Ubiquiti Registers 7% Revenue Decline In Q4 As The Pandemic, Supply Chain Crisis Weighed On Its Business - Ubiquiti (NYSE:UI)

Ubiquiti Inc UI reported a fourth-quarter FY22 revenue decline of 7.3% year-on-year to $443.1 million, beating the consensus of $386.97 million. Revenue grew 23.8% Q/Q.
Segments: Enterprise Technology revenue grew 9.6% Y/Y to $344.5 million. Service Provider Technology revenue decreased 39.7% Y/Y to $98.6 million.
Margin: The gross margin contracted 1,000 bps to 38.3%, driven by higher shipping costs, increased components costs, and increased tariffs.
Non-GAAP EPS of $1.54 beat the consensus of $1.21.
During Q4, Ubiquiti continued to experience a disruption in the supply chain due to the pandemic and the global supply chain crisis leading to its inability to fulfill customer orders and has increased its cost base.
Dividend: The board declared a $0.60 per share cash dividend, payable on September 13, 2022, to shareholders of record on September 6, 2022.
The company intends to pay regular quarterly cash dividends of at least $0.60 per share during each quarter of FY23.
Price Action: UI shares closed higher by 0.94% at $318.86 on Thursday.