Ottawa-based DragonWave is continuing its “journey toward profitability,” the company said Wednesday after it reported strong financial results for its fiscal third quarter of 2015.
Third-quarter revenues at DragonWave (TSX:DWI)(NASDAQ:DRWI) were $47.3 million, an increase of 25 per cent from the $37.9 million posted in the previous quarter, and up even more from the $22.2 million worth of revenue it reported in the third quarter last year.
The wireless broadband component supplier’s gross margin increased to 16.3 per cent from 15.5 per cent last quarter and from 11.1 per cent in the third quarter of 2014.
Net loss for the quarter fell to $3.8 million, or five cents per share, from $8.9 million, or 14 cents per share, last quarter. It’s also lower than the net loss of $5.5 million, or 12 cents per share, DragonWave reported in the same quarter last year.
“As we look forward, we believe that we have the opportunity in Q4 to again have sequential revenue growth of up to 10 per cent,” DragonWave president and CEO Peter Allen said in a statement, adding the company has received first orders for a new product line which he said would help drive revenue and growth beyond the fourth quarter.
As of Nov. 30, the company had $29.5 million in cash and cash equivalents on hand, compared with $33.6 million at the end of the last quarter.