UNITED
STATES
SECURITIES
AND EXCHANGE COMMISSION
WASHINGTON,
D.C. 20549
FORM
8-K
CURRENT
REPORT PURSUANT
TO
SECTION 13 OR 15(D) OF
THE
SECURITIES EXCHANGE ACT OF 1934
Date
of
report (Date of earliest event reported): August
2, 2007
ClearOne
Communications, Inc.
(Exact
Name of Registrant as Specified in Its Charter)
Utah
(State
or
Other Jurisdiction of Incorporation)
|
000-17219
|
87-0398877
|
|
|
(Commission
File Number)
|
(I.R.S.
employer
identification
number)
|
|
5225
Wiley Post Way, Suite 500
Salt
Lake City, Utah
|
84116
|
|
|
(Address
of principal executive offices)
|
(Zip
Code)
|
(801)
975-7200
(Registrant’s
Telephone Number, Including Area Code)
Not
applicable
(Former
Name or Former Address, if Changed Since Last Report)
Check
the
appropriate box below if the Form 8-K filing is intended to simultaneously
satisfy the filing obligation of the registrant under any of the following
provisions:
[
]
Written communications pursuant to Rule 425 under the Securities Act (17 CFR
230.425)
[
]
Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR
240.14a-12)
[
]
Pre-commencement communications pursuant to Rule 14d-2(b) under the
Exchange
Act
(17
CFR 240.14d-2(b))
[
]
Pre-commencement communication pursuant to Rule 13e-4(c) under the
Exchange
Act
(17
CFR 240.13e-4(c))
1
Item
2.02 Results of Operations and Financial Condition.
On
August
2, 2007, ClearOne Communications, Inc. (the “Company”) issued a press release
announcing its financial results for the quarter and full-year ended June 30,
2007. The full text of the Company’s press release is furnished herewith as
Exhibit 99.1.
Item
9.01 Financial
Statements and Exhibits.
(d) Exhibits.
|
Exhibit
No.
|
Title
of Document
|
Location
|
|
99.1
|
Press
Release dated August 2, 2007 captioned “ClearOne Reports Fiscal 2007
Fourth Quarter and Full-Year Financial Results.”
|
This
Filing
|
SIGNATURES
Pursuant
to the requirements of the Securities Exchange Act of 1934, the registrant
has
duly caused this report to be signed on its behalf by the undersigned hereunto
duly authorized.
|
CLEARONE
COMMUNICATIONS, INC.
|
||
|
Date:
August 2, 2007
|
By:
|
/s/
Greg A. LeClaire
|
|
Greg
A. LeClaire
|
||
|
Vice
President of Finance
|
||
2
Exhibit
99.1
Contacts: ClearOne
Communications, Inc.
Investor
Relations
(801)
303-3555
Robert
Jaffe
PondelWilkinson
Inc.
(310)
279-5980
CLEARONE
REPORTS FISCAL 2007 FOURTH QUARTER AND FULL-YEAR FINANCIAL
RESULTS
Salt
Lake City, UT -August 2, 2007 - ClearOne
Communications, Inc. (OTC: CLRO.OB) today reported financial results for the
fiscal 2007 fourth quarter and full-year ended June 30, 2007.
For
fiscal 2007, revenue increased to $39.9 million from $35.4 million in the same
period of fiscal 2006. Gross profit grew to $22.1 million, or 56% of revenues,
from $18.0 million, or 51% of revenues, for the prior year period. Income from
continuing operations was $4.8 million versus a loss from continuing operating
of $60,000 in the same period last year. Net income was $5.2 million, or $0.45
per diluted share, which included income from discontinued operations of
$422,000, or $0.04 per diluted share. This compares with net income for the
prior year period of $2.1 million, or $0.17 per diluted share, which included
income from discontinued operations of $2.2 million, or $0.18 per diluted share.
For
the
fiscal 2007 fourth quarter, revenue increased to $11.0 million from $9.2 million
in the same quarter of last year. Gross profit grew to $6.6 million, or 60%
of
revenues, from $4.6 million, or 50% of revenues, for the prior year period.
Income from continuing operations was $2.1 million compared with a loss from
continuing operations of $821,000 in the same quarter last year. Net income
was
$2.2 million, or $0.20 per diluted share, which included income from
discontinued operations of $118,000, or $0.01 per diluted share. This compares
with a net loss for the prior year period of $512,000, or $0.04 per share,
which
included income from discontinued operations of $309,000, or $0.03 per diluted
share.
“We
are
pleased to report excellent growth to our topline and gross profit without
a
corresponding increase in operating expenses for both the fourth quarter and
full year,” said Zee Hakimoglu, president, chief executive officer and chairman
of ClearOne. “Our strong fourth quarter financial results primarily reflected
increased sales of our higher margin professional audio conferencing products
and enhanced operating efficiencies implemented throughout the organization.
The
fiscal 2007 fourth quarter represents ClearOne’s fourth consecutive quarter of
profitability from continuing operations.”
At
June
30, 2007, the company had cash, cash equivalents, and marketable securities
of
$22.7 million and no long-term debt.
About
ClearOne
ClearOne
is a communications solutions company that develops and sells audio conferencing
systems and other related products for audio, video, and web conferencing
applications. The reliability, flexibility, and performance of ClearOne’s
comprehensive solutions create a natural communications environment, which
saves
organizations time and money by enabling more effective and efficient
communication. For more information, visit ClearOne’s website at
www.clearone.com.
This
release contains “forward-looking” statements
that
are based on present circumstances and on ClearOne’s predictions with respect to
events that have not occurred, that may not occur, or that may occur with
different consequences and timing than those now assumed or anticipated. Such
forward-looking statements, including statements regarding the company’s ability
to successfully commercialize newer products and enter new markets, are not
guarantees of future performance or results and involve risks and uncertainties
that could cause actual events or results to differ materially from the events
or results described in the forward-looking statements. Such forward-looking
statements are made only as of the date of this release and ClearOne assumes
no
obligation to update forward-looking statements to reflect subsequent events
or
circumstances. Readers should not place undue reliance on these forward-looking
statements.
#
#
#
http://www.b2i.us/irpass.asp?BzID=509&to=ea&s=0
FINANCIAL
TABLES FOLLOW
1
|
CLEARONE
COMMUNICATIONS, INC. AND SUBSIDIARIES
|
|||||||
|
CONSOLIDATED
BALANCE SHEETS
|
|||||||
|
(in
thousands of dollars, except per share amounts)
|
|||||||
|
(unaudited)
|
|||||||
|
June
30,
|
|||||||
|
2007
|
2006
|
||||||
|
ASSETS
|
|||||||
|
Current
assets:
|
|||||||
|
Cash
and cash equivalents
|
$
|
2,782
|
$
|
1,240
|
|||
|
Marketable
securities
|
19,871
|
20,550
|
|||||
|
Accounts
receivable, net of allowance for doubtful accounts
|
8,025
|
7,784
|
|||||
|
of
$54 and $49, respectively
|
|||||||
|
Note
Receivable
|
163
|
0
|
|||||
|
Inventories,
net
|
7,263
|
6,614
|
|||||
|
Income
tax receivable
|
0
|
3,240
|
|||||
|
Deferred
income taxes, net
|
119
|
128
|
|||||
|
Prepaid
expenses
|
213
|
255
|
|||||
|
Net
assets of discontinued operations
|
0
|
565
|
|||||
|
Total
current assets
|
38,436
|
40,376
|
|||||
|
Property
and equipment, net
|
2,694
|
1,647
|
|||||
|
Note
Receiveable - long-term
|
43
|
0
|
|||||
|
Other
assets
|
10
|
15
|
|||||
|
Total
assets
|
$
|
41,183
|
$
|
42,038
|
|||
|
LIABILITIES
AND SHAREHOLDERS' EQUITY
|
|||||||
|
Current
liabilities:
|
|||||||
|
Accounts
payable
|
$
|
1,745
|
$
|
2,597
|
|||
|
Accrued
taxes
|
660
|
0
|
|||||
|
Accrued
liabilities
|
1,874
|
2,397
|
|||||
|
Deferred
product revenue
|
4,872
|
5,871
|
|||||
|
Total
current liabilities
|
9,151
|
10,865
|
|||||
|
Deferred
rent
|
855
|
0
|
|||||
|
Deferred
income taxes, net
|
119
|
128
|
|||||
|
Other
long-term liabilities
|
619
|
633
|
|||||
|
Total
liabilities
|
10,744
|
11,626
|
|||||
|
Total
shareholders' equity
|
30,439
|
30,412
|
|||||
|
Total
liabilities and shareholders' equity
|
$
|
41,183
|
$
|
42,038
|
|||
2
|
CLEARONE
COMMUNICATIONS, INC. AND SUBSIDIARIES
|
|||||||||||||
|
CONSOLIDATED
STATEMENTS OF OPERATIONS
|
|||||||||||||
|
(in
thousands of dollars, except per share amounts)
|
|||||||||||||
|
(unaudited)
|
|||||||||||||
|
Three
Months Ended
June
30,
|
Years
Ended
June
30,
|
||||||||||||
|
2007
|
2006
|
2007
|
2006
|
||||||||||
|
Revenue
|
$
|
10,988
|
$
|
9,206
|
$
|
39,861
|
$
|
35,362
|
|||||
|
Cost
of goods sold
|
4,357
|
4,639
|
17,723
|
17,375
|
|||||||||
|
Gross
profit
|
6,631
|
4,567
|
22,138
|
17,987
|
|||||||||
|
Operating
expenses:
|
|||||||||||||
|
Marketing
and selling
|
2,080
|
2,324
|
7,791
|
7,866
|
|||||||||
|
Research
and product development
|
1,753
|
2,521
|
7,535
|
8,299
|
|||||||||
|
General
and administrative
|
831
|
820
|
3,091
|
5,108
|
|||||||||
|
Settlement
in shareholders' class action
|
-
|
-
|
-
|
(1,205
|
)
|
||||||||
|
Total
operating expenses
|
4,664
|
5,665
|
18,417
|
20,068
|
|||||||||
|
Operating
income (loss)
|
1,967
|
(1,098
|
)
|
3,721
|
(2,081
|
)
|
|||||||
|
Total
other income (expense), net
|
293
|
422
|
1,523
|
1,016
|
|||||||||
|
Loss
from continuing operations before income taxes
|
2,260
|
(676
|
)
|
5,244
|
(1,065
|
)
|
|||||||
|
Provision
(benefit) for income taxes
|
(153
|
)
|
(145
|
)
|
(457
|
)
|
1,005
|
||||||
|
Income
(loss) from continuing operations
|
2,107
|
(821
|
)
|
4,787
|
(60
|
)
|
|||||||
|
Income
from discontinued operations
|
118
|
309
|
422
|
2,156
|
|||||||||
|
Net
income (loss)
|
$
|
2,225
|
($512
|
)
|
$
|
5,209
|
$
|
2,096
|
|||||
|
Diluted
earnings (loss) per common share from continuing
operations
|
$
|
0.19
|
($0.07
|
)
|
$
|
0.41
|
($0.00
|
)
|
|||||
|
Diluted
earnings per common share from discontinued operations
|
$
|
0.01
|
$
|
0.03
|
$
|
0.04
|
$
|
0.18
|
|||||
|
Diluted
earnings (loss) per common share
|
$
|
0.20
|
($0.04
|
)
|
$
|
0.45
|
$
|
0.17
|
|||||
|
Diluted
weighted average shares outstanding
|
10,975,220
|
12,209,749
|
11,575,721
|
12,206,618
|
|||||||||
3