VerifyMe restructuring slashes loss in Q3
VerifyMe reduced its quarterly loss by 78 percent year-over-year in Q3 from $1.8 million to $385,000 amid several positive developments for the company, according to its latest earnings report.
A 15.3 percent decrease in operating expenses from the Q32016 allowed VerifyMe to exit the quarter with a cash balance of $0.8 million, compared to only $23,000 at the end of the 2016 fiscal year.
Among significant moves in the quarter, VerifyMe signed a contract with HP Indigo in September to provide it with specialty inks for physical security. VerifyMe also overhauled its leadership in August, announcing a new CEO and newly elected, independent members of its board of directors, who subsequently led a restructuring and recapitalization plan.
“While we still have lots more to do, we are off to a great start and a lot has been accomplished in a short amount of time,” VerifyMe President and Chief Executive Officer Patrick White said. “The HP Indigo contract completion has the company now positioned for profitability. I am also pleased with our progress in our digital biometric development and believe the Company has a viable future ahead in the biometric “people verification” segment. We are in the midst of filling our sales pipeline with deal flow, which is at various stages – both on the physical and digital/biometrics sides of the business.”
The company’s revenues for the quarter were minimal, but it is expecting to increase revenues in 2018 by leveraging its portfolio of technology and patents to strike licensing and royalty deals.