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Rimage (RIMG) Cuts Q4 Outlook on Qumu Impact

January 23, 2012 6:32 AM EST
RIMG Hot Sheet
Financial Fact:
Product: 7.59M

Today's EPS Names:
TARO, BRLI, TLB, More
Rimage Corporation (Nasdaq: RIMG) sees Q411 revs of about $22 million and non-GAAP loss of 15 cents to 17 cents per share.

The Street was looking for revs of $24.8 million and EPS of 11 cents.

The Company had previously provided guidance for fourth quarter 2011 revenue of between $24 and $26 million, which included a $4 to $5 million contribution from Qumu. It had estimated fourth quarter non-GAAP 2011 earnings per share, including $1.3 million of Qumu transaction costs but excluding the impact of amortization of intangibles, of between $(0.02) and $0.01.

The Company also announced that it expects to generate cash from operations in the fourth quarter. In addition, through its quarterly dividend and stock repurchase activities, it returned almost $4 million back to shareholders during the fourth quarter.

For the full year, the Company expects revenue of approximately $84 million. GAAP earnings per share are estimated to be between $0.28 and $0.30. These earnings include the amortization of Qumu intangibles and one time Qumu transaction costs of $1.7 million. After the impact of the Qumu acquisition, quarterly dividend and stock repurchase activity, the Company expects to end fiscal 2011 with approximately $70 million in cash on the balance sheet. The Street is currently modeling revs of $86.8 million and EPS of 57 cents.


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