SOURCE: Axium Technologies, Inc

February 07, 2007 09:30 ET

Axium Technologies Updates Financial Guidance for 2007

Gross Revenues Projected at $13.9 Million for 2007, a 66% Increase From the Company's Previously Issued Guidance for 2007

PASADENA, CA -- (MARKET WIRE) -- February 7, 2007 -- Axium Technologies, Inc. (PINKSHEETS: AXGI) announced today updated financial guidance for 2007.

The Company estimates that gross revenues will be $13.9 million dollars for 2007 with net margins of 33%. These expected results show improvement of 66% over the previously released guidance of gross revenues of $8.8 million for the year. Expected revenues for 2008 and 2009 have been revised upward to $20.7 million and $30.0 million, respectively.

Mr. WonSoo Chung, CEO of Axium, in describing the increased revenue projections, stated: "The improvement in projected revenues is a direct result of our ability to integrate the MAXIMUM software product into a larger number of DVR products made by the world's largest suppliers than we originally contemplated. These increased revenues will also be bolstered by the recent opening of our new East Coast office and our previously announced acquisition of Infinity Security Systems. The projected revenues are based upon very conservative estimates of revenues based upon contracts now in hand or contemplated to be executed in the near term, and we expect continued positive gross and net revenue improvement for the remainder of the year."

It's expected that additional guidance will be released in the 2nd quarter of 2007 based upon actual results achieved to that date, and may indeed show a further increase in the Company's projections for overall gross and net revenues in 2007.


Axium Technologies, Inc is a leading provider in surveillance security systems software and hardware. The company maintains its corporate presence in Pasadena, CA and its Research and Development Facility in South Korea.

The Company's primary products include MAXIMUM Surveillance Software, which is the key solution providing interoperability for numerous digitalized security and surveillance products from diverse manufacturers. The Company's Digital Video Recorders (DVRs) and Network Video Products (NVPs) are targeted at the Security and Surveillance segment of the gaming industry. The Company's newest product "Tagger Trap" is a state of the art graffiti detection product, which detects and alarms local police of graffiti activity. The estimated cost of graffiti clean up in North America is projected at $1.0 billion annually. Millions of dollars have been budgeted in the past year by large metro police departments to detect and apprehend graffiti taggers.

During 2006, Axium Technologies redeployed much of their resources, both fiscal and headcount, to complete development of its current suite of products. In doing so, its 2006 revenues are expected to reach $1.04 million, with revenues for 2007 presently projected to be $13.9 million, with net margins of approximately 33% of revenues.

FORWARD-LOOKING STATEMENT: This press release contains forward-looking statements, including expected industry patterns and other financial and business results that involve known and unknown risks, uncertainties and other factors that may cause our actual results, levels of activity, performance or achievements to differ materially from results expressed or implied by this press release. Such risk factors include, among others: the sustainability of recent growth rates in the Security and Surveillance industry; the positioning of Axium products in the market; ability to integrate acquired companies and technology; ability to retain key employees; ability to successfully combine product offerings and customer acceptance of combined products; general market conditions, fluctuations in currency exchange rates, changes to operating systems and product strategy by vendors of operating systems; and whether Axium Technologies can successfully develop new products and the degree to which these products gain market acceptance. Actual results may differ materially from those contained in the forward-looking statements in this press release.

Contact Information