Attached files
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| 8-K - CURRENT REPORT OF MATERIAL EVENTS OR CORPORATE CHANGES - INTRUSION INC | a14-5371_18k.htm |
Exhibit 99.1
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NEWS RELEASE |
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1101 East Arapaho Road |
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Financial Contact |
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INTRUSION INC. RECORDS A PROFIT FOR THE
FOURTH QUARTER AND YEAR 2013
Richardson, Texas — February 10, 2014 — Intrusion Inc. (OTCQB: INTZ), (“Intrusion”) today announced financial results for the quarter and year ended December 31, 2013.
Intrusion’s net income in the fourth quarter 2013 was $0.2 million, compared to a net loss of $0.2 million for the fourth quarter 2012. Net income for the year 2013 was $0.6 million, compared to a net loss of $0.2 million for 2012.
Revenue for the fourth quarter 2013 was $1.8 million, compared to $1.5 million for the fourth quarter 2012. Revenue for the year 2013 was $7.7 million, compared to $6.7 million in 2012, a 15% increase.
Gross profit margin increased to 67% of revenue in the fourth quarter of 2013, compared to 65% of revenue in the fourth quarter 2012. For the year, the gross profit margin increased to 64%, compared to 60% in 2012.
Intrusion’s fourth quarter 2013 operating expenses were $1.0 million, compared to $1.1 million in the fourth quarter 2012. For the year 2013, operating expenses were $4.2 million, compared to $4.1 million in 2012.
As of December 31, 2013, Intrusion reported cash and cash equivalents of $1.1 million, working capital of $0.4 million and debt of $1.7 million.
“During the fourth quarter 2013, we booked $1.4 million of orders compared to $1.3 million in the fourth quarter 2012. For the year 2013, we booked $8.6 million of orders compared to $7.1 million of orders in 2012,” stated G. Ward Paxton, Chairman, President and CEO of Intrusion. “We introduced an exciting new product in the first quarter of 2013, Advanced Persistent Threat (APT) Detection System, and it generated revenue in the second, third and fourth quarters of 2013,” Paxton concluded.
Intrusion
Fourth Quarter 2013 Results
Intrusion’s management will host its regularly scheduled quarterly conference call to discuss the Company’s financial and operational progress at 4:00 P.M., CST today. Interested investors can access the call at 1-877-258-4925 (if outside the United States, 1-973-500-2152). For those unable to participate in the live conference call, a replay will be accessible beginning today at 7:00 P.M., CST until February 17, 2014 by calling 1-855-859-2056 (if outside the United States, 1-404-537-3406). At the replay prompt, enter conference identification number 97329959. Additionally, a live and archived audio webcast of the conference call will be available at www.intrusion.com.
About Intrusion Inc.
Intrusion Inc. is a global provider of entity identification systems, advanced persistent threat identification, high speed data mining, regulated information compliance, data leak prevention and data privacy protection, and network intrusion prevention and detection products. Intrusion’s product families include TraceCop™ for entity identification, Savant™ for advanced persistent threats and network data mining, Compliance Commander™ for regulated information compliance, data leak prevention and data privacy protection, and Intrusion SecureNet for network intrusion prevention and detection. Intrusion’s products help protect critical information assets by quickly detecting, protecting, analyzing and reporting attacks or misuse of classified, private and regulated information for government and enterprise networks. For more information, please visit www.intrusion.com.
This release may contain certain forward-looking statements, which reflect management’s expectations regarding future events and operating performance and speak only as of the date hereof. These forward-looking statements involve a number of risks and uncertainties. Such statements include, without limitations, statements regarding future revenue growth and profitability, the difficulties in forecasting future sales caused by current economic and market conditions, the effects of sales and implementation cycles for our products on our quarterly results and difficulties in accurately estimating market growth, the effect of military actions on government and corporate spending on information security products, spending patterns of, and appropriations to, U.S. government departments, as well as other statements. These statements are made under the “safe harbor” provisions of the Private Securities Litigation Reform Act of 1995 and involve risks and uncertainties which could cause actual results to differ materially from those in the forward-looking statements. The factors that could cause actual results to differ materially from expectations are detailed in the Company’s most recent reports on Form 10-K and Form 10-Q, particularly under the heading “Risk Factors.”
INTRUSION INC.
UNAUDITED CONDENSED CONSOLIDATED BALANCE SHEETS
(In thousands except par value amounts)
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December 31, |
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December 31, |
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2013 |
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2012 |
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ASSETS |
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Current Assets: |
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Cash and cash equivalents |
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$ |
1,139 |
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$ |
52 |
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Accounts receivable |
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816 |
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946 |
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Inventories, net |
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19 |
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5 |
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Prepaid expenses |
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95 |
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48 |
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Total current assets |
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2,069 |
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1,051 |
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Property and equipment, net |
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297 |
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260 |
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Other assets |
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51 |
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48 |
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TOTAL ASSETS |
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$ |
2,417 |
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$ |
1,359 |
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LIABILITIES AND STOCKHOLDERS’ DEFICIT |
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Current Liabilities: |
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Accounts payable and accrued expenses |
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$ |
998 |
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$ |
707 |
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Dividends payable |
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437 |
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279 |
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Line of credit payable |
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— |
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130 |
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Obligations under capital lease, current portion |
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117 |
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96 |
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Deferred revenue |
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139 |
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52 |
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Total current liabilities |
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1,691 |
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1,264 |
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Loan payable to officer |
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1,530 |
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1,530 |
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Obligations under capital lease, noncurrent portion |
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56 |
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116 |
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Stockholders’ Deficit: |
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Preferred stock, $.01 par value: |
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Authorized shares — 5,000 |
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Series 1 shares issued and outstanding — 220 |
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778 |
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778 |
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Series 2 shares issued and outstanding — 460 |
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724 |
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724 |
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Series 3 shares issued and outstanding — 354 |
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504 |
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504 |
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Common stock, $.01 par value: |
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Authorized shares — 80,000 |
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Issued shares — 12,182 |
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Outstanding shares — 12,172 |
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122 |
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122 |
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Common stock held in treasury, at cost — 10 shares |
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(362 |
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(362 |
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Additional paid-in capital |
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55,905 |
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55,837 |
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Accumulated deficit |
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(58,424 |
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(59,047 |
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Accumulated other comprehensive loss |
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(107 |
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(107 |
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Total stockholders’ deficit |
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(860 |
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(1,551 |
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TOTAL LIABILITIES AND STOCKHOLDERS’ DEFICIT |
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$ |
2,417 |
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$ |
1,359 |
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INTRUSION INC.
UNAUDITED CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS
(In thousands except per share amounts)
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Three Months Ended |
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Year Ended |
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2013 |
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2012 |
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2013 |
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2012 |
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Revenue |
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$ |
1,838 |
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$ |
1,495 |
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$ |
7,663 |
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$ |
6,697 |
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Cost of revenue |
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600 |
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530 |
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2,751 |
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2,707 |
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Gross profit |
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1,238 |
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965 |
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4,912 |
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3,990 |
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Operating expenses: |
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Sales and marketing |
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352 |
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301 |
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1,435 |
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1,317 |
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Research and development |
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441 |
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534 |
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1,579 |
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1,660 |
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General and administrative |
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223 |
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253 |
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1,144 |
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1,143 |
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Operating income (loss) |
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222 |
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(123 |
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754 |
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(130 |
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Interest expense, net |
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(34 |
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(31 |
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(131 |
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(116 |
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Other income (expense) |
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— |
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— |
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— |
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— |
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Income (loss) before income taxes |
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188 |
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(154 |
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623 |
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(246 |
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Income tax provision |
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— |
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— |
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— |
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— |
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Net income (loss) |
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$ |
188 |
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$ |
(154 |
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$ |
623 |
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$ |
(246 |
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Preferred stock dividends accrued |
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(38 |
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(38 |
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(151 |
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(152 |
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Net income (loss) attributable to common stockholders |
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$ |
150 |
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$ |
(192 |
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$ |
472 |
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$ |
(398 |
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Net income (loss) per share attributable to common stockholders: |
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Basic |
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$ |
0.01 |
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$ |
(0.02 |
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$ |
0.04 |
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$ |
(0.03 |
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Diluted |
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$ |
0.01 |
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$ |
(0.02 |
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$ |
0.03 |
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$ |
(0.03 |
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Weighted average common shares outstanding: |
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Basic |
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12,172 |
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12,107 |
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12,172 |
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12,035 |
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Diluted |
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14,998 |
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12,107 |
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14,290 |
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12,035 |
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