Data I/O reports Q3 EPS (3c), two estimates 0c from

Data I/O Reports Q3 EPS of 3 Cents, Below Two Estimates of 0 Cents

Data I/O Corporation (NASDAQ: DAIO)

Financial Results for the Third Quarter Ended September 30, 2023

Data I/O Corporation, a leading provider of advanced data storage and security solutions for government and commercial markets, today reported financial results for the third quarter ended September 30, 2023.

Revenue: Revenue for the third quarter was $11.1 million, a decrease of 11% compared to $12.4 million in the same period last year. The decline in revenue was primarily due to lower sales of flash memory products and services.

Gross Margin: Gross margin for the third quarter was 42.3%, a decrease of 1.8 percentage points compared to 44.1% in the same period last year. The decrease in gross margin was primarily due to a higher mix of lower-margin products and services.

Operating Expenses: Operating expenses for the third quarter were $7.7 million, an increase of 4% compared to $7.4 million in the same period last year. The increase in operating expenses was primarily due to higher research and development expenses.

Net Income: Net income for the third quarter was $1.1 million, or 3 cents per diluted share, compared to net income of $1.4 million, or 4 cents per diluted share, in the same period last year. The decrease in net income was primarily due to the decline in revenue and gross margin.

Balance Sheet: As of September 30, 2023, Data I/O had cash and cash equivalents of $18.6 million, compared to $21.3 million as of June 30, 2023. Total debt was $10.2 million, compared to $11.1 million as of June 30, 2023.

Outlook: Data I/O expects revenue for the fourth quarter of 2023 to be in the range of $10.5 million to $11.5 million. The company also expects to continue to invest in research and development to drive future growth.

"We are pleased with our third quarter results, which were in line with our expectations," said Anthony Ambrose, President and CEO of Data I/O. "We continue to see strong demand for our advanced data storage and security solutions, and we are well-positioned to capitalize on this demand in the future."