Rosetta Stone 2015 Annual Report Download - page 102
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Table of Contents
Summarized quarterly supplemental consolidated financial information for 2015 and 2014 are as follows (in thousands, except per share amounts):
2015
Revenue
$ 58,442
$ 51,411
$ 49,802
$ 58,015
Gross profit
$ 47,140
$ 42,391
$ 41,136
$ 48,476
Net loss
$ (19,884)
$ (8,175)
$ (7,301)
$ (11,436)
Basic loss per share
$ (0.95)
$ (0.38)
$ (0.34)
$ (0.52)
Shares used in basic per share computation
21,018
21,689
21,771
21,801
Diluted loss per share
$ (0.95)
$ (0.38)
$ (0.34)
$ (0.52)
Shares used in diluted per share computation
21,018
21,689
21,771
21,801
2014
Revenue
$ 60,765
$ 57,315
$ 64,515
$ 79,258
Gross profit
$ 48,594
$ 45,355
$ 51,528
$ 63,322
Net loss
$ (20,241)
$ (15,750)
$ (16,178)
$ (21,537)
Basic loss per share
$ (0.96)
$ (0.74)
$ (0.76)
$ (1.01)
Shares used in basic per share computation
21,125
21,252
21,305
21,327
Diluted loss per share
$ (0.96)
$ (0.74)
$ (0.76)
$ (1.01)
Shares used in diluted per share computation
21,125
21,252
21,305
21,327
On March 14, 2016, the Company announced that it intends to exit the direct sales presence in almost all of its non-U.S. and non-northern European
geographies related to the distribution of Enterprise & Education language offerings. Where appropriate, the Company will seek to operate through partners
in those geographies being exited. The Company will also look to initiate processes to close its software development operations in France and China. In
total, if the Company's intentions are realized, these actions will reduce headcount by approximately 17% of our full-time workforce and is expected to result
in annual expense reductions of approximately $19.0 million. If fully realized, these actions will result in an estimated restructuring charge ranging between
$5.0 million and $6.0 million, with approximately 50% accrued in the first quarter 2016, largely reflecting cash separation payments. These actions are
additive to the plans discussed in Note 13 and further support a strategic shift in business focus to help address periods of losses.
On March 14, 2016, the Company executed the Fifth Amendment to its Loan and Security Agreement with Silicon Valley Bank. See Note 9 for more
details.
In March 2016 the Board of Director's concluded the search for a chief executive officer and has appointed A. John Hass III as President, Chief
Executive Officer, and Chairman of the Board effective April 1, 2016.
F-46