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Although the company believes the expectations reflected in such forward-looking statements are based upon the reasonable assumptions. We can give no assurance that its expectations will be attained. The company undertakes no obligation to update or revise any forward-looking statements whether as a result of new information future events or otherwise.With that it’s now my pleasure to turn the call over to CalAmp’s Chief Executive Officer, Rick Gold. Rick? Rick Gold Thank you, Lasse. Good afternoon and thank you for joining us today to discuss CalAmp’s fiscal 2010 and fourth quarter and full year results. I will begin with comments on our financial and operational highlights and I will then provide an update on several of our key business activities. Rick Vitelle will next discuss additional details about our financial results, balance sheet, working capital management and cash flow. And I will wrap up with our business outlook and guidance along with some concluding remarks. This will be followed by question-and-answer session. We had a strong finish to fiscal 2010 with consolidated fourth quarter revenue of $34.5 million an increase of 62% from the prior year and 12% sequentially. During the fourth quarter production volumes of our satellite products continued to ramp resulting in the consecutive quarter of operating profitability in this business segment. In addition our wireless datacom business which has been impacted by the global economic down turn stabilized over the course of the fiscal year and generated double digit percentage growth in revenue in the fourth quarter. Looking at the bottom line results of operations included a GAAP net loss of $1.3 or $0.5 per diluted share. Excluding the impact of amortization of intangible assets and stock based compensation expense our adjusted basis for non-GAAP net loss with $0.5 million or $0.2 per diluted share. I will refer to our fourth quarter earnings press release issued earlier today for detail reconciliation of the GAAP basis pre-tax laws to the adjusted basis or non-GAAP net income or loss.
Looking at our cash flow and balance sheet in fiscal 2010 we generated cash flow from operations of $2.5 million and reduced our debt $21.1 million at the beginning of the year to $10.1 million at year end. During the fourth quarter we announced the re-financing of our maturing bank debt which was funded by new credit facility with Square 1 bank and by gross cash proceeds of $9.25 million from the private placement of common stock and subordinated debt.Completing this re-financing was an important milestone as it enhanced our financial flexibility improved our liquidity possession and eliminated uncertainty associated with the maturity of our previous bank loan. I will next provide updates for satellite and wireless datacom businesses. During the fourth quarter satellite product revenues increased to $18.7 million up 11% sequentially and 130% on a year-over-year basis. The satellite business also achieved operating profitability for the second quarter in a row. That said, gross margin percentages remained below historical levels due to lower revenue run rates, resulting in lower overhead absorptions, as well as supply chain inefficiencies associated with the rapid ramp in production volume in the second half of fiscal 2010. We’ve now substantially completed the shipment of refurbished satellite products under our product warranty program for our key customer. We continue to work closely with our direct broadcast satellite or DBS customers on next generation products that we expect will increase our market share and improved our gross margins over the course of fiscal 2011. In total, we are currently developing four next generation products, two for each of our DBS customers. For the product with the largest revenue potential we’re well into the product qualification process with that customer and expect shipments to begin in our second fiscal quarter. Read the rest of this transcript for free on seekingalpha.com