SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
Pursuant to Section 13 or 15(d) of the Securities Exchange Act of 1934
Date of Report (Date of earliest event Reported): May 3, 2019
Intelligent Systems Corporation
(Exact Name of Registrant as Specified in Charter)
|(State or Other Jurisdiction of Incorporation)||(Commission File Number)||(I.R.S. Employer Identification Number)|
|4355 Shackleford Road, Norcross, Georgia 30093|
|(Address of Principal Executive Offices) (Zip Code)|
(Registrant's telephone number, including area code)
(Former name or former address, if changed since last report)
|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))|
Indicate by check mark whether the registrant is an emerging growth company as defined in Rule 405 of the Securities Act of 1933 (17 CFR §230.405) or Rule 12b-2 of the Securities Exchange Act of 1934 (17 CFR §240.12b-2). 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 May 3, 2019, the Registrant issued a press release, a copy of which is attached hereto as Exhibit 99.1 and is incorporated herein by reference.
Item 9.01. Financial Statements and Exhibits.
Exhibit 99.1. Press release dated May 3, 2019
Exhibit 99.1. Press release dated May 3, 2019
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.
|Intelligent Systems Corporation|
|Date: May 3, 2019||By:||/s/ Matthew A. White|
|Matthew A. White|
Intelligent Systems Reports First Quarter 2019 Results
NORCROSS, Ga., May 03, 2019 (GLOBE NEWSWIRE) -- Intelligent Systems Corporation [NYSE American: INS; www.intelsys.com] announced today its financial results for the quarter ended March 31, 2019.
“We re-affirm our previously reported preliminary first quarter 2019 revenues of about $7 million (actual $6,966,000) and preliminary income from operations of $2.5 to $2.7 million (actual $2,605,000) representing significant growth from the same period last year and a good increase from the fourth quarter of 2018. This is significantly higher than the first quarter of 2018 for both revenue and operating profit affirming the progress we made during the last year.”
“The quarter was a good start to what we believe will be a very good year for the company as we continue toward our path of becoming a world class processor. In addition to our ongoing and growing repeating revenues, we will probably see a nice uptick in license revenue at some point in the year,” commented Leland Strange, CEO of Intelligent Systems.
Financial Highlights for the First Quarter of 2019
Total revenues of $6,966,000 in the three month period represented growth of 72 percent compared to the same period in 2018.
In the following table, revenue is disaggregated by type of revenue for the three months ended March 31, 2019 and 2018:
|Three months ended March 31, (in thousands)||2019||2018|
|Processing and maintenance||1,811||1,624|
Income from operations was $2,605,000 for the quarter compared to income from operations of $821,000 in the comparable prior year quarter.
Net income was $2,072,000 for the quarter compared to net income of $893,000 in the comparable prior year quarter.
Earnings per diluted share was $0.23 for the quarter ended March 31, 2019.
Investor Conference Call Today
The company is holding an investor conference call today, May 3, 2019, at 11 A.M. Eastern Standard Time. Interested investors are invited to attend the conference call by dialing (855) 766-6518 and entering conference ID 3097508. A transcript of the call will be posted on the company’s website at www.intelsys.com as soon as available after the call.
The company will file its Form 10-Q for the period ended March 31, 2019 with the Securities and Exchange Commission today, May 3, 2019. For additional information about reported results, investors will be able to access the Form 10-Q on the company’s website at www.intelsys.com or on the SEC site, www.sec.gov.
About Intelligent Systems Corporation
For over thirty-five years, Intelligent Systems Corporation [NYSE American: INS] has identified, created, operated and grown technology companies. The company’s principal operations are CoreCard Software, Inc. (www.corecard.com) and its affiliate companies. CoreCard designs, develops, and markets a comprehensive suite of software solutions to corporations, financial institutions, retailers and processors to manage their credit and debit cards, prepaid cards, private label cards, fleet cards, loyalty programs, and accounts receivable and small loan transactions. CoreCard also offers prepaid and credit card processing services using its proprietary software solutions. CoreCard's flexible and proven processing platform has recently been deployed in many countries in addition to the United States including Australia, Canada, China, the United Arab Emirates, France, Italy, Mexico, New Zealand, Singapore, South Africa and the United Kingdom. Further information is available on the company’s website at www.intelsys.com or by calling the company at 770-381-2900.
In addition to historical information, this news release may contain forward-looking statements relating to Intelligent Systems Corporation and its subsidiary and affiliated companies. These statements include all statements that are not statements of historical fact regarding the intent, belief or expectations of Intelligent Systems Corporation and its management with respect to, among other things, results of operations, product plans, and financial condition. The words "may," "will," "anticipate," "believe," "intend," "expect," "estimate," "plan," "strategy" and similar expressions are intended to identify forward-looking statements. Prospective investors are cautioned that any such forward-looking statements are not guarantees of future performance and involve risks and uncertainties and that actual results may differ materially from those contemplated by such forward-looking statements. The company does not undertake to update or revise any forward-looking statements whether as a result of new developments or otherwise, except as required by law. Among the factors that could cause actual results to differ materially from those indicated by such forward-looking statements are instability in the financial markets, delays in product development, undetected software errors, competitive pressures, changes in customers’ requirements or financial condition, market acceptance of products and services, the impact of new or changes in current laws, regulations or other industry standards, risks relating to unauthorized access to confidential information due to criminal conduct, attacks by hackers, employee or insider malfeasance and/or human error and declines in general economic and financial market conditions, particularly those that cause businesses to delay or cancel purchase decisions.
CONSOLIDATED STATEMENTS OF OPERATIONS
(unaudited, in thousands, except share and per share amounts)
|Three Months Ended March 31,|
|Total net revenue||6,966||4,058|
|Cost of revenue|
|Total cost of revenue||2,534||1,743|
|General and administrative||594||473|
|Research and development||1,195||953|
|Income from operations||2,605||821|
|Income before income taxes||2,731||893|
|Earnings per share attributable to Intelligent Systems Corporation:|
|Basic weighted average common shares outstanding||8,841,321||8,777,988|
|Diluted weighted average common shares outstanding||8,990,438||8,912,130|
CONSOLIDATED BALANCE SHEETS
|As of||March 31, 2019||December 31, 2018|
|Accounts receivable, net||3,689||3,731|
|Notes and interest receivable, current portion||‒||581|
|Other current assets||1,092||1,202|
|Total current assets||27,231||24,782|
|Notes and interest receivable, net of current portion||2,861||1,745|
|Property and equipment, at cost less accumulated depreciation||1,445||1,513|
|Other long-term assets||1,637||504|
|LIABILITIES AND STOCKHOLDERS’ EQUITY|
|Deferred revenue, current portion||905||781|
|Income tax payable||943||284|
|Other current liabilities||1,582||719|
|Total current liabilities||5,114||3,272|
|Deferred revenue, net of current portion||74||111|
|Long-term lease obligation||670||‒|
|Total noncurrent liabilities||744||111|
|Intelligent Systems Corporation stockholders’ equity:|
|Common stock, $0.01 par value, 20,000,000 shares authorized, 8,850,988|
|and 8,817,988 issued and outstanding at March 31, 2019 and|
|December 31, 2018, respectively||89||88|
|Additional paid-in capital||15,133||15,050|
|Accumulated other comprehensive loss||(93)||(92)|
|Total Intelligent Systems Corporation stockholders’ equity||28,076||25,921|
|Total liabilities and stockholders’ equity||$33,934||$29,304|
For further information, call
Matt White, 770-564-5504
or email to email@example.com