SeaChange International, Inc.
(NASDAQ: SEAC), an industry leading multi-screen video software company, today reported revenue of $36.7 million and non-GAAP operating income of $1.2 million or $0.04 per share for the second quarter of fiscal 2013. In comparison, second quarter fiscal 2012 revenue was $38.4 million and non-GAAP operating income was $4.2 million or $0.13 per share. The Company’s financial results reflect the impact of the sale of both its Broadcast Servers and Storage and its Media Services businesses in May 2012. Accordingly, the Company has reflected both of these divested businesses as discontinued operations in its financial statements for the second quarter and the first six months of both fiscal 2013 and 2012. The Company posted a GAAP loss from operations for the second quarter of fiscal 2013 of approximately $6.8 million or $0.21 per share compared to GAAP income from operations of $777,000 or $0.02 per share for the second quarter of fiscal 2012. The Company’s GAAP results include non-recurring charges which consist of professional fees associated primarily with divestitures, severance and restructuring charges, inventory and fixed asset write-downs, and earn-outs associated with our acquisitions.
For the first six months of fiscal 2013, the Company posted revenues of $73.4 million and non-GAAP operating income of $3.5 million compared to revenues of $78.6 million and non-GAAP operating income of $6.8 million in the same prior period. The Company posted a GAAP loss from operations for the first six months of fiscal 2013 of approximately $8.0 million compared to GAAP income from operations of $6,000 for the same prior period.
SeaChange also announced that its Board of Directors has authorized management to establish a Rule 10b5-1 plan under its previously announced $25 million share repurchase program to buy back shares. The Rule 10b5-1 plan allows for repurchase of shares through open market purchases, privately negotiated transactions, block purchases or otherwise in accordance with applicable federal securities laws, including Rule 10b-18 of the Securities Act of 1934. Depending on market conditions and other factors, the repurchase may be commenced or suspended at any time or from time to time, without prior notice. The Company intends to establish the 10b5-1 plan to buy back shares by mid-September 2012.