Welcome!

Containers Expo Blog Authors: APM Blog, Liz McMillan, Pat Romanski, XebiaLabs Blog, Lori MacVittie

News Feed Item

DATATRAK International, Inc. Reports Third Quarter 2012 Results

59% Increase in Backlog - 21% Increase in Revenue - Highest Cash Balance in Four Years

CLEVELAND, Nov. 12, 2012  /PRNewswire/ -- DATATRAK International, Inc. (OTCQX: DATA), a leader in developing cloud-based, unified eClinical™ technologies and delivering related services for the clinical trials industry, today announced its operating results for the third quarter of 2012.

"DATATRAK's robust third quarter performance demonstrates the realization of the strategic investments we continue to make.  We believe our results indicate that the industry is beginning to embrace the benefits of our DATATRAK ONE™ unified platform," stated Laurence P. Birch, DATATRAK's Chairman of the Board and CEO.  "As the cost for new drug development is ever increasing, we believe DATATRAK offers what others cannot – a true Total Cost of Ownership advantage.  In our opinion, our competitors mask their high pricing and inefficiencies by emphasizing paper to EDC efficiencies.  The sophisticated simplicity of our cloud-based unified platform drives down total trial costs, while also offering a lower cost solution.  DATATRAK is a global company, transforming the drug development process with global solutions – from Concept to Cure®."

Highlights for the third quarter of 2012 include:

  • Revenues for the third quarter of 2012 increased 21% over the comparable period for 2011
  • Gross Profit Margin remained stable at 84%
  • Backlog at the end of the quarter totaled approximately $18.3 million – a 59% increase over backlog at December 31, 2011 and the highest balance in 7 years
  • Cash balance at quarter end of $2.6M is the highest balance since 2008
  • Solid new contract sales results:
    • New contract sales year-to-date for 2012 outpaced 2011 and 2010 new contract sales by 57% and 99%, respectively
    • In Q3, recognizing the benefits of a unified cloud Technology, 88% of all new clients purchased multiple products within the DATATRAK ONE™ Platform
  • Expanded diversity of client base utilizing benefits of DATATRAK's Unified Cloud-based Clinical Research Platform
    • Bellicum Pharmaceuticals awarded DATATRAK a multi-million dollar, five-year technology agreement.  Bellicum uses Chemical Induction of Dimerization technology to treat human disease.

In other news, the Company announced that its Board of Directors appointed Ms. Jennifer Mabe Fox as Chief Financial Officer. Ms. Mabe Fox has been serving as the VP of Finance and Quality at DATATRAK since August 2011, and will continue to lead the Company's finance, quality and investor relations functions in her new role.

"Jennifer is very talented and has made valuable contributions to our Company," said Mr. Birch. "Her promotion is well deserved."

Ms. Mabe Fox has 17 years accounting and finance experience with 14 years industry experience. Ms. Mabe Fox was previously the CFO and VP of Finance and Quality Control for ClickFind, which was acquired by DATATRAK in 2006. Ms. Mabe Fox earned a Bachelor of Science degree in Economics and a Master of Science degree in Accounting from Texas A&M University. She is also a Certified Public Accountant and a Chartered Global Management Accountant.

Financial Highlights:
Driven by the continued improvement in backlog and new contract sales, revenue for the third quarter of 2012 increased 21% to $2.5 million compared to $2.1 million in the third quarter of 2011.  The gross profit margin remained stable at 84% for the three months ended September 30, 2012 and for the three months ended September 30, 2011.  The Company's loss from operations for the three months ended September 30, 2012 was $(456,000) compared to $(466,000) for the corresponding period in the prior year.  The operating results for both years reflect the Company's planned strategic expansion of the Sales, Marketing and Software Development, as well as the accrual of management incentive plan awards and sales compensation awards; whereas 2012 also reflects strategic investments in Finance, Quality Assurance, and consulting costs to complete user interface enhancements.

DATATRAK's backlog at September 30, 2012 was $18.3 million compared to a backlog of $11.6 million at December 31, 2011.  Backlog consists of future value from authorization letters to commence services, statements of work, technology and services agreements, change orders and other customer contracts, billed and unbilled.  The improvement in backlog from December 31, 2011 to September 30, 2012 was due to the increase in new contract sales.  New contract sales year-to-date for 2012 outpaced 2011 new contract sales by 57%.

About DATATRAK International, Inc.
DATATRAK International is a worldwide technology and services company delivering eClinical solutions and related services for the clinical trials industry.  DATATRAK built its multi-component, comprehensive solution on a single, unified platform and expanded this concept to include services delivery via DATATRAK's Clinical and Consulting Services™ group.  The Company delivers a complete portfolio of software products designed to accelerate the reporting of clinical research data from sites to sponsors and ultimately regulatory authorities, faster and more efficiently than loosely integrated technologies.  The DATATRAK ONE™ software solution, deployed worldwide through an ASP or Enterprise Transfer offering, supports Phase I - Phase IV drug and device studies in multiple languages throughout the world.  DATATRAK has offices located in Cleveland, Ohio; Bryan, Texas; and Cary (RTP), North Carolina. For more information, visit http://www.datatrak.net.

All contracts are subject to possible delays or cancellation or can change in scope in a positive or negative direction.  Therefore, current backlog is not necessarily indicative of the Company's future quarterly or annual revenue.  Historically, backlog has been a poor predictor of the Company's short-term revenue.

Except for the historical information contained in this press release, the statements made in this release are forward-looking statements.  These forward-looking statements are made based on management's expectations, assumptions, estimates and current beliefs concerning the operations, future results and prospects of the Company and are subject to uncertainties and factors which are difficult to predict and, in many instances, are beyond the control of the Company, and which could cause actual results to differ materially from those contemplated in these forward-looking statements.  For a list of certain factors that may cause actual results to differ materially from those contemplated in these forward looking statements, please see the Company's report filed with the OTCQX Market on August 15, 2012 announcing its results for the three-month period ending June 30, 2012. The Company undertakes no obligation to update publicly or revise any forward-looking statement whether as a result of new information, future events or otherwise.

 

DATATRAK International, Inc. and Subsidiaries
Condensed Consolidated Balance Sheet Data
(Unaudited)


September 30, 2012

December 31, 2011

Cash and investments

$2,580,502

$2,298,690

Accounts receivable, net

1,409,390

758,727

Property & equipment, net

101,866

179,320

Deferred tax assets

11,800

38,500

Other

496,553

393,073

   Total assets

$4,600,111

$3,668,310




Accounts payable and other current liabilities

$1,872,842

$1,623,714

Deferred revenue

4,642,603

3,159,247

Deferred tax liabilities

11,800

38,500

Other long-term liabilities

15,508

29,557

Shareholders'  deficit

(1,942,642)

(1,182,708)

   Total liabilities and shareholders' deficit

$4,600,111

$3,668,310




 

 

DATATRAK International, Inc. and Subsidiaries

Condensed Consolidated Statements of Operations

(Unaudited)


For the Three Months Ended September 30,


2012

2011

Revenue

$2,483,704

$2,050,688

Direct costs

405,434

337,103

   Gross profit

2,078,270

1,713,585




Selling, general and administrative expenses

2,495,148

2,140,247

Depreciation and amortization

38,910

39,131

   Loss from operations

(455,788)

(465,793)




Interest income

131

89

Interest expense

(3,572)

(3,680)

Other income

255,393

   Net loss

$ (459,229)

$  (213,991)

     Net loss per share:



          Net loss per share, basic and diluted

$       (0.03)

$        (0.01)

          Weighted-average shares outstanding, basic and diluted

15,335,329

14,527,705

 

 

DATATRAK International, Inc. and Subsidiaries

Condensed Consolidated Statements of Operations

(Unaudited)

 


For the Nine Months Ended September 30,


2012

2011




Revenue

$6,939,636

$6,071,861

Direct costs

1,206,732

1,022,297

   Gross profit

5,732,904

5,049,564




Selling, general and administrative expenses

7,045,613

5,748,863

Depreciation and amortization

116,660

118,266

   Loss from operations

(1,429,369)

(817,565)




Interest income

410

408

Interest expense

(9,218)

(10,935)

Other income

255,393










   Net loss

$(1,438,177)

$  (572,699)

     Net loss per share:



          Net loss per share, basic and



          Diluted

$        (0.10)

$       (0.04)

          Weighted-average shares outstanding

15,120,764

14,321,817





SOURCE DATATRAK International, Inc.

More Stories By PR Newswire

Copyright © 2007 PR Newswire. All rights reserved. Republication or redistribution of PRNewswire content is expressly prohibited without the prior written consent of PRNewswire. PRNewswire shall not be liable for any errors or delays in the content, or for any actions taken in reliance thereon.

@ThingsExpo Stories
SYS-CON Events announced today that Roundee / LinearHub will exhibit at the WebRTC Summit at @ThingsExpo, which will take place on November 1–3, 2016, at the Santa Clara Convention Center in Santa Clara, CA. LinearHub provides Roundee Service, a smart platform for enterprise video conferencing with enhanced features such as automatic recording and transcription service. Slack users can integrate Roundee to their team via Slack’s App Directory, and '/roundee' command lets your video conference ...
Digital transformation is too big and important for our future success to not understand the rules that apply to it. The first three rules for winning in this age of hyper-digital transformation are: Advantages in speed, analytics and operational tempos must be captured by implementing an optimized information logistics system (OILS) Real-time operational tempos (IT, people and business processes) must be achieved Businesses that can "analyze data and act and with speed" will dominate those t...
Information technology is an industry that has always experienced change, and the dramatic change sweeping across the industry today could not be truthfully described as the first time we've seen such widespread change impacting customer investments. However, the rate of the change, and the potential outcomes from today's digital transformation has the distinct potential to separate the industry into two camps: Organizations that see the change coming, embrace it, and successful leverage it; and...
There is growing need for data-driven applications and the need for digital platforms to build these apps. In his session at 19th Cloud Expo, Muddu Sudhakar, VP and GM of Security & IoT at Splunk, will cover different PaaS solutions and Big Data platforms that are available to build applications. In addition, AI and machine learning are creating new requirements that developers need in the building of next-gen apps. The next-generation digital platforms have some of the past platform needs a...
Almost two-thirds of companies either have or soon will have IoT as the backbone of their business in 2016. However, IoT is far more complex than most firms expected. How can you not get trapped in the pitfalls? In his session at @ThingsExpo, Tony Shan, a renowned visionary and thought leader, will introduce a holistic method of IoTification, which is the process of IoTifying the existing technology and business models to adopt and leverage IoT. He will drill down to the components in this fra...
SYS-CON Events announced today that Numerex Corp, a leading provider of managed enterprise solutions enabling the Internet of Things (IoT), will exhibit at the 19th International Cloud Expo | @ThingsExpo, which will take place on November 1–3, 2016, at the Santa Clara Convention Center in Santa Clara, CA. Numerex Corp. (NASDAQ:NMRX) is a leading provider of managed enterprise solutions enabling the Internet of Things (IoT). The Company's solutions produce new revenue streams or create operating...
IoT is fundamentally transforming the auto industry, turning the vehicle into a hub for connected services, including safety, infotainment and usage-based insurance. Auto manufacturers – and businesses across all verticals – have built an entire ecosystem around the Connected Car, creating new customer touch points and revenue streams. In his session at @ThingsExpo, Macario Namie, Head of IoT Strategy at Cisco Jasper, will share real-world examples of how IoT transforms the car from a static p...
I'm a lonely sensor. I spend all day telling the world how I'm feeling, but none of the other sensors seem to care. I want to be connected. I want to build relationships with other sensors to be more useful for my human. I want my human to understand that when my friends next door are too hot for a while, I'll soon be flaming. And when all my friends go outside without me, I may be left behind. Don't just log my data; use the relationship graph. In his session at @ThingsExpo, Ryan Boyd, Engi...
SYS-CON Events announced today that Pulzze Systems will exhibit at the 19th International Cloud Expo, which will take place on November 1–3, 2016, at the Santa Clara Convention Center in Santa Clara, CA. Pulzze Systems, Inc. provides infrastructure products for the Internet of Things to enable any connected device and system to carry out matched operations without programming. For more information, visit http://www.pulzzesystems.com.
If you’re responsible for an application that depends on the data or functionality of various IoT endpoints – either sensors or devices – your brand reputation depends on the security, reliability, and compliance of its many integrated parts. If your application fails to deliver the expected business results, your customers and partners won't care if that failure stems from the code you developed or from a component that you integrated. What can you do to ensure that the endpoints work as expect...
The Internet of Things can drive efficiency for airlines and airports. In their session at @ThingsExpo, Shyam Varan Nath, Principal Architect with GE, and Sudip Majumder, senior director of development at Oracle, will discuss the technical details of the connected airline baggage and related social media solutions. These IoT applications will enhance travelers' journey experience and drive efficiency for the airlines and the airports. The session will include a working demo and a technical d...
SYS-CON Events announced today that Commvault, a global leader in enterprise data protection and information management, has been named “Bronze Sponsor” of SYS-CON's 19th International Cloud Expo, which will take place on November 1–3, 2016, at the Santa Clara Convention Center in Santa Clara, CA. Commvault is a leading provider of data protection and information management solutions, helping companies worldwide activate their data to drive more value and business insight and to transform moder...
The Transparent Cloud-computing Consortium (abbreviation: T-Cloud Consortium) will conduct research activities into changes in the computing model as a result of collaboration between "device" and "cloud" and the creation of new value and markets through organic data processing High speed and high quality networks, and dramatic improvements in computer processing capabilities, have greatly changed the nature of applications and made the storing and processing of data on the network commonplace.
SYS-CON Events announced today that Bsquare has been named “Silver Sponsor” of SYS-CON's @ThingsExpo, which will take place on November 1–3, 2016, at the Santa Clara Convention Center in Santa Clara, CA. For more than two decades, Bsquare has helped its customers extract business value from a broad array of physical assets by making them intelligent, connecting them, and using the data they generate to optimize business processes.
Fact is, enterprises have significant legacy voice infrastructure that’s costly to replace with pure IP solutions. How can we bring this analog infrastructure into our shiny new cloud applications? There are proven methods to bind both legacy voice applications and traditional PSTN audio into cloud-based applications and services at a carrier scale. Some of the most successful implementations leverage WebRTC, WebSockets, SIP and other open source technologies. In his session at @ThingsExpo, Da...
The vision of a connected smart home is becoming reality with the application of integrated wireless technologies in devices and appliances. The use of standardized and TCP/IP networked wireless technologies in line-powered and battery operated sensors and controls has led to the adoption of radios in the 2.4GHz band, including Wi-Fi, BT/BLE and 802.15.4 applied ZigBee and Thread. This is driving the need for robust wireless coexistence for multiple radios to ensure throughput performance and th...
Enterprise IT has been in the era of Hybrid Cloud for some time now. But it seems most conversations about Hybrid are focused on integrating AWS, Microsoft Azure, or Google ECM into existing on-premises systems. Where is all the Private Cloud? What do technology providers need to do to make their offerings more compelling? How should enterprise IT executives and buyers define their focus, needs, and roadmap, and communicate that clearly to the providers?
SYS-CON Events announced today that SoftLayer, an IBM Company, has been named “Gold Sponsor” of SYS-CON's 18th Cloud Expo, which will take place on June 7-9, 2016, at the Javits Center in New York, New York. SoftLayer, an IBM Company, provides cloud infrastructure as a service from a growing number of data centers and network points of presence around the world. SoftLayer’s customers range from Web startups to global enterprises.
There is little doubt that Big Data solutions will have an increasing role in the Enterprise IT mainstream over time. Big Data at Cloud Expo - to be held November 1-3, 2016, at the Santa Clara Convention Center in Santa Clara, CA - has announced its Call for Papers is open. Cloud computing is being adopted in one form or another by 94% of enterprises today. Tens of billions of new devices are being connected to The Internet of Things. And Big Data is driving this bus. An exponential increase is...
Digital innovation is the next big wave of business transformation based on digital technologies of which IoT and Big Data are key components, For example: Business boundary innovation is a challenge to excavate third-party business value using IoT and BigData, like Nest Business structure innovation may propose re-building business structure from scratch, as Uber does in the taxicab industry The social model innovation is also a big challenge to the new social architecture with the design fr...