NASDAQ$INVE

Identiv Inc · Q1 2020 earnings

Q1 2020 earnings · · Investor relations

Briefing

Identiv's financial performance decreased slightly compared to the previous year, but recurring revenue and gross margins improved.

Identiv reported a decrease in revenue for the first quarter of 2020, with revenue decreasing by 7% compared to Q1 2019. However, the company saw an increase in recurring revenue and improved gross margins. The company also highlighted strong demand for smart card readers and RFID business.

  • Recurring revenue increased 13% year-over-year to $2.0 million.
  • Software and services revenue was 15% of total revenue or $2.8 million.
  • GAAP Gross margin increased 164 basis points from Q4 2019 to 41%.
  • Backlog for Q2 2020 increased 85% from the prior quarter and 100% from the same period last year.

Headline financials

Total Revenue

$18.1M

Previous: $19.5M-7.2%
EPS (adj)

-$0.13

Previous: -$0.06-116.7%
GAAP Operating Expenses

$9.35M

No prior period
Non-GAAP Adjusted EBITDA Loss

-$297K

No prior period
Gross Margin

41.0%

No prior period
Free Cash Flow

-$2.05M

Previous: -$815K-151.2%
Net Income

-$2.05M

Previous: -$815K-151.2%
Operating Income

-$1.85M

Previous: -$430K-330.0%
Gross Profit

$7.5M

Previous: $8.7M-13.8%
Cash & Equivalents

$8.7M

Previous: $8.93M-2.6%
Total Assets

$73.8M

Previous: $71.6M+3.1%
Stock-Based Comp

$640K

Previous: $687K-6.8%

Revenue & EPS history

Identiv · Revenue · Quarterly

$18.1M

Q1 2020-7.2%vs Q1 2019
Beat estimate in 13 of 16 quarters(81%)
ActualEstimate

Forward guidance

Identiv anticipates revenue between $86 and $90 million for the year and expects gross margin to remain consistent with Q1 2020 levels.

Tailwinds

  • Visibility to Revenue in the range of $86-90 million consistent with prior guidance
  • Potentially improved results for more confidence around the 2nd half of the year
  • Gross margin for fiscal 2020 will be relatively consistent with Q1 2020 levels
  • Undertaking additional cost-optimization measures to reduce operating expenses
  • Adequate capital available to fund our business and return to positive Non GAAP Free Cash Flow exiting Q4 2020

Headwinds

  • General uncertainty regarding the short term economic environment
  • Subject to various important cautionary factors referenced in the section entitled “Note Regarding Forward-Looking Information”
  • Risks and uncertainties associated with the COVID-19 pandemic
  • Expected choppiness in Q2
  • Recognizing the current macroeconomic unknowns

Historical earnings impact

How earnings announcements have historically affected this stock's price.

Avg. return before/after earnings

Based on 19 quarterly earnings reports · overlaid with Q1 2020

Historical avgQ1 2020

+0.5%

Avg return

Earnings day

+0.8%

Avg return

5 days after

+3.3%

Avg return

30 days after

55%

26 / 47 earnings

Positive

+36.0%

Q1 2020

Best reaction

-28.3%

Q3 2022

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q1 2026-18.2%-18.6%
Q4 2025+6.4%+1.5%+11.5%
Q3 2025-1.1%-2.1%-8.9%
Q2 2025-0.6%+2.8%+6.1%
Q1 2025+0.0%-0.6%+2.2%
Q4 2024-6.6%-0.6%-13.8%
Q3 2024+7.6%+2.7%+6.8%
Q2 2024-14.7%-10.8%-10.8%
Q1 2024-11.2%-14.7%-18.1%
Q4 2023-12.5%-13.6%-40.1%
Q3 2023-17.2%-12.6%+16.4%
Q2 2023+13.8%+18.4%+10.8%
Q1 2023+20.6%+26.4%+33.6%
Q4 2022+1.0%+2.0%-12.4%
Q3 2022-28.3%-26.9%-32.4%
Q2 2022+12.6%+14.7%+4.4%
Q1 2022-0.1%-4.8%+6.5%
Q4 2021-25.8%-26.3%-23.8%
Q3 2021+14.4%+26.4%+15.8%
Q2 2021+3.1%+13.9%+14.1%
Q1 2021+2.5%-2.4%+2.4%
Q4 2020-2.5%+1.4%+2.9%
Q3 2020+9.3%+0.3%+16.7%
Q2 2020-4.2%-2.9%+2.3%
Q1 2020+36.0%+25.5%+75.2%
Q4 2019-16.8%-32.3%-21.9%
Q3 2019+0.4%+0.2%+0.6%
Q2 2019+14.1%+7.9%+3.3%
Q1 2019+1.3%-6.4%-9.3%
Q4 2018-6.6%-12.5%-14.2%
Q3 2018+7.0%+1.7%-18.7%
Q2 2018+17.5%+16.2%+24.2%
Q1 2018+12.6%+8.8%+26.0%
Q4 2017+2.1%-1.9%-10.6%
Q3 2017+0.7%+3.0%+0.0%
Q2 2017-1.6%+0.0%-3.8%
Q1 2017+4.7%-8.8%-5.9%
Q4 2016+3.0%+9.3%+35.5%
Q3 2016+16.3%+32.7%+49.5%
Q2 2016+9.6%+16.5%+5.3%
Q1 2016-17.4%
Q4 2015-3.2%
Q2 2015+15.4%
Q1 2015-18.8%
Q4 2014-6.5%
Q1 2014+3.7%
Q2 2010+3.6%

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