Loading...
Docoh

DZS (DZSI)

DZS Inc. is global leader of mobile transport, broadband access and enterprise networking solutions with more than 20 million products in-service with customers and alliance partners spanning more than 100 countries.

Company profile

Ticker
DZSI
Exchange
Website
CEO
Il Yung Kim
Employees
Incorporated
Location
Fiscal year end
Former names
DASAN ZHONE SOLUTIONS INC, TELLIUM INC, ZHONE TECHNOLOGIES INC
SEC CIK
Subsidiaries
Ark Electronic Products, Inc. • DASAN Network Solutions, Inc. • DASAN India Private Limited • DASAN Vietnam Company Limited • D-Mobile Limited • DZS Japan Inc. • RIFTio India Private Limited • DZS Canada • Optelian Access Networks Services, Inc. • Optelian 30067, LLC ...
IRS number
223509099

DZSI stock data

Analyst ratings and price targets

Last 3 months

Investment data

Data from SEC filings
Securities sold
Number of investors

Calendar

2 Aug 22
9 Aug 22
31 Dec 22
Quarter (USD) Jun 22 Mar 22 Dec 21 Sep 21
Revenue
Cost of revenue
Operating income
Operating margin
Net income
Net profit margin
Cash on hand
Change in cash
Diluted EPS
Annual (USD) Dec 21 Dec 20 Dec 19 Dec 18
Revenue
Cost of revenue
Operating income
Operating margin
Net income
Net profit margin
Cash on hand
Change in cash
Diluted EPS
Cash burn rate (est.) Burn method: Change in cash Burn method: Operating income Burn method: FCF (opex + capex)
Last Q Avg 4Q Last Q Avg 4Q Last Q Avg 4Q
Cash on hand (at last report) 23.14M 23.14M 23.14M 23.14M 23.14M 23.14M
Cash burn (monthly) 5.84M 3.17M 2.99M 1.71M 6.7M 3.07M
Cash used (since last report) 7.83M 4.24M 4.01M 2.3M 8.98M 4.12M
Cash remaining 15.31M 18.9M 19.13M 20.84M 14.16M 19.02M
Runway (months of cash) 2.6 6.0 6.4 12.2 2.1 6.2

Beta Read what these cash burn values mean

Date Owner Security Transaction Code Indirect 10b5-1 $Price #Shares $Value #Remaining
2 Aug 22 Misty Dawn Kawecki Common Stock Payment of exercise Dispose F No No 14.37 4,559 65.51K 12,107
2 Aug 22 Misty Dawn Kawecki Common Stock Option exercise Acquire M No No 0 16,666 0 16,666
2 Aug 22 Misty Dawn Kawecki RSU Common Stock Option exercise Dispose M No No 0 16,666 0 33,334
1 Jul 22 Charles D Vogt Common Stock Payment of exercise Dispose F No No 15.97 23,003 367.36K 63,705
1 Jul 22 Charles D Vogt Common Stock Option exercise Acquire M No No 0 66,666 0 86,708
1 Jul 22 Charles D Vogt RSU Common Stock Option exercise Dispose M No No 0 66,666 0 133,334
1 Jul 22 Charles D Vogt RSU Common Stock Grant Acquire A No No 0 200,376 0 200,376
1 Jul 22 Matthew W Bross RSU Common Stock Grant Acquire A No No 0 1,095 0 1,095
1 Jul 22 Barbara Carbone RSU Common Stock Grant Acquire A No No 0 1,095 0 1,095
1 Jul 22 Kim Joon Kyung RSU Common Stock Grant Acquire A No No 0 1,095 0 1,095
13F holders Current Prev Q Change
Total holders 0 0
Opened positions 0 0
Closed positions 0 0
Increased positions 0 0
Reduced positions 0 0
13F shares Current Prev Q Change
Total value 0 0
Total shares 0 0
Total puts 0 0
Total calls 0 0
Total put/call ratio
Largest owners Shares Value Change
Largest transactions Shares Bought/sold Change

Financial report summary

?
Competition
AdtranJuniper NetworksCalixZte
Risks
  • We may not have the liquidity to support our future operations and capital requirements.
  • We have experienced significant losses and we may incur losses in the future. If we fail to generate sufficient revenue to sustain our profitability, our stock price could decline.
  • In connection with the Keymile acquisition, we assumed certain of Keymile’s liabilities, which could harm our business, operations, financial condition, and liquidity.
  • The long and variable sales cycles for our products could cause revenue and operating results to vary significantly from quarter to quarter.
  • The market we serve is highly competitive and we may not be able to compete successfully.
  • Because our products are complex and are deployed in complex environments, our products may have defects that we discover only after full deployment by our customers, which could have a material adverse effect on our business.
  • Sales to communications service providers are especially volatile, and weakness in sales orders from this industry could harm our business, operations, financial condition and liquidity.
  • We depend on a limited source of suppliers for several key components. If we are unable to obtain these components on a timely basis, we will be unable to meet our customers’ product delivery requirements, which would harm our business.
  • We rely on the availability of third-party licenses.
  • Our intellectual property rights could prove difficult to protect and enforce.
  • There are additional risks to our intellectual property as a result of our international business operations.
  • Claims that our current or future products or components contained in our products infringe the intellectual property rights of others may be costly and time consuming to defend and could adversely affect our ability to sell our products.
  • We face exposure to foreign currency exchange rate fluctuations.
  • The telecommunications networking business requires the application of complex revenue and expense recognition rules and the regulatory environment affecting generally accepted accounting principles is uncertain. Changes in financial accounting standards or practices may cause adverse, unexpected financial reporting fluctuations and harm our business.
  • Changes in government regulations related to our business could harm our operations, financial condition, and liquidity.
  • Industry consolidation may lead to increased competition and could harm our operating results.
  • DASAN Networks, Inc. (“DNI”) owns a significant amount of our outstanding common stock and has the ability to exert significant influence or control over any matters that require stockholder approval, including the election of directors and the approval of certain transactions, and DNI’s interests may conflict with our interests and the interests of other stockholders.
  • There is a limited public market of our common stock.
  • We do not expect to declare or pay dividends in the foreseeable future.
  • We may need additional capital, and we cannot be certain that additional financing will be available.
  • Our future operating results are difficult to predict and our stock price may continue to be volatile.
  • Strategic acquisitions or investments that we have made or that we could pursue or make in the future may disrupt our operations and harm our business, operations, financial condition, and liquidity.
  • If demand for our products and solutions does not develop as we anticipate, then our business operations, financial condition, and liquidity will be adversely affected.
  • We rely on contract manufacturers for a portion of our manufacturing requirements.
  • We face supply chain risk, and our failure to estimate customer demand properly could result in excess or obsolete component inventories that could adversely affect our gross margins.
  • The loss of a key customer or a significant deterioration in the financial condition of a key customer could have a material adverse effect on the Company’s results of operations.
  • Decreased effectiveness of share-based compensation could adversely affect our ability to attract and retain employees.
  • Our success largely depends on our ability to retain and recruit key personnel, and any failure to do so could harm our ability to meet key objectives.
  • Our collection, processing, storage, use, and transmission of personal data could give rise to liabilities as a result of governmental regulation, increasing legal requirements.
  • Compliance or the failure to comply with current and future environmental regulations could cause us significant expense.
  • Failure to comply with the U.S. Foreign Corrupt Practices Act and similar laws associated with our international activities could subject us to significant civil or criminal penalties.
  • Our business and future operating results are subject to global economic and market conditions.
  • Future issuances of additional equity securities could result in dilution of existing stockholders’ equity ownership.
Management Discussion
  • During 2021, the Company appointed several industry leaders to new roles within the DZS executive team. These appointments, among others, include Misty Kawecki as Chief Financial Officer and Jennifer Yohe as Chief Operations Officer. Each brings a deep history of experience in our markets.
  • In the first quarter of 2021, the Company made the strategic decision to transition DZS GmbH, formerly Keymile GmbH, a subsidiary of the Company located in Germany, to a sales and research and development center. On July 15, 2021, the Company came to an agreement with the works council and entered into a social plan that covers statutory benefits and one-time severance obligations. The Company incurred related restructuring and other charges of approximately $11.9 million in 2021, consisting primarily of termination-related benefits and impairment of long-lived assets. DZS GmbH reduced headcount by approximately 100 employees. The restructuring was essentially completed in the fourth quarter of 2021.  
  • On March 3, 2021, the Company acquired substantially all of the assets of RIFT, Inc., a network automation solutions company, including all the outstanding shares of RIFT.IO India Private Limited, a wholly owned subsidiary of RIFT, Inc. (collectively “RIFT”). RIFT developed a carrier-grade RIFT.ware software platform that simplifies the deployment of any slice, service, or application on any cloud. The total purchase consideration was $0.5 million, including a $0.2 million holdback that was released in April of 2021 following the fulfillment of certain requirements in the purchase agreement.

Content analysis

?
Positive
Negative
Uncertain
Constraining
Legalese
Litigous
Readability
H.S. sophomore Avg
New words: abandoned, add, ARPU, assumption, building, case, churn, coherent, consumer, coverage, direct, equal, fluctuation, fully, GBP, heavily, improve, Improving, infrastructure, intelligence, intelligent, leader, month, negotiated, October, payout, pioneer, Pound, powerful, prospectively, ratio, scheduled, Sterling, subscriber, systematic, troubleshooting, truck, UK, unamortized, user, WiFi, workforce, Xperience, Xtreme
Removed: criteria, export, half, LAN, lending, ONT, terminal