IDEX reports preliminary 2018 revenues amid pivot to focus on biometric payment cards
Revenues of IDEX Biometrics were down significantly in its fourth quarter and preliminary full-year 2018 results from a year earlier, as the company transitions from primarily serving the smartphone market to a greater emphasis on cards and embedded products.
IDEX recorded quarterly revenues of NOK 0.4 million (roughly US$47,000), down from NOK 1.2 million ($140,000) in Q4 2017, and NOK 3.6 million ($420,000) for the full year, down from NOK 17.5 million ($2.1 million) last year, when the company made considerable shipments of sensors for mobile phones.
“The biometric smart card market is poised for significant growth and IDEX has now become a key player in this market. We made great progress in 2018 with our leading technologies and solutions and we are well positioned to create substantial long-term value for shareholders.”
Highlights in the quarter and since include multiple new customers for biometric cards in fast-moving Asian markets, a partnership with Visionix for smart cards with integrated displays, and partnerships with Infineon and CEC Huada Electronic Design Co. for enhanced card security solutions.
A significant portion of the company’s report and presentation relates to the issues and opportunities identified in recent discussions between Biometric Update and stakeholders including Swearingen about the emerging market for biometric payment cards, and IDEX includes the readiness of its unique enrollment solution for commercial adoption as a point of operational momentum.
IDEX raised $25 million since the end of its fiscal 2018 year, which it plans to carry it through to profitability from payment cards.
The company also provided mandatory notice of incentive subscription grants, with IDEX Director of Investor Relations and Communication Stuart Hunt granted rights to 154,000 shares at NOK 3.88 ($) each, as the company’s board resolved to issue 873,800 incentive subscription rights to employees and individual contractors under IDEX’ 2018 incentive plan. The subscription rights vest at 25 percent per year, and expire in May, 2023.