Tessco Technologies has reported fiscal-year 2022 second-quarter revenue of $108.5 million, up 22 percent year over year, and sales bookings up 38 percent year over year. A distributor in wireless infrastructure construction, Tessco said it had record quarterly carrier market revenue and the highest commercial market revenue it has seen in the last seven quarters. The company reported an improvement in net loss and adjusted EBITDA compared with the second quarter of the prior fiscal year, and it affirmed its annual guidance.
“In the second quarter, we continued to execute successfully on our turnaround strategy, and drove increased bookings and sales in both our carrier and commercial markets,” said Sandip Mukerjee, Tessco’s president and CEO. “We are growing with the overall market and are gaining market share through our differentiated offers and business development initiatives.”
In spite of global supply chain disruptions, increased transportation costs and delays in product availability, Tessco has delivered improved results, Mukerjee said.
“Adjusted EBITDA improved by $900,000 sequentially and by $2.1 million compared to the second quarter of the prior fiscal year,” he said. “We have remained focused on controlling costs and improving profitability, and believe our business has significant embedded scalability.” Scalability refers to the ability of a business to grow without being hindered by its structure or available resources when faced with increased production.
“We are confident that the operating efficiencies we have put in place, combined with increased sales bookings and revenues, have us well positioned to achieve our full-year targets,” Mukerjee said. We will continue to work to drive growth and efficiency in our core distribution business, to position our Ventev business as a leading innovator in helping customers with infrastructure construction challenges, and to develop proprietary services to support our customers’ networks.”
Tessco once operated a retail business under the Ventev brand. It sold the retail inventory and the rights to the Ventev brand as it relates to mobile device accessory products to Voice Comm. The business Tessco continues under the Ventev brand designs and manufactures wireless infrastructure products, including radio-agnostic antennas, integrated power solutions and enclosures to conceal and cover wireless equipment, according to information provided by Tessco.