Intrusion Inc. Continues Profitability in Third Quarter
November 11 2009 - 4:05PM
PR Newswire (US)
RICHARDSON, Texas, Nov. 11 /PRNewswire-FirstCall/ -- Intrusion Inc.
(OTC Bulletin Board: INTZ), ("Intrusion") today announced financial
results for the three months and nine months ended September 30,
2009. Intrusion was profitable for the second consecutive quarter.
Intrusion's net income was $79 thousand in the third quarter 2009
compared to $17 thousand for the third quarter 2008. Revenue for
the third quarter 2009 was $1.3 million compared to $1.2 million
for the third quarter 2008. Gross profit margin was 65 percent of
revenue in the third quarter of 2009 compared to 69 percent of
revenue in the third quarter of 2008. Intrusion's third quarter
2009 operating expenses were $0.7 million compared to $0.8 million
for the third quarter 2008. As of September 30, 2009, Intrusion
reported cash and cash equivalents of $0.1 million, a working
capital deficiency of $1.5 million, and debt of $1.0 million. "Our
second consecutive profitable quarter is outstanding and is the
result of continued good gross profit margin and operating expense
control," stated G. Ward Paxton, Chairman, President and CEO of
Intrusion. "The $3.6 million of new TraceCop orders announced in
October gives us traction for a positive fourth quarter and the
beginning of next year," Paxton concluded. Intrusion's management
will host its regularly scheduled quarterly conference call to
discuss the Company's financial and operational progress at 4:00
P.M., CST today. Interested investors can access the call at
1-800-399-2043 (if outside the United States, 1-706-634-5518). For
those unable to participate in the live conference call, a replay
will be accessible beginning today at 7:00 P.M., CST until November
18, 2009 by calling 1-800-642-1687 (if outside the United States,
1-706-645-9291). At the replay prompt, enter conference
identification number 37669286. Additionally, a live and archived
audio webcast of the conference call will be available at
http://www.intrusion.com/. About Intrusion Inc. Intrusion Inc. is a
global provider of entity identification systems, regulated
information compliance, data leak prevention, and data privacy
protection and network intrusion prevention and detection products.
Intrusion's product families include TraceCop(TM) for entity
identification, the Compliance Commander(TM) for regulated
information compliance, data leak prevention and data privacy
protection, and Intrusion SecureNet for network intrusion
prevention and detection. Intrusion's products help protect
critical information assets by quickly detecting, protecting,
analyzing and reporting attacks or misuse of classified, private
and regulated information for government and enterprise networks.
For more information, please visit http://www.intrusion.com/. This
release, other than historical information, may include
forward-looking statements regarding future events or the future
financial performance of the Company. Such statements include,
without limitations, statements regarding future revenue growth and
profitability, as well as other statements. These statements are
made under the "safe harbor" provisions of the Private Securities
Litigation Reform Act of 1995 and involve risks and uncertainties
which could cause actual results to differ materially from those in
the forward-looking statements, including but not limited to the
following: the difficulties in forecasting future sales caused by
current economic and market conditions, the effect of military
actions on government and corporate spending on information
security products, spending patterns of, and appropriations to,
U.S. government departments, the impact of our cost reduction
programs and our refocused product line, the difficulties and
uncertainties in successfully developing and introducing new
products in emerging markets, market acceptance of our products,
the impact of our sustained losses on our ability to successfully
operate and grow our business, our stock price and the recent loss
of our Nasdaq listing, our ability to generate sufficient cash flow
or obtain additional financing on acceptable terms in order to fund
ongoing liquidity needs, the highly competitive market for our
products, the effects of sales and implementation cycles for our
products on our quarterly results, difficulties in accurately
estimating market growth, the consolidation of the information
security industry, the impact of changing economic conditions,
business conditions in the information security industry, our
ability to manage acquisitions effectively, the impact of market
peers and their products as well as risks concerning future
technology and others identified in our Annual Report on Form 10-K,
as amended, and other Securities and Exchange Commission filings.
These filings can be obtained by contacting Intrusion Investor
Relations. Financial Contact Michael L. Paxton, VP, CFO
972.301.3658, INTRUSION INC. UNAUDITED CONDENSED CONSOLIDATED
BALANCE SHEETS (In thousands except par value amounts) September
30, December 31, 2009 2008 ---- ---- ASSETS Current Assets: Cash
and cash equivalents $103 $554 Accounts receivable 283 341
Inventories, net 17 20 Prepaid expenses 69 56 -- -- Total current
assets 472 971 Property and equipment, net 129 169 Other assets 39
39 -- -- TOTAL ASSETS $640 1,179 ==== ====== LIABILITIES AND
STOCKHOLDERS' DEFICIT Current Liabilities: Loan payable to officer
$970 $480 Accounts payable and accrued expenses 598 538 Deferred
revenue 100 1,090 Dividends payable 318 187 --- --- Total current
liabilities 1,986 2,295 Commitments and Contingencies Stockholders'
Deficit: Preferred stock, $.01 par value: Authorized shares - 5,000
Series 1 shares issued and outstanding - 220 in 2009 and 260 in
2008 Liquidation preference of $1,226 as of September 30, 2009 778
918 Series 2 shares issued and outstanding - 460 Liquidation
preference of $1,256 as of September 30, 2009 724 724 Series 3
shares issued and outstanding - 354 Liquidation preference of $843
as of September 30, 2009 504 504 Common stock, $.01 par value:
Authorized shares - 80,000 Issued shares - 11,715 in 2009 and
11,648 in 2008 Outstanding shares - 11,705 in 2009 and 11,638 in
2008 117 116 Common stock held in treasury, at cost - 10 shares
(362) (362) Additional paid-in capital 55,545 55,443 Accumulated
deficit (58,473) (58,280) Accumulated other comprehensive loss
(179) (179) ---- ---- Total stockholders' deficit (1,346) (1,116)
------ ------ TOTAL LIABILITIES AND STOCKHOLDERS' DEFICIT $640
$1,179 ==== ====== INTRUSION INC. UNAUDITED CONDENSED CONSOLIDATED
STATEMENTS OF OPERATIONS (In thousands except per share amounts)
Three Months Ended Nine Months Ended September 30, September 30,
2009 2008 2009 2008 ---- ---- ---- ---- Revenue $1,253 $1,215
$3,401 $2,961 Cost of revenue 435 373 1,145 993 --- --- ----- ---
Gross profit 818 842 2,256 1,968 Operating expenses: Sales and
marketing 198 349 733 1,081 Research and development 288 210 904
920 General and administrative 235 244 768 739 --- --- --- ---
Operating income (loss) 97 39 (149) (772) Interest income
(expense), net (18) (22) (44) (45) --- --- --- --- Income (loss)
before income taxes 79 17 (193) (817) Income tax provision - - - -
--- --- --- --- Net income (loss) 79 17 (193) (817) Preferred stock
dividends accrued (38) (41) (116) (121) --- --- ---- ---- Net loss
attributable to common stockholders $41 $(24) $(309) $(938) ===
==== ===== ===== Net income (loss) per share attributable to common
stockholders: Basic $0.00 $0.00 $(0.03) $(0.08) ===== ===== ======
====== Diluted $0.00 $0.00 $(0.03) $(0.08) ===== ===== ======
====== Weighted average shares outstanding: Basic 11,704 11,638
11,669 11,638 ====== ====== ====== ====== Diluted 13,529 11,638
11,669 11,638 ====== ====== ====== ======
http://www.newscom.com/cgi-bin/prnh/20030703/INTRUSIONLOGO
http://photoarchive.ap.org/ DATASOURCE: Intrusion Inc. CONTACT:
Financial, Michael L. Paxton, VP, CFO of Intrusion Inc.,
+1-972-301-3658, Web Site: http://www.intrusion.com/
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