Hod Hasharon, Israel – Allot Ltd. (NASDAQ: ALLT, TASE: ALLT), a leading global provider of innovative network intelligence and security solutions for service providers and enterprises worldwide, today announced preliminary financial results for the second quarter ended June 30, 2023.
Allot expects the following results for the second quarter:
- Revenues are expected to be approximately $25 million of which approximately $2.5 million are expected to be SECaaS revenues. Total ARR* and SECaaS ARR* are expected to be approximately $49.5 million and $10 million, respectively.
- GAAP operating loss is expected to be approximately $21.2 and non-GAAP operating loss is expected to be approximately $18.6 million, including an increase of approximately $14 million in allowance for credit losses.
- Cash, bank deposits, and marketable securities as of June 30, 2023, totaled approximately $65.7 million.
The increase in the allowance for credit losses referenced above relates to past due receivables previously disclosed by the company arising from sales in two African countries and certain additional sales that occurred in the fourth quarter of 2022 in another African country. Allot has been assessing the collectability of its accounts receivable on a quarterly basis. In connection with its most recent assessment, the company determined that certain accounts previously disclosed as outstanding will not, with reasonable certainty, be collected, based on recent communications from the contractual counterparties and other factors including the passage of time.
Allot also announced the formation of an Executive Committee of the Board of Directors to examine the company’s overall strategy. The Executive Committee will work with company management to identify and recommend opportunities for further improvement in growth and margin performance, with a focus on driving sustainable profitability, including achieving the company’s expectation to be profitable in 2024, and enhancing shareholder value.
The company plans to publish its complete unaudited second-quarter results on August 31, 2023, and host a conference call to discuss those results on that day at 8:30 AM ET (1:30 PM UK, 3:30 PM Israel).
