AUSTIN, Texas – June 29, 2015 – Xplore Technologies Corp. (NASDAQ: XPLR) reported results for its fiscal year 2015 , including record revenue of $42,639,000 for the fiscal year ended March 31, 2015, compared to revenue of $35,585,000 for the prior year, an increase of $7,054,000, or approximately 20 percent. The increase in revenue was due to an approximate 37% increase in unit sales for the year ended March 31, 2015, as compared to the year ended March 31, 2014. The increase in unit sales was partially offset by a decrease in Xplore’s average sales price of approximately 17% due to changes in the product mix sold, primarily arising from sales of its RangerX Pro and Bobcat systems, which have a lower price point than its iX104 systems.
“Another strong year of growth gives evidence that our strategy is working. The company continues to grow its addressable markets through the release of new products and broadening awareness of our offering through greater marketing and sales activities. Once again, the company has posted record revenue,” said Philip S. Sassower, chairman and chief executive officer for Xplore. “Increased gross profit, combined with decreased operating expenses, once again produced positive EBITDA, as well as net profit.”
“The company continued to execute its plan to bring new, lighter weight products to market at a lower price point with the introduction of the Bobcat line,” said Mark Holleran, president and chief operating officer for Xplore. “Sales of the Bobcat line, along with the RangerX Pro that was introduced last year, have made major contributions to revenue growth both within existing accounts, and in new verticals that require these lighter weight and still fully rugged mobile computing solutions.”
Gross profit increased by $1,598,000 to $14,319,000 (approximately 33.6 percent of revenue) for the fiscal year ended March 31, 2015, from $12,721,000 (approximately 35.7 percent of revenue) for the fiscal year ended March 31, 2014. The increase in gross profit for the year ended March 31, 2015, as compared to the prior year, was attributable to the increase in revenue. The decrease in the gross profit percentage was due to changes in sales product mix, as well as, increases in freight, indirect labor and tooling amortization.
Xplore’s operating expenses for the fiscal years ended March 31, 2015 and 2014 were approximately $13,992,000 and $15,140,000, respectively, a decrease of approximately 8 percent. The decrease was primarily due to a decline in product research and development expenses associated with a reduction in major product activities with the recent releases of new products, partially offset by an increase in sales and marketing expenses associated with efforts to generate more awareness of Xplore’s products through expanded initiatives.
Xplore had net income for the fiscal year ended March 31, 2015 of $249,000, compared to net loss of $1,758,000 for the prior year period. The fluctuation was primarily attributable to the increase in revenue coupled with the reduction in operating expenses. The company will conduct a conference call and webcast to review the results on Monday, June 29, 2015, at 4:30 p.m. ET. In addition, the company will be discussing its recent acquisition of certain assets of Motion Computing, Inc. and related information filed on Form 8-K by Xplore with the SEC today. Interested parties in the United States can access the call by dialing 877-269-7756, interested parties outside the United States can access the call by dialing 201-689-7817, or anyone can listen via a live Internet webcast at http://www.investorcalendar.com/IC/CEPage.asp?ID=173986 . A replay of the conference call will be available until July 29, 2015 by calling 877-660-6853 from the United States or 201-612-7415 from outside the United States and entering conference ID number 13607960.
About Xplore Technologies
Established in 1996, Xplore Technologies Corp. is the number two provider of rugged tablet computers worldwide. With its recent acquisition of the Motion product line, the company now has the broadest range of purpose-built tablets for a variety of industries including energy, utilities, telecommunications, military operations, manufacturing, distribution, public services, public safety, healthcare, government and other areas with hazardous work conditions. The company’s tablets are among the most powerful and longest lasting in their class – able to withstand nearly any hazardous condition or environmental extreme. Xplore's products are sold and serviced on a global basis across the Americas, Europe, Middle East, Africa, and Asia Pacific regions. For more information, visit the Xplore Technologies website at www.xploretech.com.
Forward Looking Statements
This news release contains forward-looking statements that involve risks and uncertainties, which may cause actual results to differ materially from the statements made. When used in this document, the words “may”, “would”, “could”, “will”, “intend”, “plan”, “anticipate”, “believe”, “estimate”, “expect” and similar expressions are intended to identify forward-looking statements. Such statements reflect Xplore’s current views with respect to future events and are subject to such risks and uncertainties. Many factors could cause actual results to differ materially from the statements made including those factors detailed from time to time in filings made by Xplore with securities regulatory authorities. Should one or more of these risks or uncertainties materialize, or should assumptions underlying the forward looking statements prove incorrect, actual results may vary materially from those described herein as intended, planned, anticipated or expected. Xplore does not intend and does not assume any obligation to update these forward-looking statements.