‘All options remain on the table’ for Imageware after tough quarter
Imageware’s latest financial report indicates that the biometrics provider may be running out of funds. The company had $1.7 million in cash and cash equivalents available at the end of September, compared to $8.3 million at the beginning of 2021.
Imperial Capital is currently reviewing strategic alternatives for the company.
Imageware reported $778,000 in revenue for Q3 2021, down from $2.47 million in the third quarter last year, and its operational loss more than doubled to $2.44 million for the quarter. Though the picture was more encouraging for the first nine months of fiscal 2021, operating loss increased from $6.78 million in 2020 to $7.82 million through the end of September, 2021.
The company will provide a corporate update at a conference call during the week of December 6, 2021.
“We continue to work with Imperial Capital as they review strategic alternatives for the company. In our review process, all options remain on the table including the sale of certain assets, strategic partnerships, and sale of Imageware,” comments Imageware Chair, President, and CEO Kristin Taylor. “We believe our sales and marketing efforts should begin translating into new sales later this year. We also recorded the first official sale for our Law Enforcement 2.0 SaaS platform, and we anticipate going live with this new product in the coming months. With an improved senior leadership team, revamped go-to-market strategies, and new product launches on the horizon, Imageware is well-positioned for the coming quarters, which should translate to incrementally improved operating results going forward.”
Imageware CFO had characterized gains in revenues and gross profit in Q2 as a needed “runway” as it carries out its business plan, which has included a biometric technology tie-up with Tech5.
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