INTRUSION Reports First Quarter 2021 Results

Plano, Texas, UNITED STATES


PLANO, Texas, May 04, 2021 (GLOBE NEWSWIRE) -- INTRUSION, Inc. (NASDAQ: INTZ), a leading provider of cyberattack prevention solutions including zero-days, announced today financial results for the first quarter ended March 31, 2021.

“First quarter revenue grew quarter-over-quarter and year-over-year,” said Jack Blount, President and CEO of INTRUSION. “We continue to make excellent progress with the rollout of INTRUSION Shield in terms of new customers and adding channel partners. As is typical for newly launched SaaS products, it will take time for INTRUSION Shield to materially contribute to our quarterly results. We remain very encouraged by the exceptional feedback we’ve received from existing customers and the increasing interest from potential customers. We’re gaining strong momentum in our opportunity pipeline both in the U.S. as well as with our new international resellers.”

Blount continued, “A factor in our growth was our government business. We see activity in Washington progressing toward a gradual resumption of more normal ordering patterns as the year unfolds.”

First Quarter Financial Results

Revenue for the first quarter 2021 was $1.9 million, compared to $1.6 million for the fourth quarter 2020 and $1.8 million for the first quarter 2020.

Gross profit margin expanded to 66% of revenue in the first quarter 2021, compared to 58% for the fourth quarter 2020 and 58% for the first quarter 2020.

Operating expenses in the first quarter 2021 were $5.1 million, compared to $4.8 million for the fourth quarter 2020 and $1.5 million for the first quarter 2020.

The first quarter 2021 net loss was $3.9 million, or ($0.22) per share, compared to a net loss of $3.9 million, or ($0.23) per share, for the fourth quarter 2020 and a net loss of $0.5 million, or ($0.04) per share, for the first quarter 2020.

As of March 31, 2021, cash and cash equivalents were $13.1 million and working capital was $12.3 million.

Conference Call
INTRUSION’s management will host a conference call today at 4:00 P.M., CST. Interested investors can access the live call by dialing 1-844-200-6205, or +44-208-0682-558 for international callers, and providing the following access code: 969764. For those unable to participate in the live conference call, a replay will be accessible beginning tonight at 7:00 P.M. CST until May 11, 2021 by clicking on the following link, Click Here, and entering the following access code: 898017. Additionally, a live and archived audio webcast of the conference call will be available at www.intrusion.com.

About INTRUSION, Inc.
INTRUSION, Inc. (NASDAQ: INTZ) protects any-sized company by leveraging advanced threat intelligence with real-time artificial intelligence to kill cyberattacks as they occur – including zero-days. INTRUSION’s solution families include INTRUSION Shield, an advanced cyber-defense solution that kills cyberattacks in real-time using artificial intelligence (AI) and advanced cloud threat intelligence; INTRUSION TraceCop™ for identity discovery and disclosure; and INTRUSION Savant™ for network data mining and advanced persistent threat detection. For more information, please visit www.intrusion.com.

Cautionary Statement Regarding Forward Looking Information
This release may contain certain forward-looking statements, including, without limitations, statements about the performance of protections provided by our Shield products, the effect of the recent additions to our board and executive management team, the anticipated recovery of our governmental customers and an expanded need for them and an increasing customer base to address cybersecurity risks, leading to expected growth in our sales performance for this year, as well as any other statements which reflect management's expectations regarding future events and operating performance. These forward-looking statements speak only as of the date hereof and involve a number of risks and uncertainties, including, the risk that the Company does not benefit as anticipated from sales of our current solutions, including the INTRUSION Shield solution, the performance of our expanded management team, and that customers will address and mitigate their perceived cybersecurity risks through the purchase of our products and solutions. These statements are made under the "safe harbor" provisions of the Private Securities Litigation Reform Act of 1995 and involve risks and uncertainties which could cause actual results to differ materially from those in the forward-looking statements, including, risks that we have detailed in the Company's most recent reports on Form 10-K and Form 10-Q, particularly under the heading “Risk Factors.”

Investor Relations Contact
Joel Achramowicz
sheltonir@sheltongroup.com 
P: (415) 845-9964


INTRUSION INC. AND SUBSIDIARIES
UNAUDITED CONDENSED CONSOLIDATED BALANCE SHEETS
(In thousands except par value amounts)


 March 31,  December 31, 
 2021  2020 
ASSETS      
Current Assets      
Cash and cash equivalents$13,072  $16,704 
Accounts receivable1,305   1,233 
Prepaid expenses700   370 
Total current assets15,077   18,307 
       
Noncurrent Assets      
Property and equipment, net592   466 
Finance leases right-of-use assets, net11   20 
Operating leases right-of-use assets, net979   1,010 
Other assets163   79 
Total noncurrent assets1,745   1,575 
TOTAL ASSETS$16,822  $19,882 
        
LIABILITIES AND STOCKHOLDERS’ EQUITY       
Current Liabilities       
Accounts payable and accrued expenses$1,563  $1,036 
PPP loan payable, current portion 428   421 
Finance leases liability, current portion 11   21 
Operating leases liability, current portion 598   487 
Deferred revenue 146   177 
Total current liabilities 2,746   2,142 
        
Noncurrent Liabilities       
PPP loan payable, noncurrent portion 207   212 
Operating leases liability, noncurrent portion 1,746   1,867 
Total noncurrent liabilities 1,953   2,079 
        
Stockholders' Equity:       
Common stock, $0.01 par value:       
Authorized shares – 80,000       
Issued shares – 17,625 in 2021 and 17,428 in 2020       
Outstanding shares – 17,615 in 2021 and 17,418 in 2020 176   174 
Common stock held in treasury, at cost – 10 shares (362)  (362)
Additional paid-in capital 77,550   77,187 
Accumulated deficit (65,198)  (61,295)
Accumulated other comprehensive loss (43)  (43)
Total stockholders' equity 12,123   15,661 
TOTAL LIABILITIES AND STOCKHOLDERS’ EQUITY$16,822  $19,882 


INTRUSION INC. AND SUBSIDIARIES
UNAUDITED CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS
(In thousands except per share amounts)

 Quarter ended  Quarter ended 
 March 31,  March 31, 
 2021  2020 
      
Revenue$1,852  $1,795 
Cost of revenue625  747 
      
Gross profit1,227  1,048 
      
Operating expenses:     
Sales and marketing2,689  510 
Research and development1,469  753 
General and administrative973  256 
      
Operating loss(3,904) (471)
      
Interest expense(2) (1)
Interest income3  7 
      
Net loss(3,903) (465)
      
Preferred stock dividends accrued  (33)
Net loss attributable to common stockholders$(3,903) $(498)
      
Net loss per share attributable to common stockholders:     
Basic$(0.22) $(0.04)
Diluted$(0.22) $(0.04)
Weighted average shares outstanding:     
Basic17,541  13,703 
Diluted17,541  13,703