Why Communication Device Company ClearOne Shares Are Rocketing Today

ClearOne Inc CLRO shares are trading higher by around 15% after the company stated that it disclosed an improvement in its balance sheet through debt repayments and tax refunds.

The company eradicated the remaining debt with a final $1.0 million principal payment on its $3.0 million in senior secured convertible notes on Dec. 17.

Also, the company received an income tax refund of $6.9 million on Dec. 8, 2023.

Apart from this, CLRO recently finalized a non-exclusive patent cross-licensing agreement and expects to receive additional cash of $4.0 million from the agreement in Q1 2024.

Derek Graham, CEO of ClearOne said, "With over $23 million in cash and no debt, and more cash to come, we are entering the new year well-positioned to execute on our growth objectives." 

"We believe that our robust balance sheet provides us a strong financial foundation as we work to capture additional market share, finalize our manufacturing transition, and continue new product rollouts in 2024."

Price Action: CLRO shares are up 14.7% at 97 cents at last check Thursday.

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