Smith Micro Software Inc
NASDAQ:SMSI
Smith Micro Software Inc
Smith Micro Software, Inc. engages in the provision of software solutions. The company is headquartered in Pittsburgh, Pennsylvania and currently employs 373 full-time employees. The firm develops wireless standards-based software for global businesses. The Company’s product portfolio includes SafePath, CommSuite, and ViewSpot. The SafePath includes SafePath Family, SafePath IoT, and SafePath Home. Its SafePath product suite provides tools to protect family digital lifestyles and manage connected devices both inside and outside the home. The CommSuite premium messaging platform enables mobile service providers to deliver voicemail experience to mobile subscribers. CommSuite also enables multi-language Voice-to-Text (VTT) transcription messaging, which facilitates convenient message consumption for users by reading versus listening. CommSuite is available to both postpaid premium subscribers as well as prepaid subscribers. Its ViewSpot includes a retail display management platform, which provides wireless carriers and retailers.
Smith Micro Software, Inc. engages in the provision of software solutions. The company is headquartered in Pittsburgh, Pennsylvania and currently employs 373 full-time employees. The firm develops wireless standards-based software for global businesses. The Company’s product portfolio includes SafePath, CommSuite, and ViewSpot. The SafePath includes SafePath Family, SafePath IoT, and SafePath Home. Its SafePath product suite provides tools to protect family digital lifestyles and manage connected devices both inside and outside the home. The CommSuite premium messaging platform enables mobile service providers to deliver voicemail experience to mobile subscribers. CommSuite also enables multi-language Voice-to-Text (VTT) transcription messaging, which facilitates convenient message consumption for users by reading versus listening. CommSuite is available to both postpaid premium subscribers as well as prepaid subscribers. Its ViewSpot includes a retail display management platform, which provides wireless carriers and retailers.
Revenue Miss: Q3 revenue was $4.3 million, slightly below the guided range due to a delayed customer contract, and down 6% YoY.
Cost Reductions: Strategic organizational changes, including a 30% workforce reduction, are expected to save $7.2 million annually and accelerate the path to profitability.
Profitability Target: Management expects the company to reach breakeven and become profitable by mid-2026.
Gross Margin Improvement: Q3 gross margin was 74%, up from 72% last year, with further gains expected from cost reductions.
Additional Funding: The company raised $2.7 million through recent equity and note offerings to strengthen its financial position.
Customer Pipeline: Active trials and growing interest from carriers in North America and Europe, especially for the SafePath platform.
