BIO-key International Reports First Quarter Financial Results

BIO-key releases Q1 2014 financial resultsToday, as scheduled, BIO-key International released its financial report for the first quarter of 2014. The company is calling the results solid, leading to the expectation of a positive second quarter.

The three months ended March 31, 2014 brought in $1.37 million in revenue for the fingerprint biometrics and identity verification solutions company, which is a 70 percent increase when compared to last year’s corresponding period.

“During the quarter, we signed our first OEM agreement to supply our WEB-key client and matching algorithm to fingerprint sensor manufacturers for the mobile device vertical,” says Michael DePasquale, BIO-key’s chairman and CEO. “Our topline revenue was at the high end of our guidance and we expect to continue to grow the business in 2014. We are finding a receptive audience in identity access management channels and with more market reports describing mediocre fingerprint sensor performance in the mobile field, demand for our superior algorithm and scalable, flexible solution is growing.”

In regards to the Q1 2014 gross margin, which increased from 85 in 2013 to 91 percent this year, DePasquale says, “We met our topline goals for Q1, but missed the bottom line after investing in additional development projects and higher than expected non-cash expenses mostly related to outstanding warrants.”

“We are off to a good start for 2014 and expect this momentum to continue into the second quarter, he continues. “As we mentioned during the last call, we are interested in incremental sales hires, along with potential additions to our engineering staff, in that order. We anticipate that the market will continue to evolve towards BIO-key and drive growing demand for our products.”

In conjunction with this release, BIO-key held a conference call that was broadcast live over the Internet. A recording of the webcast will be available for the next thirty days on the company’s website.

Today, findBIOMETRICS published an interview with DePasquale, catching up with him and the CEO of IDEX, Hemant Mardia in regards to the positive Q2 news that the companies have partnered in support of strong mobile authentication.