|By Marketwired .||
|March 28, 2014 05:32 PM EDT||
HANOVER, MD -- (Marketwired) -- 03/28/14 -- Brekford Corp. (the "Company") (OTCBB: BFDI) (OTCQB: BFDI), a leading public safety technology service provider of fully integrated traffic safety solutions, parking enforcement citation collections and an end-to-end suite of technology equipment for public safety vehicle services, today announced its operating results for the year ended December 31, 2013.
The Company generated annual revenue of $13,619,306 for the year ended December 31, 2013, compared to $18,295,906 for the year ended December 31, 2012. Gross margin percentage increased significantly to 25.2% for the year ended December 31, 2013, compared to 19.6% for the year ended December 31, 2012, as automated traffic safety enforcement ("ATSE") services represented a higher percentage of the overall business. A net loss for the year of $1,419,586 was primarily due to increased expenses related to the expansion of ATSE programs without corresponding increases in revenue as certain program implementations were delayed or terminated.
"During 2013, we made significant strides in shoring up our product and service offerings in support of current and prospective clients within the public safety industry," stated C. B. Brechin, Chief Executive Officer of Brekford Corp. "The decision to mutually terminate our largest ATSE contract in December, 2013 was appropriate considering the political pressure and uncertainty in terms of when the program would ultimately begin live enforcement. Fortunately, the resources dedicated in 2013 to this project resulted in extreme refinement of our ATSE hardware and backend software, and we believe we have an industry leading turnkey solution as we seek to expand nationwide in 2014. Our full year results were impacted by these efforts; however, with the investments we have made in innovative ATSE and parking citation management solutions we are excited about our prospects for the coming year."
"We are aggressively marketing our ATSE programs and the recently released School Safety Zone SpeedAlert system, which combines speed warning radar with an optional enforcement camera," commented Rod Hillman, President and Chief Operating Officer of Brekford. "In the coming months we will be introducing handheld and mobile automated photo speed enforcement products as well as a pole mounted red light photo enforcement system. Additionally, we continue to work with other technology partners as we build an array of solutions customized to fit nearly any customer application. Our citation management application suite integrates with all of our hardware to provide a seamless and intuitive program for municipalities, no matter how small or large."
"As a result of the financial challenges of 2013, we have implemented a plan to make significant changes in 2014 with cost containment and restructuring measures that will continue for several months," continued Mr. Hillman. "Among other changes, we have significantly reduced the overall workforce and revamped our sales and marketing team with a renewed emphasis on nationwide growth beyond our traditional Maryland client base. While we have reduced operating expenses dramatically, we still anticipate losses in the near term as we focus on strong results in the latter half of 2014 in conjunction with adding recurring revenue from new clients. We are encouraged by the increase in our gross margin percentage in 2013 which we expect to continue as ATSE represents an increasing percentage of our overall business moving forward."
"Supplemental to our efforts with ATSE, we also continue to pursue contracts to provide parking citation services and collection of past-due receivables for municipalities. Our initial contracts with the Cities of Asheville, North Carolina and Huntington, New York have provided a solid foundation for expansion in this large national market. Additionally, we anticipate renewed growth in our legacy vehicle services business with a primary focus on rugged mobile technology vehicle installations for state and federal agencies," concluded Hillman.
Financial highlights for year ended December 31, 2013:
Net revenue decreased 25.6% to $13,619,306 for the twelve months ended December 31, 2013, compared with $18,295,906 in the previous year. The decrease in total net revenue was primarily due to lower sales of rugged IT products offset in part by an 80% increase in ATSE revenue.
As of December 31, 2013, the Company's total assets approximated $6.7 million, compared with approximately $9.3 million on December 31, 2012. Cash on hand approximated $2.1 million at the end of 2013, versus approximately $1.4 million at the end of 2012. The total amount outstanding against the Company's bank line of credit as of December 31, 2013 was $1,470,533.
Gross profit declined to $3,436,228 (25.2% of net revenue) in the year ended December 31, 2013, from $3,589,808 (19.6% of net revenue) in 2012. The increased gross profit margin percentage was primarily due to a higher proportion of ATSE services in relation to the overall business.
Total operating expenses decreased from $4,708,291 in 2012 to $4,678,290 in 2013. Salaries and related expenses increased 25.9% to $1,956,640, versus $1,554,377 in 2012 due to increased staffing to support growth in the Company's ATSE products. Selling, general and administrative expenses decreased 13.7%, primarily due to a decrease of $827,441 in bad debt expense partially offset by an increase in depreciation expense related to additional investments in Brekford's intellectual property, hardware, and software.
The Company recorded a net loss of $1,419,586, or $0.03 per diluted share, in 2013, versus a net loss of $1,266,671, or $0.03 per diluted share, for the year ended December 31, 2012. Management primarily attributes the net loss in 2013 to increased expenses related to salaries, benefit programs, and associated support costs for the expansion of ATSE programs without corresponding increases in revenue as certain program implementations were delayed or terminated.
About Brekford Corp.
Brekford Corp. provides state-of-the art public safety technology and automated traffic enforcement solutions to municipalities, the U.S. military, various federal entities and other public safety agencies throughout the United States. Its services include automated speed and red light camera enforcement programs, parking enforcement citation collections and an end-to-end suite of technology and equipment for public safety vehicle up-fitting. Brekford's combination of up-fitting services, cutting-edge technology, and automated traffic enforcement services offers a unique 360-degree solution for law enforcement agencies and municipalities.
The Company is headquartered in Hanover, Maryland, and its common stock is traded on the OTC Bulletin Board and the OTCQB under the symbol "BFDI". Additional information on Brekford can be accessed online at www.brekford.com.
Forward-Looking Statements. This press release contains "forward-looking statements" within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended (the "Exchange Act") (which Sections were adopted as part of the Private Securities Litigation Reform Act of 1995). Statements preceded by, followed by or that otherwise include the words "believe," "anticipate," "estimate," "expect," "intend," "plan," "project," "prospects," "outlook," and similar words or expressions, or future or conditional verbs such as "will," "should," "would," "may," and "could" are generally forward-looking in nature and not historical facts. These forward-looking statements involve known and unknown risks, uncertainties and other factors, which may cause the Company's actual results, performance or achievements to be materially different from any anticipated results, performance or achievements. The Company disclaims any intention to, and undertakes no obligation to, revise any forward-looking statements, whether as a result of new information, a future event, or otherwise. For additional risks and uncertainties that could impact the Company's forward-looking statements, please see the Company's Annual Report on Form 10-K for the year ended December 31, 2013, including but not limited to the discussion under "Risk Factors" therein, which the Company has filed with the SEC and which may be viewed at http://www.sec.gov.
BREKFORD CORP. CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS ($000, except per-share figures) Years Ended December 31, ---------------------------- 2013 2012 ------------- ------------- Net revenue $ 13,619 $ 18,296 Gross profit 3,436 3,590 Loss from operations (1,242) (1,118) Total other expense (178) (148) Net loss $ (1,420) $ (1,267) Loss per share - basic and diluted $ (0.03) $ (0.03) Weighted average shares outstanding Basic 44,283 44,129 Diluted 44,283 44,129 --------------------------------------------------------------------------- CONDENSED CONSOLIDATED BALANCE SHEETS ($000, except per-share figures) December 31, December 31, 2013 2012 ------------- ------------- Cash $ 2,052 $ 1,415 Current assets 4,880 6,593 Total assets 6,660 9,346 Current liabilities 4,759 5,426 Total liabilities 5,545 6,869 Stockholders' equity $ 1,115 $ 2,477
For Further Information:
C. B. Brechin
SYS-CON Events announced today that Plutora, Inc., the leading global provider of enterprise release management and test environment management SaaS solutions, will exhibit at SYS-CON's DevOps Summit 2015 New York, which will take place on June 9-11, 2015, at the Javits Center in New York City, NY. Headquartered in Mountain View, California, Plutora provides enterprise release management and test environment SaaS solutions to clients in North America, Europe and Asia Pacific. Leading companies ...
May. 5, 2015 03:45 AM EDT Reads: 2,221
SYS-CON Events announced today that Open Data Centers (ODC), a carrier-neutral colocation provider, will exhibit at SYS-CON's 16th International Cloud Expo®, which will take place June 9-11, 2015, at the Javits Center in New York City, NY. Open Data Centers is a carrier-neutral data center operator in New Jersey and New York City offering alternative connectivity options for carriers, service providers and enterprise customers.
May. 5, 2015 03:30 AM EDT Reads: 3,161
SYS-CON Events announced today that Dyn, the worldwide leader in Internet Performance, will exhibit at SYS-CON's 16th International Cloud Expo®, which will take place on June 9-11, 2015, at the Javits Center in New York City, NY. Dyn is a cloud-based Internet Performance company. Dyn helps companies monitor, control, and optimize online infrastructure for an exceptional end-user experience. Through a world-class network and unrivaled, objective intelligence into Internet conditions, Dyn ensures...
May. 5, 2015 03:15 AM EDT Reads: 2,876
This builds on Puppet Labs' first class Windows support, including native .MSI packages for x32 and x64 operating systems, modules to extend common Windows server management tools, including Powershell, and integrations with Microsoft Azure and Visual Studio. By automating common Windows administration tasks, Puppet Labs is enabling users to adopt DevOps practices, thereby reducing the time needed to deploy applications from weeks to hours.
May. 5, 2015 03:00 AM EDT Reads: 2,213
SYS-CON Events announced today that Vicom Computer Services, Inc., a provider of technology and service solutions, will exhibit at SYS-CON's 16th International Cloud Expo®, which will take place on June 9-11, 2015, at the Javits Center in New York City, NY. They are located at booth #427. Vicom Computer Services, Inc. is a progressive leader in the technology industry for over 30 years. Headquartered in the NY Metropolitan area. Vicom provides products and services based on today’s requirements...
May. 5, 2015 03:00 AM EDT Reads: 2,486
BlueBox bridge the chasm between development and infrastructure. Hosting providers are taking standardization and automation too far. For many app developers it does nothing but spawn mayhem and more work. They have to figure out how their creations live on a pre-fab infrastructure solution full of constraints. Operations-as-a-Service is what BlueBox does. BlueBox utilizes development tools such as OpenStack, EMC Razor, Opscode’s Chef and BlueBox's proprietary tools give the power to do the unor...
May. 5, 2015 03:00 AM EDT Reads: 1,851
What’s inside the cloud? Hard work. Cloud operators know the world inside the datacenter is gritty. Vendor marketing speak and cloudwashing quickly melt in the heat of SLAs, uptime guarantees, and users who want it now. In his session at DevOps Summit, Hernan Alvarez, Chief Product Officer at Blue Box Group, will deliver an unvarnished look inside the world of cloud operators, from the perspective of someone who lives it. Attendees get a front-row look into the toolkits and processes that enabl...
May. 5, 2015 02:45 AM EDT Reads: 2,023
Application metrics, logs, and business KPIs are a goldmine. It’s easy to get started with the ELK stack (Elasticsearch, Logstash and Kibana) – you can see lots of people coming up with impressive dashboards, in less than a day, with no previous experience. Going from proof-of-concept to production tends to be a bit more difficult, unfortunately, and it tends to gobble up our attention, time, and money. In his session at DevOps Summit, Otis Gospodnetić, co-author of Lucene in Action and founder...
May. 5, 2015 02:45 AM EDT Reads: 2,185
We are all here because we are sold on the transformative promise of The Cloud. But what good is all of this ephemeral, on-demand infrastructure if your usage doesn't actually improve the agility and speed of your business? How must Operations adapt in order to avoid stifling your Cloud initiative? In his session at DevOps Summit, Damon Edwards, co-founder and managing partner of the DTO Solutions, will highlight the successful organizational, process, and tooling patterns of high-performing c...
May. 5, 2015 02:30 AM EDT Reads: 4,347
Physical, virtual, containers. Private cloud, public cloud, hybrid cloud. IaaS, PaaS, SaaS. Windows, Linux, Mac. These are just some of the choices faced when architecting a datacenter of today. And the choice is not one or the other; instead, it is often a combination of many of these. HashiCorp builds software to ease these decisions by presenting solutions that bridge the gaps. HashiCorp's tools manage both physical machines and virtual machines, Windows, and Linux, SaaS and IaaS, etc. The co...
May. 5, 2015 02:15 AM EDT Reads: 2,077
CloudBees, Inc., has announced a $23.5 million financing round, led by longtime CloudBees investor Lightspeed Venture Partners. Existing investors Matrix Partners, Verizon Ventures and Blue Cloud Ventures also participated in the round. The latest funding announcement follows earlier rounds of $4 million, $10.5 million and $10.8 million, bringing the total investment in CloudBees to just under $50 million since the company’s inception in 2010. Previous venture investment rounds were led by Ma...
May. 5, 2015 02:00 AM EDT Reads: 2,254
SYS-CON Events announced today that Blue Box has been named “Bronze Sponsor” of SYS-CON's DevOps Summit New York, which will take place June 9-11, 2015, at the Javits Center in New York City, NY. Blue Box delivers Private Cloud as a Service (PCaaS) to a worldwide customer base. Built on a technology platform leveraging decades of operational expertise in cloud and distributed systems, Blue Box Cloud is a managed private cloud product available in both hosted and on-prem versions. Each Blue Box ...
May. 5, 2015 02:00 AM EDT Reads: 1,963
DevOps Summit 2015 New York, co-located with the 16th International Cloud Expo - to be held June 9-11, 2015, at the Javits Center in New York City, NY - announces that it is now accepting Keynote Proposals. The widespread success of cloud computing is driving the DevOps revolution in enterprise IT. Now as never before, development teams must communicate and collaborate in a dynamic, 24/7/365 environment. There is no time to wait for long development cycles that produce software that is obsolete...
May. 5, 2015 01:45 AM EDT Reads: 4,371
“The year of the cloud – we have no idea when it's really happening but we think it's happening now. For those technology providers like Zentera that are helping enterprises move to the cloud - it's been fun to watch," noted Mike Loftus, VP Product Management and Marketing at Zentera Systems, in this SYS-CON.tv interview at Cloud Expo, held Nov 4–6, 2014, at the Santa Clara Convention Center in Santa Clara, CA.
May. 5, 2015 01:30 AM EDT Reads: 3,447
“We help people build clusters, in the classical sense of the cluster. We help people put a full stack on top of every single one of those machines. We do the full bare metal install," explained Greg Bruno, Vice President of Engineering and co-founder of StackIQ, in this SYS-CON.tv interview at 15th Cloud Expo, held Nov 4–6, 2014, at the Santa Clara Convention Center in Santa Clara, CA.
May. 5, 2015 01:15 AM EDT Reads: 3,629