NEW YORK, March 13, 2012 /PRNewswire/ -- InkSure
Technologies Inc. (INKS.OB), the global leader in machine-readable
taggant technology for anti-counterfeiting and brand protection,
today announced financial results for the fiscal year ended
December 31, 2011.
(Logo: http://photos.prnewswire.com/prnh/20111121/FL10495LOGO
)
InkSure's president & CEO Tal
Gilat, attributes the growth in revenues to a fundamental
change in the company's marketing and R&D approach. "In 2010 we
repositioned ourselves as 'The Make Sure Authority' and set out to
increase our brand recognition and bring products to the market
that address specific market needs. Today InkSure is the de facto
leader in machine-readable taggants thanks to our R&D
innovations which are exemplified by our recent large scale global
implementations."
2011 Fiscal Year Financial Results Summary:
- Revenues: InkSure's revenues, mostly derived from the
sale of taggants and readers, increased by $936 thousand, or by 33%, to $3.748 million in 2011 from $2.812 million in 2010.
- Cost of Revenues: InkSure's cost of revenues
increased by $439 thousand, or 97%,
to $893 thousand in 2011, from
$454 thousand in 2010. Cost of
revenues as a percentage of revenues was 24% in 2011, compared with
16% in 2010.
- Research and Development Expenses, Net: InkSure's
research and development expenses, net, increased by $284 thousand, or 178%, to $444 thousand in 2011, from $160 thousand in 2010.
- Selling and Marketing Expenses: InkSure's selling
and marketing expenses increased by $270
thousand, or 30%, to $1.160
million in 2011, from $890
thousand in 2010.
- General and Administrative Expenses: InkSure's general
and administrative expenses increased by $299 thousand, or 24%, to $1.520 million in 2011, from $1.221 million in 2010.
- Financial Income (Expense), Net: InkSure's
financial income (expense), net decreased by $6.440 million to financial expenses, net of
$58 thousand in 2011, from financial
income, net of $6.382 million in
2010.
- Net Loss from Discontinued Operations: InkSure's
discontinued operations mainly consisted of research and
development expenses. The discontinued operations net loss
decreased by $1.329 million, or 90%,
to $153 thousand in 2011 from
$1.482 million in 2010.
- Net Profit (Loss): We had a net loss of $489 thousand in 2011, compared with a net income
of $4.887 million in 2010, which
represents a decrease of $5.376
million in net profit.
New Areas of Business
Two new large-scale tax stamp projects were initiated in
2011 with the release of ScanSure. ScanSure is used in both tax
stamp programs for system-wide and item-level authentication and
track & trace of taxable items. ScanSure has made tax
collection and law enforcement more effective and efficient in both
programs. One ScanSure project provides authentication and track
& trace for tax stamps issued for electronics, the other
project for cultural items. To date over 30 people have been
arrested and approximately 2 million pirated products have been
seized as a result of ScanSure use by governments.
In addition, two new projects were initiated in 2011 with the
release of CarSure. CarSure is currently being used for car
document authentication in two countries, one in Africa and one in Eastern Europe. Both
projects use CarSure on car registration tags issued for the
purpose of motor vehicle tax collection.
CarSure was implemented in both countries in order the make it
easier for law enforcement officials to detect counterfeit car
documents. CarSure enables counterfeit car documents to be
identified in seconds by traffic police equipped with a CarSure
reader. This allows the police to issue tickets without physically
entering the vehicle or the owner being present, making the process
of checking for counterfeit car documents much more efficient and
cost effective for governments.
New Products
InkSure released three new products in 2011 which have been
positively received by the anti-counterfeiting and brand protection
market:
- CarSure, a currency-level reader that authenticates documents
and holograms through car windshields. CarSure is the only
taggant-based technology able to compete with the RFID-based
solutions on the market for car document authentication. CarSure is
available for a fraction of the price of its RFID-based
alternatives.
- FuelSure, a turnkey solution that keeps counterfeit and
smuggled fuel out of the supply chain. FuelSure determines not only
if fuel is counterfeit, but also if it has been diluted, a common
problem in the fuel market.
- ScanSure, a combination track & trace and authentication
reader with an accompanying track & trace platform. ScanSure
introduced the next generation of barcode reading technology to
guard against common supply chain vulnerabilities; In one
click ScanSure will determine if a product is counterfeit,
diverted, illegitimate or part of a "third shift counterfeiting"
operation (unauthorized production).
Industry Awards and Recognitions
InkSure's innovations and contributions to the
anti-counterfeiting industry were acknowledged with three industry
recognitions in 2011:
- Tal Gilat, InkSure's president
& CEO received the prestigious ID People Award for establishing
new growth areas for the adoption of auto ID technology in supply
chain management, logistics and critical asset control.
- CarSure was commended by the International Hologram
Manufacturers Association (IHMA) for Best Applied Security
Product.
- InkSure made Global Identification Magazine's Top 25 Suppliers
of Anti-Counterfeiting and Product Security Technologies list.
About InkSure Technologies Inc.
InkSure Technologies is the industry leader in
machine-readable technology for brand protection and
anti-counterfeiting. InkSure's taggant technology is applied to
tens of billions of consumer items and high-value documents
annually. The company targets a number of industry sectors,
including finance, government, pharmaceuticals and
transportation.
In 2011, InkSure was named one of the Top 25 Suppliers of
Anti-Counterfeiting and Product Security Technologies by Global
Identification Magazine and received a commendation from the IHMA
for Best Applied Security Product. InkSure's CEO, Mr. Tal Gilat, was awarded the 2011 ID People
Americas Award for his contributions to the anti-counterfeiting
market.
InkSure is based in New York
City, SEC regulated, and publicly traded under the symbol
INKS.OB.
Contact: Sarah Hein, marketing
director, InkSure Technologies, +1-646-233-1454 x 24,
media@inksure.com 589 Fifth Ave. Suite 401 New York, NY 10017 USA
http://www.inksure.com
SOURCE InkSure Technologies Inc.