ADDING and REPLACING Boxlight Reports First Quarter 2018 Financial Results – Business Wire (press release)

LAWRENCEVILLE, Ga.–()–Add after last paragraph of release: Boxlight Corporation Consolidated
Balance Sheets, Boxlight Corporation Consolidated Statements of
Operations and Comprehensive Loss, Boxlight Corporation Reconciliation
of Net Loss to EBITDA, Boxlight Corporation Reconciliation of Net Loss
to Adjusted EBITDA.

The corrected release reads:


Boxlight Corporation (Nasdaq: BOXL) (“Boxlight”), a leading provider of
technology solutions for the global learning market, today announced the
Company’s financial results for the first quarter ended March 31, 2018.

First Quarter 2018 Financial Highlights

  • Revenue of $6.0 million increased 43.0% from $4.2 million in the first
    quarter of 2017.
  • Gross profit of $1.5 million increased 23.4% from $1.2 million in the
    first quarter of 2017. Gross margin was 24.7% compared to 28.6% in the
    first quarter of 2017.
  • Operating expenses of $3.3 million increased 23.5% from $2.6 million
    in the first quarter of 2017. Loss from operations was $(1.8) million,
    compared to a loss of $(1.4) million in the first quarter of 2017.
  • Net loss was $(1.9) million, or $(0.20) per share, compared to a net
    loss of $(1.6) million, or $(0.34) per share, in the first quarter of
  • Adjusted EBITDA was a loss of $(1.1) million, compared to a loss of
    $(1.1) million in the first quarter of 2017.

Management Commentary

“We are pleased to build on our 2017 performance with a very strong
first quarter. Revenues were up over 40 percent year-over-year, led by
the continued expansion in our network of reseller partners, growing
adoption of our existing product suite and continued product
introductions,” commented Mark Elliott, chief executive officer of
Boxlight. “Growth in our reseller network is an important component of
our organic growth strategy.”

“We intend to complement our growth with strategic acquisitions,” added
Mr. Elliott. “With this in mind, we are pleased to announce our
acquisition of Cohuba, a touch display technology firm based in the U.K.
We look forward to leveraging Cohuba’s experienced sales and operational
team and channel partner network in this important market.”

Mr. Elliott concluded, “Subsequent to quarter end, we were awarded
several significant contracts to deliver Boxlight’s comprehensive suite
of products and services to students in thousands of additional U.S.
classrooms this year. We are seeing unprecedented adoption of technology
solutions in the education market, and we exited the quarter with the
strongest sales pipeline in our history. We remain confident that our
comprehensive, integrated product and software suite uniquely position
Boxlight as a thought leader in the educational technology market.”

Recent Developments

During the quarter, the company entered into new partnerships with
Kansas City Audio Visual (KVAC), a leading reseller in the Midwest; TEQ,
a New York-based reseller for the Company’s portable STEM lab, tables,
peripherals and supporting products; and Whalley Computer Associates, a
prominent reseller in New England. Boxlight will work with these trusted
reseller partners to introduce the Company’s interactive and
collaborative learning solutions into additional K-12 classrooms in the

On May 14, 2018, the Company announced its acquisition of United
Kingdom-based Cohuborate Ltd. (“Cohuba”), from a family trust of Tony
Cann, founder of Promethean. Cohuba is a developer of touch display
technology for the education, government and business markets. Through
the acquisition, Boxlight gains Cohuba’s experienced sales and
operations team, and strong network of reseller partners to distribute
Boxlight’s technology solutions to the education market throughout the
United Kingdom. Boxlight will relaunch the Cohuba brand in 2018 as its
global business and government solution. The acquisition also expands
the company’s advisory panel with the addition of Mr. Paul Pickup,
former chief operating officer of Promethean and Mr. Andy Pennington,
founder and CEO of Cohuba, and previously head of product at Promethean.

Boxlight acquired Cohuba for approximately $1.8 million through the
issuance of 257,200 shares of common stock at a price of $7 per share.

First Quarter 2018 Financial Results Conference Call

Management will host a conference call to discuss the first quarter 2018
financial results today, Tuesday, May 15, 2018 at 4:30 p.m. Eastern
Time. The conference call details are as follows:

Date: Tuesday, May 15, 2018
Time: 4:30 p.m. Eastern Time / 1:30 p.m. Pacific Time
Dial-in: 1-877-407-9716 (Domestic)

1-201-493-6779 (International)

Conference ID: 13679065


For those unable to participate during the live broadcast, a replay of
the call will also be available from 7:30 p.m. Eastern Time on May 15,
2018 through 11:59 p.m. Eastern Time on May 29, 2018 by dialing
1-844-512-2921 (domestic) and 1-412-317-6671 (international) and
referencing the replay pin number: 13679065.

Use of Non-GAAP Financial Measures

To supplement Boxlight’s financial statements presented on a GAAP
basis, Boxlight provides EBITDA and Adjusted EBITDA as supplemental
measures of its performance.

To provide investors with additional insight and allow for a more
comprehensive understanding of the information used by management in its
financial and decision-making surrounding pro forma operations, we
supplement our consolidated financial statements presented on a basis
consistent with U.S. generally accepted accounting principles, or GAAP,
with EBITDA and Adjusted EBITDA, non-GAAP financial measures of
earnings. EBITDA represents net income before income tax expense
(benefit), interest income, interest expense, depreciation and
amortization. Adjusted EBITDA represents EBITDA plus stock-based
compensation and non-recurring IPO expenses. Our management uses EBITDA
and Adjusted EBITDA as financial measures to evaluate the profitability
and efficiency of our business model. We use these non-GAAP financial
measures to access the strength of the underlying operations of our
business. These adjustments, and the non-GAAP financial measures that
are derived from them, provide supplemental information to analyze our
operations between periods and over time. We find this especially useful
when reviewing pro forma results of operations, which include large
non-cash amortizations of intangible assets from acquisitions and
stock-based compensation. Investors should consider our non-GAAP
financial measures in addition to, and not as a substitute for,
financial measures prepared in accordance with GAAP.

About Boxlight Corporation

Boxlight Corporation (Nasdaq: BOXL) (“Boxlight”) is a leading provider
of technology solutions for the global education market. The company
aims to improve learning and engagement in classrooms and to help
educators enhance student outcomes, by developing the products they
need. The company develops, sells, and services its integrated,
interactive solution suite including software, classroom technologies,
professional development and support services. For more information
about the Boxlight story, visit

Forward Looking Statements

This press release may contain information about Boxlight’s view of its
future expectations, plans and prospects that constitute forward-looking
statements. Actual results may differ materially from historical results
or those indicated by these forward-looking statements as a result of a
variety of factors including, but not limited to, risks and
uncertainties associated with its ability to maintain and grow its
business, variability of operating results, its development and
introduction of new products and services, marketing and other business
development initiatives, competition in the industry, etc. Boxlight
encourages you to review other factors that may affect its future
results in Boxlight’s filings with the Securities and Exchange

Boxlight Corporation
Consolidated Balance Sheets
March 31,     December 31,
2018   2017

Current Assets:

Cash and cash equivalents



$     2,010,325
Accounts receivable – trade, net of allowance 3,083,668 3,089,932
Inventories, net of reserve 3,738,723 4,626,569
Prepaid expenses and other current assets       1,227,995         388,006  
Total current Assets 8,498,731 10,114,832
Property and equipment, net of accumulated depreciation 25,095 29,752
Intangible assets, net of accumulated amortization 5,943,368 6,126,558
Goodwill 4,181,991 4,181,991
Other assets       316         292  
Total Assets




  $     20,453,425  
Current liabilities:
Accounts payable and accrued expenses



$ 2,994,918
Accounts payable and accrued expenses – related parties 4,739,569 4,391,713
Short-term debt 819,960 752,449
Short-term debt – related parties 54,000 54,000
Convertible notes payable – related parties 50,000 50,000
Deferred revenues – short term       483,243         1,127,423  
Total current liabilities       8,561,862         9,370,503  
Deferred revenues – long term       175,915         175,294  
Total liabilities       8,737,777         9,545,797  
Commitments and contingencies
Stockholders’ equity:
Preferred stock, $0.0001 par value, 50,000,000 shares authorized;
250,000 shares issued and outstanding
25 25
Common stock, $0.0001 par value, 200,000,000 shares authorized;
9,648,197 and 9,558,997 Class A shares issued and outstanding,
965 956
Additional paid-in capital 24,655,946 23,740,751
Subscriptions receivable (325 ) (325 )
Accumulated deficit (14,701,902 ) (12,785,931 )
Other comprehensive loss       (42,985 )       (47,848 )
Total stockholders’ equity       9,911,724         10,907,628  
Total liabilities and stockholders’ equity




  $     20,453,425  
Boxlight Corporation
Consolidated Statements of Operations and Comprehensive Loss
  Three Months Ended March 31,
2018 2017




$     4,194,429
Cost of revenues       4,515,713         2,994,683  
Gross profit       1,480,972         1,199,746  

Operating expenses:

General and administrative expenses 3,169,787 2,451,206
Research and development       92,505         190,445  

Total operating expenses

      3,262,292         2,641,651  
Loss from operations       (1,781,320 )       (1,441,905 )
Other income (expense):

Interest expense, net

(146,928 ) (169,091 )
Other income (expense), net (13,461 ) 49,646
Gain on settlement of debt       25,738          
Total other income (expense)       (134,651 )       (119,445 )
Net loss       (1,915,971 )       (1,561,350 )
Comprehensive loss:
Net loss (1,915,971 ) (1,561,350 )
Other comprehensive loss:
Foreign currency translation loss       4,863         (23,713 )
Total comprehensive loss       (1,911,108 )       (1,585,063 )
Net loss per common share – basic and diluted





$     (0.34 )
Weighted average number of common shares outstanding – basic and
      9,617,233         4,621,687  
Boxlight Corporation
Reconciliation of Net Loss to EBITDA
Three Months Ended March 31,
2018 2017

Net loss

$     (1,916 ) $     (1,561 )
Depreciation and amortization 188 192
Interest expense       147         169  
EBITDA $     (1,581 ) $     (1,200 )
Boxlight Corporation
Reconciliation of Net Loss to Adjusted EBITDA
Three Months Ended March 31,
2018 2017

Net loss

$     (1,916 ) $     (1,561 )
Depreciation and amortization 188 192
Interest expense 147 169
Stock compensation expense 497 47
Non-recurring IPO expenses               53  
Adjusted EBITDA $     (1,084 ) $     (1,100 )

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