Boston, MA, 03/06/2014 – Neonode, Inc (NASDAQ:NEON) reported its fourth quarter and the full year results ended December 31, 2013. The company has been able to meet the street expectations in terms of EPS but missed the revenue estimates.
Neonode, Inc (NASDAQ:NEON), a company dealing in optical touch technology reported flat net revenues to the tune of $1 million during the fourth quarter. However, the number is a miss, according to the analysts, who had estimated $2 million in revenues. Over the past year, the company’s revenue declined 57%, as a result of a fall in eReader sales and a change in revenue recognition cutoff date. During this period, the company has been able to bring down its operating expenses 4% from $4 million in the previous year’s same quarter to $3.8 million this time. This fall in expenses is accredited to the headcount reduction connected with the alignment of sales and marketing expenses. Overall, the net loss for the reported quarter stands at 8 cents per share or $3 million, in comparison to net loss of 7 cents per share or a net loss of $2.1 million in the previous year’s same quarter.This came in line with the expectation of the market.
For the financial year 2013, Neonode, Inc (NASDAQ:NEON)’s net revenue declined to $3.7 million as against $7.1 million in the previous year, due to decrease in license fees mainly from Amazon. The net loss for the year came in at $13.1 million, higher than the net loss of $9.3 million in 2012.
During the earnings call, Neonode mentioned that it has received Windows 8 multi-touch Certification for its zForce Plus technology, which will now provide it with Tier-One PC design opportunities. Moreover, its Tier-One printer customer has initiated the mass production of Neonode, Inc (NASDAQ:NEON) integrated touch technology enabled mainstream printers in the fourth quarter, and it is expected to come on shelves soon. The company is also working on all-in-one desktop, PC notebook and monitor projects with two Tier One OEMs. In direction of improving its offerings, the company has roped in four industry veterans to oversee global sales responsibility, ramping of the printer segment, manage emerging PC segment and for ASIC development. Similarly, to regain the lost market share in eReader, the company has entered into a contract with a premier Tier-One OEM.