UNITED
STATES
SECURITIES AND EXCHANGE COMMISSION
WASHINGTON, D.C. 20549
FORM 10-Q
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ý QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 |
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FOR THE QUARTERLY PERIOD ENDED DECEMBER 31, 2003 |
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o TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(D) OF THE SECURITIES EXCHANGE ACT OF 1934 |
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FOR THE TRANSITION PERIOD FROM TO |
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Commission File Number 0-27427 |
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ALTIGEN COMMUNICATIONS, INC.
(Exact name of Registrant as specified in its charter)
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DELAWARE |
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94-3204299 |
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(State or other jurisdiction of |
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(I.R.S. Employer |
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4555 Cushing Parkway |
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94538 |
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(address of principal executive offices) |
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(zip code) |
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Registrant’s telephone number, including area code: (510) 252-9712 |
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Indicate by check mark whether the registrant (1) has filed all reports required to be filed by Section 13 or 15(d) of the Securities Exchange Act of 1934 during the preceding 12 months (or for such shorter period that the registrant was required to file such reports), and (2) has been subject to such filing requirements for the past 90 days. YES ý NO o
Indicate by check mark whether the registrant is an accelerated filer. YES o NO ý
The number of shares of our common stock outstanding as of February 11, 2004 was: 14,137,686 shares
Table of Contents
2
Item 1. Unaudited Condensed Consolidated Financial Statements
ALTIGEN COMMUNICATIONS, INC. AND SUBSIDIARY
CONDENSED CONSOLIDATED BALANCE SHEETS
(in thousands, except share and per share amounts)
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December 31, |
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September 30, |
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(unaudited) |
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ASSETS |
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Current assets: |
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Cash and cash equivalents |
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$ |
6,111 |
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$ |
8,548 |
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Short-term investments |
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3,376 |
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1,598 |
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Accounts receivable, net of allowances of $66 and $60 at December 31, 2003 and September 30, 2003, respectively |
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1,852 |
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1,521 |
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Inventories |
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714 |
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910 |
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Prepaid expenses and other current assets |
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214 |
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193 |
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Total current assets |
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12,267 |
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12,770 |
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Property and equipment: |
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Furniture and equipment |
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1,859 |
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1,853 |
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Computer software |
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942 |
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941 |
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2,801 |
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2,794 |
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Less: Accumulated depreciation and amortization |
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(2,622 |
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(2,549 |
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Net property and equipment |
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179 |
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245 |
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Other non-current assets: |
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Long-term investment |
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195 |
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195 |
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Long-term deposit |
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50 |
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— |
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Total other non-current assets |
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245 |
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195 |
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Total assets |
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$ |
12,691 |
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$ |
13,210 |
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LIABILITIES AND STOCKHOLDERS’ EQUITY |
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Current liabilities: |
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Accounts payable |
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$ |
428 |
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$ |
873 |
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Accrued liabilities: |
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Payroll and related benefits |
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291 |
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276 |
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Warranty (Note 3) |
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670 |
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644 |
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Marketing |
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231 |
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253 |
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Other |
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450 |
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462 |
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Deferred revenue |
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268 |
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412 |
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Total current liabilities |
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2,338 |
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2,920 |
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Stockholders’ equity: |
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Convertible preferred stock, $0.001 par value; Authorized – 5,000,000 shares; None outstanding at December 31, 2003 and September 30, 2003 |
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— |
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— |
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Common stock, $0.001 par value; Authorized – 50,000,000 shares; Outstanding – 15,188,714 shares at December 31, 2003 and 15,054,442 shares at September 30, 2003 |
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15 |
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15 |
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Treasury stock at cost – 1,063,895 shares at December 31, 2003 and September 30, 2003 |
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(1,014 |
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(1,014 |
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Additional paid-in capital |
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62,261 |
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62,152 |
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Accumulated deficit |
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(50,909 |
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(50,863 |
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Total stockholders’ equity |
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10,353 |
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10,290 |
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Total liabilities and stockholders’ equity |
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$ |
12,691 |
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$ |
13,210 |
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The accompanying notes are an integral part of these condensed consolidated financial statements.
3
ALTIGEN COMMUNICATIONS, INC. AND SUBSIDIARY
CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS
(UNAUDITED)
(in thousands, except per share amounts)
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Three Months Ended December 31, |
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2003 |
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2002 |
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Revenues, net |
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$ |
3,630 |
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$ |
2,890 |
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Cost of revenues |
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1,438 |
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1,330 |
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Gross profit |
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2,192 |
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1,560 |
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Operating expenses: |
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Research and development |
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828 |
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947 |
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Sales and marketing |
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1,013 |
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1,264 |
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General and administrative |
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422 |
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446 |
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Deferred stock compensation (Note 4) |
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— |
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