Synchronoss Technologies, Inc. (NASDAQ:SNCR) took its lumps Wednesday morning, after it reported Tuesday lower-than-expected earnings and sales for its fourth quarter.
The company based out of Bridgewater, New Jersey, claiming to be "a global leader and innovator in cloud, messaging, digital and IoT platforms and products", reported revenue was $82.1 million, including 83% recurring revenue.
GAAP net loss for the quarter was $101.9 million, or $2.56 per share, which included $109.1 million of pretax non-cash asset impairments.
Synchronoss delivered $15.4 million of adjusted EBITDA, up 64.9% from $9.4 million in the third quarter. Adjusted EBITDA margin in the fourth quarter reached 18.8%, up 67.3% from 11.2% in the third quarter.
CEO Glenn Lurie said, "Our fourth-quarter financial results show that Synchronoss continues to meet its financial and operational commitments to shareholders. We delivered positive adjusted EBITDA for the second straight quarter and the third straight quarter of improvement, adjusted EBITDA margins reached their highest level of the year, and we delivered nearly $30 million of cash flow from operations.”
Also on Tuesday, Synchronoss announced a new Cloud agreement with Assurant, Inc. which will white-label our Synchronoss cloud platform for its Pocket Geek solution which is offered in their device protection bundles.
Earlier in the quarter, Synchronoss forged a partnership with Rackspace, which will utilize the DXP platform to enhance its internal operational efficiencies and journeys, as well as resell the entire Synchronoss DXP platform and product suite to its global customer portfolio.
Synchronoss shares trudged $1.34, or 16.3%, lower to $6.90 late Wednesday morning.
