PETALUMA -- Telecommunications systems developer Cyan, Inc. (NYSE: CYNI) on Tuesday reported first-quarter revenue fell 27.8 percent from a year before and net loss almost doubled, while sales to new customers are said to be helping to make up for a major scaling back of orders from its largest customer.
Revenue for the quarter, ended March 31, was $19.0 million, compared with $26.3 million a year before. International revenue soared to $4.2 million from $263,000, reaching 22 percent of sales.
Quarterly net loss almost doubled to $17.8 million, or 38 cents for each of 46.6 million shares, compared with $9.4 million, or $3.61 for each of 2.5 million shares a year before, when the company was still privately owned. Cyan's initial public offering of stock was in early May 2013.
"In 2014 we are seeing industry momentum accelerate as service providers are announcing initiatives to transform their networks with SDN and NFV technologies," said Mark Floyd, chairman and CEO. "We believe Cyan is well-positioned in the market and has a unique, first mover advantage in helping customers to orchestrate both network and virtualized resources across multidomain, multivendor networks."
In January the maker of software-defined networking (SDN) and packet-optical solutions for network operators warned of an 88 percent decrease in revenue from its largest customer, Windstream, to $2 million last year in the fourth quarter. Windstream had accounted for 47 percent of sales.
Company officials told investment analysts on a conference call Tuesday that product trials and increases in sales to other customers are growing.
Second quarter revenue is projected to be $21 million--$23 million. Net loss is estimated to be $16 million--$18 million, or 33--37 cents a share.
Cyan's stock price slipped to $4.20 a share at the close of trading Tuesday, down 12 cents a share, or 2.8 percent.