SOURCE: Integrated Management Information (IMI Global)

Integrated Management Information (IMI Global)

November 10, 2010 07:00 ET

Integrated Management Information (IMI Global) Reports Record Third Quarter and 9-Month Financial Results

CASTLE ROCK, CO--(Marketwire - November 10, 2010) -  Integrated Management Information, Inc. (IMI Global) (OTCBB: INMG)

  • Q3 net income up 50% to $105,500 from $70,400 a year ago

  • Record Q3 revenue of $923,700, up 19% over $778,700 last year

  • 9-month net income increases to $211,700 -- $0.01 EPS -- from loss of $42,300

  • 9-month revenue up 26% to record $2,403,000 from $1,902,000

  • Gross margins increase in both Q3 and 9-month period

  • Cash from operations up 234% to $375,000 through first nine months

Integrated Management Information, Inc. (IMI Global) (OTCBB: INMG), a leading provider of verification and Internet solutions for the agricultural/livestock industry under the Where Food Comes From® brand, today announced record financial results for its third quarter and nine month period ended September 30, 2010. It was the Company's third consecutive quarter of record-high revenue and earnings.

"With three consecutive quarters of record revenue and earnings, IMI Global is performing at a very high level in spite of the sluggish global economy," said John Saunders, CEO of IMI Global. "We continue to generate positive cash flow growth and improve our working capital and cash positions while at the same time enhancing core solutions and investing in new product initiatives designed to better serve our growing customer base and strengthen our competitive position. Our strategy is to continue the steady growth of our core solutions while gearing up for potentially explosive growth with our Where Food Comes From labeling program. With increasing consumer activism around food safety -- in the United States and abroad -- there is no question that demand for the kind of solutions we provide should increase steadily in coming years, and we are committed to developing and offering these solutions in a cost effective manner that fosters confidence among producers, retailers and consumers."

Third Quarter Results
The Company reported revenue of $923,700 in the third quarter, a 19% increase over revenue of $778,700 in the third quarter last year. It was IMI Global's highest-ever quarterly revenue total and the third consecutive quarter of increased revenue this year. Revenue from verification services, which includes the Company's industry leading USVerified™ solutions, increased 20% to $699,300 from $581,000 a year ago due in part to higher demand for the Company's US Verified Non Hormone Treated Cattle (NHTC) solution and supply chain coordination efforts. Hardware revenue consisting primarily of cattle identification tags increased 17% in the third quarter to $224,400 from $191,300 in the same quarter last year. Gross margin in the third quarter increased to 53.1% of revenue from 49.7% of revenue.

Selling, general and administrative expense in the third quarter increased 22% to $376,700 from $308,000, reflecting increased investment in marketing and advertising related initiatives designed to raise industry awareness of the Company's Where Food Comes From® program that connects consumers with the food supply chain at the point of purchase through an unprecedented level of transparency. The program uses U.S. Department of Agriculture (USDA) Process Verified Programs (PVP) to validate marketing claims. Participating suppliers are then able to market their food products with the WhereFoodComesFrom seal to offer consumers an added level of confidence in the product's attributes. For more information go to www.wherefoodcomesfrom.com

IMI Global reported record third quarter net income of $105,500, up 50% increase over net income of $70,400 in the same quarter last year.

Nine-Month Results
Revenue for the first nine months of 2010 increased 26% to $2,403,000 from $1,902,000 in the same period last year. It was Company's highest-ever nine-month revenue total and was attributed to growing demand for US Verified solutions, particularly NHTC and supply chain coordination services. Third-party verification revenue increased 25% to $1,926,200 from $1,536,100 in the first three quarters last year. Hardware revenue in the first nine months grew 37% to $476,800 from $347,300 in the same period a year ago. Gross margin for the nine-month period improved to 55.1% of revenue from 49.3% of revenue a year ago.

Selling, general and administrative expense through nine months increased 14% to $1,089,100 from $957,500 due to year-to-date investments in Where Food Comes From.

The Company reported net income of $211,700, or $0.01 per share, in the nine-month period versus a net loss of $42,300, or less than one cent per share, in the same period last year. It was Company's most profitable nine-month performance.

Balance Sheet Highlights
IMI Global generated $375,000 in cash from operations through the first nine months of 2010, a 234% increase over $112,200 in the same period a year ago. Cash and cash equivalents at September 30 were $488,400, up substantially from $298,800 at mid-year and $214,300 at December 31 year-end. Working capital at the end of the third quarter was $447,200, up from $341,800 at mid-year and $264,000 at year-end.

About IMI Global
Founded in 1995, IMI Global is a USDA Process Verified (PVP) company and is a leading provider of verification and Internet solutions for the agriculture industry. Go to www.IMIGlobal.com for additional information. IMI has worked with some of the largest agricultural organizations in the United States, providing web-based applications for verification and identification as well as a range of consulting services tailored to meet each customer's needs.

CAUTIONARY STATEMENT
This news release contains "forward-looking statements" within the meaning of the U.S. Private Securities Litigation Reform Act of 1995, based on current expectations, estimates and projections that are subject to risk. Forward-looking statements are inherently uncertain, and actual events could differ materially from the Company's predictions. Important factors that could cause actual events to vary from predictions include those discussed in our SEC filings. Specifically, statements in this news release about growth, profitability, potential, leadership, momentum, the demand for, and impact and efficacy of, the Company's products and services on the marketplace are forward-looking statements that are subject to a variety of factors, including availability of capital, personnel and other resources; competition, governmental regulation of the beef industry, the market for beef and other factors. In addition, financial results for the twelve-month periods are not necessarily indicative of future results. Readers should not place undue reliance on these forward-looking statements. The Company assumes no obligation to update its forward-looking statements to reflect new information or developments. For a more extensive discussion of the Company's business, please refer to the Company's SEC filings at www.sec.gov.

Integrated Management Information, Inc.  
Statements of Operations  
   
    Three months ended     Nine Months Ended  
    September 30,     September 30,  
    2010     2009     2010     2009  
                                 
Revenues   $ 923,701     $ 778,736     $ 2,403,014     $ 1,901,941  
Costs of revenue     433,671       391,446       1,078,060       964,935  
Gross profit     490,030       387,290       1,324,954       937,006  
Selling, general and administrative expenses     376,740       308,030       1,089,132       957,505  
Gain on sale of equipment     -       -       -       (4,000 )
Income (loss) from operations     113,290       79,260       235,822       (16,499 )
Other expense (income):                                
Interest expense     8,199       9,114       25,244       26,462  
Other income, net     (426 )     (250 )     (1,123 )     (644 )
Income (loss) before income taxes     105,517       70,396       211,701       (42,317 )
Income taxes     -       -       -       -  
Net income (loss)   $ 105,517     $ 70,396     $ 211,701     $ (42,317 )
Net income (loss) per share:                                
Basic   $ -     $ -     $ 0.01     $ -  
Diluted   $ -     $ -     $ 0.01     $ -  
Weighted average shares outstanding:                                
Basic     21,528,782       20,868,481       21,535,540       20,868,859  
Diluted     21,548,342       20,996,910       21,554,064       20,868,859  
                                 
Integrated Management Information, Inc.  
Balance Sheets  
    September 30,     December 31,  
    2010     2009  
ASSETS                
Current Assets:                
Cash and cash equivalents   $ 488,363     $ 214,329  
Accounts receivable, net     192,796       204,596  
Prepaid expenses and other current assets     14,647       65,695  
Total current assets     695,806       484,620  
Property and equipment, net     125,661       134,035  
Intangible assets, net     16,159       655  
Total assets   $ 837,626     $ 619,310  
                 
LIABILITIES AND SHAREHOLDERS' EQUITY                
Current liabilities:                
Accounts payable   $ 221,992     $ 161,049  
Accrued expenses and other current liabilities     16,268       51,115  
Short-term debt and current portion of notes payable     10,359       8,467  
Total current liabilities     248,619       220,631  
Notes payable and other long-term debt     334,049       360,871  
Stockholders' equity:                
Preferred stock     -       -  
Common stock     21,039       20,929  
Additional paid-in capital     3,401,383       3,387,130  
Treasury stock     (29,058 )     (20,144 )
Accumulated deficit     (3,138,406 )     (3,350,107 )
Total stockholders' equity     254,958       37,808  
Total liabilities and stockholders' deficit   $ 837,626     $ 619,310  

Contact Information

  • Company Contacts:

    John Saunders
    Chief Executive Officer
    303-895-3002

    Jay Pfeiffer
    Pfeiffer High Investor Relations, Inc.
    303-393-7044