Widepoint Corp 8-K, filed Mar 25, 2021
Widepoint Corp (WYY)
8-K
2021-03-25
For: 2021-03-23
View Original
Added on
April 06, 2026
About this 8-K
Widepoint Corp filed this 8-K on March 25, 2021, reporting on events of March 23, 2021.
Items reported
- Item 2.02: Financial results
- Item 9.01: Financial statements and exhibits
UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
WASHINGTON, D.C. 20549
FORM 8-K
CURRENT REPORT
Pursuant to Section 13 or 15(d) of the
Securities Exchange Act of 1934
Date of Report (Date of earliest event reported): March 23,
2021
_________________
WIDEPOINT CORPORATION
(Exact
Name of Registrant as Specified in Charter)
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Delaware
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001-33035
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52-2040275
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(State
or Other Jurisdiction of Incorporation)
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(Commission
File Number)
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(I.R.S.
EmployerIdentification No.)
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11250 Waples Mill Road, South Tower 210, Fairfax,
Virginia
(Address
of Principal Executive Office)
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22030
(Zip
Code)
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Registrant’s
telephone number, including area code: (703) 349-2577
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______________________________________________________________________________
Check
the appropriate box below if the Form 8-K filing is intended to
simultaneously satisfy the filing obligation of the registrant
under any of the following provisions:
[__]
Written communications pursuant to Rule 425 under the Securities
Act (17 CFR 230.425)
[__]
Soliciting material pursuant to Rule 14a-12 under the Exchange Act
(17 CFR 240.14a-12)
[__]
Pre-commencement communications pursuant to Rule 14d-2(b) under the
Exchange Act (17 CFR 240.14d-2(b))
[__]
Pre-commencement communications pursuant to Rule 13e-4(c) under the
Exchange Act (17 CFR 240.13e-4(c))
Securities Registered pursuant to Section 12(b) of the
Act:
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Title of Each Class
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Trading Symbol
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Name of Exchange on Which Registered
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Common Stock, $0.001 par value per share
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WYY
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NYSE
American
|
Indicate
by check mark whether the registrant is an emerging growth company
as defined in Rule 405 of the Securities Act of 1933 (§230.405
of this chapter) or Rule 12b-2 of the Securities Exchange Act of
1934 (§240.12b-2 of this chapter). Emerging growth company
☐
If an
emerging growth company, indicate by check mark if the registrant
has elected not to use the extended transition period for complying
with any new or revised financial accounting standards provided
pursuant to Section 13(a) of the Exchange Act.
☐
Item
2.02
Results
of Operations and Financial Condition.
On
March 23, 2021, WidePoint Corporation (the “Company”)
conducted a conference call to discuss its financial results for
the fourth quarter and year ended December 31, 2020. A copy of the
transcript of such conference call is furnished herewith as Exhibit
99.1 to this Current Report on Form 8-K. In addition, on March 23,
2021, the Company issued a press release announcing its financial
results for the fourth quarter and year ended December 31, 2020. A
copy of the Company’s press release is furnished herewith as
Exhibit 99.2 to this Current Report on Form 8-K.
The
information in this item shall not be deemed “filed”
for purposes of Section 18 of the Securities Exchange Act of 1934
(the “Exchange Act”), or otherwise subject to the
liabilities of Section 18, nor shall it be deemed incorporated by
reference in any of the Company’s filings under the
Securities Act of 1933, as amended, or the Exchange Act, except to
the extent, if any, expressly set forth by specific reference in
such filing.
Item
9.01(d)
Financial
Statements and Exhibits.
Exhibit 99.1 Transcript of
Conference Call
Exhibit 99.2 Earnings
Press Release dated March 23,
2021
SIGNATURES
Pursuant to the
requirements of the Securities Exchange Act of 1934, the Registrant
has duly caused this report to be signed on its behalf by the
undersigned hereunto duly authorized.
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WIDEPOINT
CORPORATION
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Date: March 25,
2021
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By:
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/s/ Jin
Kang
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Jin
Kang
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Chief Executive
Officer
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Exhibit 99.1
Transcript
of
WidePoint
Corporation
Fourth
Quarter and Full Year 2020 Earnings Call
March
23, 2021
Participants
Jin
Kang - Chief Executive Officer and President
Jason
Holloway - Chief Sales & Marketing Officer
Kellie
Kim - Chief Financial Officer
Analysts
Aman
Gulani - B. Riley Financial
Barry
Sine - Spartan Capital Securities LLC
Presentation
Operator
Good
afternoon. Welcome to WidePoint’s Fourth Quarter and Full
Year 2020 Earnings Conference Call. My name is Katherine and I will
be your operator for today’s call.
Joining
us for today’s presentation are WidePoint’s President
and CEO, Jin Kang; Executive Vice President, and Chief Sales and
Marketing Officer, Jason Holloway; and Executive Vice President and
CFO, Kellie Kim. Following their remarks, we will open up the call
for questions from WidePoint’s publishing analysts and major
investors.
If your
questions were not taken today and you would like additional
information, please contact WidePoint’s Investor Relations
team at WYY@GatewayIR.com.
Before
we begin the call, I would like to provide WidePoint’s safe
harbor statement that includes cautions regarding forward-looking
statements made during this call. The matters discussed in this
conference call may include forward-looking statements regarding
future events and other future performance of WidePoint Corporation
that involves risks and uncertainties that could cause actual
results to differ materially from those anticipated.
These
risks and uncertainties are described in the company’s Form
10-K filed with the Securities and Exchange Commission. Finally, I
would like to remind everyone that this call will be made available
for replay via a link in the Investor Relations section of the
company’s website at www.WidePoint.com.
Now, I
would like to turn the call over to WidePoint’s President and
CEO, Mr. Jin Kang. Sir, please proceed.
-1-
Jin Kang - Chief Executive Officer and President
Thank
you, operator, and good afternoon to everyone. Thank you for
joining us today, to review our financial results for the fourth
quarter and fiscal year ended December 31, 2020. As our financial
results for the fourth quarter confirm, 2020 was the most
successful year in WidePoint’s history.
We set
records in each of our financial performance metrics, all during a
pandemic, while seamlessly managing the largest mobility managed
service contract in the country. We expanded our work with our
systems integrator partners to secure new business, and we
re-secured a major contract with our most prominent customer, the
U.S. Department of Homeland Security.
Let me
emphasize that this win was a $500 million 5-year contract. And
unlike many in the federal government, where the award is made to
multiple contractors, we were the sole awardee. I’m happy to
report that for the full year 2020 our managed services revenue
grew 29% to $42.7 million, and our gross profit increased 18% to
$20.5 million.
As a
result, our adjusted EBITDA increased 59% year-over-year to $5.7
million, which was right at the top of our guidance. Our net income
increased approximately 4,460% from $226,000 in 2019 to $10.3
million in 2020. Our top-line revenue was approximately $180
million, which is a 77% increase, compared to approximately $102
million in 2019.
Additionally,
we ended the year with an incredibly strong balance sheet with $16
million in cash and no debt. Kellie will walk through the details
of the financials in a few minutes. But it’s worth
reiterating that we generated these record results during a very
challenging year with the pandemic.
There
were many factors that contributed to our success in 2020. But 2
factors stand out. The first is that we have an incredibly flexible
and scalable organization. I will once again take this opportunity
to thank our dedicated staff for their diligence and their
commitment. It is because of them that WidePoint has successfully
managed a record amount of work during a logistically challenging
year that drove positive financial performance for our
shareholders.
The
second is that we have an incredibly robust client base of large
commercial enterprises and government agencies, including those who
are at the forefront of the fight against COVID-19. The Department
of Homeland Security, Customs and Border Protection, Immigration
and Customs Enforcement, the U.S. Army Corps of Engineers, and the
Department of Health and Human Services to name a few.
These 2
factors were paramount to our success. And they will be integral to
WidePoint’s success in 2021 and beyond. But the single
contract that caused the largest change to our business was, of
course, the 2020 U.S. Census Project. This was the single largest
managed mobility services project in the country.
For
this project, we scaled the organization to deliver, manage, and
now decommission approximately 700,000 devices in support of the
2020 decennial census. This project will serve as an excellent
customer reference for us in the quarters to come, as it perfectly
demonstrates our ability to scale, adapt to changing circumstances,
and deliver quality service under pressure on an essential
project.
-2-
As we
pursue larger higher margin business opportunities, such a use-case
will be integral to our future success. And more importantly, for
the near-term, our core managed services business excluding census
is stable and growing. So as this program comes to its natural
conclusion, carrier services revenue will decline, presenting some
significant comparison challenges on the top-line.
However,
we believe we should see our gross margins improve in the quarters
ahead. The operational highlights of the fourth quarter was that we
re-secured a new major contract with the U.S. Department of
Homeland Security.
On
November 25th of last year, we announced the much anticipated news
that we had won the Cellular Wireless Managed Services or CWMS. 2.0
contract. While we were always optimistic in our ability to secure
this business, because of our excellent past performance rating and
our quality relationship with this agency, we were very pleased to
have, once again, earn the business from DHS. This single award
contract is valued at up to $500 million. If all option periods are
exercised, it will last through November 2025. It was an excellent
accomplishment to cap off what was a monumental year. And it has
set the positive tone for a successful 2021.
Before
I dive into our priorities and expectations for this year, I will
turn the call over to Jason, to provide you with some details on
the sales momentum we’ve been building as we exited 2020 and
into the new year. Then our CFO, Kellie Kim will walk us through
the financial results of the fourth quarter and full year.
Jason?
Jason Holloway - Chief Sales & Marketing Officer
Thank
you, Jin. In the fourth quarter of 2020, we continue to effectively
execute our sales strategy by successfully teaming with systems
integrators and expanding our presence with both prominent players
in the public and commercial sectors. As Jin mentioned, the most
important contract win of the fourth quarter was the CWMS 2.0
contract. We’ve spent a great deal of time discussing this
relationship in the past, so I won’t dwell on it
today.
Suffice
it to say that we are extremely pleased to see our expectations and
our hard work manifest in re-securing this business and we are
excited to be focusing our full attention on new business going
forward. Excluding the DHS contract, we recorded more than 30
contractual actions during the fourth quarter of 2020, which had an
aggregate value of more than $10.4 million.
Subsequent
to the win with DHS, our subsidiary Soft-Ex secured several
multi-year contracts with prominent European enterprises, including
Cancom, Zetacom, and Three Ireland. It is highly encouraging to see
robust demand for our advanced Digital Billing & Analytics
solutions from commercial enterprises, for whom our solutions are
just as applicable as they are for government customers. These
solutions increased ROI for our clients, they provide a
best-in-class platform to our clients’ customers, and they
expand our foothold in the commercial space. They’re a
win-win.
While
we had commercial success, there’s no doubt that some
commercial enterprises have faced headwinds from the pandemic.
However, despite these headwinds, COVID-19 has accelerated
cybersecurity efforts and encouraged more organizations to invest
in new, more effectively secured solutions. And we are cautiously
optimistic that these positive trends will remain dominant over the
coming quarters.
-3-
As we
entered the new year, we’ll continue to build on our sales
momentum and secured several new wins that support this thesis. In
February, we announced that we had secured a new contract from a
Fortune Global 500 company to provide professional services,
hardware and personal identity verification or PIV-I credentials.
This contract simultaneously allowed us to add a new commercial
client, it expanded the use of our credentials into a new U.S.
federal agency, and it added high margin revenues to our books.
It’s a great example of how the Identity Management business
can efficiently drive success for WidePoint in multiple
areas.
Also,
in February, we announced that we secured a new contract to issue
External Certificate Authority credentials to a hospital that
interacts with the U.S. Department of Health & Human Services
or HHS. Our ECA credentials allow the hospitals’ employees
and industry partners to access HHS systems securely and
effectively. These are among the most important lines of defense
our government has for preventing cyber intrusions. It seems that
every week, we read about hacks and headlines, and as data breaches
become more prevalent and more damaging the demand for our
credentials grow.
We
continue to believe the IdM business will be a material driver for
WidePoint in the upcoming quarters and years. And that is in part
due to the partnership that we have with SYNNEX. As the SYNNEX
partnership continues to develop, we are continuing to enhance our
TM2 capabilities to ensure that were as competitively positioned as
possible to help both current and prospective clients manage the
mobile landscape effectively and securely.
In
addition to the TM2 enhancements, we also recently expanded our
sales team. I am excited that we were able to strategically recruit
a very strong commercial enterprise sales director from IBM, who
has added to our already strong pipeline of
opportunities.
Suffice
it to say that with our current sales momentum, our enhanced team
and macro tailwinds driving our industry forward, WidePoint remains
an incredibly strong position and we look forward to continuing to
execute on our sales strategy in 2021.
With
that, I will hand the call over to Kellie. Kellie?
Kellie Kim - Chief Financial Officer
Thank
you, Jason. Good afternoon, everyone. I’m pleased to share
more details on the fourth quarter and full year 2020 results.
Turning to our results for the fourth quarter, revenue was $28.4
million, up slightly from the $28.1 million reported for the same
quarter last year. Carrier services revenues declined to $19.5
million from $19.8 million in the fourth quarter of last
year.
Towards
the end of the fourth quarter, a significant portion of savings to
a large carrier services customer came through, resulting in a
reduction in carrier services revenue. If it were not for a $10.6
million credit issued to our customer, our total fourth quarter
revenue would have been closer to $40 million. While this shift
impacted our top-line, its effects on the rest of our financial
performance were immaterial given the low margins we earned from
carrier services’ revenues.
-4-
Managed
services revenue increased by 7% to $8.9 million from $8.3 million
in the fourth quarter of last year. The increase in managed
services was primarily due to expansions with federal government
clients. As a result for the full year 2020, our total revenue was
$180.3 million, up 77% from $101.7 million last year. Carrier
services revenues for fiscal 2020 were $137.6 million or 76% of
total revenue compared to carrier services of $68.7 million, or 68%
of total revenue in 2019.
Our
total revenue would have been approximately $191 million, if it
were not for a large credit as discussed above. Managed services
revenues for the full year 2020 increased 29% to $42.7 million, or
24% of total revenue from $33 million, or 32% of total revenue in
2019. Year-over-year growth for both the quarter and the full year
were primarily driven by increases in revenue from carrier services
and managed services due to higher demand.
Our
gross profit for the fourth quarter 2020 was $4.8 million
consistent with $4.8 million in the fourth quarter of 2019.
Similarly, gross margin was 17% in the fourth quarter of 2020, and
17% in 2019. For the full year, our gross profit increased 18% to
$20.5 million, or 11% of total revenue from $17.4 million in 2019,
or 17% of total revenue. The increase in gross profit was due to an
increase in managed services revenue. As managed services become a
higher percentage of total revenue in 2021, it is our expectation
that gross margins will return to more historical levels and may
increase long-term.
In the
fourth quarter of 2020, operating expenses decreased 8% to $4.1
million from $4.5 million in the fourth quarter of last year. For
the full year 2020, our operating expenses increased by 4% to $17.2
million from $16.5 million. The increase in SG&A expense for
the full year reflects higher payroll costs consistent with higher
employee count to support the increased business, partially offset
by reduced travel costs. Additionally, during 2020, we invested
approximately $2.1 million compared to $1.9 million last year in
product development to enhance our technology platform, and portal
integration.
For the
fourth quarter 2020, GAAP net income was $8.3 million, an
improvement from net loss of $34,000 in the fourth quarter of 2019.
For the full year, net income was $10.3 million, compared to $0.2
million in 2019. During the fourth quarter, we’ve recognized
$8.2 million from a reversal of deferred tax asset valuation
allowance. Excluding this onetime non-cash tax benefit, our net
income would have been $2.1 million or $0.25 per diluted share,
which is a substantial improvement from 2019 with EPS was $0.03,
accounting for the 1-for-10 reverse split.
On a
non-GAAP basis, EBITDA for the fourth quarter 2020 increased 39% to
$1.1 million from $0.8 million last year. For the full year ended
December 31, 2020, EBITDA increased 71% to $4.9 million from $2.8
million last year. Our non-GAAP adjusted EBITDA increased 30% to
$1.3 million in the fourth quarter from $1 million in the same
period 2019. For the full year 2020, adjusted EBITDA increased 59%
to $5.7 million from $3.6 million in 2019 both metrics were at the
top end of the guidance range.
Shifting
to cash flow and the balance sheet, we exited the quarter with $16
million in cash, or $1.86 per diluted share, net working capital of
$13 million and approximately $5 million available to drawdown on
our credit facility. Our operating cash flow was $6.4 million.
Capital expenditures were $1.2 million compared to $0.5 million
last year, and $3.7 million increase in net cash from our financing
activities.
-5-
We plan
to continue our investments in technology and expect to be in the
range of $1.2 million to $1.5 million for the full year 2021. This
completes my financial summary. For a more detailed analysis of our
financial results, please reference our Form 10-K, which was filed
prior to this call.
So with
that, I would like to turn it back to Jin.
Jin Kang - Chief Executive Officer and President
Thank
you, Kellie, and thank you, Jason. 2020 was a transformative year
for WidePoint, we set records in nearly all of our financial
metrics by driving profitable managed services revenues, which
added to our bottom line in each quarter. We’ve seamlessly
scaled our organization during a pandemic to manage nearly 700,000
devices for the largest managed mobility services project in the
country, the 2020 U.S. Census. We re-secured a major new contract
with one of the most prominent customers, the U.S. Department of
Homeland Security as projected. We successfully effectuated a
reverse stock split. And we ended the year with a strong balance
sheet that provides us with the financial ability to make strategic
acquisitions that will be accretive to our business.
As we
look towards the future, we remain confident that 2021 will be
another positive year for WidePoint. At this early stage in the
year, it’s difficult to forecast our financial performance
for 2021 and provide financial projections at this time because the
timing of variables are not fully known.
But we
are optimistic that 2021 will be another positive and profitable
year for WidePoint. As I mentioned in my introductory remarks, our
managed services revenues are growing sustainably. The focus of
this team has always been to grow profitably and that remains our
goal. Our objective is to continue to grow managed services
revenue, which will increase our gross profit margins, and drive
positive adjusted EBITDA and net income.
We will
endeavor to match or exceed the profitability benchmarks set in
2020 in the coming year. And given our flexibility and
adaptability, which we demonstrated throughout 2020, we believe
that these targets are well within our reach. The need to manage
and secure the remote workforce is even more imperative today than
it was a year ago, with hacking and cyber attacks on the
rise.
We
believe that our TM2 products and services will continue to be
relied upon to facilitate a more flexible workforce as we provide
the IT infrastructure that allows the workforce to work remotely
and our IdM solution provides for secure communication among
devices from these remote sites.
And the
2 unique aspects of our organization that I mentioned at the start
of this call, which helped drive our success in 2020. Our
adaptability and our robust base of large commercial and government
customers will continue to be advantages for us in the quarters and
years to come.
Given
what we’ve seen so far from the new presidential
administration and the reputation we’ve developed from
servicing the needs of high-profile agencies on the frontline of
our fight against the pandemic, we believe our government business
will remain strong in 2021. But our intention is not to be passive
and allow our business to be dictated by macro-trends.
-6-
We
intend to actively grow WidePoint both organically and
inorganically. Inorganically, the search for right acquisition
targets continue. There were a number of targets we’ve added
at the end of last year, so seriously that we were required to take
measures to ensure that we had the balance sheet necessary to
tackle them.
This
included utilizing our at-the-market offering to opportunistically
raise a net $5.4 million by selling 500,000 shares at an average
share price of $11.62 from the end of the fourth quarter through
the second week of January. $4.3 million of which was added to our
balance sheet before the end of the year.
However,
as we progress deeper into the due diligence process, it became
apparent that these prospects were not ideal candidates, and we
opted to move in a different direction. The good news is that with
$16 million on the balance sheet and positive cash flow from
operations, we are better positioned than ever to find a target
that will be the highest possible benefit to our organization. And
therefore, we have no plans to sell additional shares at this
time.
Organically,
we’re continuing to enhance our technical capabilities to
make our solutions more attractive and more competitive. And we are
continuing to invest in sales and marketing to improve our
prospects of securing new business. As Jason mentioned, we are
expanding our TLM capabilities to include new offerings and
services, which we believe will allow us to cross-sell more
effectively by the end of the year.
We are
partnering with mobile equipment providers to include our IdM
solutions as part of our product offerings. And we are continuing
to work on our FedRAMP certification, which once completed will be
a substantial competitive advantage.
We also
launched our Green Initiative Policy at the start of this year. We
are focused on identifying and maximizing every opportunity we have
to manage our clients’ mobile assets and technology in an
environmentally safe and responsible manner and eventually reach a
zero carbon footprint for our organization.
But
this initiative isn’t just for WidePoint. Our solutions like
device recycling can actually help our customers achieve their ESG
objectives. And with those objectives, being top of mind for many
companies, this could be another driver for our business. Among our
many objectives for 2021 is to continue improving these processes
and all other environmental, social and corporate governance or ESG
aspects of our business throughout 2021.
We
believe that our green initiatives represent a win-win opportunity
to protect our environment, while also increasing our profitable
revenues. More news will be forthcoming on this front in the
quarters ahead. We’ve set the bar incredibly high with the
operational and financial successes of the past year.
But
given our current position and the momentum we built heading into
2021, we are confident that we’ll continue executing on our
TM2 strategy to drive value for our shareholders.
-7-
With
that covered, we are ready to take questions from our analysts and
major shareholders. Operator, will you please open the call for
questions?
Operator
Certainly.
Ladies and gentlemen, the floor is now open for questions.
[Operator Instructions] Your first question is coming from Aman
Gulani from B. Riley. Your line is live.
Q: Hey, guys, thanks for taking my question. I wanted to
ask, can you give us an update on some of the commercial
opportunities you’re seeing with SYNNEX, given its current
acquisition of Tech Data?
Jin Kang - Chief Executive Officer and President
Hi,
Aman. It’s good to hear from you. We just heard about the
Tech Data. We have some relationship with Tech Data already. We are
resellers of some of their security products on our GSA schedule.
So by SYNNEX and Tech Data merging, I think that that represent
additional opportunities to utilize their reseller
network.
And so,
we have been working with SYNNEX and their 800 or so –
800-plus resellers and we had some successes there. And we’re
optimistic that we’ll be able to capture additional revenue
during this – utilizing their reseller model, as the pandemic
gets under control. And I think that they’ll – Tech
Data has additional resellers as well. And so, we’ll be
leveraging that, hopefully, when the deal is consummated
further.
Q: Okay, thanks. And given that your new DHS contract was
one on best value basis, what opportunity is there for WidePoint to
generate better margins on managed service provided to member
agencies like the Coast Guard and Border Control?
Jin Kang - Chief Executive Officer and President
There
will be additional news forthcoming really shortly. And, I
don’t want to steal any thunder from that. But I will tell
you that we have captured several contracts. I think if you go out
to FPDS.gov, you’ll be able to see some of the task orders
that are already have been awarded under the DHS
contract.
Also,
this time around, we did negotiate higher rates for our managed
services. Additionally, we are looking at adding the FEMA agency
under DHS under this contract. We are team with the current
contractor that is currently supporting FEMA and they are our
subcontractor this time around. So, as the contract ends for that
particular contractor, we foresee that contract coming under the
CWMS umbrella. So we should see an increase in volume for
WidePoint.
Q: Okay. And then, in 2020 how much managed service revenue
was attributable to the census project?
Jin Kang - Chief Executive Officer and President
In
terms of the census project, it was approximately – I think I
have it in my notes here. Kellie, do you remember what the total
was on that?
-8-
Kellie Kim - Chief Financial Officer
The
percentage that pertains from the Census Project to the overall, it
was a little over 10% over managed services.
Jin Kang - Chief Executive Officer and President
Yeah.
So again, our objective is to equal or beat our profitability
performance of 2020 in 2021. We feel that that target is well
within our reach. And that is our goal to outperform our
profitability performance in 2021 that we set in 2020.
Q: Okay. Yeah, just last question for me. What do you think
the probability of growing managed services in 2021 is versus
2020?
Jin Kang - Chief Executive Officer and President
I’m
sorry, say that again.
Q: The probability of growing managed services in 2021
relative to 2020?
Jin Kang - Chief Executive Officer and President
Yeah,
as I said, I mean, our objective is to beat the performance
benchmarks set in 2020 for both profitability and our managed
services. And I think based upon our past performance and what we
have in the sales too, it’s within our reach.
Q: Okay, thank you. I’ll jump back in the
queue.
Jin Kang - Chief Executive Officer and President
Okay,
thank you. Thank you, Aman.
Operator
[Operator
Instructions] Your next question is coming from Barry Sine from
Spartan Capital Securities. Your line is live.
Q: Hey, good afternoon, folks.
Jin Kang - Chief Executive Officer and President
Hi,
Barry.
Q: I’ve never asked Jason a question. So, Jason, let
me put you on the hot seat if you don’t mind. You started out
talking about it. I think there’s been a press release on
this $10.4 million in contracts in the fourth quarter. Some of
those are new and some are renewals. If it’s new, it’s
going to represent growth – if it’s just renewal. Could
you break any of that out? And then – or just give us a sense
of it.
And
then, also any sense – I don’t think there was any
timing, if that’s over the next month that’s a big
deal, if it’s over the next 10 years not such a big deal.
Could you kind of break some of that out for us,
please?
-9-
Jin Kang - Chief Executive Officer and President
Yeah,
I’m sorry, Barry. Looks like Jason is having a little bit of
trouble with his audio. So I’ll try to answer that. In terms
of the $10.4 million, a lot of that was resigning of current
customers at higher rates, so some of that revenue does represent
net new revenue. And there are some new customers that some of the
IdM customers, but there are – I wouldn’t say that
there are huge. And so in terms of the net new revenues that are
coming in, I would say maybe 10% of that was new revenue –
net new revenues.
Q: Okay. And if I look at the 10-K, commercial revenue was
down for the year. And presumably some of that is going to be due
to COVID. But I would have thought COVID is also a benefit to you,
as you have more workers working remotely, you’re supporting
the devices for that remote work. And then going forward after a
flat year in commercial, you’ve now hired a new sales head
from IBM. If you could elaborate a little bit on that and maybe
even give us the person’s name?
Jin Kang - Chief Executive Officer and President
Yeah.
So in terms of the remote workforce, we have increased demand on
the government side, but on the commercial side that we
haven’t seen an increase in demand on the commercial side.
However, as the pandemic is starting to wind down a little bit, you
may have seen our press release on Cancom and Zetacom [in Zurich]
[ph]. And we see some of these things coming to fruition. And so
you’ll see some of the increases happening in the next few
quarters on the commercial side.
Q: And could you elaborate a little bit on that new hire
from IBM?
Jin Kang - Chief Executive Officer and President
The new
hire from IBM – our new hire from IBM, I guess, I can release
his name. His name is Jim – nope, I cannot name him. Well, he
is one of a higher level director over there at IBM. He does have a
book of business that he has brought to us. And we feel pretty
confident that a lot of these opportunities will be coming to
fruition this year. And it is making our sales pipeline stronger
than it already is.
Q: Got it. Kellie, may I ask you some numbers
questions?
Jin Kang - Chief Executive Officer and President
We will
put out a press release at some point on the name and in the coming
quarter, I believe. Yes.
Q: Okay. I’ll refer to him as Jim until
then.
Jin Kang - Chief Executive Officer and President
Jim
from IBM. That’s good.
Q: Yeah. Kellie, some numbers question. You gave a lot of
guidance-type information out there. I wanted to start and talk
about what you said about the gross margin, obviously, a huge
difference in gross margin almost nothing for carrier and very
attractive margin for managed services. And obviously the mix is
shifting back towards manage now that census is over. I don’t
want to put words in your mouth. But I think you told us to kind of
look back prior to the census era for WidePoint, maybe if I look
back 2017 was 18% gross margin; 2018, 18.2%; and 2019, 17.1%,
consolidated gross margin. Are those the types of levels that
you’re thinking that we get back to now that that census
contract has worked its way through?
-10-
Kellie Kim - Chief Financial Officer
Yeah, I
– with the mix of managed services becoming higher to our top
line, we should see the range, you just stated between 17% and 18%,
depending on the mix quarter-to-quarter.
Jin Kang - Chief Executive Officer and President
And
we’re endeavoring to try to make that better, and
that’s our goal to, again, make our profitability, gross
profit margins better. And as we add on additional managed services
that’s our primary goal for 2021; one of our primary
goals.
Q: And Kellie, towards the end of your comments, you talked
about a $1.2 million to $1.5 million number. I kind of wasn’t
paying attention when you said that. I think that’s
you’re making IT investments, and that’s going to be
incremental number in G&A. Is that fair?
Kellie Kim - Chief Financial Officer
No.
That is our planned capital investment in technology. So that is in
reference to, I guess, you can use that information for forecasting
depreciation expense and cash flow.
Q: So that capital expense, not an expense item that’s
going to run through the income statement?
Kellie Kim - Chief Financial Officer
Correct.
Jin Kang - Chief Executive Officer and President
Correct.
Q: And lastly, for Kellie, if you could elaborate a little
bit on that tax item that went through the income statement, a big,
big number. And if I can kind of paraphrase GAAP, it sounds like
now that you have more confidence that you’re going to be
consistently profitable, you brought some of the deferred tax
assets through the income statement, because you’re now under
whatever the GAAP rules are comfortable taking some of that
deferred access – asset and putting it to the income
statement. Is that fair?
Kellie Kim - Chief Financial Officer
That’s
exactly right. And we have pretty detailed information in the 10-K,
in the Note 14. But basically the allowance was established in 2014
after management’s assessment that the deferred tax asset
will not be realizable due to cumulative losses. Fast forward
several years to 2020, we re-determined that the – we can
realize these deferred tax benefits, primarily due to the 3-year
cumulative positive income. So we reversed, not all of it, but
majority of what was in the allowance, $8.2 million. And so there
is still about $2 million left on the box.
Q: Okay. And my last question, Jin, you gave a lot of
information in terms of what you’re thinking with M&A.
You kicked a lot of tires, I guess, in the fourth quarter, nothing
came through; you’ve got a very nice balance sheet. Could you
give us a sense, what types of parameters you’re thinking of
as you look at acquisitions in 2 different buckets? First, from a
financial perspective, would you lever up to buy something? Or
would it be more something you can afford with your cash? Would you
do something that’s dilutive, now that you’re finally
consistently profitable? What are your financial
parameters?
-11-
And
then your strategic parameters are you looking for something that
will take you more global? Are there certain product categories
that you’d like to add maybe cybersecurity, so you’re
not reselling other people’s products? Could you give us a
sense of, what you guys are thinking of as we do see that big
announcement; we have a way to kind of analyze it?
Jin Kang - Chief Executive Officer and President
Right,
so I’ll take the last one first and tell you about the size
of the acquisition that we’re looking for. So in terms of
companies that we’re looking for, our companies in our
adjacent areas, so that will provide us some vertical integration
opportunities that will add to our capabilities, both anything to
have to do with our Trusted Mobility Management footprint. That
could be Identity Management, it could be Telecom Lifecycle
Management, or anything that adds to those capabilities, also our
Digital Billing & Analytics, and there’s a lot of
potential companies that are out there.
We’re
also looking for companies that that where we can acquire new
customers, so horizontal integration find companies that do the
similar thing that we do, bring them onto our delivery platform. So
we are still looking for those companies in terms of size. We would
like to do a larger deal than a smaller deal, because a smaller
deal will take just as much time we were finding out. And
we’ve been reviewing a lot of these companies. And they were
smaller, we would say within the $10 million range. And I think in
those ranges, there’s a lot of personal investment in these
companies by the founders of the company. And it’s kind of
like negotiating to adopt their baby kind of thing.
And so,
we were finding it very difficult, because they feel that their
babies are the most beautiful babies that exist on earth. And so, I
think what we’re trying to do is to move upstream a little
bit, maybe in the range of $45 million, $50 million range, where we
will look for a potential consultant to help us weed out lot of the
noise that’s out there, so that we don’t spend so much
time going through up to the due diligence process.
And so,
we’re looking in terms of $40 million to $50 million, maybe
even $60 million range. And I think that that’s well within
our reach.
Q: And financial parameters, it sounds like you are going to
go through the cash if you find something like that, and perhaps to
take on some debt and perhaps even issue additional
equity.
Jin Kang - Chief Executive Officer and President
Potentially,
what we would like to do, as I said before, is obviously use cash
and lever up where we can. And I think there is a potential that we
may offer equity, but we will do that as a last
resort.
Q: And would you do something that sets you back from a
profitability or an EBITDA standpoint significantly?
Jin Kang - Chief Executive Officer and President
No, we
are trying to avoid that as much as possible. Never say never. But
we want to remain profitable at least on an adjusted EBITDA basis.
We do not want to backslide into non-profitability.
-12-
Q: Okay. Thank you very much.
Jin Kang - Chief Executive Officer and President
Okay,
thank you, Barry.
Operator
At this
time, this concludes our question-and-answer session. If your
question was not taken, please contact WidePoint’s IR team at
WYY@GatewayIR.com. I’d now like to turn the call back to Mr.
Jin Kang for his closing remarks.
Jin Kang - Chief Executive Officer and President
Thank
you, operator. We appreciate everyone taking the time to join us
today. As the operator mentioned, if there were any questions that
we did not answer today, please contact our IR team. You can find
their full contact information at the bottom of today’s
earnings release. Thank you again and have a great
evening.
Operator
Thank
you, ladies and gentlemen. This does conclude today’s event.
You may disconnect at this time and have a wonderful day. Thank you
for your participation.
-13-
Exhibit 99.2
WidePoint Reports Full Year and
Fourth Quarter 2020
Financial Results
Record 2020 Financial Results Highlighted by 29% Increase in
Managed Services Revenue, $10.3 Million in Net Income, and 59%
Increase in Adjusted EBITDA
Fairfax, VA – March , 23 2021 – WidePoint
Corporation (NYSE
American: WYY),
the leading provider of Trusted Mobility Management (TM2)
specializing in Telecommunications Lifecycle Management, Identity
Management (IdM) and Digital Billing & Analytics solutions,
today reported results for the full year and fourth quarter ended
December 31, 2020.
Fourth Quarter 2020 and Recent Operational Highlights:
●
Secured
the U.S. Department of Homeland Security’s (DHS’s)
Cellular Wireless Managed Services (CWMS) 2.0 contract, valued at
up to $500 million
●
Awarded
two new Identity Management contracts, expanding WidePoint’s
commercial footprint as well as the Company’s secure digital
certificates into a new U.S. federal agency
●
Number
of U.S. Department of Defense secure digital certificates issued
increased 17% year-over-year from the fourth quarter of 2020,
leading to an increase in high margin Identity Management
revenue
●
Soft-Ex,
WidePoint’s subsidiary, awarded multi-year digital billing
and analytics contracts with multiple European enterprises,
including Cancom, Zetacom, and Three Ireland
●
Secured
more than $10.4 million in contract wins, exercised option periods,
and contract extensions during the fourth quarter of 2020,
excluding the new contract from DHS
●
Successfully effectuated 1-for-10 reverse stock
split on November 6, 2020
Management Commentary
“2020
was the most successful year in WidePoint’s history as we set
records in each of our financial performance metrics, during a
pandemic, while seamlessly managing the largest mobility managed
service project in the country,” said WidePoint’s CEO,
Jin Kang. “In 2020, our total
revenues increased to $180 million, while our managed services
revenues increased 29% year-over-year. The increase in our higher margin managed
services business coupled with a minimal increase in our operating
expenses demonstrates the leverage we have in our business model.
Our ability to efficiently scale drove $2.1 million in net income,
excluding our non-cash tax benefit, which is an 830% increase in
net income from 2019, as well as a 59% increase in adjusted EBITDA
to $5.7 million, which was right at the top end of our expected
range.
“At
the end of the year, we were awarded the much-anticipated CWMS 2.0
contract from the U.S. Department of Homeland Security, securing
our position with one of our most prominent customers. That
momentum has carried into 2021 with several wins for both our
Identity Management and Digital Billing and Analytics businesses,
both of which remain in high demand as we offer effective solutions
to many of the challenges large government and commercial
enterprises face in the modern, mobile world.
“Our
primary objective for 2021 is to profitably grow WidePoint by
focusing on our core competencies, by strengthening our technical
capabilities, and by enhancing our organization with an accretive
acquisition. With a robust client base and over 90% customer
retention, demand for our solutions increasing, and a balance sheet
with $16 million in cash and no debt, we are confident that we will
be able to execute on our strategy in 2021 and continue driving
value for our shareholders.”
Full Year 2020 Financial Highlights (results compared to the same
year-ago period):
●
Revenues increased
77% to $180.3 million
●
Managed Services
revenue increased 29% to $42.7 million
●
Gross profit
increased 18% to $20.5 million
●
Net income totaled
$10.3 million, or $1.20 per diluted share, including an $8.2
million, or $0.95 per diluted share, one-time tax allowance
reversal
●
EBITDA, a non-GAAP
financial measure, increased 71% to $4.9 million
●
Adjusted EBITDA, a
non-GAAP financial measure, increased 59% to $5.7
million
Fourth Quarter 2020 Financial Highlights (results compared to the
same year-ago period):
●
Revenues increased
1% to $28.4 million
●
Managed Services
revenue increased 7% to $8.9 million
●
Gross profit
increased 1% to $4.8 million
●
Net income totaled
$8.3 million, or $0.94 per diluted share, including an $8.2
million, or $0.93 per diluted share, one-time tax allowance
reversal
●
EBITDA, a non-GAAP
financial measure, increased 39% to $1.1 million
●
Adjusted EBITDA, a
non-GAAP financial measure, increased 30% to $1.3
million
Full Year 2020 Financial Summary
|
(in millions, except per share amounts)
|
December
31,
2020
|
December
31,
2019
|
|
|
(Unaudited)
|
|
|
Revenues
|
$180.3
|
$101.7
|
|
Gross
Profit
|
$20.5
|
$17.4
|
|
Gross
Profit Margin
|
11.3%
|
17.1%
|
|
Operating
Expenses
|
$17.2
|
$16.5
|
|
Income
from Operations
|
$3.2
|
$0.9
|
|
Net
Income
|
$10.3
|
$0.2
|
|
Basic
Earnings per Share (EPS)
|
$1.22
|
$0.03
|
|
Diluted
Earnings per Share (EPS)
|
$1.20
|
$0.03
|
|
EBITDA
|
$4.9
|
$2.8
|
|
Adjusted
EBITDA
|
$5.7
|
$3.6
|
Fourth Quarter 2020 Financial Summary
|
(in millions, except per share amounts)
|
December
31,
2020
|
December
31,
2019
|
|
|
(Unaudited)
|
|
|
Revenues
|
$28.4
|
$28.1
|
|
Gross
Profit
|
$4.8
|
$4.8
|
|
Gross
Profit Margin
|
17.0%
|
16.9%
|
|
Operating
Expenses
|
$4.1
|
$4.5
|
|
Income
(Loss) from Operations
|
$0.7
|
$0.3
|
|
Net
Income (Loss)
|
$8.3
|
$(0.0)
|
|
Basic
Earnings per Share (EPS)
|
$0.96
|
$(0.00)
|
|
Diluted
Earnings per Share (EPS)
|
$0.94
|
$(0.00)
|
|
EBITDA
|
$1.1
|
$0.8
|
|
Adjusted
EBITDA
|
$1.3
|
$1.0
|
|
|
|
|
Conference Call
WidePoint
management will hold a conference call today (March 23, 2021) at
4:30 p.m. Eastern time (1:30 p.m. Pacific time) to discuss these
results.
WidePoint’s
President and CEO Jin Kang, Executive Vice President and Chief
Sales and Marketing Officer Jason Holloway, and Executive Vice
President and CFO Kellie Kim will host the conference call,
followed by a question and answer period.
U.S.
dial-in number: 888-506-0062
International
number: 973-528-0011
Passcode:
502619
Please
call the conference telephone number 5-10 minutes prior to the
start time. An operator will register your name and organization.
If you have any difficulty connecting with the conference call,
please contact Gateway Investor Relations at
949-574-3860.
The conference call will be broadcast live and available for
replay here
and via the investor relations section
of the Company’s website.
A
replay of the conference call will be available after 7:30 p.m.
Eastern time on the same day through April 6, 2021.
Toll-free replay number: 877-481-4010
International replay number: 919-882-2331
Replay
ID: 40212
About WidePoint
WidePoint
Corporation (NYSE American: WYY) is a leading provider of trusted
mobility management (TM2) solutions, including telecom management,
mobile management, identity management, and digital billing and
analytics. For more information, visit widepoint.com.
Non-GAAP Financial Measures
WidePoint uses a
variety of operational and financial metrics, including non-GAAP
financial measures such as EBITDA, to enable it to analyze its
performance and financial condition. The presentation of non-GAAP
financial information should not be considered in isolation or as a
substitute for, or superior to, the financial information prepared
and presented in accordance with GAAP. A reconciliation of GAAP Net
income to EBITDA is included on the schedules attached
hereto.
|
|
FISCAL YEAR
ENDED
|
THREE MONTHS
ENDED
|
||
|
|
DECEMBER
31,
|
DECEMBER
31,
|
||
|
|
2020
|
2019
|
2020
|
2019
|
|
|
|
|
|
|
|
NET INCOME
(LOSS)
|
$10,323,700
|
$226,300
|
$8,284,200
|
$(33,800)
|
|
Adjustments to
reconcile net (loss) income to EBITDA:
|
|
|
|
|
|
Depreciation and
amortization
|
1,632,700
|
1,910,600
|
385,600
|
481,500
|
|
Amortization of
deferred financing costs
|
1,700
|
5,000
|
-
|
1,200
|
|
Income tax
provision (benefit)
|
(7,400,000)
|
392,700
|
(7,642,800)
|
265,900
|
|
Interest
income
|
(3,900)
|
(5,400)
|
(800)
|
(600)
|
|
Interest
expense
|
301,200
|
305,600
|
75,000
|
78,400
|
|
|
|
|
|
|
|
EBITDA
|
$4,855,400
|
$2,834,800
|
$1,101,200
|
$792,600
|
|
Other adjustments
to reconcile net (loss) income to Adjusted EBITDA:
|
|
|
|
|
|
Provision for
doubtful accounts
|
600
|
22,000
|
-
|
(1,500)
|
|
Stock-based
compensation expense
|
810,300
|
718,000
|
159,400
|
181,200
|
|
|
|
|
|
|
|
Adjusted
EBITDA
|
$5,666,300
|
$3,574,800
|
$1,260,600
|
$972,300
|
Safe Harbor Statement
The information contained in any materials that may be accessed
above was, to the best of WidePoint Corporations’ knowledge,
timely and accurate as of the date and/or dates indicated in such
materials. However, the passage of time can render information
stale, and you should not rely on the continued accuracy of any
such materials. WidePoint Corporation has no responsibility to
update any information contained in any such materials. In
addition, you should refer to periodic reports filed by WidePoint
Corporation with the Securities and Exchange Commission for
information regarding the risks and uncertainties to which
forward-looking statements made in such materials are subject. Such
risks and uncertainties may cause WidePoint Corporation’s
actual results to differ materially from those described in the
forward-looking statements.
Investor Relations:
Gateway
Investor Relations
Matt
Glover or Charlie Schumacher
949-574-3860
WYY@gatewayir.com
WIDEPOINT CORPORATION AND SUBSIDIARIES
CONDENSED CONSOLIDATED BALANCE SHEETS
|
|
DECEMBER
31,
|
DECEMBER
31,
|
|
|
2020
|
2019
|
|
|
|
|
|
ASSETS
|
|
|
|
CURRENT
ASSETS
|
|
|
|
Cash and cash
equivalents
|
$15,996,749
|
$6,879,627
|
|
Accounts
receivable, net of allowance for doubtful accounts
|
|
|
|
of $114,169 and
$126,235 in 2020 and 2019, respectively
|
35,882,661
|
14,580,928
|
|
Unbilled accounts
receivable
|
13,848,726
|
13,976,958
|
|
Other current
assets
|
1,763,633
|
1,094,847
|
|
|
|
|
|
Total current
assets
|
67,491,769
|
36,532,360
|
|
|
|
|
|
NONCURRENT
ASSETS
|
|
|
|
Property and
equipment, net
|
573,039
|
681,575
|
|
Operating lease
right of use asset, net
|
6,095,376
|
5,932,769
|
|
Intangibles,
net
|
2,187,503
|
2,450,770
|
|
Goodwill
|
18,555,578
|
18,555,578
|
|
Deferred tax
asset
|
5,606,079
|
-
|
|
Other long-term
assets
|
815,007
|
140,403
|
|
|
|
|
|
Total
assets
|
$101,324,351
|
$64,293,455
|
|
|
|
|
|
LIABILITIES
AND STOCKHOLDERS' EQUITY
|
|
|
|
|
|
|
|
CURRENT
LIABILITIES
|
|
|
|
Accounts
payable
|
$36,221,981
|
$13,581,822
|
|
Accrued
expenses
|
15,626,313
|
14,947,981
|
|
Deferred
revenue
|
2,016,282
|
2,265,067
|
|
Current portion of
operating lease liabilities
|
577,855
|
599,619
|
|
Current portion of
other term obligations
|
-
|
133,777
|
|
|
|
|
|
Total current
liabilities
|
54,442,431
|
31,528,266
|
|
|
|
|
|
NONCURRENT
LIABILITIES
|
|
|
|
Operating lease
liabilities, net of current portion
|
5,931,788
|
5,593,649
|
|
Deferred revenue,
net of current portion
|
398,409
|
363,560
|
|
Deferred tax
liability
|
-
|
1,868,562
|
|
|
|
|
|
Total
liabilities
|
60,772,628
|
39,354,037
|
|
|
|
|
|
STOCKHOLDERS'
EQUITY
|
|
|
|
Preferred stock,
$0.001 par value; 10,000,000 shares
|
|
|
|
authorized;
2,045,714 shares issued and none outstanding
|
-
|
-
|
|
Common stock,
$0.001 par value; 30,000,000 shares
|
|
|
|
authorized;
9,050,262,and 8,386,146 shares
|
|
|
|
issued and
outstanding, respectively
|
8,876
|
83,861
|
|
Additional paid-in
capital
|
100,504,741
|
95,279,114
|
|
Accumulated other
comprehensive loss
|
(104,615)
|
(242,594
|
|
Accumulated
deficit
|
(59,857,279)
|
(70,180,963
)
|
|
|
|
|
|
Total stockholders'
equity
|
40,551,723
|
24,939,418
|
|
|
|
|
|
Total liabilities
and stockholders' equity
|
$101,324,351
|
$64,293,455
|
WIDEPOINT CORPORATION AND SUBSIDIARIES
CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS
|
|
YEARS
ENDED
|
THREE MONTHS
ENDED
|
||
|
|
DECEMBER
31,
|
DECEMBER
31,
|
||
|
|
2020
|
2019
|
2020
|
2019
|
|
|
|
|
|
|
|
REVENUES
|
$180,343,015
|
$101,720,247
|
$28,387,308
|
$28,093,252
|
|
COST OF REVENUES
(including amortization and depreciation of
|
|
|
|
|
|
$541,842 and
$922,455, respectively)
|
159,887,807
|
84,342,282
|
23,573,368
|
23,339,895
|
|
|
|
|
|
|
|
GROSS
PROFIT
|
20,455,208
|
17,377,965
|
4,813,940
|
4,753,357
|
|
|
11.3%
|
17.1%
|
17.0%
|
16.9%
|
|
OPERATING
EXPENSES
|
|
|
|
|
|
Sales and
marketing
|
1,871,146
|
1,659,875
|
439,216
|
444,319
|
|
General and
administrative expenses (including share-based
|
|
|
|
|
|
compensation of
$810,281 and $717,987, respectively)
|
14,270,342
|
13,844,689
|
3,382,390
|
3,774,306
|
|
Depreciation and
amortization
|
1,091,463
|
988,146
|
276,650
|
257,241
|
|
|
|
|
|
|
|
Total operating
expenses
|
17,232,951
|
16,492,710
|
4,098,256
|
4,475,866
|
|
|
|
|
|
|
|
INCOME (LOSS) FROM
OPERATIONS
|
3,222,257
|
885,255
|
715,684
|
277,491
|
|
|
|
|
|
|
|
OTHER (EXPENSE)
INCOME
|
|
|
|
|
|
Interest
income
|
3,944
|
5,355
|
825
|
594
|
|
Interest
expense
|
(302,924)
|
(310,582)
|
(75,035)
|
(79,599)
|
|
Other
income
|
456
|
38,877
|
(2)
|
33,553
|
|
|
|
|
|
|
|
Total other
expense
|
(298,524)
|
(266,350)
|
(74,212)
|
(45,452)
|
|
|
|
|
|
|
|
INCOME (LOSS)
BEFORE INCOME TAX PROVISION
|
2,923,733
|
618,905
|
641,472
|
232,039
|
|
INCOME TAX
PROVISION
|
(7,399,951)
|
392,650
|
(7,642,734)
|
265,834
|
|
|
|
|
|
|
|
NET INCOME
(LOSS)
|
$10,323,684
|
$226,255
|
$8,284,206
|
$(33,795)
|
|
|
|
|
|
|
|
BASIC EARNINGS
(LOSS) PER SHARE
|
$1.22
|
$0.03
|
$0.96
|
$(0.00)
|
|
|
|
|
|
|
|
BASIC
WEIGHTED-AVERAGE SHARES OUTSTANDING
|
8,460,558
|
8,397,454
|
8,613,772
|
8,394,097
|
|
|
|
|
|
|
|
DILUTED EARNINGS
(LOSS) PER SHARE
|
$1.20
|
$0.03
|
$0.94
|
$(0.00)
|
|
|
|
|
|
|
|
DILUTED
WEIGHTED-AVERAGE SHARES OUTSTANDING
|
8,603,170
|
8,401,029
|
8,783,242
|
8,397,672
|