| Segment information |
Segment information for the three and six months ended September 30, 2014, and 2013 is set forth below:
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Three months ended September 30, 2014 |
(in thousands) |
|
CSG |
|
IBW |
|
Total |
Revenue |
|
$ |
12,525 |
|
|
$ |
11,121 |
|
|
$ |
23,646 |
|
Cost of revenue |
|
8,828 |
|
|
6,753 |
|
|
15,581 |
|
Gross profit |
|
3,697 |
|
|
4,368 |
|
|
8,065 |
|
Gross margin |
|
29.5 |
% |
|
39.3 |
% |
|
34.1 |
% |
Research and development |
|
2,197 |
|
|
2,103 |
|
|
4,300 |
|
Segment profit |
|
$ |
1,500 |
|
|
$ |
2,265 |
|
|
3,765 |
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Operating expenses: |
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Sales and marketing |
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|
2,924 |
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General and administrative |
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|
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|
3,280 |
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Intangible amortization |
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|
1,710 |
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Restructuring |
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(2 |
) |
Goodwill impairment |
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|
10,555 |
|
Operating income (loss) |
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(14,702 |
) |
Other income (expense), net |
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(16 |
) |
Income tax benefit (expense) |
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|
69 |
|
Net income (loss) from continuing operations |
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$ |
(14,649 |
) |
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Three months ended September 30, 2013 |
(in thousands) |
|
CSG |
|
IBW |
|
Total |
Revenue |
|
$ |
27,920 |
|
|
$ |
2,040 |
|
|
$ |
29,960 |
|
Cost of revenue |
|
16,633 |
|
|
1,305 |
|
|
17,938 |
|
Gross profit |
|
11,287 |
|
|
735 |
|
|
12,022 |
|
Gross margin |
|
40.4 |
% |
|
36.0 |
% |
|
40.1 |
% |
Research and development |
|
2,438 |
|
|
181 |
|
|
2,619 |
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Segment profit |
|
$ |
8,849 |
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|
$ |
554 |
|
|
9,403 |
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Operating expenses: |
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Sales and marketing |
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|
|
3,485 |
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General and administrative |
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|
|
|
|
|
3,226 |
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Intangible amortization |
|
|
|
|
|
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), net |
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|
98 |
|
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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Six months ended September 30, 2014 |
(in thousands) |
|
CSG |
|
IBW |
|
Total |
Revenue |
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$ |
26,253 |
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|
$ |
25,218 |
|
|
$ |
51,471 |
|
Cost of revenue |
|
18,683 |
|
|
15,039 |
|
|
33,722 |
|
Gross profit |
|
7,570 |
|
|
10,179 |
|
|
17,749 |
|
Gross margin |
|
28.8 |
% |
|
40.4 |
% |
|
34.5 |
% |
Research and development |
|
4,477 |
|
|
4,298 |
|
|
8,775 |
|
Segment profit |
|
$ |
3,093 |
|
|
$ |
5,881 |
|
|
8,974 |
|
Operating expenses: |
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Sales and marketing |
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|
6,345 |
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General and administrative |
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|
6,334 |
|
Intangible amortization |
|
|
|
|
|
3,295 |
|
Restructuring |
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|
|
55 |
|
Goodwill impairment |
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|
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|
10,555 |
|
Operating income (loss) |
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|
|
|
|
(17,610 |
) |
Other income (expense), net |
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|
45 |
|
Income tax benefit (expense) |
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|
98 |
|
Net income (loss) from continuing operations |
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$ |
(17,467 |
) |
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Six months ended September 30, 2013 |
(in thousands) |
|
CSG |
|
IBW |
|
Total |
Revenue |
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$ |
49,349 |
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|
$ |
3,067 |
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$ |
52,416 |
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Cost of revenue |
|
29,940 |
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|
2,037 |
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|
31,977 |
|
Gross profit |
|
19,409 |
|
|
1,030 |
|
|
20,439 |
|
Gross margin |
|
39.3 |
% |
|
33.6 |
% |
|
39.0 |
% |
Research and development |
|
4,945 |
|
|
373 |
|
|
5,318 |
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Segment profit |
|
$ |
14,464 |
|
|
$ |
657 |
|
|
15,121 |
|
Operating expenses: |
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|
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Sales and marketing |
|
|
|
|
|
6,544 |
|
General and administrative |
|
|
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|
|
6,798 |
|
Intangible amortization |
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|
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|
2,851 |
|
Restructuring |
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|
235 |
|
Operating income (loss) |
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|
(1,307 |
) |
Other income (expense), net |
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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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