Brekford Corp. Reports Positive Increase of 327% in Net Income for the First Quarter 2011
HANOVER, Md., May 13, 2011 (GlobeNewswire via COMTEX) — Brekford Reports Positive Increase in Net Income for First Quarter 2011.
Brekford Corp. (the “Company”) (OTCQB:BFDI), a leading homeland technology service provider of fully integrated vehicle installation services, rugged mobile technology solutions, and traffic safety solutions geared towards mission critical operations, is pleased to announce positive net income for fiscal first quarter 2011. First quarter performance includes 22.1% improvement in revenues, 74.8% increase in gross profit with a significant increase in net income of 326.8%.
Financial highlights for the first quarter 2011:
For the first quarter ended March 31, 2011, net sales totaled $4.1 million compared to $3.3 million for the first quarter of 2010, an increase of $ 0.743 million. Operating expenses increased 73% for the first quarter 2011 to $0.611 million compared to $0.352 million for the first quarter of 2010, as the result of an increase in expenses for the automated traffic enforcement program.
Net income for the first quarter of 2011 totaled $112,952 compared to $26,465 for the first quarter of 2010. Gross profit for the first quarter 2011 was $0.753 million compared to $0.431 million for the first quarter of 2010. Gross profit margin increased to 18% for the first quarter 2011 compared with 13% for the first quarter of 2010 due to new revenue stream from the automated traffic enforcement program. The Company expects gross margin to improve in the remaining quarters of the year as the automated traffic enforcement program gains acceleration with the implementation of new contracts in upcoming months.
As of March 31, 2011, the Company’s assets totaled approximately $5.9 million compared to approximately $4.5 million at the end of first quarter of 2010, an increase of 29.2 %. The Company’s cash position as of the end of first quarter of 2011 improved to total $2.3 million, up from $1.2 million at the end of first quarter of 2010, to reflect positive net income.
Company highlights first quarter ended March 31, 2011:
The Company continues its expansion into the automated traffic enforcement industry. With additional contracts expected to be added, the program should generate additional revenues in the following quarters. Brekford’s automated traffic enforcement solution is unique with its 360º approach by having its own hardware, software and a state of the art processing and call center. Brekford is consistently seeking to upgrade its services to provide premier service to its clients. With additional contracts expected to be added, the program is expected to generate additional revenues in the following quarters. Brekford’s automated traffic enforcement solution is unique with its 360º approach by having its own hardware, software and a state of the art processing and call center. Brekford is consistently seeking to upgrade its services to provide premier service to its clients.
In addition, the Company has been awarded indefinite delivery/indefinite quantity (IDIQ) contracts for over $4.0 million from a quasi-government utility over a period of one year with initial deliveries commencing during the first quarter of 2011.
C.B. Brechin, Chief Executive Officer of Brekford, commented: “The fact that Brekford continues to attain solid revenues is attributed to our trusted name in the public safety industry. We believe that our established relationships and reputation with public safety agencies will continue to play a crucial role in our expansion into the automated traffic enforcement industry. We are confident that with new markets opening up every day within the United States’ counties and municipalities, Brekford is poised for rapid growth in the remaining months, and we are very thrilled to be able to offer our shareholders value for their investments. We expect the growth of the automated traffic safety enforcement to continue with new opportunities in securing additional contracts from various towns and municipalities.”
For over a decade, Brekford has been providing services to the U.S. military, various federal entities and numerous security and public safety agencies throughout the United States with an end-to-end suite of mobile computer and video technology, vehicle upfitting services, and automated traffic safety solutions. Brekford is a one-stop shop with its unique 360-degree approach to vehicle upfitting services, cutting edge mobile and video technology, and automated traffic enforcement services for homeland security and law enforcement agencies. Additional information about Brekford may be found online at www.brekford.com
The Brekford Corp. logo is available at http://www.globenewswire.com/newsroom/prs/?pkgid=6847
This press release contains forward-looking statements within the meaning of that term in Section 21E of the Securities Exchange Act of 1934, as amended. Actual results may differ materially from the results suggested by these forward-looking statements, for a number of reasons, including, but not limited to, market conditions, the cost and success of development activities and ability to successfully manage growth. Readers are referred to the documents filed by Brekford Corp. with the SEC, specifically the Company’s most recent reports filed on Form 10-K and Forms 10-Q, which further identify the important risks, trends and uncertainties which could cause actual results to differ materially from the forward-looking statements in this press release. The Company expressly disclaims any obligation to update any forward-looking statements.
StockGuru’s Profile for Brekford Corp.
This is the condensed version – Full StockGuru Profile Found Here:
Brekford Corp. is an established company which has for more than a decade provided its products and services to branches of the U.S. military, various federal entities and numerous security and public safety agencies throughout the United States. The company has used this solid foundation to participate in the hottest technological development in law enforcement in existence:
- Automated Traffic Enforcement and
- Automatic Traffic Safety Solutions
Not only is Brekford in the right place at the right time, but they have positioned themselves in this rapidly expanding technological field to generate ongoing revenue by issuing the citation, collecting the fines and retaining a percentage of the amount collected for shareholders.
Brekford Builds on Decade Long Relationships in Hottest Law Enforcement Focus
Automated Traffic Enforcement and Automatic Traffic Safety Solutions
Brekford has the winning combination you look for in an emerging company.
The Company has been able to build upon its ten years of established relationships to be the One-Stop solution in the ‘hot’ technological focus of Automated Traffic Enforcement and Automatic Traffic Safety Solutions. As municipalities search for additional revenue streams, Brekford’s Automated Traffic Enforcement and Automatic Traffic Safety Solutions presents an attractive opportunity amongst its multiple products.
Brekford’s new division focused on Automated Traffic Enforcement is attractive to municipalities searching for additional revenue. Beckford provides turn-key (violator funded programs) by which municipalities are witnessing positive cash flow without unduly taxing its law abiding residents.
The Value Story
With so few shares outstanding, value becomes easy to build with the right foundation.
Here is how I see Brekford’s foundation for Success:
- Management team with the experience and expertise to create value for shareholders
- Proven ability to establish and execute an economically viable business plan
- Existing brand and company image
- Organized and motivated employees
- Products and Services delivered in a timely and cost-efficient a manner
- Market demand with exponential market growth potential
There are just under 40.1 million shares issued and outstanding. With the market cap currently at about $4.5 million based on the most current share price, the BFDI clearly is undervalued in the market. With Automated Traffic Enforcement on the rise, clearly Brekford is in a position to increase revenues and also increase its market cap and share price.
It is this long-term foundation supported by established relationships that has created the opportunity Brekford has developed, in what is becoming the ‘hot’ technological focus of Automated Traffic Enforcement and Automatic Traffic Safety Solutions. As municipalities search for additional revenue streams, Brekford’s Automated Traffic Enforcement and Automatic Traffic Safety Solutions presents an attractive opportunity amongst its multiple products.
Brekford’s new division focused on Automated Traffic Enforcement is now assisting budget strapped municipalities in providing turn-key (violator funded programs) by which municipalities are witnessing positive cash flow without unduly taxing its law abiding residents.
This is the condensed version – Full StockGuru Profile Found Here:
Brekford Corp Website:
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