SOURCE: Integral Vision

March 31, 2010 16:00 ET

Integral Vision, Inc. Announces Year End 2009 Results

WIXOM, MI--(Marketwire - March 31, 2010) - Integral Vision, Inc. (OTCBB: INVI), a leading global supplier of automated display inspection technology, today announced financial results for its fiscal year ending December 31, 2009.

Business Highlights

--  Integral Vision experienced increased sales activity in 2009 and
    achieved a 71% increase in revenues over those in 2008.
--  The Company increased its gross margin percentage from 42 percent 
    in 2008 to 50 percent in 2009, and expects further margin improvement
    in 2010.
--  Integral Vision is gaining considerable traction with its SharpEye
    inspection system used for Emerging Display Technologies. In 2010,
    MEMS Technologies (Micro Electro-Mechanical Systems), and e-paper are
    forecast to experience significant production increases over that of
    2009. This trend is associated with expected growth in sales of smart
    phones, e-readers, and tablets.
--  The Company has delivered several SharpEye inspection systems to LCD
    manufacturers in the current 2010 calendar year.  Interest in AOI
    (Automated Optical Inspection) is very high with LCD manufacturers due
    to the need for better quality displays.  This need is driven by
    increased content of information and video displayed on smaller

"We enter 2010 with confidence that this year will be much improved over 2009," said Charles J. Drake, chairman and CEO of Integral Vision, Inc. "We expect revenues will be generated from Emerging Display Technologies and from traditional LCD manufacturers. In addition, we expect to see our gross margin increase again from the 50% we experienced in 2009. Comprehensive inspection of all types of displays seems to be a priority to display manufacturers. Yield management is now a priority for all display types. We have the ability to manufacture our product in Asia, and we have sales potential in Taiwan, Korea, China, and Japan."

2009 Year-End Financial Results

Total revenue for fiscal 2009 increased to $1,754,000 from $1,027,000 for fiscal 2008. The company lost $2.76 million, or $0.09 per share, in 2009 compared with a loss of $10.7 million, or $0.36 per share, in 2008. The company's loss in 2009 consisted of an operating loss of $1,926,000 and other expenses of $835,000.


Integral Vision will host its usual conference call at the end of April and will announce the date and time of the call within the next few weeks.


To be added to Integral Visions investor email list, please contact Laura Guerrant of Guerrant Associates at


Integral Vision, Inc. (OTCBB: INVI), offers display inspection technology that provides analysis of functional and cosmetic defects in the display to assure quality in the manufacturing process as well as verification of the final product. Integral Vision has been inspecting displays since 1992 and is an industry leader committed to providing automated solutions to the quality issues Microdisplay, OLED and LCD manufacturers face in today's competitive marketplace. More information can be found at Website:


Except for the historical information contained herein, the matters discussed in this press release are forward-looking statements made pursuant to the safe harbor provisions of Section 27A of the Securities Act of 1933 and Section 21E of the Securities Act of 1934. Such statements are based on management's current expectations and are subject to a number of factors and uncertainties that could cause actual results to differ materially from those described in the forward-looking statements. Such factors and uncertainties include, but are not limited to: competitive conditions in the Company's markets and the effect of competitive products and pricing; technological development by the Company, its customers and its competition; the Company's available cash and access to debt and equity financing; and general economic conditions and conditions in the specific industries in which the company has significant customers. As a result, the Company's results may fluctuate. Additional information concerning risk factors that could cause actual results to differ materially from those projected in the forward-looking statements are contained in the Company's filings with the Securities and Exchange Commission. These forward-looking statements represent the Company's best estimates as of the date of this press release. The Company assumes no obligation to update such estimates except as required by the rules and regulations of the Securities and Exchange Commission.


The summary financial information contained in this press release, including the following information in tabular form, should be read in conjunction with the more detailed information contained in the Company's Annual Report on Form 10-KSB filed with the Securities and Exchange Commission on March 31, 2010.

-Tables follow-

                            Balance Sheet
                        Integral Vision, Inc.

                                                            (in thousands)
Current assets
   Cash                                                     $           28
   Accounts receivable                                                  50
   Inventories                                                         190
   Other current assets                                                 98
Total current assets                                                   366

Property and equipment
   Building improvements                                                 4
   Production and engineering equipment                                354
   Furniture and fixtures                                               80
   Computer equipment                                                  193
   Marketing/demonstration equipment                                   139
   Less accumulated depreciation                                       580
Net property and equipment                                             190

Other assets - net of accumulated amortization of
 $1,559,000                                                             61

Total assets                                                $          617

Liabilities and Stockholders' Deficit
Current liabilities
   Notes payable                                            $        7,377
   Accounts payable                                                    114
   Customer deposits                                                   249
   Accrued compensation and related costs                              276
   Accrued interest                                                    774
   Accrued product warranty                                            108
   Other accrued liabilities                                            95
   Deferred revenue                                                     72
Total liabilities (all current)                                      9,065

Stockholders' deficit
   Preferred stock, 400,000 shares authorized; none issued               -
   Common stock, without par value, stated value $.20 per
    share; 90,000,000 shares authorized; 30,866,409 shares
    issued and outstanding                                           6,173
   Additional paid-in capital                                       47,528
   Accumulated deficit                                             (62,149)
Total stockholders' deficit                                         (8,448)
Total liabilities and stockholders' deficit                 $          617

                       Statements of Operations
                         Integral Vision, Inc.

                                                            Year Ended
                                                           December 31,
                                                        2009       2008
                                                      ---------  ---------
                                                         (In thousands,
Revenues:                                            except per share data)
  Net product sales                                   $   1,754  $   1,002
  Net revenue from product development agreements             -         25
                                                      ---------  ---------
    Total net revenues                                    1,754      1,027
Costs of sales:
  Costs of sales for products                               850        573
  Depreciation and amortization                              21         17
                                                      ---------  ---------
Total costs of sales                                        871        590
                                                      ---------  ---------
Gross margin                                                883        437

Other costs and expenses:
  Marketing                                                 487        673
  General and administrative - net                        1,383      1,713
  Engineering and development - net                         939      1,032
                                                      ---------  ---------
Total other costs and expenses                            2,809      3,418
                                                      ---------  ---------
Operating loss                                           (1,926)    (2,981)
Other income                                                 (3)        29
Interest expense                                           (814)      (921)
Extinguishment loss from modifications and exchange
 of debt instruments                                        (18)    (2,644)
Modification and issuance of warrants to PIPE Equity
 Investors                                                    -     (4,217)
Foreign currency translation gain                             -          1
                                                      ---------  ---------
Loss from operations before income taxes                 (2,761)   (10,733)
Income taxes                                                  -          -
                                                      ---------  ---------
Net loss                                              $  (2,761) $ (10,733)
                                                      =========  =========

Basic and diluted loss per share:
  Net loss                                            $   (0.09) $   (0.36)
                                                      =========  =========

Weighted average number of shares outstanding of
 common stock and common stock equivalents, where
 applicable                                              30,268     29,566
                                                      =========  =========

Contact Information

  • Contacts:
    Integral Vision, Inc.
    Charles J. Drake
    (248) 668-9230
    Email Contact

    Investors and Media:
    Guerrant Associates
    Laura Guerrant
    (808) 882-1467
    Email Contact