CSP Clocks Q2 Revenue Dip, But Improves Performance Over Q1

CSP Inc CSPI reported a second-quarter FY21 revenue decline of 16.6% year-on-year to $14.1 million, which grew 24% Q/Q as the company continues to navigate the impact of COVID-19.
Product revenue declined 16.5% Y/Y to $11 million, and Services revenue declined 16.7% Y/Y to $3.1 million.
The continued positive impact of a favorable revenue mix led to a gross margin improvement of 400 basis points at 31%.
The net loss was ($0.8) million with an EPS loss of ($0.20).
CSP held $20.4 million in cash and equivalents.
CSP’s ability to quickly identify unique solutions for emerging cybersecurity concerns, like the global attack that transpired in late 2020, demonstrates its commitment to developing compelling solutions to meet today’s threats, CEO Victor Dellovo said.
CSP received several purchase orders within the past 30 days following the ARIA ADR launch. CSP expects more orders in the coming quarters based on the tremendous market feedback and building pipeline for the product.
Price action: CSPI shares traded higher by 0.65% at $9.30 on the last check Tuesday.

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