Tue, Mar 18, 8:21 PM (42 days ago)
**Oblong, Inc. (OBLG) 2024 Annual Report Summary** **Financial Performance:** - **Revenue:** $2,378,000 (2024) vs. $3,810,000 (2023), a 38% decrease. - **Net Loss:** $4,043,000 (2024) vs. $4,384,000 (2023), an 8% decrease. - **Gross Margin:** 14% (2024) vs. 24% (2023), a 42% decrease. - **Operating Expenses:** $4,533,000 (2024) vs. $5,406,000 (2023), a 16% decrease. **Segment Performance:** - **Managed Services:** Revenue decreased by 18% to $2,062,000, with a 5% increase in gross margin to 35%. - **Collaboration Products:** Revenue decreased by 76% to $316,000, with a significant decrease in gross margin to -125%. **Cash Flow:** - **Net Cash Used in Operations:** $3,406,200 (2024) vs. $2,993,000 (2023). - **Net Cash Provided by Financing Activities:** $2,381,000 (2024) from warrant exercises. **Strategic Overview:** - **Product Offerings:** Mezzanine™ for visual collaboration, managed services for network solutions and video collaboration. - **Market Position:** Competitive landscape includes Cisco WebEx, Zoom, LogMeIn, and GoToMeeting. - **Future Outlook:** Exploring strategic alternatives including mergers, acquisitions, or outright sale. **Risk Factors:** - **Revenue Decline:** Historical and potential future revenue declines due to market competition and reduced demand. - **Market Acceptance:** Dependence on successful adoption of Mezzanine™ and other products. - **Financial Condition:** Need for additional financing to sustain operations and growth. - **Operational Risks:** Supply chain issues, cybersecurity threats, and regulatory uncertainties. **Financial Condition:** - **Cash and Cash Equivalents:** $4,965,000 (2024) vs. $5,990,000 (2023). - **Working Capital:** $3,997,000 (2024). **Market Position Changes:** - **Customer Concentration:** One major customer accounted for 84.9% of total revenue in 2024. - **Geographic Concentration:** Approximately 1% of foreign revenue is billed in foreign currency. **Earnings Per Share:** - **Basic and Diluted Net Loss Per Share:** $15.71 (2024) vs. $18.81 (2023). **Capital Structure:** - **Common Stock:** 1,144,926 shares issued and 1,144,737 shares outstanding as of December 31, 2024. - **Series F Preferred Stock:** 545 shares issued and outstanding as of December 31, 2024. **Note:** Amounts are in thousands, 000s.