IDEX quarterly report says progress made towards commercializing biometric smart cards
IDEX has made significant progress towards commercializing its biometric smart card products in Q3 2018, according to the company’s third quarter report. Product sales generated NOK 1.1 million (US$130,000) in revenue during the quarter, down from NOK 3.5 million ($420,000) in the same quarter a year earlier, as the company continues a transition towards serving the mass market for biometric payment cards under Stan Swearingen, who became CEO on April 1.
The company cut its operating expenses by just over 7 percent from NOK 62.6 million ($7.48 million) to NOK 58.1 million ($6.94 million), largely due to lower external development expenses. IDEX also trimmed its head-count from 118 full-time employees at the end of 2017 to 112 at the end of June, and then to 104 as of September 30. No further significant staffing changes are expected.
Shipments began for IDEX’ previously announced production order of sensors for biometric payment cards during the quarter, and the company expects further orders from the same customer, along with increased traction with additional customers.
Other highlights in the quarter included the launch of the first Mastercard biometric payment card by Fransabank in Lebanon, according to the company.
IDEX’ fingerprint sensor for dual-interface cards is through the development stage, and is now being integrated by a range of vendors, with multiple pilots expected in the next quarter. The company is confidant that the cards will be certified for use and volume deliveries will begin by mid-2019.
IDEX also reviews the strengths of its new partners, including Feitian, JINCO Universal, Hengbao, and XH Smart Tech, and says that major companies in different areas of the smart card ecosystem are investing heavily in biometrics. The company says it considers the increase in biometric payment card customer trial activity is very positive for the market.