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Quantum Corporation (QMCO-5.43%) has submitted its 10-Q filing for the quarterly period ended September 30, 2024.
The filing includes financial statements for the quarter, showing a decrease in total revenue to $70,469,000 from $75,680,000 in the same quarter the previous year. Product revenue decreased by 14% to $36,785,000, while service and subscription revenue increased by 3% to $31,321,000.
Cost of revenue for the quarter was $41,201,000, representing 58% of total revenue, compared to 57% in the same quarter of the previous year. Gross profit was $29,268,000, down from $32,736,000 in the previous year.
Operating expenses totaled $36,202,000, a slight decrease from $36,448,000 in the previous year. The decrease was primarily due to reductions in sales and marketing expenses, partially offset by increases in general and administrative expenses.
The company reported a loss from operations of $6,934,000, compared to a loss of $3,712,000 in the previous year.
Interest expense increased to $6,131,000 from $3,855,000, primarily due to a higher effective interest rate on the company's Term Loan.
Net loss for the quarter was $13,527,000, compared to a net loss of $3,331,000 in the previous year.
Cash used in operating activities was $17,194,000, compared to $11,345,000 in the previous year. Cash provided by financing activities was $11,525,000, primarily related to borrowings on the Term Loan.
Quantum had cash and cash equivalents of $16,719,000 as of September 30, 2024. The company acknowledges its dependence on positive operating results and potential financing to meet future obligations.
The filing also details various amendments to the company's credit agreements, including changes to covenants and borrowing capacities.
Quantum continues to focus on transitioning to subscription-based offerings and improving operational efficiency.
This content was summarized by generative artificial intelligence using public filings retrieved from SEC.gov. The original data was derived from the Quantum Corporation quarterly 10-Q report dated November 14, 2024. To report an error, please email earnings@qz.com.