NASDAQ$BKYI

Bio-key International Inc · Q2 2021 earnings

Q2 2021 earnings · · Investor relations

Briefing

BIO-key reported increased revenue and reduced net loss due to growth in Cloud ID-as-a-Service (IDaaS).

BIO-key International, Inc. reported a significant increase in revenue and a reduced net loss for the second quarter of 2021. The company's revenue grew by 223% compared to the same period last year, driven by increased license fee revenue and the acquisition of PortalGuard. The net loss available to common stockholders was reduced to $1.2 million, or ($0.15) per share, compared to a net loss of $1.6 million, or ($0.60) per share, in Q2 2020.

  • Q2 revenue increased by 223% to $992k, driven by a $639k increase in license fee revenue.
  • Gross profit increased to $753k with gross margin at 76% compared to 52% in Q2 2020.
  • Net loss available to common stockholders was reduced to $1.2M, or ($0.15) per share.
  • Company remains on track to achieve full-year revenue guidance of $8M to $12M.

Headline financials

Total Revenue

$992K

Previous: $307K+223.0%
EPS (adj)

-$2.70

Previous: -$12.96+79.2%
Gross Margin

76.0%

Previous: 52.0%+46.2%
Capital Expenditures

-$15.7K

Previous: -$3.49K-350.0%
Free Cash Flow

-$5.26M

Previous: -$1.97M-166.5%
Net Income

-$1.16M

Previous: -$1.57M+26.1%
Operating Income

-$49.2K

Previous: -$201K+75.5%
Gross Profit

$753K

Previous: $159K+374.2%
Cash & Equivalents

$11.5M

Previous: $887K+1194.7%
Total Assets

$20.9M

Previous: $5.75M+264.1%

Revenue & EPS history

Bio-key · Revenue · Quarterly

$992K

Q2 2021+223%vs Q2 2020
Beat estimate in 9 of 16 quarters(56%)
ActualEstimate

Revenue by segment

Bio-key · $924K total across 2 segments · Q2 2021

  • License Fees
    $662K
  • Hardware
    $262K

Forward guidance

BIO-key remains on track to achieve its full-year revenue guidance of $8M to $12M, representing approximately 250% growth over FY 2020. The company believes it can potentially achieve profitability within this guidance range, dependent on the timing of customer order activity and the mix of hardware and software revenues.

Tailwinds

  • Top line revenues growing 223% in Q2’21 and 247% in the first six months of 2021
  • Strong balance sheet
  • Growing portfolio of solutions
  • Increasing demand for IDaaS Cloud solutions
  • Potential to achieve profitability dependent on customer order activity

Headwinds

  • Revenue and profitability goals are dependent on the timing of significant customer order activity
  • Goals are also dependent on the mix of hardware and software revenues.
  • Experienced recent delays due to the impact of the COVID-19 pandemic.
  • Impact of the COVID-19 pandemic on business operations, sales cycles, and personnel
  • Delays in the development of products

Historical earnings impact

How earnings announcements have historically affected this stock's price.

Avg. return before/after earnings

Based on 19 quarterly earnings reports · overlaid with Q2 2021

Historical avgQ2 2021

-3.5%

Avg return

Earnings day

-5.3%

Avg return

5 days after

-8.9%

Avg return

30 days after

25%

16 / 63 earnings

Positive

+15.9%

Q1 2017

Best reaction

-25.9%

Q3 2016

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q1 2026+3.7%
Q3 2025-2.2%-4.1%-27.8%
Q1 2025-6.0%-2.5%-2.5%
Q2 2025-1.3%-3.7%-4.9%
Q4 2024-23.6%+2.4%-6.0%
Q3 2024-8.7%-16.5%-5.8%
Q2 2024-12.0%-12.0%+8.5%
Q1 2024-11.8%-10.0%+5.9%
Q4 2025-4.1%-9.5%-15.0%
Q4 2023-4.8%-13.8%-19.0%
Q3 2023-10.6%-15.8%-10.5%
Q2 2023-10.0%-10.0%-27.1%
Q1 2023+5.3%+21.5%+13.8%
Q4 2022-3.0%+8.2%-9.6%
Q3 2022-17.4%-27.1%-45.1%
Q2 2022-17.0%-22.6%-27.6%
Q1 2022-2.0%-6.0%-17.9%
Q4 2021-3.2%-6.0%-14.0%
Q3 2021-8.2%-10.8%-27.5%
Q2 2021-7.4%-5.5%+3.5%
Q1 2021+6.1%+8.4%+32.3%
Q4 2020+2.9%-0.9%-2.6%
Q3 2020-8.7%-4.4%-3.3%
Q2 2020+1.1%-1.4%-36.5%
Q4 2019-24.2%-20.7%-9.8%
Q3 2019-9.2%-12.1%+0.0%
Q2 2019+1.8%-6.8%-29.5%
Q1 2019-6.2%-16.9%-13.1%
Q4 2018-6.8%-4.8%-9.5%
Q3 2018+11.1%+9.3%+13.9%
Q2 2018-2.2%-2.2%-10.4%
Q1 2018-11.0%-1.3%-0.9%
Q4 2017-6.5%+2.0%+7.6%
Q3 2017-10.8%-6.1%-29.1%
Q2 2017-3.1%-4.3%-10.6%
Q1 2017+15.9%+22.0%+17.5%
Q4 2016-7.8%-5.1%-14.1%
Q3 2016-25.9%-7.4%-18.5%
Q2 2016+0.0%-4.2%+8.3%
Q1 2016-5.9%
Q4 2015+0.0%
Q3 2015+0.0%
Q2 2015+5.6%
Q1 2015+0.0%
Q4 2014+0.0%
Q3 2014+0.0%
Q2 2014+0.0%
Q1 2014-3.7%
Q4 2013+7.7%
Q3 2013-10.5%
Q2 2013+3.0%
Q1 2013+9.1%
Q4 2012+0.0%
Q3 2012+14.3%
Q1 2012+14.3%
Q4 2011-9.1%
Q3 2010-15.4%
Q3 2011-15.4%
Q2 2010+9.1%
Q2 2011+9.1%
Q1 2011-6.7%
Q4 2010+0.0%
Q1 2010+0.0%

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