EyeLock parent reports big gains, biometrics segment gross margins positive
Voxx International has reported significant improvements in its financial results for its first quarter of fiscal 2022, with net sales up 90.4 percent year-over-year to $137.1 million and a $7.7 million year-over-year reduction in operating loss to $0.4 million, buoyed by the market performance of EyeLock’s iris biometrics.
Net sales for Voxx’ biometrics segment were approximately $0.2 million, up 111.3 percent from $0.1 million in the same quarter a year ago. The increase was largely due to increased sales of EyeLock’s NIXT (otherwise known as the nano iXT) iris biometric device, which was launched last year. Gross margins for the biometrics segment leaped from negative 22.7 percent to positive 19.5 percent. Voxx also spent more money on biometrics research and development than a year ago.
A prospective sale of EyeLock to companies including Kahli Holdings ended with a major distribution deal between EyeLock and GalvanEyes, which Beat Kahli is also the largest stockholder in.
Overall, Voxx booked positive net income and adjusted EBITDA, despite higher supply chain expenses caused by industry-wide shortages and delays.
“We expect higher supply chain costs and shipping delays to impact the fiscal second quarter, and we still anticipate growth, but less than initially anticipated,” states Voxx International President and CEO Pat Lavelle. “We instituted price increases to offset the cost of doing business and we will start to realize the positive impact in our fiscal 2022 second quarter, and more so in the second half of the year. We believe we’ve taken the right steps to ensure we have the inventory on hand to meet customer demand in our all-important fiscal third quarter and our positive outlook for the second half of the year has not changed.”