PRINCETON, N.J., Aug. 16, 2016 (GLOBE NEWSWIRE) -- Mikros Systems Corporation (OTCQB:MKRS) today announced its second quarter 2016 financial results.
For the three months ended June 30, 2016, revenues were $987,372, compared to $1.7 million for the second quarter of 2015. Cost of sales was $349,526 compared to $877,168 for the second quarter of 2015. The Company reported net income of $7,987 for the second quarter of 2016 as compared to net income of $120,712 in the second quarter of 2015.
The decreases in profits and revenue were largely the result of Mikros’ strong performance in 2015, particularly the fourth quarter in which the Company generated approximately $1.9 million of revenue and completed a large production order of ADEPT units, and significant delays in the award of several Navy contracts. In August 2016 Mikros received additional funding of $4.2M on an existing Navy contract to complete the production transition of its Adaptive Distance Support Sensor Suite (ADSSS) system for the Navy’s Littoral Combat Ship, and to install the system on the first eight ships.
As in the first quarter, Mikros continued to invest considerable resources in the development and marketing of its commercial software products, Diagnostic Profiler and Prognostics Framework. These software offerings, coupled with Mikros hardware products, provide a complete solution for advanced maintenance applications designed to service FAA radar surveillance and support systems, power distribution and utilities infrastructure, commercial shipping, and other complex distributed systems. Current customers for these systems include major multinational corporations and Mikros continues to receive repeat orders from existing customers and inquiries from new potential commercial customers.
Tom Meaney, Mikros President and CEO, commented, “As anticipated, we are continuing to both expand into several new commercial market segments and grow our defense business base. While some Navy contract awards have been delayed this year, we anticipate that our new initiatives will lead to positive results for the second half of the year.”
Additional information regarding the Company’s financial data may be found in the Company's Quarterly Report on Form 10-Q for the quarter ended June 30, 2016 filed with the U.S. Securities and Exchange Commission. The Form 10-Q may be accessed at www.sec.gov or at the Company's website at www.mikrossystems.com
About Mikros
Mikros Systems Corporation is an advanced technology company specializing in the research and development of electronic systems technology primarily for military applications. Classified by the U.S. Department of Defense as a small business, its capabilities include technology management, electronic systems engineering and integration, radar systems engineering, command, control, communications, computers and intelligence systems engineering, and communications engineering. Mikros’ primary business is to pursue and obtain contracts from the Department of Homeland Security, U.S. Navy, and other governmental authorities. For more information on Mikros, please visit: www.mikrossystems.com .
Important Information about Forward-Looking Statements
All statements in this news release other than statements of historical facts are forward-looking statements which contain our current expectations about our future results. Forward-looking statements involve numerous risks and uncertainties. We have attempted to identify any forward-looking statements by using words such as "anticipates," "believes," "could," "expects," "intends," "may," "should" and other similar expressions. Although we believe that the expectations reflected in all of our forward-looking statements are reasonable, we can give no assurance that such expectations will prove to be correct. Such statements are not guarantees of future performance or events and are subject to known and unknown risks and uncertainties that could cause the Company's actual results, events or financial positions to differ materially from those included within or implied by such forward-looking statements. Such factors include, but are not limited to, changes in business conditions, a decline or redirection of the U.S. Defense budget, significant delays or reductions in appropriations for our projects, the termination of any contracts with the U.S. Government, changes in our sales strategy and product development plans, changes in the marketplace, continued services of our executive management team, our limited marketing experience, competition between us and other companies seeking SBIR grants, competitive pricing pressures, market acceptance of our products under development, delays in the development of products, our ability to adequately integrate our new software offerings into our business model, statements of assumption underlying any of the foregoing, and other factors disclosed in our annual report on Form 10-K for the year ended December 31, 2015 and other filings with the SEC. Readers are cautioned not to place undue reliance on these forward-looking statements, which speak only as of the date made. Except as required by law, we undertake no obligation to disclose any revision to these forward-looking statements.
CONTACT: Thomas J. Meaney - (609) 987-1513
