February 11, 2015 -
Aware, Inc. reported financial results for the fourth quarter of 2014, as well as for the year ended December 31, 2014.
Aware saw $4.3 million in revenue for the fourth quarter, which was 24% lower than the $5.6 million it earned in the fourth quarter of 2013.
The company’s operating income in the fourth quarter was substantially lower than the previous year, sitting at $0.2 million compared to $0.8 million.
Aware attributes the lower revenue and operating income in the fourth quarter of 2014 compared to 2013 to its lower hardware sales.
Additionally, net income in the fourth quarter of 2014 was $0.2 million, which is significantly lower when compared to $1.6 million in the previous year.
However, the company’s net income in the fourth quarter of 2013 included $1.1 million of income from discontinued operations.
Though revenue was down for the fourth quarter, Aware performed stronger on the whole in 2014, with a 23% increase in revenue to $23.7 million compared to 2013’s $19.4 million.
Operating income for 2014 was $7.1 million compared to $5.3 million in 2013.
This increase can be attributed to the $0.4 million increase in operating income before patent related income – as a result of its higher hardware and services revenue – and a $1.4 million increase in income from patent related activities.
Net income for the year was $4.6 million, compared to $2.6 million in 2013. Net income in 2013 included a $1.2 million loss from discontinued operations.
“While financial results for the fourth quarter did not meet our expectations, results for the full year did,” said Rick Moberg, Aware’s co-chief CEO and CFO. “Our biometrics business achieved its best year of financial and operational results since its inception more than 20 years ago. We go into 2015 with the most complete product portfolio we’ve ever enjoyed, a strengthened engineering organization, an experienced sales staff, and a solid balance sheet. We believe we have the products and people to continue our success in this industry.”
Previously reported, Aware reported financial results for its third quarter ended September 30, 2014, earning revenue of $6.0 million, which marks a 40% increase compared to $4.3 million in the same quarter last year.