Report of Foreign Issuer (6-k)

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UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

Washington D.C. 20549

FORM 6-K

Report of Foreign Private Issuer

Pursuant to Rule 13a-16 or 15d-16 of

the Securities Exchange Act of 1934

For the month of April 2015 (Report No. 1)

Commission File Number: 0-29452

RADCOM LTD.

(Translation of registrant’s name into English)

24 Raoul Wallenberg Street, Tel Aviv 69719, Israel

(Address of principal executive offices)

 

Indicate by check mark whether the registrant files or will file annual reports under cover of Form 20-F or Form 40-F:

Form 20-F x    Form:40-F o

Indicate by check mark if the registrant is submitting the Form 6-K in paper as permitted by Regulation S-T Rule 101(b)(1): N/A

Indicate by check mark if the registrant is submitting the Form 6-K in paper as permitted by Regulation S-T Rule 101(b)(7): N/A

 

 

 

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THIS FORM 6-K IS HEREBY INCORPORATED BY REFERENCE INTO RADCOM LTD.’S REGISTRATION STATEMENTS ON FORM S-8 (REGISTRATION STATEMENT NOS. 333-13250, 333-111931, 333-123981, 333-190207, 333-195465 AND 333-203087) AND FORM F-3 (REGISTRATION STATEMENT NOS. 333-170512 AND 333-189111), AND SHALL BE A PART THEREOF FROM THE DATE ON WHICH THIS REPORT IS FILED, TO THE EXTENT NOT SUPERSEDED BY DOCUMENTS OR REPORTS SUBSEQUENTLY FILED OR FURNISHED.

 

CONTENTS

This report on Form 6-K of the registrant consists of the following document, which is attached hereto and incorporated by reference herein:

Exhibit 99.1

Press Release: RADCOM REPORTS STRONG RESULTS FOR Q1 2015: 16% REVENUE GROWTH, RECORD 82% GROSS MARGIN, $1.3M OPERATING PROFIT, $0.10 EPS (NON-GAAP), dated April 28th,  2015.

 

 

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SIGNATURES

Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned, thereunto duly authorized.

 

	RADCOM LTD.
Date: April 28, 2015	By:	/s/ Uri Birenberg
	Name:	Uri Birenberg
	Title:	CFO

 

 

 

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EXHIBIT INDEX

 

Exhibit Number	Description of Exhibit
99.1	Press Release: RADCOM REPORTS STRONG RESULTS FOR Q1 2015: 16% REVENUE GROWTH, RECORD 82% GROSS MARGIN, $1.3M OPERATING PROFIT, $0.10 EPS (NON-GAAP), dated April 28th, 2015.

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Exhibit 99.1

 

 

FOR IMMEDIATE RELEASE

RADCOM REPORTS STRONG RESULTS FOR Q1 2015:

16% REVENUE GROWTH, RECORD 82% GROSS MARGIN,

$1.3M OPERATING PROFIT, $0.10 EPS (NON-GAAP)

TEL-AVIV, Israel – April 28, 2014-- RADCOM Ltd. (NASDAQ: RDCM), a leading provider of service assurance and customer experience solutions, today reported its financial results for the first quarter ended March 31, 2015.

In $ thousands		Q1 2015				Q1 2014				YOY Change				Q4 2014
Revenues		$	6,354			$	5,471				16.1	%		$	7,188
Gross margin			82.2	%			67.6	%			-				74.6	%
Operating margin (non-GAAP)			20.1	%			0.8	%			-				31.4	%
Net profit (loss) (GAAP)		$	437			$	110				297	%		$	(367	)
Net profit (non-GAAP)		$	821			$	248				231	%		$	1,795

 

Financial Results

RADCOM’s revenues for the first quarter increased by 16.1% to $6.4 million from $5.5 million in the first quarter of 2014. Gross margin (non-GAAP) for the quarter reached 82.2%, an all-time record for the Company and well above its long-term target of >75%, reflecting the predominance of software-based MaveriQ deployments in the revenue mix. With higher revenues, a record gross margin and steady expenses, the Company achieved $1.3 million in non-GAAP operating profit and a 20.1% operating margin.

GAAP-based net income for the quarter totaled $437,000, or $0.05 per ordinary share (basic and diluted), a 297% increase compared with $110,000, or $0.01 per ordinary share (basic and diluted), in the first quarter of 2014. On a non-GAAP basis, net income totaled $821,000, or $0.09 per ordinary diluted share ($0.10 per basic share), a 231% increase compared with $248,000, or $0.03 per ordinary share (basic and diluted), in the first quarter of 2014.

 

 

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Comments of Management

“We are very pleased with our Q1 results, which continue to demonstrate the positive effect that the MaveriQ solution has had on our revenues, profits and margins,” commented Mr. David Ripstein, RADCOM’s President and CEO.

“We are very pleased that MaveriQ has proven to be such a good fit for market needs, and that it continues to lead in terms of both innovation and quality. Its shorter deployment cycle, coupled with the operational improvements that we implemented last year, are enabling us to recognize revenues more rapidly than in the past – often in just months rather than years. This is enhancing customer satisfaction while reducing our risk, deployment expenses and inventory, giving us the healthy business platform that we need to support continued growth in the year ahead. To leverage MaveriQ’s full market potential, we have increased – and continue to increase – our sales and marketing force.”

Earnings Conference Call

RADCOM's management will hold an interactive conference call today at 9:00 AM Eastern Time (16:00 Israel Time) to discuss the results and to answer participants' questions. During the conference call, Management will be referring to a presentation that is available from the investor section of RADCOM’s website at www.radcom.com/investor-relations.

 

To join the call, please call one of the following numbers approximately five minutes before the call is scheduled to begin:

 

From the US (toll-free): + 1-888-668-9141

 

From other locations: [phone]

 

For those unable to listen to the call at the time, a replay will be available from April 24th on RADCOM's website.

 

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Contact:

Uri Birenberg

CFO

([phone]

[e-mail]

Tally Kaplan Porat

Director of Marketing Communications

+972.52.2455708

+1 408.805.3009

[e-mail]

 

 

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About RADCOM 

RADCOM provides innovative service assurance and customer experience management solutions for leading telecom operators and communications service providers. RADCOM specializes in solutions for next-generation mobile and fixed networks, including LTE, VoLTE, IMS, VoIP, UMTS/GSM and mobile broadband. RADCOM's comprehensive, carrier- grade solutions are designed for big data analytics on terabit networks, and are used to prevent service provider revenue leakage and to enhance customer care management. RADCOM's products interact with policy management to provide self-optimizing network solutions. RADCOM's shares are listed on the NASDAQ Capital Market under the symbol RDCM. For more information, please visit www.radcom.com

Non-GAAP Information

Certain non-GAAP financial measures are included in this press release. These non-GAAP financial measures are provided to enhance the reader's overall understanding of our financial performance. By excluding non-cash stock-based compensation that has been expensed in accordance with ASC Topic 718, our non-GAAP results provide information to both management and investors that is useful in assessing our core operating performance and in evaluating and comparing our results of operations on a consistent basis from period to period. These non-GAAP financial measures are also used by management to evaluate financial results and to plan and forecast future periods.  The presentation of this additional information is not meant to be considered a substitute for the corresponding financial measures prepared in accordance with GAAP.

 

Risks Regarding Forward-Looking Statements

 

Certain statements made herein that use words such as “estimate,” “project,” “intend,” “expect,” “'believe”, "may", "might", "predict", "potential", "anticipate", "plan" or similar expressions are intended to identify forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. These forward-looking statements involve known and unknown risks and uncertainties that could cause the actual results, performance or achievements of the Company to be materially different from those that may be expressed or implied by such statements, including, among others, changes in general economic and business conditions and specifically, decline in the demand for the Company’s products, inability to timely develop and introduce new technologies, products and applications, and loss of market share and pressure on prices resulting from competition. For additional information regarding these and other risks and uncertainties associated with the Company’s business, reference is made to the Company’s reports filed from time to time with the United States Securities and Exchange Commission. The Company does not undertake to revise or update any forward-looking statements for any reason.

 

 

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RADCOM Ltd.

Consolidated Statements of Operations

(1000's of U.S. dollars, except share and per share data)

		Three months ended March 31,
		2015				2014
		(unaudited)				(unaudited)
Sales		$	6,354			$	5,471
Cost of sales			1,138				1,772
Gross profit			5,216				3,699
Research and development, gross			1,638				1,568
Less - royalty-bearing participation			-				298
Research and development, net			1,638				1,270
Sales and marketing			2,041				1,947
General and administrative			641				578
Total operating expenses			4,320				3,795
Operating profit (loss)			896				(96	)
Financing income (expenses), net			(452	)			206
Income before taxes			444				110
Taxes			(7	)			-
Net profit		$	437			$	110
Basic and diluted net income (loss) per ordinary Share		$	0.05			$	0.01
Weighted average number of ordinary shares used in     computing basic net income (loss) per ordinary share			8,464,565				7,972,326
Weighted average number of ordinary shares used in     computing diluted net income  (loss) per ordinary share			9,039,676				8,467,374

 

 

 

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 RADCOM Ltd.

RECONCILIATION OF GAAP TO NON-GAAP FINANCIAL INFORMATION

(1000's of U.S. dollars, except share and per share data)

		Three Months Ended
		March 31,
		2015				2014
		(unaudited)				(unaudited)
GAAP net income (loss)		$	437			$	110
Stock-based compensation (1)			384				138
Non-GAAP net income  (loss)		$	821			$	248
Non-GAAP  net income (loss) per share (basic)		$	0.10			$	0.03
Non-GAAP  net income (loss) per share (diluted)		$	0.09			$	0.03
Number of shares used in computing Non-GAAP net income  (loss) per share (basic)			8,464,565				8,510,132
Number of shares used in computing Non-GAAP net income  (loss) per share (diluted)			9,039,676				8,467,374
(1) Stock-based compensation:
Cost of sales			9				4
Research and development			165				46
Sales and marketing			91				50
General and administrative			119				38
			384				138

 

 

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RADCOM Ltd. Consolidated Balance Sheets (1000's of U.S. dollars)

 

		As of				As of
		March 31, 2015				December 31, 2014
		(unaudited)				(audited)
Current Assets
Cash and cash equivalents			3,974				6,848
Restricted cash			31				32
Trade receivables, net			8,265				5,477
Inventories			2,010				2,699
Other receivables			1,934				1,411
Total Current Assets			16,214				16,467
Severance pay fund			2,903				3,051
Other long-term receivables			-				600
Property and equipment, net			194				200
Total Assets			19,311				20,318
Liabilities and Shareholders' Equity
Current Liabilities
Trade payables			1,087				1,524
Deferred revenue and advances from customers			647				765
Employee and payroll accruals			2,009				2,377
Other payables and accrued expenses			1,619				1,739
Total Current Liabilities			5,362				6,405
Long-Term Liabilities
Deferred revenue			167				198
Accrued severance pay			3,394				3,453
Total Long-Term Liabilities			3,561				3,651
Total Liabilities			8,923				10,056
Shareholders' Equity
Share capital			364				361
Additional paid-in capital			66,623				68,059
Accumulated other comprehensive loss			(1,908	)			(1,062	)
Accumulated deficit			(54,691	)			(57,096	)
Total Shareholders' Equity			10,388				10,262
Total Liabilities and Shareholders' Equity			19,311				20,318

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