Strategy in TECH...
James Loudspeaker announced this week that it has selected Parker Custom Solutions as its independent sales rep of the year for 2018. Based in Arizona, Parker has dramatically increased the sales of James’ products throughout the territory the company said.
This week we learned that Amazon has acquired Eero, a start-up company that offers a mesh WiFi system. Terms of the deal were not disclosed, but the company does reveal what drew them to the still small, but rapidly growing Eero.
I recently visited Russound up in Newmarket, New Hampshire, a bucolic community of less than 9,000 residents that is rich in history – it was established in 1727 – and situated near the University of New Hampshire in Durham. The town’s rich history is an allegory for Russound itself, a company that is also rich in history – established in 1967 – but finds itself streaming into the future.
As part of my visit, the company gave me a sneak peek at what it is showing at ISE in Amsterdam this week.
In what is becoming a bit of a familiar refrain in tech these days, including our report just yesterday on Control4’s results, Sonos reported record results for their fiscal first quarter on Wednesday. The company beat analysts’ expectations for revenues ($496 million vs. $491M expected) and for earnings ($0.55/share versus $0.41 expected). And yet, their stock tanked fully 17% after the announcement. Not only that, but as of 11:00AM today, Sonos stock is down another more than 13%.
By most measures, Control4 had an excellent quarter and a record year in Fiscal 2018. Revenues and income were up for the quarter and the company noted that 2018 was another record year in financial performance with both revenues and profits increasing nicely.
But during an investor call, CEO Martin Plaehn warned that they are experiencing new headwinds that are slowing growth. And on the day after the fiscal results were announced, Control4’s stock got hit hard, dropping at one point more than 18% and closing down about 17%.
