Canadian National Railway Company (CNI) has entered into a five-year agreement with Duos Technologies Group (DUOT) for Artificial Intelligence or AI rail safety data. The deal makes DUOT eligible to offer a subscription-based safety data service to railcar owners and shippers using CNI's network. In a bid to augment its manual inspection processes, Canadian National has been making use of Machine Vision/AI Wayside Detection technology across its routes in Canada and the United States for five years. Through ...

```markdown [Second Quarter 2024 and Recent Operational Highlights](index=1&type=section&id=Second%20Quarter%202024%20and%20Recent%20Operational%20Highlights) Duos secured a major contract, expanded operations, diversified into new markets, and strengthened its IP, boosting its backlog - Closed a 5-year support services and data sharing agreement with a Class 1 railroad valued at **$10.9 million**, leveraging it for a subscription marketing model starting in Q3[2](index=2&type=chunk) - Formed new subsidiaries, **Duos Edge AI** and **Duos Energy Corporation**, to expand into the Edge Data Center (EDC) and power sectors[2](index=2&type=chunk)[3](index=3&type=chunk) - Received its **10th patent** for automated visual inspection of railcars, with **6 additional patents pending**[2](index=2&type=chunk) - Performed over **2.3 million** comprehensive railcar scans in Q2, covering approximately **24%** of North American freight cars[2](index=2&type=chunk) - Total revenue backlog, including near-term renewals, reached **$19.6 million**, with **$6.9 million** expected to be recognized in the remainder of 2024[3](index=3&type=chunk) [Financial Performance](index=2&type=section&id=Financial%20Performance) Total revenue declined and net losses widened, despite strong growth in recurring services and consulting revenue [Second Quarter 2024 Financial Results](index=2&type=section&id=Second%20Quarter%202024%20Financial%20Results) Q2 2024 saw a 15% revenue decrease and negative gross margin, despite 38% growth in recurring services revenue Q2 2024 vs. Q2 2023 Financial Highlights (in millions USD) | Financial Metric | Q2 2024 | Q2 2023 | Change (YoY) | | :--- | :--- | :--- | :--- | | **Total Revenues** | **$1.51M** | **$1.77M** | **-15%** | | Technology Systems Revenue | $0.27M | $0.87M | -69% | | Services & Consulting Revenue | $1.25M | $0.90M | +38% | | **Gross Margin** | **($0.22M)** | **$0.24M** | **-189%** | | **Operating Expenses** | **$3.00M** | **$3.39M** | **-11%** | | **Net Loss** | **($3.20M)** | **($2.99M)** | **+7%** | - The increase in cost of revenues was driven by **$473,069** in amortization expenses from a nonmonetary transaction for a new services and data agreement[5](index=5&type=chunk) [Six Month 2024 Financial Results](index=3&type=section&id=Six%20Month%202024%20Financial%20Results) H1 2024 saw a 42% decline in total revenue and a negative gross margin, despite a 19% increase in recurring revenues Six Months 2024 vs. 2023 Financial Highlights (in millions USD) | Financial Metric | H1 2024 | H1 2023 | Change (YoY) | | :--- | :--- | :--- | :--- | | **Total Revenues** | **$2.58M** | **$4.41M** | **-42%** | | Technology Systems Revenue | $0.53M | $2.70M | -80% | | Services & Consulting Revenue | $2.05M | $1.72M | +19% | | **Gross Margin** | **($0.12M)** | **$0.78M** | **-115%** | | **Operating Expenses** | **$5.86M** | **$6.07M** | **-4%** | | **Net Loss** | **($5.96M)** | **($5.13M)** | **+16%** | - The decrease in total revenue was primarily impacted by delays in delivering two high-speed RIPs for a passenger transit client[8](index=8&type=chunk) [Financial Outlook](index=4&type=section&id=Financial%20Outlook) Improved operating results are expected, driven by a strong $19.6 million backlog and a new subscription data model - The company's contract backlog and near-term renewals total over **$19.6 million**[11](index=11&type=chunk) - Approximately **$6.9 million** of the backlog is expected to be recognized as revenue during the remainder of 2024[11](index=11&type=chunk) - A **$10.7 million** portion of the backlog is for data access under a non-monetary exchange agreement, enabling a high-margin subscription revenue stream[11](index=11&type=chunk)[12](index=12&type=chunk) [Management Commentary](index=4&type=section&id=Management%20Commentary) Management is dissatisfied with short-term performance but focuses on long-term growth through recurring revenue and new initiatives - CEO Chuck Ferry expressed dissatisfaction with short-term financial performance but was encouraged by recurring revenue growth and the fast start of the EDC business[13](index=13&type=chunk) - Management's focus is on establishing a foundation for long-term growth through new business development, market expansion, and the subscription data offering[13](index=13&type=chunk) [Consolidated Financial Statements](index=5&type=section&id=Consolidated%20Financial%20Statements) The unaudited consolidated financial statements detail the company's financial position, performance, and cash flows [Consolidated Statements of Operations](index=5&type=section&id=CONSOLIDATED%20STATEMENTS%20OF%20OPERATIONS) The statement details net losses of $3.20M for Q2 and $5.96M for H1 2024, reflecting revenue shifts Consolidated Statements of Operations Summary (Unaudited, in millions USD, except per share data) | Metric | Three Months Ended June 30, 2024 | Six Months Ended June 30, 2024 | | :--- | :--- | :--- | | **Total Revenues** | $1.51M | $2.58M | | **Gross Margin** | ($0.21M) | ($0.12M) | | **Loss from Operations** | ($3.22M) | ($5.98M) | | **Net Loss** | **($3.20M)** | **($5.96M)** | | **Net Loss Per Share** | **($0.43)** | **($0.81)** | [Consolidated Balance Sheets](index=7&type=section&id=CONSOLIDATED%20BALANCE%20SHEETS) As of June 30, 2024, cash decreased, total assets rose due to an intangible asset, liabilities increased, and equity declined Consolidated Balance Sheet Highlights (Unaudited, in millions USD) | Metric | June 30, 2024 | December 31, 2023 | | :--- | :--- | :--- | | **Cash** | **$0.51M** | **$2.44M** | | **Total Current Assets** | $3.43M | $6.26M | | **Total Assets** | **$21.21M** | **$12.84M** | | **Total Current Liabilities** | $5.81M | $3.25M | | **Total Liabilities** | **$18.36M** | **$7.48M** | | **Total Stockholders' Equity** | **$2.85M** | **$5.37M** | [Consolidated Statements of Cash Flows](index=9&type=section&id=CONSOLIDATED%20STATEMENTS%20OF%20CASH%20FLOWS) Cash flow statements show increased cash used in operations, continued investing, and financing inflows, resulting in $0.51 million cash at period-end Consolidated Cash Flow Summary (Unaudited, For the Six Months Ended June 30, in millions USD) | Metric | 2024 | 2023 | | :--- | :--- | :--- | | **Net cash used in operating activities** | **($3.94M)** | **($1.92M)** | | **Net cash used in investing activities** | ($0.89M) | ($0.55M) | | **Net cash provided by financing activities** | $2.89M | $3.80M | | **Net (decrease) in cash** | ($1.94M) | $1.33M | | **Cash, end of period** | **$0.51M** | **$2.45M** | ```

Financial Data and Key Metrics Changes - Total revenue for Q2 2024 decreased 15% to $1.51 million compared to $1.77 million in Q2 2023, with a total revenue decrease of 42% to $2.58 million for the first half of 2024 compared to $4.41 million in the same period last year [9][15] - Recurring services and consulting revenue increased by 38% in Q2 2024, totaling more than $1.25 million, and increased by 19% to approximately $2.05 million for the first half of 2024 [9][10] - Gross margin for Q2 2024 decreased to negative $215,000, a decline of 189% compared to $241,000 in Q2 2023, with a similar trend for the first half of 2024 [12][15] Business Line Data and Key Metrics Changes - The Railcar Inspection Portal business is progressing with ongoing installation projects, including a new agreement with a Class 1 railroad customer to add subscribers to seven portals [3][21] - The Edge Data Center business, Duos Edge AI, is on schedule to install four Edge Data Centers in Texas, with expected recurring revenue starting in Q4 2024 [4][24] - The new subsidiary, Duos Energy Corporation, is focused on power provision for data centers, with a small pipeline of projects already in place [5][28] Market Data and Key Metrics Changes - The company has a contract backlog of over $19.6 million, with approximately $6.9 million expected to be recognized as revenue during the remainder of 2024 [19] - The subscription business for the Railcar Inspection Portal has already attracted two subscribers, with discussions ongoing with another 20 potential clients [21][24] Company Strategy and Development Direction - The company aims to diversify its technology business into areas with expertise and synergies to increase shareholder value [3][28] - The focus is on expanding the subscription model for the Railcar Inspection Portal and enhancing the Edge Data Center business to meet growing demand [21][26] - The company is committed to leveraging its experience in the power industry to support data centers, addressing the increasing demand for power [27][28] Management's Comments on Operating Environment and Future Outlook - Management believes the company is on the threshold of steadily improving results, with expectations for better performance in the second half of 2024 [8][30] - The company anticipates a marked improvement in revenue driven by ongoing projects with Amtrak and new Edge Data Centers [30][31] - Management is optimistic about the transition into new markets and the growth of recurring revenue initiatives [20][29] Other Important Information - The company has implemented expense reduction measures, resulting in an 11% decrease in operating expenses for Q2 2024 [13][14] - Cash and cash equivalents decreased to approximately $0.5 million as of June 30, 2024, compared to $2.44 million at the end of 2023 [17][18] Q&A Session Summary Question: What are the key revenue drivers for the second half of the year? - Management highlighted revenue from the ongoing Amtrak installation, a large contract with a chemical producer, and new Edge Data Centers as key drivers [30][31] Question: Is the $1 million of ARR for Edge Data Centers based on full capacity? - Yes, the expectation is that the Edge Data Centers will be filled to capacity, generating the projected ARR [32] Question: What are the targeted gross and operating margins for the subscription business? - Gross margins for the subscription business are expected to be at least 70%, potentially increasing to 90% over time [36][37] Question: What is the difference in sales cycles between the railroad and data center businesses? - The sales cycle for rail CapEx deals typically takes 12 to 24 months, while subscription deals take about four to eight months [43][44]

Duos Technologies Group, Inc. (DUOT) came out with a quarterly loss of $0.43 per share versus the Zacks Consensus Estimate of a loss of $0.31. This compares to loss of $0.42 per share a year ago. These figures are adjusted for non-recurring items. This quarterly report represents an earnings surprise of -38.71%. A quarter ago, it was expected that this company would post a loss of $0.43 per share when it actually produced a loss of $0.38, delivering a surprise of 11.63%. Over the last four quarters, the com ...

UNITED STATES SECURITIES AND EXCHANGE COMMISSION WASHINGTON, D.C. 20549 FORM 10-Q ☒QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the quarterly period ended June 30, 2024 OR ☐TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the transition period from ________________ to ________________ Commission file number 000-55497 Duos Technologies Group, Inc. (Exact name of registrant as specified in its charter) Florida 65-049321 ...

JACKSONVILLE, Fla., Aug. 13, 2024 (GLOBE NEWSWIRE) -- Duos Technologies Group, Inc. ("Duos" or the "Company") (Nasdaq: DUOT), reported financial results for the second quarter ("Q2 2024") ended June 30, 2024. Second Quarter 2024 and Recent Operational Highlights Closed initial 5-Year support services and data sharing agreement with Class 1 railroad valued at $10.9 million. The agreement provides full data availability for 7 existing client portals. Additionally, we now have data available from an eighth por ...

JACKSONVILLE, Fla., July 30, 2024 (GLOBE NEWSWIRE) -- Duos Technologies Group, Inc. ("Duos" or the "Company") (NASDAQ:DUOT) will hold a conference call on Tuesday, August 13, 2024 at 4:30 p.m. Eastern time to discuss its financial results for the second quarter ended June 30, 2024. Financial results will be issued via press release prior to the call. Duos management will host the conference call, followed by a question-and-answer period. 4:30 p.m. Eastern time (1:30 p.m. Pacific time) Confirmation: 13747856 ...

Beyond TV and streaming services, the new 'Duo-licious' campaign will run across several digital and social platforms, including a Snapchat lens in which the duo serenades users in "flavor harmony" as well as TikTok creator content. About Hormel Foods — Inspired People. Inspired Food.™ Hormel Foods Corporation (NYSE: HRL), based in Austin, Minnesota, is a global branded food company with over $12 billion in annual revenue across more than 80 countries worldwide. Its brands include Planters®, Skippy®, SPAM®, ...

With over 30 years of experience in telecommunications and data centers, Mr. Recker will now lead the subsidiary's initiatives to provide EDCs to remote districts, including schools and health facilities. This venture will leverage Duos' expertise in AI processing to drive innovation and efficiency across various sectors. During a recent press conference, Mr. Recker highlighted the significant opportunities for Duos in delivering highspeed connectivity and compute power to underserved areas, emphasizing the ...

The interview is expected to provide a window into the exciting developments at Duos Technologies and their impact on economic growth and development for Jacksonville and Florida as a whole. Specifically, during this episode, CEO Chuck Ferry is expected to highlight Duos' strategic initiatives and planned business expansion. Key among these is a strategic partnership with a Class 1 railroad to implement Duos' subscription-based railcar inspection system. About Duos Technologies Group, Inc. This news release ...