PRINCETON, N.J.--(BUSINESS WIRE)--Dataram Corporation [NASDAQ:DRAM] announced today that the company has embarked on an aggressive transformation intended to refocus the business on providing traditional memory solutions, improving its market position, and returning the company to profitability.
As part of this effort, the company began implementing aggressive efforts to increase the efficiency of its operations and improve the affordability of its products and services. Actions taken in the last 60 days have resulted in approximately $2.2 million in annual cash savings for Dataram Corporation.
The cost reductions significantly reduce corporate overhead which immediately improves the company’s bottom line. Based on management’s estimates, the recent expense cuts approach the company’s 2014 operating loss of approximately $2.3 million, a figure which included about $0.5 million in one-time charges and nearly $0.4 million in non-cash expenses. The expense reductions come as a result of eliminating redundancies, increasing efficiencies, reviewing outside vendors, and reducing the work force. Additional efforts are planned to close the gap and return the company to profitability.
“Dataram has nearly 50 years of industry experience, demonstrated engineering capabilities, an established Fortune 100 customer base, and a unique product offering. The company’s transformation will enable it to establish a strong foundation for profitable growth and value creation that our customers and shareholders demand,” said Dave Moylan, Dataram’s Chairman and interim Chief Executive Officer (CEO). “Increasing our financial efficiency, as well as streamlining our operations will go a long way toward achieving that goal. We anticipate that the most recent cost reductions, totaling approximately $2.2 million annually, represent a down-payment towards a strong and viable future.”
About Dataram Corporation
Founded in 1967, Dataram is a worldwide leader in the manufacture of high-quality computer memory and software products. Our products and services deliver IT infrastructure optimization, dramatically increase application performance and deliver substantial cost savings to our customers. Dataram solutions are deployed in 70 of the Fortune 100 companies and in mission-critical government and defense applications around the world. For more information about Dataram, visit www.dataram.com.
All names are trademarks or registered trademarks of their respective owners.
The information provided in this press release may include forward-looking statements relating to future events, such as the development of new products, pricing and availability of raw materials or the future financial performance of the Company. Actual results may differ from such projections and are subject to certain risks including, without limitation, risks arising from: changes in the price of memory chips, changes in the demand for memory systems, increased competition in the memory systems industry, order cancellations, delays in developing and commercializing new products and other factors described in the Company's most recent Annual Report on Form 10-K, filed with the Securities and Exchange Commission, which can be reviewed at www.sec.gov.