Movers and SHAKERS
One Stop Systems (OSS)
4Q21: Revenue Beat, Miss On Earnings, But Bright Future
One Stop Systems Inc is US-based company which is principally engaged in designing, manufacturing, marketing high-end systems for high performance computing (HPC) applications. The company offers custom servers, compute accelerators, solid-state storage arrays and system expansion systems. The product line of the company includes GPU Appliances, GPU Expansion, GPUs and co-processors, Flash storage arrays, Flash storage expansion, Servers, Disk Arrays, Desktop computing appliances, accessories and parts. The company delivers high-end technology to customers through the sale of equipment and software for use on their premises or through remote cloud access to secure data centres housing technology.
Joe Gomes, Senior Research Analyst, Noble Capital Markets, Inc.
Joshua Zoepfel, Research Associate, Research Associate, Noble Capital Markets, Inc.
Refer to the full report for the price target, fundamental analysis, and rating.
4Q21 Results. Fourth quarter revenue of $17.8 million, up 28% y-o-y and up 11% sequentially, and above management's $17.1 million guide. We had forecast $17.1 million. GAAP net loss of $386,000, or $0.02 per share, versus net income of $244,000, or $0.01 per share, last year. Adjusted net income of $71,000, or breakeven, versus $636,000, or $0.04 per share in 4Q20. We had forecast $0.04 and $0.07 respectively.
Too Much Business? During 4Q21 Disguise revenue rose 247% y-o-y and resulted in gross margin declining to 28.3% in the quarter from 34.5% in the same period last year. Increased operating expenses, driven by Market and Selling costs, with the lower gross margin caused an operating loss for the quarter. We anticipate Disguise business to return to a normal percentage of overall revenue going forward ...
This Company Sponsored Research is provided by Noble Capital Markets, Inc., a FINRA and S.E.C. registered broker-dealer (B/D).
*Analyst certification and important disclosures included in the full report. NOTE: investment decisions should not be based upon the content of this research summary. Proper due diligence is required before making any investment decision.