NASDAQ: OSS
Bringing AI Datacenter | Corporate Profile |
Performance to the Edge | |
without Compromise | June 2021 |
Emerging Global Leader in Fast Growing AI Transportable Edge Computing Market
Key Stats (NASDAQ: OSS)
Jun Jul Aug Sep Oct Nov Dec Jan Feb Mar Apr May Jun
Stock Price (6/2/21) | $5.58 |
52-WkLow-High | $1.60-$9.50 |
Shares Outstanding | 18.5M |
Market Cap | $103M |
Avg. Daily Vol. (3-mo) | 268K |
Insider Holdings | 26.4% |
Institutional Holdings | 29.3% |
Public Float, est.1 | 73.6% |
Revenue (mrq) | $13.3M |
GAAP Net Income (mrq) | $44K |
Adjusted EBITDA (mrq) | $1.1M |
Non-GAAP Net Income (mrq) | $0.6M |
Cash & Cash Equiv. (@3/31/21) | $19.6M |
Employees | 99 |
Annual Revenue
$ millions
$58.3
$51.9
$37.0
$27.5
2017 2018 2019 2020
Company estimates COVID related loss/delay of $14M in 2020 revenue.
Senior Management
David Raun, President & CEO, Director: 25 years' senior management & board experience, including 10+ M&A/funding events.
Company Overview
About One Stop Systems (OSS)
- Industry-leadingdesigner & manufacturer of innovative AI Transportable edge computing modules and systems.
- OSS AI on the Fly® leverages the power of PCI Express, GPU accelerators and NVMe storage to build award-winning systems for industrial OEMs and government customers.
- AI data capture, AI training, and large-scale inference for defense, autonomous vehicles, oil & gas, mining, and entertainment.
- Marquee Customers: Raytheon, Lyft, National Instruments, and Disguise.
- Strategic Partners: NVIDIA, Intel, Broadcom.
Growth Market with Strong Drivers
- OSS to lead the AI Transportables market segment expected to grow from ~$200M- $400M to $1B-$5Bby 2027.2
- Market demands ruggedization, reduced size, weight & power (SWaP). OSS AI on the Fly® technology delivers high-performance computing at point of data sensor collection.
- OSS won 16 major programs valued at $1M+ each in 2019 and 2020.
News Highlights
5/13/21: Improved adj. EBITDA by $2M on expanded margins in Q1-21.Q2-21 revenue outlook of $14.4M, up 24% vs. Q2-20.3
3/31/21: Secured first production order for an autonomous long-haul truck program.
Products & Solutions
Servers | GPU Compute Accelerators |
Performance at the Edge Without Compromise
I/O Expansion | Flash Storage Arrays |
Industrials
Military Theater
AI Transportables
Global Presence
San Diego, CA | Worldwide Revenue | |
2020 | ||
Principal offices | ||
Salt Lake City, UT | ||
Software development | Int'l | US |
Gröbenzell, Germany | 56% | 44% |
Supports EMEA
Large Growth Market
Global Edge Computing Market4
John Morrison, CFO: CPA with 30 years in public accounting, financial reporting and financing. 15 years at PwC (US/Asia).
Company Contact
One Stop Systems, Inc.
Escondido, California T 760.745.9883
Investor Relations
3/25/21: Q4-20 revenue up 7% sequentially to $13.9M; net income of $244K or $0.01/share.
3/03/21: Raised net proceeds of $9.25M priced at-the-market.
1/05/21: Received fourth program win for AI 'Data Center in the Sky' for the Navy.
11/12/21: Q3-20 revenue up 12% sequentially
$6.3
$Billions$61.1
$44.2
$31.9
$23.1
$16.7
$12.0
$8.7
Ron Both, CMA IR T 949.432.7557 ir@onestopsystems.com
to $13.0M; net income of $858K or $0.05/share.
21 | 22 | 23 | 24 | 25 | 26 | 27 | 28 |
Source: Grand View Research and Zion Market Research.
mrq = most recent quarter ended 3/31/21. Stock data source: Yahoo! and OSS. Footnotes: 1) Excludes insiders and holders with more than 10% holdings; 2) Company estimate based on industry data. 3) Guidance issued and effective only as of May 13, 2021. 4)Grand View
Research Report, May 2021. Important Disclaimer: This document includes forward looking statements that involves risk and uncertainties as described in OSS's Form 10-Q filed with SEC and other filings available on www.sec.gov. This does not constitute an offer to sell or a solicitation of an offer to buy any security. No guarantee is made as to the reliability of this information; you should not rely on it as the basis to make any investment decision. 'AI on the Fly' is a registered trademark of One Stop Systems, Inc. © One Stop Systems, Inc. 2021 & 2020, All Rights Reserved. Product of CMA. 060321
Use of Non-GAAP Financial Measures and Reconciliation of Adjusted EBITDA to GAAP
Management believes that the use of adjusted earnings before interest, taxes, depreciation and amortization, or adjusted EBITDA, is helpful for an investor to assess the performance of the Company. The Company defines adjusted EBITDA as income (loss) before interest, taxes, depreciation, amortization, acquisition expenses, impairment of long-lived assets, financing costs, fair value adjustments from purchase accounting, stock-based compensation expense and expenses related to discontinued operations.
Adjusted EBITDA is not a measurement of financial performance under generally accepted accounting principles in the United States, or GAAP. Because of varying available valuation methodologies, subjective assumptions and the variety of equity instruments that can impact a company's non-cash operating expenses, management believes that providing a non-GAAP financial measure that excludes non-cash and non-recurring expenses allows for meaningful comparisons between the company's core business operating results and those of other companies, as well as providing management with an important tool for financial and operational decision making and for evaluating the company's own core business operating results over different periods of time.
The company's adjusted EBITDA measure may not provide information that is directly comparable to that provided by other companies in its industry, as other companies in the company's industry may calculate non-GAAP financial results differently, particularly related to non-recurring, unusual items. The Company's adjusted EBITDA is not a measurement of financial performance under GAAP, and should not be considered as an alternative to operating income or as an indication of operating performance or any other measure of performance derived in accordance with GAAP. Management does not consider adjusted EBITDA to be a substitute for, or superior to, the information provided by GAAP financial results.
Adjusted EBITDA
Net income (loss) attributable to common stockholders Depreciation and amortization
Amortization of deferred gain
Stock-based compensation expense
Interest income
Interest expense
Provision (benefit) for income taxes Adjusted EBITDA
For the Three Months
Ended March 31,
2021 | 2020 | ||||
$ | 41,198 | $ | (1,096,032) | ||
380,778 | 395,825 | ||||
- | (41,479) | ||||
438,394 | 207,761 | ||||
(5,300) | (24,637) | ||||
149,982 | 68,784 | ||||
60,522 | (467,298) | ||||
$ | 1,065,574 | $ | (957,076) |
Use of Non-GAAP Financial Measures and Reconciliation of Non-GAAP EPS to GAAP
Adjusted EPS excludes the impact of certain items and therefore has not been calculated in accordance with GAAP. Management believes that exclusion of certain selected items assists in providing a more complete understanding of the company's underlying results and trends and allows for comparability with its peer company index and industry. Management uses this measure along with the corresponding GAAP financial measures to manage the company's business and to evaluate its performance compared to prior periods and the marketplace. The Company defines Non-GAAP (loss) income as (loss) or income before amortization, stock-based compensation, expenses related to discontinued operations, impairment of long- lived assets and non-recurring acquisition costs. Adjusted EPS expresses adjusted (loss) income on a per share basis using weighted average diluted shares outstanding.
Adjusted EPS is a non-GAAP financial measure and should not be considered in isolation or as a substitute for financial information provided in accordance with GAAP. These non-GAAP financial measures may not be computed in the same manner as similarly titled measures used by other companies. Management expects to continue to incur expenses similar to the adjusted income from continuing operations and adjusted EPS financial adjustments described above, and investors should not infer from the company's presentation of these non-GAAP financial measures that these costs are unusual, infrequent or non-recurring.
The following table reconciles net income (loss) attributable to common stockholders and diluted earnings per share:
Adjusted Earnings Per Share
For the Three Months | |
Ended March 31, | |
2021 | 2020 |
Net income (loss) attributable to common stockholders | $ | 41,198 | $ | (1,096,032) | ||
Amortization of intangibles | 163,900 | 174,525 | ||||
Stock-based compensation expense | 438,394 | 207,761 | ||||
Non-GAAP net income attributable to common stockholders | $ | 643,492 | $ | (713,746) | ||
Non-GAAP net income per share attributable to common stockholders: | ||||||
Basic | $ | 0.04 | $ | (0.04) | ||
Diluted | $ | 0.03 | $ | (0.04) | ||
Weighted average common shares outstanding: | ||||||
Basic | 17,348,164 | 16,332,898 | ||||
Diluted | 18,642,061 | 16,332,898 |
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Disclaimer
One Stop Systems Inc. published this content on 04 June 2021 and is solely responsible for the information contained therein. Distributed by Public, unedited and unaltered, on 04 June 2021 15:14:07 UTC.