017, representing a year-over-year increase of 32%.

 Record net connections of 139,000, a year-over-year increase of 45%.

Achieved a record 12,700 total customers, a year-over-year increase of 15%.

Net loss was $(1.9) million, or $(0.06) per share, compared to a net loss of $(6.8) million, or $(0.21) per share for the fiscal year of 2016. The net loss for the fiscal year reflected a $1.5 million non-cash charge for the change in the fair value of warrant liabilities.

Non-GAAP net loss was $(0.2) million, or $(0.02) per share, compared to non-GAAP net loss of $(0.7) million, of $(0.04) per share for the prior year period.

Adjusted EBITDA of $7.1 million, a year-over-year increase of 18%.

Fiscal-Year Highlights:

Record total revenue of $104.1 million, a year-over-year increase of 35%.

Record 568,000 net connections to ePort service as of June 30, 2017, representing a year-over-year increase of 32%.

Record net connections of 139,000, a year-over-year increase of 45% .

Achieved a record 12,700 total customers, a year-over-year increase of 15%.

Net loss was $(1.9) million, or $(0.06) per share, compared to a net loss of $(6.8) million, or $(0.21) per share for the fiscal year of 2016. The net loss for the fiscal year reflected a $1.5 million non-cash charge for the change in the fair value of warrant liabilities.

Non-GAAP net loss was $(0.2) million, or $(0.02) per share, compared to non-GAAP net loss of $(0.7) million, of $(0.04) per share for the prior year period.

Adjusted EBITDA of $7.1 million, a year-over-year increase of 18%.

Click here to see the full report.