CASTLE ROCK, CO--(Marketwire - Nov 8, 2011) - Integrated Management Information, Inc. (IMI Global) (
- Q3 revenue up 35% to $1.3 million from $924,000
- Q3 net income up 93% to $204,000 from $106,000
- 7th consecutive profitable quarter
- Nine-month revenue up 33% to $3.2 million from $2.4 million
- Nine-month net income up 164% to $558,000 from $212,000
- Company generates $640,000 in cash from operations through nine months, up 67% from $384,000
- Working capital more than doubles from year-end to $1.2 million from $555,000
Integrated Management Information, Inc. (IMI Global) (
"We are achieving record results in all key financial metrics as demand for our core verification solutions accelerates and new service offerings come on stream," said John Saunders, CEO of IMI Global. "Year-over-year revenue and earnings grew by double digits for the seventh consecutive quarter and our balance sheet has never been stronger, with more than $1.2 million in cash and working capital.
"Our Where Food Comes From® program, which is a highly scalable model that connects consumers with the food supply chain at the point of purchase, is gaining momentum and beginning to contribute more meaningfully to revenue," Saunders added. "We recently launched our Where Food Comes From labeling program with Heinen's Fine Foods, our first retail grocery customer, where consumers using a smart phone can scan meat products and quickly access detailed information about the product's origins. Because IMI Global is compensated on a per-pound basis with this program, we believe there is tremendous upside as more retailers recognize the benefits of providing their customers with unprecedented product transparency." For more information, go to www.wherefoodcomesfrom.com and www.wherefoodcomesfrom.com/heinens.
Third Quarter Results
Revenue in the third quarter increased 35% to a record $1,250,100 versus revenue of $923,700 in the same quarter last year. It was the Company's seventh consecutive quarter of year-over-year revenue growth. Revenue from verification services, which includes the Company's industry leading USVerified™ solutions, increased 30% to $892,400 from $685,500 in the third quarter last year. Hardware revenue consisting primarily of cattle identification tags increased 47% in the third quarter to $331,000 from $224,400 in the same quarter last year. Other revenue, primarily consisting of fees from the Where Food Comes From labeling program, grew to $26,700 from $13,800 in the third quarter a year ago.
Gross margin increased by 37% in the third quarter to $671,100, or 54% of revenue, as compared with gross margin of $490,000, or 53% of revenue, in the third quarter a year ago.
Selling, general and administrative expense in the third quarter increased to $460,400 from $376,700 in the same quarter last year due to increased investments in promoting the Where Food Comes From program.
The Company reported record third quarter net income of $204,000, or $0.01 per share, a 93% increase over net income of $105,500, or $0.01 per share, in the same quarter last year. It was the Company's seventh consecutive quarter of profitability.
Nine-Month Results
Revenue through nine months increased 33% to $3,197,400 from revenue of 2,403,000 in the first nine months of 2010. It was the highest nine-month revenue total in IMI Global's history. Verification revenue grew by 32% to $2,512,700 from $1,910,500 in the same period last year. Hardware revenue grew 37% to $654,000 from $476,800 a year ago. Other revenue totaled $30,700, up from $15,700.
Gross margin for the first nine months of 2011 increased 36% to $1,800,400, or 56% of revenue, from $1,325,000, or 55% of revenue, during the comparable period of 2010.
Selling, general and administrative expense increased to $1,220,800 from $1,089,100 in the same period last year primarily as a result of increased advertising, marketing and consulting costs associated with promoting Where Food Comes From.
The Company achieved record nine-month net income of $558,300, or $0.03 per share, a 164% increase over net income of $211,700, or $0.01 per share, in the same period last year.
Balance Sheet Highlights
IMI Global generated $639,800 in cash from operations through the first nine months of 2011, a 67% increase over $383,500 in the same period a year ago. Cash and cash equivalents as well as working capital at September 30, 2011, both exceeded $1.2 million, well over double the 2010 year-end totals in both categories.
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 and www.wherefoodcomesfrom.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, | |||||||||||||||
| 2011 | 2010 | 2011 | 2010 | |||||||||||||
| Revenues | $ | 1,250,071 | $ | 923,701 | $ | 3,197,363 | $ | 2,403,014 | ||||||||
| Costs of revenue | 578,928 | 433,671 | 1,396,949 | 1,078,060 | ||||||||||||
| Gross profit | 671,143 | 490,030 | 1,800,414 | 1,324,954 | ||||||||||||
| Selling, general and administrative expenses | 460,357 | 376,740 | 1,220,839 | 1,089,132 | ||||||||||||
| Income from operations | 210,786 | 113,290 | 579,575 | 235,822 | ||||||||||||
| Other expense (income): | ||||||||||||||||
| Interest expense | 7,046 | 8,199 | 22,496 | 25,244 | ||||||||||||
| Other income, net | (210 | ) | (426 | ) | (1,238 | ) | (1,123 | ) | ||||||||
| Income before income taxes | 203,950 | 105,517 | 558,317 | 211,701 | ||||||||||||
| Income taxes | - | - | - | - | ||||||||||||
| Net income | $ | 203,950 | $ | 105,517 | $ | 558,317 | $ | 211,701 | ||||||||
| Net income per share: | ||||||||||||||||
| Basic | $ | 0.01 | $ | 0.01 | $ | 0.03 | $ | 0.01 | ||||||||
| Diluted | $ | 0.01 | $ | 0.01 | $ | 0.03 | $ | 0.01 | ||||||||
| Weighted average shares outstanding: | ||||||||||||||||
| Basic | 20,643,862 | 20,863,573 | 20,667,409 | 20,845,714 | ||||||||||||
| Diluted | 20,838,047 | 20,883,133 | 20,896,852 | 20,864,238 | ||||||||||||
| Integrated Management Information, Inc. | ||||||||
| Balance Sheets | ||||||||
| September 30, | December 31, | |||||||
| 2011 | 2010 | |||||||
| ASSETS | ||||||||
| Current Assets: | ||||||||
| Cash and cash equivalents | $ | 1,217,369 | $ | 513,076 | ||||
| Accounts receivable, net | 373,296 | 222,480 | ||||||
| Prepaid expenses and other current assets | 11,053 | 34,580 | ||||||
| Total current assets | 1,601,718 | 770,136 | ||||||
| Property and equipment, net | 66,932 | 114,544 | ||||||
| Intangible assets, net | 10,529 | 14,724 | ||||||
| Total assets | $ | 1,679,179 | $ | 899,404 | ||||
| LIABILITIES AND SHAREHOLDERS' EQUITY | ||||||||
| Current liabilities: | ||||||||
| Accounts payable | $ | 290,660 | $ | 172,324 | ||||
| Accrued expenses and other current liabilities | 56,303 | 33,608 | ||||||
| Short-term debt and current portion of notes payable | 36,012 | 9,130 | ||||||
| Total current liabilities | 382,975 | 215,062 | ||||||
| Notes payable and other long-term debt | 422,018 | 331,687 | ||||||
| Stockholders' equity: | ||||||||
| Preferred stock | - | - | ||||||
| Common stock | 21,049 | 21,039 | ||||||
| Additional paid-in capital | 3,411,955 | 3,401,383 | ||||||
| Treasury stock | (94,785 | ) | (47,417 | ) | ||||
| Accumulated deficit | (2,464,033 | ) | (3,022,350 | ) | ||||
| Total stockholders' equity | 874,186 | 352,655 | ||||||
| Total liabilities and stockholders' deficit | $ | 1,679,179 | $ | 899,404 | ||||
Contact Information:
Company Contacts:
John Saunders
Chief Executive Officer
303-895-3002
Jay Pfeiffer
Pfeiffer High Investor Relations, Inc.
303-393-7044