Knobias Clip Report (11-14-2008) ICXT
Submitted By Knobias ClipReport
ICXT: CEO Discusses Q3 Results and Outlook with Major U.S. Army Contract
By Fain Hughes, fhughes@knobias.com
ICx Technologies, Inc. (ICXT) announced its financial results for the third quarter ended Sept. 30, 2008 after the bell on Thursday.
The Company reported revenue of $45.0 million, compared to $34.2 million for the quarter ended September 30, 2007. Net loss for the quarter was $0.11 per share, compared to a net loss of $0.95 per share in the third quarter of 2007. With respect to adjusted EBITDA, the company achieved its first positive quarter, showing profits of $0.9 million, an improvement of $4.7 million over the third quarter in 2007.
Hans Kobler, Chairman and CEO of ICx Technologies, commented in a conference call, “This quarter was a special and memorable quarter for us. We have now grown revenues over 30% in six out of our last seven quarters. We achieved two critical milestones which position the Company very well for a bright future. First, we were adjusted EBITDA profitable and cash flow positive for the first time in the Company’s history. Second, we were awarded a system-engineering, analysis and integration contract by the U.S. Army Research and Development Engineering Command Acquisition Center, with an estimated value of up to $711 million over seven years. This Joint Nuclear, Biological, Chemical Reconnaissance System (JNBCRS) win will help us to secure our long term growth and should give us added credibility to win more large programs in the future.”
He continued, “The JNBCRS is a critical program for our military and provides our joint forces with a toolkit to identify, evaluate and respond to nuclear, chemical and biological threats. Our goal this year was to win $20-$50 million of program business and $100 million next year. This contract is much larger than that, so we are clearly ahead of plan. We have already started on the development phase which is a $20.6 million contract over two years. At some point during the second year, we expect the government to begin buying the first batches of initial production units. Beginning in late 2010, we expect the orders to come in between $50 million-$150 million for at least five years.”
The Company reconfirmed its earlier guidance for the year ending December 31, 2008, but it remains cautions that the forthcoming Administration change and weak economic conditions could lead to results at or near the lower end of the guidance. The Company expects FY08 revenue of $177 million-$184 million and an adjusted EBITDA loss of $2 million-$7 million.
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