Shares of CalAmp (CAMP 8.68%) have jumped today, up by 7% as of 12:50 p.m. EDT, after the company reported fiscal fourth-quarter earnings. The results topped expectations for both the top and bottom lines.
Revenue in the fiscal fourth quarter ended February came in at $87.2 million, ahead of the $85.9 million in sales that Wall Street was looking for. That translated into adjusted earnings per share of $0.03, $0.01 better than what analysts were forecasting. The COVID-19 pandemic is impacting the wireless tech company's supply chain, and demand for mobile resource management (MRM) telematics products has been soft, but investors had already priced that in after CalAmp had provided updates in March.
Total subscribers increased 30% to 1.3 million, which CalAmp attributed to recent acquisitions. The company acquired Synovia a little over a year ago for $50 million and CalAmp has been expanding Synovia's reach.
"As we navigate the COVID-19 worldwide crisis, our primary concern is the health and safety of all employees who are effectively working remotely by utilizing technologies to support virtual communications across our organization and also with our customers, partners and suppliers," interim CEO Jeff Gardner said in a statement. "At the same time, I am closely evaluating the entire business for implementing further strategic enhancements, and I remain fully committed to transforming CalAmp into a leading SaaS solutions provider, supported by steady and predictable recurring revenue streams."
CFO Kurt Binder said the company would not be providing guidance for the next quarter due to ongoing uncertainty around the coronavirus outbreak, including limited visibility into customer demand.