Boxlight Corporation reported a decline in financial performance for the three and nine months ended September 30, 2024, compared to the same periods in 2023. Revenues for the third quarter of 2024 were $36.3 million, down 26.9% from $49.7 million in Q3 2023. For the nine months ended September 30, 2024, total revenues were $111.9 million, an 18.9% decrease from $137.9 million in the prior year. The decline in revenue was attributed to reduced global demand for interactive flat panel displays.

Gross profit for Q3 2024 was $12.3 million, a decrease of 32.0% from $18.0 million in Q3 2023, resulting in a gross profit margin of 33.8%, down from 36.3% the previous year. For the nine-month period, gross profit fell to $39.6 million from $51.0 million, with a margin of 35.4% compared to 37.0% in 2023. The cost of revenues also decreased, reflecting lower sales volume, with Q3 2024 costs at $24.0 million versus $31.7 million in Q3 2023.

Operating expenses for Q3 2024 were significantly reduced to $13.1 million from $29.6 million in Q3 2023, primarily due to cost-saving initiatives, including a $2.0 million reduction in employee-related expenses. This led to a loss from operations of $(859,000) for Q3 2024, a substantial improvement from $(11.6 million) in Q3 2023. The net loss for Q3 2024 was $(3.1 million), compared to $(17.8 million) in the same quarter of 2023.

For the nine months ended September 30, 2024, the net loss was $(11.6 million), down from $(21.5 million) in the prior year. The company reported an EBITDA of $3.0 million for the nine-month period, a significant improvement from a loss of $(2.99 million) in 2023.

As of September 30, 2024, Boxlight's total assets decreased to $141.4 million from $158.6 million at the end of 2023. Cash and cash equivalents also fell to $10.5 million from $17.3 million. The company reported total current liabilities of $41.5 million, down from $46.2 million at the end of 2023, while total stockholders' equity decreased to $6.5 million from $16.8 million.

Boxlight faced challenges with compliance regarding its Senior Leverage Ratio under its Credit Agreement, receiving a waiver for defaults in November 2024. The company is actively working on refinancing options to address its liquidity needs and maintain compliance with financial covenants. Additionally, the company has not utilized its share repurchase program, which is authorized for up to $15 million of Class A common stock.