NASDAQ$BKYI

Bio-key International Inc · Q4 2023 earnings

Q4 2023 earnings · · Investor relations

Briefing

BIO-key's Q4 2023 earnings were announced, revealing a trimmed operating loss and revenue growth.

BIO-key International, Inc. reported preliminary Q4 2023 results, featuring a 26% revenue increase driven by hardware sales and a reduced net loss due to higher revenue and lower operating costs. The company is focused on expanding its market presence and reducing costs to achieve profitability.

  • 2023 revenue increased by 29% to $9.1 million.
  • SG&A expenses were reduced by $2.1 million (22%) in 2023.
  • Net loss for Q4 2023 was reduced by over 40% compared to the previous year.
  • BIO-key is focused on SaaS and subscription-based business model, leveraging channel partners for growth.

Headline financials

Total Revenue

$925K

Previous: $1.76M-47.4%
EPS (adj)

-$0.25

Previous: -$11.16+97.8%
Capital Expenditures

$1K

Previous: $51K-98.0%
Net Income

-$4.1M

Previous: -$5.1M+19.6%
Operating Income

-$6.2M

Previous: -$4.76M-30.2%
Gross Profit

-$3.5M

Previous: $5M-169.9%
R&D Expense

$593K

No prior period

Revenue & EPS history

Bio-key · Revenue · Quarterly

$925K

Q4 2023-47.4%vs Q4 2022
Beat estimate in 4 of 14 quarters(29%)
ActualEstimate

Forward guidance

BIO-key anticipates leveraging its differentiators and addressing gaps in IAM approaches to improve top- and bottom-line performance in 2024, building on recurring revenues with a blended gross margin of approximately 65%.

Tailwinds

  • Increased deployment of enhanced IAM solutions as enterprises transition to the cloud.
  • Growing array of security incidents highlighting potential cybersecurity vulnerabilities.
  • Regulatory requirements and stringent Cyber Insurance standards mandating enhanced multi-factor authentication.
  • Passwordless authentication gains traction.
  • Company expects passkey authentication to continue to expand its penetration in 2024.

Headwinds

  • Challenges of authenticating users that ‘rove’ among workstations.
  • Preventing unauthorized account sharing and delegation.
  • Q4’23 bottom line included a $2.8M non-cash reserve on slow moving hardware inventory purchased for our Africa initiatives.
  • Company continues to explore opportunities to convert inventory into cash.
  • Audit of 2023 financial statements has not been completed and are subject to change.

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 Q4 2023

Historical avgQ4 2023

-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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