Identix Second Quarter, Six-Month Results
Business Wire - January 22, 1998 07:42
%IDENTIX IDX %CALIFORNIA %COMPUTERS %ELECTRONICS %COMED %EARNINGS V%BW P%BW
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SUNNYVALE, Calif.--(BUSINESS WIRE)--Jan. 22, 1998--Identix Inc. (ASE:IDX) Thursday
announced that for the second fiscal quarter and six months ended Dec. 31, 1997, revenues rose 70
percent and 63 percent, respectively, to record levels of $19.8 million for the quarter and $38.6 million for
the six months.
Net income for the quarter was $425,000 or $0.02 per share, compared to a loss of $136,000 or $0.01
loss per share for the year-earlier period. Net income for the six months was $951,000 or $0.04 per share,
versus a loss of $126,000 or $0.00 per share for the first half of the previous year.
According to the announcement by Chairman, President & Chief Executive Officer Randall C. Fowler,
the fastest growth was in the company's ANADAC Services segment, which grew by more than 113
percent to $11.3 million for the second quarter from $5.3 million in the comparable period last year.
He said that product revenue continued to be affected by the timing of orders from government agencies;
even so, product revenues grew 34 percent in the first half of the fiscal year, totaling $17.0 million for the
six months and $8.1 million for the second quarter.
He also noted that the company reported revenue of $370,000 from Fingerprinting Services, and during
the quarter the Company opened two locations in Chicago under the Company's joint venture with
Baltimore-based Sylvan Learning Systems. Fowler said that the joint venture with Sylvan Learning
Systems is proceeding on plan, and that installations have taken place in approximately twelve
Sylvan/Identix locations in major metropolitan areas as of mid-January.
Fowler commented: "The U.S. law enforcement community in the aggregate has continued to be the
largest purchaser of Identix products, with more and more jurisdictions committing to TouchPrint
live-scan systems every quarter. Just a few days ago, we announced that our live-scan technology has
been chosen in Cook County, Ill.; we believe that this order, for more than 120 systems, is the largest
procurement industrywide of live-scan systems to date."
He said: "Sales of biometric ID, or single-finger products in the U.S., Europe and South America are still
in most cases 'pilot' or 'test' situations that have yet to reach appreciable market-share positions. This is
true in software security, financial services transaction tracking, and time & attendance, as well as in other
areas. We continue to believe that these biometric ID applications will present attractive opportunities in
the future."
Fowler continued: "Recent events in Asia where biometric applications are beyond the pilot phase have
caused certain delivery schedules to be stretched out to later dates, and have caused a slow down in the
receipt of orders resulting in a lower-than-expected level of sales of biometric ID devices in southern and
eastern Asia during the quarter ended Dec. 31, 1997."
Chief Financial Officer James Scullion said that the company's financial position remains strong, with a
current ratio of 2.1:1, working capital of $16.5 million, no long-term debt and shareholders' equity of
$22.0 million.
Identix is a leader in designing, developing, manufacturing and marketing products for the capture and/or
comparison of fingerprints for security, anti-fraud, law enforcement and other applications.
The statements in this media release that relate to future plans, events and performance are
forward-looking statements that involve risks and uncertainties, including risks and uncertainties
associated with the governmental procurement process, carrying out strategic relationships, competition
and technological change, obtaining customer orders, integrating acquired companies and other risks
identified in the company's SEC filings. Actual results, events and performance may differ materially.
Readers are cautioned not to place undue reliance on these forward-looking statements, which speak only
as of the date hereof. The company undertakes no obligation to release publicly the result of any revisions
to these forward-looking statements that may be made to reflect events or circumstances after the date
hereof or to reflect the occurrence of unanticipated events.
IDENTIX INCORPORATED
SELECTED FINANCIAL DATA
Three Months Ended Six Months Ended
Dec. 31, Dec. 31,
1997 1996(a) 1997 1996(a)
Revenues:
Net product
revenues $8,089,000 $6,295,000 $16,996,000 $12,674,000
Fingerprinting
Services
revenues 370,000 -- 370,000 --
Services
revenues 11,294,000 5,291,000 21,237,000 10,991,000
Total
Revenues 19,753,000 11,586,000 38,603,000 23,665,000
Costs and
expenses:
Cost of
product
revenues 3,974,000 3,172,000 8,110,000 6,544,000
Cost of
finger-
printing
services
revenues 352,000 -- 352,000 --
Cost of
services
revenues 9,489,000 3,861,000 18,053,000 8,511,000
Research,
development
& engineering 1,127,000 662,000 2,164,000 1,199,000
Selling,
general &
administrative 4,329,000 3,961,000 8,939,000 7,395,000
Total costs and
expenses 19,271,000 11,656,000 37,618,000 23,649,000
Income (loss)
from operations 482,000 (70,000) 985,000 16,000
Other income
(expense), net (3,000) (66,000) 20,000 (142,000)
Income (loss)
before taxes 479,000 (136,000) 1,005,000 (126,000)
Income taxes (25,000) -- (25,000) --
Income (loss)
after taxes 454,000 (136,000) 980,000 (126,000)
Equity interest
in joint
venture (29,000) -- (29,000) --
Net income
(loss) $425,000 $ (136,000) $ 951,000 $ (126,000)
Basic earnings
(loss) per
share $ 0.02 $ (0.01) $ 0.04 $ (0.01)
Diluted
earnings
(loss) per
share $ 0.02 $ (0.01) $ 0.04 $ --
Common shares
outstanding 25,060,000 24,781,000 25,011,000 24,777,000
Common shares
assuming
dilution 25,756,000 25,482,000 25,690,000 25,527,000
(a) Prior year adjusted BA&T acquisition which was accounted for as
a pooling of interests.
CONTACT: Allen & Caron Inc.
Damon Wright (investors)
Owen Daley (media)
714/252-8440 |
