Cyan Reports 2013 Results
PETALUMA, Calif. -- Cyan (NYSE: CYNI), a leading provider of software-defined networking (SDN) and packet-optical solutions for network operators, today announced financial results for its year and fourth quarter ended December 31, 2013.
Revenue in 2013 grew 22 percent to $116.6 million, compared with $95.9 million in 2012. GAAP net loss for 2013 was $40.7 million, or $1.32 per share, compared with a net loss of $16.6 million, or $6.60 per share in 2012. Non-GAAP net loss for 2013 was $30.9 million, or $1.00 per share, compared with non-GAAP net loss of$9.2 million, or $3.64 per share in 2012.
“Overall, 2013 was a very important year for Cyan as our packet-optical technology and SDN software was deployed as part of customer network transformation efforts around the globe,” said Mark Floyd, Cyan’s chairman and chief executive officer. “We are proud to be at the forefront of this transformation, and while we are still in the very early stages, we are excited about the traction we are gaining with our Z-Series packet-optical and Blue Planet SDN solutions."
Revenue for the fourth quarter of 2013 was $20.9 million compared with $29.8 million in the fourth quarter of 2012 and $37.7 million for the third quarter of 2013. GAAP net loss for the fourth quarter was $13.7 million, or $0.29 per share, compared with a net loss of $8.0 million, or $3.13 per share, in the same period last year, and a net loss of $8.6 million, or $0.19 per share, for the third quarter of 2013.
On a non-GAAP basis, Cyan's net loss for the fourth quarter was $11.5 million, or $0.25 per share. This compares to a non-GAAP net loss of $3.5 million, or $1.37 per share, for the same period last year and to a non-GAAP net loss of $6.4 million, or $0.14 per share, for the third quarter of 2013. Both GAAP and non-GAAP per share net loss figures for the fourth quarter are based on 46.4 million basic weighted average shares outstanding.
Non-GAAP results for the year ended December 31, 2013 exclude the effect of stock-based compensation and the effects of preferred stock warrants that were converted in connection with our initial public offering and for the fourth quarter exclude the effect of stock-based compensation. In connection with its IPO in May 2013, the company issued 8.9 million shares of common stock and 34.7 million shares of preferred stock converted into common stock. Please refer to the attached financial statements for additional non-GAAP information and a reconciliation of GAAP to non-GAAP results as well as information regarding weighted average shares outstanding in each period.
Floyd continued, "Our fourth quarter results were impacted by cautious customer order patterns and a significantly greater than expected decline in revenue from our largest customer. However, we achieved a number of milestones in the fourth quarter that demonstrate the continued adoption of our Z-Series packet-optical and Blue Planet SDN and NFV platforms, including delivering the first software controlled and fully automated carrier SDN network in a multi-vendor network to a leading carrier in Europe.”