Intellicheck Mobilisa Announces 2013 Second Quarter Financial Results

Before you go, we thought you'd like these...
Before you go close icon

Intellicheck Mobilisa Announces 2013 Second Quarter Financial Results

Conference Call Scheduled for Today, Tuesday, August 6, at 1:00 pm ET/10:00 am PT

PORT TOWNSEND, Wash.--(BUSINESS WIRE)-- Intellicheck Mobilisa, Inc. (NYSE MKT: IDN), a global leader in identity solutions and wireless security systems, has released its financial results for the second quarter ended June 30, 2013.

Revenues for the quarter ended June 30, 2013 were $1,721,000 compared to $3,441,000 in the second quarter 2012 and up 5% from $1,633,000 in the first quarter 2013. Adjusted EBITDA was $(647,000) for the second quarter of 2013 compared to $355,000 for the second quarter of 2012 and $(646,000) in the first quarter 2013. Net loss for the three months ended June 30, 2013 was ($919,000) or $(0.03) per diluted share compared to net income of $61,000 or $0.00 per diluted share for the three months ended June 30, 2012 and a net loss of $(921,000) or $(0.03) per diluted share in the first quarter 2013. The Company's backlog, which presents non-cancelable sales orders for products not yet shipped and services to be performed, was up 46% to $1.14M at June 30, 2013, compared to $782,000 in Q1 2013. New Bookings for the quarter were up 133% to $2,165,000 compared to $928,000 in Q1 2013.

Q2 2013 and Recent Highlights:

• Intellicheck Mobilisa revises corporate business model to focus on innovation, new products and technology, and cloud-based SaaS (Software as a Service) solutions that provide customers better service and support, without the added hardware expense;

• Intellicheck Mobilisa launches barZapp™ ID-checking mobile app for smartphones;

• Intellicheck Mobilisa's TWIC readers added to TSA's approved product list;

• Intellicheck Mobilisa's Fugitive Finder access control system receives Federal government FIPS-201 certification;

• Intellicheck Mobilisa subsidiary wins two enterprise wireless contracts

Nelson Ludlow, Ph.D., CEO of Intellicheck Mobilisa, stated, "I am pleased to report on the positive changes we are making as a company. We resolved to revise our corporate business model to focus on innovation, new products and technology, particularly SaaS solutions. We have already taken the initial steps in this process with the July 1 release of our barZapp ID-checking mobile app for smartphones. By the end of July, barZapp had shot into the Top 10 most popular paid business apps in Apple's App Store. We are delighted that the product has taken off so quickly and garnered favorable press coverage. We anticipate that barZapp will represent a modest but steady source of recurring revenue for us—one that represents our new dedication to providing software as a service rather than relying primarily on equipment sales. As we increase our marketing efforts, we also look forward to signing restaurant chains onto this service.

Dr. Ludlow continued, "I am also pleased to announce that we are currently expanding our ID-reading technology to handle Mexican driver's licenses in addition to U.S. and Canadian licenses. At present, about 20 Mexican states issue licenses with readable bar codes, and we will be announcing a new product that can work with these licenses in coming months.

Once again, as with barZapp, by offering our ID checking software as a SaaS, cloud-based service, we can offer customers better service and support without requiring the purchase of new scanning equipment. In light of these developments, coupled with significant increase in new bookings over Q1, and our new product line, I am optimistic about where we are headed as a company."

Conference Call Information

IDN will host a conference call for members of the investment community today at 1:00 p.m. Eastern / 10:00 a.m. Pacific Time. To listen to the conference call, please dial (877) 407-8037 approximately 10 minutes before the scheduled beginning. For callers outside the U.S., please dial (201) 689-8037. A webcast of the call may be accessed at: For those unable to participate in the live conference, a recording will be available for 48 hours after the call. The rebroadcast can be accessed by dialing (877) 660-6853 and (201) 612-7415 for international callers. The conference replay ID is 417308. After the 48-hour window, please visit the investor relations portion of our website at for rebroadcast.

About Intellicheck Mobilisa

Intellicheck Mobilisa is a leading technology company providing wireless technology and identity systems for various applications, including mobile and handheld access control and security systems for the government, military and commercial markets. Products include the Fugitive Finder system, an advanced ID card access control product currently protecting military bases and secure federal locations; ID Check, a patented technology that instantly reads, analyzes, and verifies encoded data in magnetic stripes and barcodes on government-issued IDs, designed to improve the Customer Experience for the financial, hospitality and retail sectors currently at several Fortune 500 companies; and barZapp™, an ID-checking mobile app that allows a user's smartphone to check an ID card particularly for age-related purchases. For more information on Intellicheck Mobilisa, please visit

Safe Harbor Statement

Certain statements in this press release constitute forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995, as amended. When used in this press release, words such as "will," "believe," "expect," "anticipate," "encouraged," and similar expressions, as they relate to the company or its management, as well as assumptions made by and information currently available to the company's management identify forward-looking statements. Actual results may differ materially from the information presented here. Additional information concerning forward-looking statements is contained under the heading of risk factors listed from time to time in the company's filings with the SEC. We do not assume any obligation to update the forward-looking information.

Adjusted EBITDA

Intellicheck Mobilisa uses Adjusted EBITDA as a non-GAAP financial performance measurement. Adjusted EBITDA is calculated by adding back to net income (loss) interest, income taxes, impairments of long-lived assets and goodwill, depreciation, amortization and stock-based compensation expense. Adjusted EBITDA is provided to investors to supplement the results of operations reported in accordance with GAAP. Management believes that Adjusted EBITDA provides an additional tool for investors to use in comparing Intellicheck Mobilisa financial results with other companies that also use Adjusted EBITDA in their communications to investors. By excluding non-cash charges such as impairments of long-lived assets and goodwill, amortization, depreciation and stock-based compensation, as well as non-operating charges for interest and income taxes, investors can evaluate the Company's operations and can compare its results on a more consistent basis to the results of other companies. In addition, adjusted EBITDA is one of the primary measures management uses to monitor and evaluate financial and operating results.

Intellicheck Mobilisa considers Adjusted EBITDA to be an important indicator of the Company's operational strength and performance of its business and a useful measure of the Company's historical operating trends. However, there are significant limitations to the use of Adjusted EBITDA since it excludes interest income and expense, impairments of long lived assets and goodwill, stock based compensation expense, all of which impact the Company's profitability, as well as depreciation and amortization related to the use of long term assets which benefit multiple periods. Intellicheck Mobilisa believes that these limitations are compensated by providing Adjusted EBITDA only with GAAP net income (loss) and clearly identifying the difference between the two measures. Consequently, Adjusted EBITDA should not be considered in isolation or as a substitute for net income (loss) presented in accordance with GAAP. Adjusted EBITDA as defined by the Company may not be comparable with similarly named measures provided by other entities. A reconciliation of Adjusted EBITDA to GAAP net income or loss is included in the enclosed schedule.




June 30, December 31,
2013 2012
Cash and cash equivalents $ 595,221 $ 1,685,879
Accounts receivable, net of allowance of $1,613 and $1,613
as of June 30, 2013 and December 31, 2012, respectively 1,376,979 869,747
Inventory 109,894 337,559
Other current assets   90,579     105,881  
Total current assets 2,172,673 2,999,066
PROPERTY AND EQUIPMENT, net 406,657 449,438
GOODWILL 12,308,661 12,308,661
INTANGIBLE ASSETS, net 4,177,966 4,631,577
OTHER ASSETS   72,006     72,006  
Total assets $ 19,137,963   $ 20,460,748  
Accounts payable $ 591,370 $ 247,289
Accrued expenses 892,927 556,814
Deferred revenue, current portion   1,333,337     1,450,923  
Total current liabilities 2,817,634 2,255,026
Deferred revenue, long-term portion 212,242 341,948
Deferred rent   176,125     185,339  
Total liabilities 3,206,001 2,782,313
Common stock - $.001 par value; 40,000,000 shares authorized;
27,897,467 and 27,724,267 shares issued and outstanding, respectively 27,897 27,724
Additional paid-in capital 100,974,977 100,882,019
Accumulated deficit   (85,070,912 )   (83,231,308 )
Total stockholders' equity   15,931,962     17,678,435  
Total liabilities and stockholders' equity $ 19,137,963   $ 20,460,748  
      Three Months Ended June 30,     Six Months Ended June 30,







REVENUES $ 1,720,501 $ 3,440,652 $ 3,353,375 $ 6,151,438
COST OF REVENUES   (760,057 )   (1,210,561 )   (1,498,382 )   (1,963,488 )
Gross profit 960,444 2,230,091 1,854,993 4,187,950
Selling 256,792 461,513 536,908 861,358
General and administrative 1,010,616 1,139,613 2,038,358 2,028,323
Research and development   611,612     568,047     1,119,346     1,222,272  
Total operating expenses   1,879,020     2,169,173     3,694,612     4,111,953  
(Loss) Income from operations (918,576 ) 60,918 (1,839,619 ) 75,997
Interest income   -     -     15     -  
  -     -     15     -  
Net (Loss) Income $ (918,576 ) $ 60,918   $ (1,839,604 ) $ 75,997  
Net (Loss) Income per common share -
Basic $ (0.03 ) $ 0.00   $ (0.07 ) $ 0.00  
Diluted $ (0.03 ) $ 0.00   $ (0.07 ) $ 0.00  

Weighted average common shares used

in computing per share amounts -
Basic   27,795,594     27,475,792     27,759,931     27,469,148  
Diluted   27,795,594     27,778,840     27,759,931     27,738,763  
For the six months ended June 30, 2013

Common Stock

Paid-in Accumulated    







BALANCE, January 1, 2013 27,724,267 $ 27,724 $ 100,882,019 $ (83,231,308 ) $ 17,678,435
Stock option compensation - - 10,059 - 10,059
Stock option exercises 153,200 153 70,319 - 70,472
Issuance of common stock 20,000 20 12,580 - 12,600
Net loss -   -   -   (1,839,604 )   (1,839,604 )
BALANCE, June 30, 2013 27,897,467 $ 27,897 $
Read Full Story

Sign up for Finance Report by AOL and get everything from business news to personal finance tips delivered directly to your inbox daily!

Subscribe to our other newsletters

Emails may offer personalized content or ads. Learn more. You may unsubscribe any time.

People are Reading

More to Explore
Thu, Oct 27
Set Your Location
City, State, or Zip