Novatel Wireless Announces Full Year 2011 Preliminary Financial Results

Novatel Wireless, Inc., a leading provider of intelligent wireless solutions, has announced its preliminary financial results for the fourth quarter and full year ended Dec. 31, 2011.

The company officials said that their company’s full-year revenue is up by 19 percent and their adjusted EBITDA is $3.7 Million compared to previous years result which was $2.6 Million.

The gross margin is said to be 23.4 percent of revenue on a GAAP basis and on a non-GAAP basis, gross margin was 24.5 percent, an increase of approximately 460 basis points over the fourth quarter of 2010.

Peter Leparulo, Chairman and CEO of Novatel Wireless said that for the 2011 full year, the company achieved revenue growth of 19 percent.

"And after a disappointing first quarter due to delayed product launches, we generated three consecutive quarters of improvements, on a non-GAAP basis, in gross margins, net income, and adjusted EBITDA. Over these last three quarters, we generated adjusted EBITDA of $10.2 million, ending the year with cash and marketable securities of $88.8 million and no debt,” Leparulo added.

Leparulo further said that they continue to see strong market demand for the family of MiFi intelligent mobile hotspots and the MiFi products are leading the evolution of mobile broadband data, and the company expects to advance the MiFi product family in 2012.

In addition, Novatel Wireless has introduced the global-ready 4G LTE MiFi 4620L, the next generation of MiFi Intelligent Mobile Hotspot for Verizon Wireless. The MiFi 4620L creates a personal Wi-Fi cloud, capable of sharing high-speed 4G LTE and 3G mobile broadband Internet connectivity with up to 10 Wi-Fi-enabled devices. With the global-ready MiFi 4620L, Verizon Wireless customers will have access to wireless data service in more than 205 countries.

The company has also announced its expansion of its machine-to-machine (M2M) portfolio with two new modules, Enabler HS 3001 and HS 3002, which add CDMA2000 1X and HSDPA capabilities to the portfolio.

Leparulo concluded, "In our M2M segment, which we established at the end of 2010 with the acquisition of Enfora, we are aggressively bringing CDMA and 3G capabilities into our portfolio – including high-end integrated solutions and M2M embedded solutions.”

These advances will allow the company to address a wide range of vertical markets, such as transportation, security, healthcare, and energy management, with a complete portfolio of asset-management and embedded solutions.