Oblong Announces Financial Results for Fourth Quarter 2024 and Provides Business Update
DENVER--(BUSINESS WIRE)--March 18, 2025--
Oblong, Inc. (Nasdaq: OBLG) ("Oblong" or the "Company"), an innovator in collaboration solutions, today reported financial results for the fourth quarter and fiscal year ending December 31, 2024, and provided updates on the Company's business and strategy.
"As of December 31, 2024, our financial footing remains strong, with $5.0 million in cash and zero debt. During Q4, we raised $231,000 from common stock warrant exercises and streamlined operations to increase efficiency, resulting in expected annual savings of $1.2 million. We believe we're on track to maintain liquidity into mid-2026. In September 2024, we proudly regained full compliance with Nasdaq's listing standards. Our focus is now on identifying impactful growth avenues, including mergers and acquisitions, to fuel a new phase of expansion. We're exploring a range of strategic possibilities--from potential business combinations and reverse mergers to a potential sale of certain assets to further expand liquidity and narrow our operating focus. Each pathway is being evaluated to maximize sustainable growth and unlock new value for our stakeholders," said Peter Holst, CEO of Oblong.
Fourth Quarter 2024 Financial Results
-- As of December 31, 2024, the Company had $5.0 million of cash and cash
equivalents and no debt.
-- Total revenue was $0.6 million for the fourth quarter of 2024 versus $0.9
million for the fourth quarter of 2023.
-- Net loss was $0.9 million for the fourth quarter of 2024 versus $1.2
million for the fourth quarter of 2023.
-- Adjusted EBITDA ("AEBITDA") loss was $0.9 million for both the fourth
quarter of 2024 and the fourth quarter of 2023. AEBITDA loss is a
non-GAAP financial measure. See "Non-GAAP Financial Information" below
for additional information regarding this non-GAAP financial measure, and
"GAAP to Non-GAAP Reconciliation" for a reconciliation of this non-GAAP
financial measure to net loss.
Non-GAAP Financial Information
Adjusted EBITDA ("AEBITDA") loss, a non-GAAP financial measure, is defined as net loss before amortization, stock-based compensation and expense, impairment charges, casualty gain (insurance proceeds), income tax expense, and interest income, net. AEBITDA loss is not intended to replace operating loss, net loss, cash flow, or other measures of financial performance reported in accordance with generally accepted accounting principles (GAAP). Rather, AEBITDA loss is an important measure used by management to assess the operating performance of the Company and to compare such performance between periods. AEBITDA loss, as defined here, may not be comparable to similarly titled measures reported by other companies due to differences in accounting policies. Therefore, AEBITDA loss should be considered in conjunction with net loss and other performance measures prepared in accordance with GAAP, such as operating loss or cash flow used in operating activities, and should not be considered in isolation or as a substitute for GAAP measures, such as net loss, operating loss or any other GAAP measure of liquidity or financial performance. A GAAP to non-GAAP reconciliation of net loss to AEBITDA loss is shown under "GAAP to Non-GAAP Reconciliation" later in this release.
About Oblong, Inc.
Oblong (Nasdaq: OBLG) provides innovative and patented technologies that change how people work, create, and communicate. Oblong's flagship product Mezzanine$(TM)$ is a remote meeting technology platform that offers simultaneous content sharing to achieve situational awareness for both in-room and remote collaborators. Oblong supplies Mezzanine systems to Fortune 500 and enterprise customers. For more information, visit www.oblong.com and Oblong's Twitter and Facebook pages.
Forward-looking and cautionary statements
This press release and any oral statements made regarding the subject of this release contain forward-looking statements as defined under Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended, and are made under the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. All statements, other than statements of historical facts, that address activities that Oblong assumes, plans, expects, believes, intends, projects, estimates, or anticipates (and other similar expressions) will, should, or may occur in the future are forward-looking statements. Oblong's actual results may differ materially from its expectations, estimates, and projections, and consequently, you should not rely on these forward-looking statements as predictions of future events. Without limiting the generality of the foregoing, forward-looking statements contained in this press release include statements relating to (i) the Company's exploration of strategic alternatives, including the Company's goal to forge partnerships with select early-stage technology companies and the mission to deliver innovative technology solutions, and (ii) the Company's liquidity and operating expense projections. There can be no assurance that the strategic review being undertaken will result in a merger, sale, or other business combination involving the Company. The forward-looking statements are based on management's current belief, based on currently available information, as to the outcome and timing of future events and involve factors, risks, and uncertainties, including the volatility of market price for our securities, that may cause actual results in future periods to differ materially from such statements. A list and description of these and other risk factors can be found in the Company's Annual Report on Form 10-K for the year ending December 31, 2024, and in other filings made by the Company with the SEC from time to time. Any of these factors could cause Oblong's actual results and plans to differ materially from those in the forward-looking statements. Therefore, the Company cannot give any assurance that its future results will be as estimated. The Company does not intend to, and disclaims any obligation to, correct, update, or revise any information contained herein.
OBLONG, INC.
CONDENSED CONSOLIDATED BALANCE SHEETS
($ in thousands, except par value and stated value)
December 31, December 31,
2024 2023
-------------- --------------
ASSETS
Current assets:
Cash and cash equivalents $ 4,965 $ 5,990
Accounts receivable, net 186 424
Inventory, net -- 239
Prepaid expenses and other
current assets 118 243
---------- ----------
Total current assets 5,269 6,896
Operating lease, right-of-use
assets, net -- 17
Other assets 6 12
---------- ----------
Total assets $ 5,275 $ 6,925
========== ==========
LIABILITIES AND STOCKHOLDERS'
EQUITY
Current liabilities:
Accounts payable 105 211
Accrued expenses and other
current liabilities 1,131 1,038
Current portion deferred revenue 36 132
Operating lease liabilities,
current -- 17
---------- ----------
Total current liabilities 1,272 1,398
Long-term liabilities:
Deferred revenue, net of current
portion -- 26
---------- ----------
Total long-term liabilities -- 26
---------- ----------
Total liabilities 1,272 1,424
---------- ----------
Commitments and contingencies (see
Note 14)
Stockholders' equity:
Preferred stock Series F,
convertible; $.0001 par value;
$573,555 stated value; 42,000
shares authorized, 545 and
1,930 shares issued and
outstanding on December 31,
2024 and December 31, 2023,
respectively -- --
Common stock, $.0001 par value;
150,000,000 shares authorized;
1,144,926 shares issued and
1,144,737 shares outstanding on
December 31, 2024,
respectively, and 573,644
shares issued and 573,455
outstanding on December 31,
2023, respectively -- --
Treasury stock, 189 common
shares on December 31, 2024 and
2023 (181) (181)
Additional paid-in capital 236,458 233,913
Accumulated deficit (232,274) (228,231)
---------- ----------
Total stockholders' equity 4,003 5,501
---------- ----------
Total liabilities and
stockholders' equity $ 5,275 $ 6,925
========== ==========
OBLONG, INC.
CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS
($ in thousands) (Unaudited)
Three Months
Ended Year Ended
December 31, December 31,
---------------- -----------------
2024 2023 2024 2023
------ ------- ------- -------
Revenue $ 563 $ 944 $ 2,378 $ 3,810
Cost of revenue (exclusive
of amortization) 428 655 2,047 2,899
----- ------ ------ ------
Gross profit 135 289 331 911
Operating expenses:
Research and
development 2 4 155 20
Sales and marketing 4 68 181 309
General and
administrative 1,058 1,147 4,197 4,870
Amortization -- 86 -- 345
Impairment charges -- 260 -- 262
Casualty gain
(insurance proceeds) -- -- -- (400)
----- ------ ------ ------
Total operating expenses 1,064 1,565 4,533 5,406
----- ------ ------ ------
Operating loss (929) (1,276) (4,202) (4,495)
----- ------ ------ ------
Interest income, net (45) (44) (169) (138)
----- ------ ------ ------
Loss before income taxes (884) (1,232) (4,033) (4,357)
Income tax expense -- (11) 10 27
----- ------ ------ ------
Net loss $ (884) $(1,221) $(4,043) $(4,384)
===== ====== ====== ======
GAAP to Non-GAAP Reconciliation:
Three Months
Ended Year Ended
December 31, December 31,
--------------- -----------------
2024 2023 2024 2023
----- ------- ------- -------
Net loss $(884) $(1,221) $(4,043) $(4,384)
Amortization -- 86 -- 345
Severance -- -- 105 --
Interest income, net (45) (44) (169) (138)
Income tax expense -- (11) 10 27
Impairment charges -- 260 -- 262
Casualty gain
(insurance proceeds) -- -- -- (400)
Stock-based
compensation and
expense -- 31 62 504
---- ------ ------ ------
Adjusted EBITDA loss $(929) $ (899) $(4,035) $(3,784)
==== ====== ====== ======
View source version on businesswire.com: https://www.businesswire.com/news/home/20250318702876/en/
CONTACT: Investor Relations Contact
David Clark
investors@oblong.com
(213) 683-8863 ext. 5
(END) Dow Jones Newswires
March 18, 2025 16:10 ET (20:10 GMT)
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