Sonim Technologies, Inc. (SONM) has shown a decrease of 27.3% in the aftermarket because SONM announced a reverse stock split. However, the last trading session concluded at $0.523 with a decline of 6.79%.
SONM Announces Reverse Stock Split
SONM stated on 14th September 2021 that it will reverse split its shares outstanding ordinary shares in a one-for-ten ratio. The Reverse Shares Split will take effect at 5:00 p.m. Eastern Time on September 15, 2021. The Company’s common stock will start trading on a split-adjusted basis on September 16, 2021.
Firstly, the Company’s stockholders authorized an amendment to the Company’s Amended and Restated Certificate of Incorporation to effect a reverse stock split of the Company’s common stock.
Secondly, the Nasdaq Shares Market LLC will continue to trade the Company’s common stock under the ticker “SONM.” Following the reverse stock split, the new CUSIP number for the common shares will be 83548F200.
Thirdly, the Reverse Stock Split will not result in the issuance of fractional shares. Stockholders who would otherwise have been entitled to a fractional share will instead receive cash from the Company’s transfer agent.
SONM Launches New XP3plus Ultra-Rugged Flip Phone
SONM announced the launch of the XP3plus flip phone on 13th September 2021. The new Sonim XP3plus builds on the success of its ultra-rugged predecessor, the XP3, to provide increased capabilities for people who operate in challenging settings and want easy, quick, and reliable voice conversations.
In addition, the XP3plus has a bigger display, more programmable buttons, and a more simple user interface with dynamic soft keys to boost productivity. A bigger battery, the most powerful in its class, provides performance that lasts for more shifts. PTT and Emergency/SOS buttons are large, tactile, and glove-friendly, allowing for fast, error-free communication when it counts most.
The XP3plus is compatible with a broad selection of industrial-grade accessories, including headsets, remote speaker microphones, vehicle mounts, and more.
Second Quarter Financial Results 2021
SONM published second quarter 2021 financial results on 16th August 2021. According to the reports:
- $12.0 million in net revenue, down from $12.2 million in the first quarter of 2021.
- Over the first quarter, gross profit grew 8% sequentially, while gross margin improved to 22.2 percent from 20.1 percent.
- From a net loss of $9.3 million, or $0.14 per share, in the first quarter.
- GAAP net loss improved to $6.7 million, or $0.10 per share.
- Ended the quarter with $6.9 million in cash and cash equivalents and raised an additional $8.4 million in net proceeds in July 2021 through its at-the-market stock offering program.
- The company’s next generation of tough phones is still in the works, is set to arrive in the third quarter of 2021.