Bio-key Q4 2022 Earnings Report
Key Takeaways
BIO-key International, Inc. reported an 88% increase in Q4 2022 revenue to $1.76 million and a net loss of $5.1 million, or $0.62 per share. The company's FY22 revenue increased 37% to $7.0 million. They are implementing expense reduction initiatives to improve profitability in 2023.
Q4 2022 revenues grew 88% to $1.7M and FY 2022 revenues increased 37% to $7.0M.
Continued strength in higher education and growth in government sector customer base.
Expanded distribution partner network in FY 2022.
Launched Mobile Authenticator App (MobileAuth) in 2022.
Bio-key
Bio-key
Forward Guidance
The company expects Q1 2023 revenue to significantly exceed the strongest quarter in 2022 and a sequential decrease in overhead expenses vs. Q4 2022. They anticipate substantial top-line growth and bottom-line improvement in 2023.
Positive Outlook
- Expects record quarterly revenue in Q1 2023
- Q1 results should also reflect a sequential decrease in overhead expenses vs. Q4’22.
- Expanded solutions set and distribution reach.
- Significant pipeline of sales projects and prospects.
- Growing base of high-margin, contracted annual recurring revenues, estimated to be approximately $7M million per year at the beginning of 2023.
Challenges Ahead
- Cybersecurity challenges accelerating at an unprecedented rate.
- Nearly a third of organizations have launched passwordless solutions, up from 22% last year, leaving substantial untapped opportunities for BIO-key.
- Expense reduction initiatives that will reduce our overall expenses in FY 2023.
- The company had a current note payable and current portion of loans due totaling $2.2M.
- The audit of our 2022 financial statements has not been completed as of the date of this press release and the financial statements and financial information provided below have not been finalized and are subject to change.