LoJack Reports Fourth Quarter and 2009 Results
In announcing the results, Ronald V. Waters, President and Chief Executive Officer said, "Both our North American and international segments continued to stabilize during the quarter, as U.S. new car sales improved and our international licensees began to return to historical purchasing trends. Our performance in the fourth quarter benefited from our continued tight management of operating expenses. We delivered $5.8 million in positive operating cash flow for the quarter and ended the year with a cash balance of $36.5 million."
"During the quarter, our North American business was impacted by tight credit and high unemployment. However, we do anticipate a moderate recovery in 2010 with gradual improvement throughout the year, based on industry estimates of U.S. new vehicle sales of between 11 million and 11.5 for the year."
"Our international business delivered a sequential increase in unit volume and revenue over the third quarter based on strengthening orders from our licensees. Most have worked through existing inventory purchased in 2008 and now are ordering based on increasing demand and expectations for the coming year."
Things are looking even worse for LoJack as revenue for 2009 dropped 32% to $135 million, from $198.7 million in 2008. LoJack Corporation’s net loss for the full year was $34.7 million.
Mr. Waters said, "Despite the uncertain and volatile economic conditions throughout 2009, we remained committed to our long term strategies for growth and made the appropriate investments to support them. We continued to invest in our core technology and introduced our next generation stolen vehicle recovery system, which is self-powered and optimized for vehicles of today and the future, including hybrid and electric cars."