Outpaces Expectations with 10% Preliminary Pro
Forma Annual Revenue Growth to Approximately $75 Million
Subscriber Count Increases Year-over-Year by
11% to 1.95 Million
Cost Synergies and EBITDA Growth Outperform
Expectations Due to Effective Integration
Delays Q1 Fiscal 2025 Conference Call and
Related Filings Due to SEC Comment Letter on Accounting Acquirer
in MiX Telematics Business Combination
Company to Hold Fireside Chat on Tuesday, August 6th at 8:30am ET
WOODCLIFF LAKE, N.J., Aug. 5, 2024
/PRNewswire/ -- Powerfleet, Inc. (Nasdaq: AIOT) today
announced a delay of its earnings call for the first fiscal quarter
ended June 30, 2024, originally
scheduled for August 8, 2024. This
follows the receipt of a comment letter from the U.S. Securities
and Exchange Commission (SEC) requesting additional information
solely regarding Powerfleet's determination of the accounting
acquirer in the recent business combination with MiX Telematics
Ltd.
This accounting issue is not expected to have any impact on the
Company's cash flows. Powerfleet is actively engaged with
its auditors, financial, and legal advisors to address the SEC's
comment and targets to resolve this matter within the month of
August. However, this ongoing process will delay the company's
ability to file its Transition Report on Form 10-KT for the period
from January 1 to March 31, 2024, as
well as its Form 10-Q for the first fiscal quarter of 2025 ended
June 30, 2024.
In addition, Powerfleet announced preliminary results for
the first quarter of fiscal 2025 ended June
30, 2024 and pro forma results for the fiscal year ended
March 31, 2024.
Preliminary Results for First Quarter 2025 Ended June 30, 2024
Powerfleet anticipates reporting preliminary revenue for the
first quarter of fiscal 2025 of approximately $75 million, representing an increase of 10%
compared to the combined revenue of Powerfleet, Inc. and MiX
Telematics Ltd. in the same period last year.
Additionally, preliminary pro forma adjusted EBITDA, a non-GAAP
metric, is projected to exceed $13.5
million, exclusive of $14
million in one-time expenses, reflecting an increase of over
40% versus the combined adjusted EBITDA from the prior year's
comparable period.
The preliminary pro forma net loss attributable to common
stockholders for the first quarter of fiscal 2025 is expected to be
approximately $23 million, inclusive
of $21 million in transaction,
restructuring, and other one-time costs and accelerated stock-based
compensation.
As of June 30, 2024, the company
held net debt of approximately $114
million, after accounting for $6
million in unsettled one-time transaction costs.
Powerfleet is increasing its full-year fiscal 2025 guidance,
forecasting revenue now to exceed $300
million versus prior guidance of approximately $300 million and adjusted EBITDA to exceed
$60 million, which includes an
incremental $5 million in secured
exit run-rate cost synergies, versus the prior guidance of
approximately $60 million.
Powerfleet will reschedule and announce its first quarter 2025
reporting date and conference call as soon as practicable.
Preliminary Pro Forma Results for Fiscal 2024 Ended
March 31, 2024
On a preliminary and pro forma basis, assuming the MiX
Telematics Ltd. business combination closed on April 1, 2023, management expects to report total
fiscal 2024 revenue of approximately $287
million.
Preliminary pro forma fiscal 2024 Adjusted EBITDA, a non-GAAP
metric, is expected to be approximately $43
million, excluding $14 million
in one-time expenses.
Preliminary fiscal 2024 pro forma net income/loss attributable
to common stockholders is expected to total approximately
$36 million, inclusive of
$14 million in transaction,
restructuring, and other one-time costs.
The financial results reported herein are preliminary and
subject to completion of the audit of the financial results for the
transition period from January 1,
2024 to March 31, 2024
and Powerfleet's quarter-end close process. Such preliminary
results may change and are not necessarily indicative of the
results to be achieved for any future period.
Fireside Chat to be Held on Tuesday,
August 6, 2024 at 8:30am
ET
Powerfleet will hold a fireside chat on Tuesday, August 6, 2024 at 8:30 a.m. Eastern time (5:30 a.m. Pacific time). Management will make
brief prepared remarks followed by a question-and-answer
session.
Date: Tuesday, August 6,
2024
Time: 8:30 a.m. Eastern time
(5:30 a.m. Pacific time)
Toll Free: 877-545-0523
International: 973-528-0016
Participant Access Code: 219000
The conference call will be broadcast simultaneously and available
for replay here and via the investor section of the
company's website at ir.powerfleet.com.
ABOUT POWERFLEET
Powerfleet (Nasdaq: AIOT; JSE: PWR;
TASE: PWFL) is a global leader in the artificial intelligence of
things (AIoT) software-as-a-service (SaaS) mobile asset industry.
With more than 30 years of experience, Powerfleet unifies business
operations through the ingestion, harmonization, and integration of
data, irrespective of source, and delivers actionable insights to
help companies save lives, time, and money. Powerfleet's ethos
transcends our data ecosystem and commitment to innovation; our
people-centric approach empowers our customers to realize impactful
and sustained business improvement. The company is headquartered in
New Jersey, United States, with offices around the globe.
Explore more at www.powerfleet.com.
CAUTIONARY NOTE REGARDING FORWARD-LOOKING
STATEMENTS
This press release contains forward-looking
statements within the meaning of federal securities laws.
Powerfleet's actual results may differ from its expectations,
estimates and projections and consequently, you should not rely on
these forward-looking statements as predictions of future events.
Forward-looking statements may be identified by words such as
"expect," "estimate," "project," "budget," "forecast,"
"anticipate," "intend," "plan," "may," "will," "could," "should,"
"believes," "predicts," "potential," "continue," and similar
expressions.
These forward-looking statements include, without
limitation, Powerfleet's expectations with respect to its
beliefs, plans, goals, objectives, expectations, anticipations,
assumptions, estimates, intentions and future performance, as well
as anticipated financial impacts of the transaction with MiX
Telematics. Forward-looking statements involve significant known
and unknown risks, uncertainties and other factors, which may cause
their actual results, performance or achievements to be materially
different from the future results, performance or achievements
expressed or implied by such forward-looking statements. All
statements other than statements of historical fact are statements
that could be forward-looking statements. Most of these factors are
outside Powerfleet's control and are difficult to predict. The
risks and uncertainties referred to above include, but are not
limited to, risks related to: (i) future economic and business
conditions, including the conflict between Israel and Hamas; (ii) integration of our and
MiX Telematics' businesses and the ability to recognize the
anticipated synergies and benefits of the transaction with MiX
Telematics; (iii) the loss of any of our key customers or reduction
in the purchase of our products by any such customers; (iv) the
failure of the markets for our products to continue to develop; (v)
the negative effects of the transaction on the market price of our
securities; (vi) our inability to adequately protect our
intellectual property; (vii) our inability to manage growth; (viii)
the effects of competition from a wide variety of local, regional,
national and other providers of wireless solutions; (ix) failure to
make timely filings of Powerfleet's periodic reports with the SEC,
including the transition report on Form 10-KT for the period from
January 1, 2024 to March 31, 2024 and the quarterly report on Form
10-Q for the quarter ended June 30,
2024, and (x) such other factors as are set forth in the
periodic reports filed by Powerfleet with the Securities and
Exchange Commission ("SEC"), including but not limited to those
described under the heading "Risk Factors" in its annual reports on
Form 10-K, quarterly reports on Form 10-Q and any other filings
made with the SEC from time to time, which are available via the
SEC's website at http://www.sec.gov. Should one or more of these
risks or uncertainties materialize, or should underlying
assumptions prove to be incorrect, actual results may vary
materially from those indicated or anticipated by these
forward-looking statements. Therefore, you should not rely on any
of these forward-looking statements.
Powerfleet does not provide a reconciliation for non-GAAP
adjusted EBITDA to Net Income (Loss) for forecasts because it
cannot, without unreasonable effort, predict the special items that
could arise, and Powerfleet is unable to address the probable
significance of the unavailable information.
The forward-looking statements included in this press release
are made only as of the date of this press release, and except as
otherwise required by applicable securities law, Powerfleet
assumes no obligation, nor does Powerfleet intend to publicly
update or revise any forward-looking statements to reflect
subsequent events or circumstances.
Powerfleet Investor Contacts
Carolyn Capaccio and Jody Burfening
LHA Investor Relations
AIOTIRTeam@lhai.com
Powerfleet Media Contact
Andrea Hayton
ahayton@powerfleet.com
+1 (610) 401-1999
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SOURCE Powerfleet