Franklin Wireless Corporation (FKWL)

[Renee]

FKWL moved to the Nasdaq from the OTC:

https://otce.finra.org/otce/dailyList?viewType=Deletions

[DHaus]

They are shipping 5G broadband routers.

[seward]

Doubled this year on no volume... probably meaningless.

hans

[lukesr]

FKWL Annual Report Filed with SEC

FKWL Annual Report 10-K

[thesmalls]

Another impressive OEM relationship for $FKWL but the company still is not interested in promoting itself. Released PR after 6 on a Friday

https://finance.yahoo.com/news/franklin-wireless-collaboration-qualcomm-220543873.html

[Stk_swami]

Looks like FKWL is back in Sprint with their new R850

[thesmalls]

strong revenues. improving gross margins. MUCH wider diversity in their customer base. net income could have been higher but it appears they increased R&D expenses which is not a bad thing depending on how that money is being spent.

would like for the company to be more verbose and do at least a little cheerleading about themselves.

two individual investors that took over (basically stole?) the previous MobilePro shares need to be understood about their long term intentions. between them they own 1.5MM shares which is a large part of OS

[thesmalls]

FKWL should be reporting their best year in upcoming 10K since the short lived Sprint year when they launched their USB modems. have a much more diversified product base and doing hardware and software for end to end solutions. Africa results should continue to be strong. Verizon in the US continues to provide scale and appears better margins than what they had with Sprint.

very little stock for sales and a couple of groups continue o increases their positions per the SG13s. very small float doesnt do it any favors but if/when it does become in favor - should be an interesting ride.

[thesmalls]

massive quarter just reported.

company is still being VERY quiet about these results the last two quarters. only 10.5MM shares OS and a float around 4MM so it isnt going to attract the general traders but they remain very entrenched in a very solid turn around since the big Sprint revenues wound down two years ago.

[thesmalls]

Lets see if this quarter's results are any more exciting

[swampboots]

OK I see:

http://www.financial-news.co.uk/14861/2013/05/franklin-wireless-q3-net-sales-up-net-loss-down-2013051/

[swampboots]

One bloke hit it for 6K upped it by .35?

[thesmalls]

i was comfortable with the results. i was disappointed in how they were announced. current quarter should be significantly stronger as new products start showing up in revenues.

it has been a stock with a lot of patience needed. outstanding share count is small, no debt, should be positive net income in 2013, and they finally have an "in" at Verizon. i am feeling much better in 2013 than i have in the last two years as the euphoria from the original Sprint deal wore off.

[Knowledge is King]

Haven't owned FKWL in awhile. I was very disappointed with the 12/12 quarterly results...

[thesmalls]

knowledge - you still buying? i have picked up several thousand shares here and there as it has dropped under $1.50 but it hasnt stayed there for long at any one time

[Knowledge is King]

Franklin Wireless Launches New X720 Express Card for Verizon
Wireless Network

SAN DIEGO, CA -- (MARKETWIRE) -- 10/01/12 --
Franklin Wireless Corp. (OTCBB: FKWL), the market leader in dual-mode modems
for 3G and 4G wireless broadband data communications, today announced that
its new X720 Express Card is certified and available for use with the
Verizon Wireless network. As a result, businesses and government agencies
can employ the X720 Express Card with laptop computers to work with
Verizon's 3G and 4G LTE wireless service.
The X720 is a dual-mode LTE/CDMA device that plugs into the Express Card (or
PC card/PCMCIA via an adapter) slot of laptop computers, providing users
with 3G/4G wireless connectivity. The X720 is designed to support Windows(R)
7, Windows Vista(R), Windows XP, and it has been certified for use on
Verizon Wireless' network.
"Franklin Wireless' dual-mode X720 Express Card working with Verizon
Wireless' services is designed to provide reliable, cost effective and
secure connections for large businesses and government agencies," said OC
Kim, president of Franklin Wireless. "As more companies enable mobile
workers to access their corporate networks and applications, the new X720
Express Card working with Verizon's reliable, high speed network offers a
powerful remote connectivity solution."
About Franklin Wireless
Franklin Wireless Corp. (OTCBB: FKWL) is engaged in the design, manufacture
and sale of high speed wireless data products including third generation
("3G") and fourth generation ("4G") modems, routers and modules. Our current
products are focused on widely deployed cellular technologies including CDMA
EVDO Rev A, HSPA, WiMAX and LTE. We were the world's first supplier of both
CDMA EVDO Rev A and dual-mode (CDMA EVDO Rev A/WiMAX) Universal Serial Bus
(USB) modems. Franklin's other products include Wi-Fi "hotspot" routers
(which operate over WiMAX or CDMA networks) and wireless modules that are
generally sold to original equipment manufacturers (OEMs). Our company's
primary customers are wireless carriers who seek innovative, reliable and
cost effective technology solutions for their subscribers. Our customer base
extends from the United States to South America and the Caribbean.
Franklin Wireless is headquartered in San Diego, California and has a
majority ownership position in Franklin Technology Inc. (FTI), a research
and development facility located in Seoul, South Korea. FTI provides design,
development and manufacturing services to Franklin for its wireless data
products. For additional information, please visit www.franklinwireless.com.

Safe Harbor Statement:
Certain statements in this press release constitute "forward-looking
statements" within the meaning of section 27A of the Securities Act of 1933
and Section 21E of the Securities Exchange Act of 1934. Such forward-looking
statements involve known and unknown risks, uncertainties and other factors
which may cause the actual results, performance or achievements of the
Company to be materially different from any future results, performance or
achievements, expressed or implied by such forward-looking statements.
Contact: Rick Walker Franklin Wireless Email:
[e-mail] [phone]
(

[Knowledge is King]

Bought some FKWL @$2 today...


The stock made a new 52-week high today on reaction to an eye-popping NT 10-K filed after the close on Friday. Specifically,

The Company’s net sales for the year ended June 30, 2012 are expected to be approximately $24 million, as compared to net sales for the year ended June 30, 2011 of approximately $46 million. The decrease in net sales was due to several factors, including increased competition in the dual-mode (3G and 4G) USB modem market, as well as competition from other similar products, which negatively affected volume and price. Sales during the year ended June 30, 2012, were also affected by delays in launching new products. During the year ended June 30, 2012 the Company was developing new products that are expected to be released during the first half of fiscal 2013.

Sounds lousy until you realize that FKWL had sales of just $8.8M through the 9 months ended 3/12. That means that Q4 revenues were over $15M alone (vs less than $5M in Q4 last year)! I estimate that FKWL made EPS of $.12+ on those $15M in revenues.

Looking ahead, over the next 3 quarters the company has 3 easy comps, with losses in each of those 3 quarters.

Finally, last Thursday the company announced that it had bought back a 1.5M block of stock from a disgruntled shareholder group @$1.84 share. This will give a nice boost to EPS going forward, beginning in Q2 FY13.

[Knowledge is King]

FKWL pays greenmail; 1.5M shares bought back @$1.84/share


Item 1.01 Entry into a Material Definitive Agreement.



On September 19, 2012, Franklin Wireless Corp. (the “Company”) entered into a Stock Repurchase Agreement and a Standstill Agreement, each with Sherman Capital Group, LLC; Karen Singer, Trustee Of Singer Children’s Management Trust; David S. Oros; Milfam NG LLC; and PNC Trust Company of Delaware, Trustee of Lloyd I. Miller – Trust C (the “Sherman Group”).



Under the terms of the Stock Repurchase Agreement, the Company agreed to repurchase 1,538,602 shares of its Common Stock from the members of the Sherman Group for a purchase price of $2,831,028, or $1.84 per share.



Under the terms of the Standstill Agreement, the members of the Sherman Group agreed that they will not (i) acquire any Common Stock or other securities of the Company, (ii) make any tender offer with respect to securities of the Company, (iii) participate in any solicitation of proxies with respect to the Company, (iv) form, join or in any way participate in a “group” (within the meaning of Section 13(d)(3) of the Exchange Act and Rule 13d-5(b) thereunder) with respect to the securities of the Company, or (v) act, alone or in concert with others, to seek to control or influence the management, Board of Directors or policies of the Company.

[swampboots]

2.42: This price seems very good for anyone who wanted to sell!!!!

[SAMNOTSAMUEL]

Qtrly report reminds me of AYSI except I don't believe FKWL has a policy of untruth like the other company.

sam

[MikeDDKing]

The Franklin U210 and Franklin R526 are now at Strata Networks.

https://www.stratanetworks.com/index.php?option=com_wrapper&Itemid=134

[hogfan2]

Franklin Wireless Announces Third Quarter Fiscal 2011 Financial Results
Date : 05/13/2011 @ 4:10PM
Source : MarketWire
Stock : Franklin Wireless Corporation (FKWL)
Quote : 2.9 -0.09 (-3.01%) @ 4:30PM


Franklin Wireless Announces Third Quarter Fiscal 2011 Financial Results

Franklin Wireless (OTCBB:FKWL)
Intraday Stock Chart
Today : Friday 13 May 2011

Franklin Wireless Corp. (OTCBB: FKWL), the market leader in dual-mode WiMAX and CDMA modems for 3G and 4G wireless broadband data communications, today announced financial results for the third quarter of fiscal year 2011 ended March 31, 2011.

The Company reported net sales of $9.4 million for the quarter, compared with $31.6 million in net sales for the corresponding period of 2010. Gross margin improved to 29.7% from 13.5%, and despite the decrease in revenue, net income rose to $1.5 million for the three month period ending March 31, 2011, compared with $1.3 million for the same period in 2010, which represents a 13% increase year-over-year. The improved gross margin and net income were driven primarily by an increase in the proportion of FTI supplied products (vs. third party suppliers), which consisted of the Company's U600 and U210 USB modems. On a fiscal year-to-date basis, net income more than doubled to $4.7 million from $2.3 million for the same period last fiscal year.

"During this past quarter, our Company continued to deliver solid bottom line financial results," said OC Kim, president of Franklin Wireless. "In spite of lower revenues for the quarter, we were able to grow net income by 13% year-over-year, which is a significant achievement for our team."

The Company noted that the results reflected the payment received from C-Motech for amounts owed to the Company of approximately $1.9 million, of which approximately $1.6 million was booked to other income.

Diluted earnings per share improved to $0.13 for the quarter compared to $0.10 for same period last year. The earnings per share increase was due to higher net income as well as the lower share count resulting from the recent repurchase of approximately 1.8 million shares from C-Motech as well as the previously announced cancellation of 250,000 shares that took place during the three month period ending March 31, 2011.

[Rawnoc]

FKWL is part of the SwingTrade Portfolio which is up 40.8% YTD and up 153.1% since October 1, 2009 inception.

http://investorshub.advfn.com/boards/read_msg.aspx?message_id=62675675

[Guy]

I asked them about the C-Motech shares
and was told that the transaction has not been completed yet
and they expect to make an announcement regarding this soon.

[Rawnoc]

The old volume preceeding price mantra seems to be playing out successfully here. FKWL is one of my largest positions so I'm ready for a huge rally.

[seward]

I must admit, I see some bullishness.

[Rawnoc]

4 MMs bidding $3+ looks pretty good so far

[Guy]

Let's stay above $3 first , then $4 and a Nasdaq
application.

[Rawnoc]

$3.00 hump broken.... $4.00 next?

[Guy]

Just hit $3.10. It's about time. This is my
second largest holding.

[Rawnoc]

One MM below $3

[swampboots]

2.99 is so close to $3.

[MikeDDKing]

$2.95's are getting hit hard.

[MikeDDKing]

The spread is $2.90 X $2.93! The last trade is $2.90 or up $0.04.

[MikeDDKing]

The first 1.8M shares was closed already on 9/21/10 but then they changed the terms for the transfer early this year. The 9/21/10 closing was with a non-cash payment so it was already paid. The only thing that changed this year was the terms and again it was for identical offsetting amounts that is essentially non-cash. Again, I think this was done to address some accounting or legal issue.

[littlefish]

Another possibility- maybe there's just some small sticky issue with FKWL/C-Mo with SETTLING the amounts that made up the $1.8+ million since it was not a cash transfer and was more the price dispute and MDF stuff to equate to the $1.8+ mill.

I'm outta time for now but thanx for the info. Could be something the company would clarfiy with a phone call. I hadn't tried yet.

[littlefish]

Ya I definitely got the 2 chunks confused and that's where that whole erroneous 10% thing came from by me.

The dating on the 2nd amendment (January 28 2011) got me confused cuz I think I had assumed the original 1.8 mill shares and the payment associated with it had been done and settled.

My confusion came from their 2nd amendment and the dates on it (i.e. why mention the 1.8 mill shares and money owed to be due by March 31 2011 if it had already been settled?).

http://www.sec.gov/Archives/edgar/data/722572/000101968711000536/franklin_10q-ex1003.htm

Like you say (thanx for that legwork BTW) they already repurchased/settled the 1.8 mill on 09/21/2010 per the PR.
Then how come they filed the 2nd amendemnt to the SEC is my question.
This part is my confusion:
"a) US$1,873,064.70 (for the repurchase of 1,803,684 shares) to be paid by March 31, 2011."

Maybe the $1.8+ mill had not yet been settled/paid between the parties even though maybe the shares had been transferred?

That would account for the reduced shares (assuming they had been transferred last year) AND the 2nd amended filing indicating the US$1,873,064.70 (assuming it still hadn't been paid on January 28 2011 per the SEC filing) still to be paid by March 31 2011 in the above.

Again though that would make me wonder how come C-Mo had not yet been paid for the shares assuming the shares had been transferred.

Probably much ado about nothing but it is still cloudy to me why the US$1,873,064.70 amount due would be labeled as being due by March 31 2011 if the shares had been transferred back in 2010 (would have thought the 2 events would happen at same time but who knows).

As mentioned, maybe they were just retroactively fixing the original text and made it as an amendement after the fact (possibly). Dunno.

Thanx for ther clarity.
All IMO only. Good luck.

[MikeDDKing]

There are two chunks of FKWL shares to be repurchased from C-Motech. The filings are appropriately adjusted for the first repurchase of shares. Below is the timeline and related info:

1. On 08/02/10 FKWL issued a PR to indicate the repurchase of 3,370,356 shares from C-Motech. The repurchase of shares was to be completed by December 31, 2010.

2. 0n 09/21/10 FKWL issued a PR to indicate that they had completed the repurchase of 1,803,684 shares. In the PR they indicated that following the repurchase of the 1,803,684 shares they had 11,977,807 shares outstanding. That left 1,566,672 shares to be repurchased by 12/31/10.

3. On 10/12/10 FKWL issued their 10-K. That filing indicated that there were 11,977,807 shares outstanding. That is exactly 1,803,684 shares less than they indicated in their fiscal Q3'10 10-Q issued on 05/17/10.

4. On 02/14/11 FKWL issued their fiscal Q2'11 10-Q. That filing indicated that the closing of the second chunk of shares was moved to March 31, 2010. To the best of my knowledge there has been no update to indicate whether or not there was a closing on this chunk of shares. Once this closing complete the FKWL share count will be further reduced by 1,566,672 shares.

I think what you are confused about with the two amendments is that originally, the first chunk of shares were to be paid in exchange for cancellation of C-Motech debt (no cash changed hands). Instead C-Motech separately paid their debt and FKWL purchased the shares for cash. Both cash amounts were $1,873,065 and each party has paid their respective amounts. Since they exchanged the same amount of money it is functionally the same as the original agreement. The change was probably for some legal or accounting reason. You can read more about this in Note 11 of the fiscal Q2'11 10-Q.

[littlefish]

Maybe all the amendment 2 was was just retroactively changing verbage so the shares had already been settled and cancelled?

Seems that is possible and would account for the company having the lower share count in the Dec Q end but also having the amendment dated January 28 2011 mentioning the 1.8 mill shares.

[littlefish]

Mike, I'm trying to get a better grasp on the share repurchase stuff. Haven't been keeping a close eye but know I had previously had some fog on it. Now that I look it isn't very clear to me still.

Do you know if the 1.8 mill shares were cancelled by year end 2010 already? I thought they were per public PRs and share count in the calendar year end #s.

But when I looked at amendment 2 of the SEC filings (in with the Q report and dated January 28 2011) it sure looked like the companies had amended the 1.8 mill share part as if it had not been completed and was to be completed by end March 2011?

http://www.sec.gov/Archives/edgar/data/722572/000101968711000536/franklin_10q-ex1003.htm

Seems like the company may have put too low of a share count in the last Q report given the above link SEC-filed amendment 2 verbage although it's a bit of a wash as long as the transaction goes thru eventually.

PS- my mistake on the 10% more shares to repurcahse thing earlier, think I was looking at the 1.8 mill block and confused it with the 1.5 mill block. I'll go repost to that earlier post to clarify. Thanx.

All IMO of course.

[Rawnoc]

Okay, I'm ready now.

[shermann7]

I keep adding more - This is a great find along with SMID.

TYSM - Shermann

[Rawnoc]

Can you give me a few more minutes?

[MoneyMan]

I'm ready to rock.... if you are ready to roll!

[Rawnoc]

Are we about ready to rock and roll?

FKWL is one of my larger positions.

[MoneyMan]

ASK was thinning out at the end of the day.

[MikeDDKing]

FKWL volume is now 129,453 or over 3x the average daily volume.

[seward]

I don't see much to get excited about.

If it goes up .03 a day like today, how long before it reaches my highest entry of $350 per share?

But good luck to us all.

[shermann7]

You have that right!!!

With such a small float, There cannot be that much available.

Shermann

[MikeDDKing]

Big blocks of shares continue to be purchased on FKWL at the ask. Over 4 times the average daily volume has traded today. Sooner or later the buying pressure that has been on this for quite some time has to make it run like a scalded chicken.