| Segment information |
Segment information for the three and six months ended September 30, 2013, and 2012 is set forth below:
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Three months ended September 30, 2013 |
(in thousands) |
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Kentrox |
|
Westell |
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Total |
Revenue |
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$ |
16,103 |
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|
$ |
13,857 |
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|
$ |
29,960 |
|
Cost of goods sold |
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|
7,995 |
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|
9,542 |
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|
17,537 |
|
Gross profit |
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|
8,108 |
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|
4,315 |
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|
12,423 |
|
Gross margin |
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|
50.4 |
% |
|
31.1 |
% |
|
41.5 |
% |
Research and development |
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|
858 |
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|
1,761 |
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|
2,619 |
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Segment profit |
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$ |
7,250 |
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|
$ |
2,554 |
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|
9,804 |
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Operating expenses: |
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Sales and marketing |
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3,886 |
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General and administrative |
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3,226 |
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Intangible amortization |
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|
1,229 |
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Restructuring |
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|
169 |
|
Operating income (loss) |
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|
1,294 |
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Other income (expense) |
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|
98 |
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Income tax benefit (expense) |
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(68 |
) |
Net income (loss) from continuing operations |
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$ |
1,324 |
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Three months ended September 30, 2012 |
(in thousands) |
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|
Westell |
|
Total |
Revenue |
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$ |
9,854 |
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$ |
9,854 |
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Cost of goods sold |
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|
6,405 |
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|
6,405 |
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Gross profit |
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|
3,449 |
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|
3,449 |
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Gross margin |
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|
35.0 |
% |
|
35.0 |
% |
Research and development |
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|
1,480 |
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|
1,480 |
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Segment profit |
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$ |
1,969 |
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|
1,969 |
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Operating expenses: |
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Sales and marketing |
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1,831 |
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General and administrative |
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|
2,123 |
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Intangible amortization |
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|
210 |
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Restructuring |
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|
57 |
|
Operating income (loss) |
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(2,252 |
) |
Other income (expense) |
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|
7 |
|
Income tax benefit (expense) |
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|
677 |
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Net income (loss) from continuing operations |
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$ |
(1,568 |
) |
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Six months ended September 30, 2013 |
(in thousands) |
|
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Kentrox |
|
Westell |
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Total |
Revenue |
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$ |
28,107 |
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$ |
24,309 |
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$ |
52,416 |
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Cost of goods sold |
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|
14,780 |
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|
16,437 |
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|
31,217 |
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Gross profit |
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|
13,327 |
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|
7,872 |
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|
21,199 |
|
Gross margin |
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|
47.4 |
% |
|
32.4 |
% |
|
40.4 |
% |
Research and development |
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|
1,845 |
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|
3,473 |
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|
5,318 |
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Segment profit |
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$ |
11,482 |
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$ |
4,399 |
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|
15,881 |
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Operating expenses: |
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Sales and marketing |
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|
7,304 |
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General and administrative |
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|
6,798 |
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Intangible amortization |
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|
2,851 |
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Restructuring |
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|
235 |
|
Operating income (loss) |
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(1,307 |
) |
Other income (expense) |
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(32 |
) |
Income tax benefit (expense) |
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|
(87 |
) |
Net income (loss) from continuing operations |
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$ |
(1,426 |
) |
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Six months ended September 30, 2012 |
(in thousands) |
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Westell |
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Total |
Revenue |
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$ |
19,272 |
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$ |
19,272 |
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Cost of goods sold |
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13,050 |
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|
13,050 |
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Gross profit |
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6,222 |
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|
6,222 |
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Gross margin |
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32.3 |
% |
|
32.3 |
% |
Research and development |
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|
2,997 |
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|
2,997 |
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Segment profit |
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$ |
3,225 |
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|
3,225 |
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Operating expenses: |
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Sales and marketing |
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3,706 |
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General and administrative |
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|
4,702 |
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Intangible amortization |
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|
418 |
|
Restructuring |
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|
149 |
|
Operating income (loss) |
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(5,750 |
) |
Other income (expense) |
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|
91 |
|
Income tax benefit (expense) |
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|
1,924 |
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Net income (loss) from continuing operations |
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$ |
(3,735 |
) |
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