#United States #Fremont #Socket Mobile #XtremeScan #iOS devices

Socket Mobile Reports First Quarter 2025 Financial Results

On April 24, 2025, Socket Mobile, Inc. (NASDAQ: SCKT) revealed its financial performance for the first quarter of 2025. This leading company in data capture and delivery solutions reported a decline in revenue, which dropped to $4.0 million, marking a 20% decrease compared to the same quarter last year when revenue was $5.0 million. The company also experienced an 18% sequential drop from the previous quarter's revenue of $4.8 million.

Despite the downturn in revenue, Socket Mobile maintained a gross margin of 50.4%, slightly up from 50.3% in the same period last year, and consistent with 51% from the preceding quarter. Operating expenses were reported at $2.9 million, similar to the previous quarter, but down compared to $3.0 million a year earlier. However, the operating loss increased to $0.9 million from $0.5 million a year ago, leading to a net loss of $994,000, translating into a net loss per share of $0.13.

Kevin Mills, President and CEO of Socket Mobile, stated, "Our first quarter revenue came in lower than projected, primarily due to softer demand both domestically and internationally compared to Q1 of last year." This reflects the ongoing challenges faced by the company in the current market environment.

On a positive note, Mills highlighted that Socket Mobile recently began shipping its new XtremeScan products, which were developed over a period of two years. These new devices, which include the XtremeScan iXG and iXS Series, are powered by iOS 18.3 and are fully integrated with the iPhone 16e. This new product line is anticipated to enhance the capabilities of handheld computing, merging high-performance long-range barcode scanning with the versatile app ecosystem and user-friendly interface of iOS. Mills noted, "These devices are designed to serve as full-featured handheld computers, enabling frontline workers to capture data more accurately, react swiftly, and complete essential tasks with efficiency. This innovation places Socket Mobile firmly in the $27 billion mobile handheld computing market."

In addition to navigating the current financial landscape, Socket Mobile is keeping a close watch on changing tariff regulations and their potential effects on the supply chain and overall costs. Mills emphasized the company's commitment to collaborating with customers, focusing on strategic sourcing, pricing adjustments, and effective supply planning to adapt to these challenges.

Looking ahead, the company is expecting to unveil more details regarding its new products and sales growth strategies during an upcoming conference call scheduled for today at 2 P.M. Pacific Time. The call will be accessible via a provided link and toll-free number for those within the U.S.

About Socket Mobile

Founded in Fremont, California, Socket Mobile, Inc. is an innovator in data capture solutions, aiding workforce mobilization to boost productivity. The company primarily generates revenue through the adoption of third-party mobile applications that work seamlessly with its barcode scanners and contactless readers. Socket Mobile's products are in high demand across various sectors, including retail, field services, digital ID, transportation, and manufacturing. With a robust network of developers, it continues to enhance its offerings and maintain a competitive edge in the evolving market.

For more information, please visit Socket Mobile's website or follow them on LinkedIn and X.