Precise Biometrics reports Q1 2017 results with US$2.2M in net sales
Precise Biometrics has issued its interim report for Q1 2017 in which it reported net sales of SEK 19.2 million (US$2.2 million), compared to SEK 24.2 million (US$2.8 million) it reported for Q1 2016.
As previously communicated, Precise’ sales during the first quarter were lower than in the previous year as a result of the ongoing market and customer transformation.
Together with its investments in the business for growth, Precise experienced a negative total operating profit for the quarter.
The company’s net sales in Q1 2017 totaled SEK 19.2 million (US$2.2 million), compared to SEK 24.2 million (US$2.8 million) in Q1 2016.
The operating profit/loss for the period were SEK -2.7 million (-US$0.3 million), compared to SEK 6.3 million (US$0.7 million) in Q1 2016.
Profit/loss after tax were SEK -3.4 million (-US$0.4 million), compared to SEK 6.3 million (US$0.7 million) in Q1 2016.
Cash flow from operating activities for the period were SEK 17.1 (US$2.0 million) million, compared to SEK 7.5 million (US$0.9 million) in Q1 2016.
The company’s cash and cash equivalents were SEK 119.2 million (US$13.6 million) at the end of the period, compared to SEK 58.6 million (US$6.7 million) at the end of Q1 2016.
Precise experienced several notable events during the quarter, including the completion of its acquisition of NexID Biometrics, which increased the security of its fingerprint software through liveness detection; signing licensing agreements with hardware vendor NXP, Taiwanese sensor manufacture Zeitec, and Korean sensor manufacturer Melfas; extending its licensing agreement with an existing sensor customer with guaranteed licensing revenue of at least SEK 17.5 million (US$2 million) over 2017 and 2018; and the launch of six smartphones with Precise BioMatch Mobile during the quarter and another four after the end of the quarter.
“We will continue to strengthen our leading position in a rapidly growing market through additional investments in product development to meet customers’ requirements for biometric performance and user-friendliness,” said Håkan Persson, CEO and president at Precise Biometrics. “Requirements that are becoming increasingly challenging as sensors become smaller and new sensor technologies reach the market. We will also grow our customer-focused organization to guarantee the success of our customers with mobile phone manufacturers and thus our royalty revenues.”
“Our view of the revenue development during the year remains unchanged. We expect, as previously announced, a weaker revenue development during the first half of the year, to be followed by a gradual increase in revenues with bigger volumes from our various customer partnerships during the second half of the year. Net sales for the full year are expected to be on par with net sales in 2016, and we expect a positive net result for the full year.”
In its annual report for 2016, Precise Biometrics outlined a positive vision of the company’s future with a 73 percent sales growth compared to 2015.