VICON REPORTS FINANCIAL RESULTS FOR THE FOURTH QUARTER
AND FISCAL YEAR ENDED SEPTEMBER 30, 2015
HAUPPAUGE, N.Y. - December 11, 2015 - Vicon Industries, Inc. (NYSE MKT: VII), a global producer of video management systems, today announced its financial results for the fourth quarter ended September 30, 2015.
Eric Fullerton, Vicon’s CEO said, “The Company completed its first fiscal year since its merger with IQinVision on August 29, 2014 and ended the year with improved financial results. The Company’s financial results for the quarter were in line with expectations for this historically strong seasonal period. Revenues increased 22% to $12.7 million compared with the prior year period, which included partially combined results.
“Revenue improvements were wholly attributable to our Americas market segment, while our EMEA market segment continued to feel the effects of weak European economies. The Company continues to drive an aggressive product and market development plan for fiscal 2016. As previously stated, Vicon management continues to strengthen relationships in its key sales channels, align its product offerings to better serve its markets and focus on growing new market segments.”
Mr. Fullerton concluded, “While we are pleased to close out fiscal 2015 with much improved operating results, we need to maintain our focus on ongoing market challenges and execution of key strategic initiatives.”
Fourth Quarter Fiscal 2015 Financial Results
The financial results for the fourth quarter of fiscal 2015 include the results of operations for IQinVision, Inc. for the full quarter as compared with only the post-acquisition period (August 29, 2014 to September 30, 2015) in the prior year quarter.
Revenues for the fourth quarter of fiscal 2015 increased 22% to $12.7 million as compared to $10.5 million in the fourth quarter of fiscal 2014. The $2.3 million increase in current quarter included a $2.6 million, or 32%, increase in sales in the Americas market and a $320,000, or 13%, decline in EMEA market sales. The addition of the IQinVision camera brands were a major contributor to the Americas revenues gains, while the EMEA market segment continued to be impacted by planned cost restructuring initiatives. Order intake for the current quarter increased $1.2 million to $11.0 million as compared to $9.8 million in the fourth quarter of fiscal 2014.
Gross profit margins for the fourth quarter of fiscal 2015 increased to 41.5% as compared to 30.4% in the fourth quarter of fiscal 2014. The prior year quarter included certain non-recurring inventory charges aggregating $593,000 or 5.7%. Excluding these impacts, current quarter margins improved by 5.4% due in part to contributions from the Company’s proprietary IQeye branded camera line.
Operating expenses for the fourth quarter of fiscal 2015 decreased $486,000 to $5.8 million compared to $6.2 million in the fourth quarter of fiscal 2014. The prior year quarter included $483,000 of merger related costs, $520,000 of severance charges relating to terminated employees and $300,000 of patent litigation expense. The periods presented are not otherwise comparative as the prior year quarter only included IQinVision post-acquisition expenses for the period of August 29, 2014 to September 30, 2014.
The following information was filed by Vicon Industries Inc (VII) on Monday, December 14, 2015 as an 8K 2.02 statement, which is an earnings press release pertaining to results of operations and financial condition. It may be helpful to assess the quality of management by comparing the information in the press release to the information in the accompanying 10-K Annual Report statement of earnings and operation as management may choose to highlight particular information in the press release.