Aerohive Networks, Inc. reported unaudited consolidated earnings results for the first quarter ended March 31, 2017. For the period, the company reported total revenue of $36,351,000, operating loss of $8,847,000, loss before income taxes of $8,922,000, net loss of $9,019,000 or $0.17 per basic and diluted share against total revenue of $40,128,000, operating loss of $12,387,000, loss before income taxes of $12,378,000, net loss of $12,523,000 or $0.25 per basic and diluted share a year ago. Net cash used in operating activities of $1,556,000 compared to $3,322,000 a year ago. Purchases of property and equipment of $223,000 compared to $337,000 a year ago. Non-GAAP net loss was $4,104,000 or $0.08 per diluted share against net loss of $6,216,000 or $0.13 per diluted share a year ago.

For the second quarter, the company currently anticipating revenues in the range of $42 million to $43.5 million. On a non-GAAP basis, the company expects gross margins to be in the range of 66.5% to 67.5%, driven by the impact of new Connect product offering, partially offset by improved margins from software and subscription business. On a non-GAAP basis, the company expects operating margins to be between breakeven and positive 1.5%. The company expects non-GAAP EPS in to be between breakeven in earnings of $0.01 per share. Given this, the estimated of share count for EPS purposes will be 54.3 million shares. On a GAAP basis, the company expects loss to be between $0.08 and $0.09 per share using a share count of 53.2 million shares outstanding.