Biometric technology developer Aware, Inc. has announced its fiscal results for the third quarter of 2015. The results are indicative of what co-CEO Rick Moberg called in a press release “an unusual financial quarter” for the company.
The good news is that Aware remains very profitable. The company brought in $4 million in revenue for the quarter resulting in net income of $2.2 million. Unfortunately, those numbers do reflect a drop against Q3 of 2014, when Aware brought in $6 million in revenue and reported a net income of $2.6 million.
The company cites two main factors in explaining the drop: Firstly, that a major government project had been winding down for the past several months – a factor that affected the company’s Q2 results as well – and has now concluded. The other major factor is that its Q3 2014 results included a one-off revenue jump from the company’s sale of its DSL patents, which amounted to $2.1 million.
Meanwhile, an unusual mitigating factor came into play in Q3 of this year as an IRS audit found no fault in Aware’s tax reporting, prompting the company to release a $1.9 million reserve of funds for “uncertain tax positions” and count it as income.
Looking forward, Moberg reasserted that the company’s “strategy is to broaden our biometrics business through opportunities in commercial markets.” He added that Aware has now signed a major licensing agreement with Certisign, which he called “the largest supplier of digital certificates in Brazil.”
October 23, 2015 – by Alex Perala