Intrusion Inc. (INTZ) announced that it has secured a $2 million contract with the U.S. Department of Defense (DoD) to fortify its cybersecurity measures. Over the next 12 months, the company will collaborate closely with DoD staff and commercial partners to achieve top-tier security and operational efficiency standards. As part of this new contract, the company will create a customized solution that combines Intrusion's products and intellectual property — specifically Intrusion Shield and TraceCop — with ...

For Immediate Release Chicago, IL – September 20, 2024 – Today, Zacks Equity Research discusses Cisco (CSCO) , NetScout Systems (NTCT) and Intrusion Inc (INTZ) . Industry: Computer Networking Link: https://www.zacks.com/commentary/2338556/keep-an-eye-on-these-3-networking-stocks-from-athriving-industry Increasing focus on cloud computing, network security, big data and cloud storage is expected to boost the Zacks Computer - Networking industry participants' performance amid the rapid proliferation of AI tec ...

Financial Data and Key Metrics Changes - Total revenue for Q2 2024 was $1.5 million, representing a sequential increase of 29% [10][11] - Consulting revenue totaled $1.2 million, an increase of $0.5 million sequentially and $0.1 million year-over-year [13] - Shield revenue for Q2 2024 was $0.3 million, down $0.1 million sequentially and year-over-year [14] - Gross profit margin was 76% for Q2 2024, compared to 80% in Q1 2024 and 78% in Q2 2023 [15] - Operating expenses totaled $3.1 million, a decrease of $0.2 million sequentially and $0.9 million year-over-year [16] - Net loss from operating activities was $2 million, an 18% improvement over Q1 2024 and a 30% improvement year-over-year [17] - Cash and cash equivalents were $1.5 million as of June 30, 2024 [18] Business Line Data and Key Metrics Changes - The company signed five new logos in Q2 2024, bringing the total to 14 year-to-date [5] - The recent government contracts contributed positively to both Shield and consulting revenue [6][11] - Consulting revenue growth was driven by the approval of the federal budget, allowing new contract awards [13] Market Data and Key Metrics Changes - Strong momentum was observed in the Philippines, with multiple contracts signed, including for national election cybersecurity [7] - The company opened a wholly-owned subsidiary in the Philippines to better serve its expanding customer base [7] Company Strategy and Development Direction - The company is focusing on positioning itself for growth after overcoming previous challenges [4] - The go-to-market strategy includes selling products through managed service providers and traditional reseller channels, with positive growth reported [8] - The company is investing in product development to enhance capabilities and address emerging cybersecurity challenges [9] Management's Comments on Operating Environment and Future Outlook - Management expressed optimism about the early stages of growth and the potential for improved financial results in the coming quarters [4][20] - The company is confident in its pipeline for new logos and current contract expansions, anticipating a ramp in revenue [20] Other Important Information - The company successfully closed a private offering in April, resulting in net proceeds of $2.6 million [12] - A Standby Equity Purchase Agreement (SEPA) was entered into with Streeterville Capital to sell $10 million of common stock, pending shareholder approval [13][19] Q&A Session Summary Question: Where is the strength in the pipeline and any low-hanging fruit for Shield? - Management noted ongoing investments in new capabilities and identified new opportunities in both government and other sectors [22][23] Question: Date for the annual meeting and capital utilization from the potential Streeterville capital raise? - The annual meeting is scheduled for August 27, and proceeds will be used for general corporate purposes and product development [24][25] Question: Comfort level with operating expenses and potential for better operating leverage? - Management expressed comfort with current operating expenses and the potential for leveraging them as revenue grows [26] Question: How many of the new logos are in the Philippines? - Approximately half of the new logos are in the Philippines, with three contracts announced in the region [28] Question: Revenue ramp from contracts in the Philippines? - Revenue from the election contract is expected to begin in Q3 [29] Question: Metrics for significant government contracts? - Management indicated that recurring revenue is the key metric for Shield, with consulting contracts acting similarly to recurring revenue [31] Question: Lengthening of sales cycles? - Sales cycles have lengthened due to the complexity of the cybersecurity space, not necessarily due to competition or the economy [34][35]

Intrusion Inc. (INTZ) came out with a quarterly loss of $0.53 per share versus the Zacks Consensus Estimate of a loss of $0.72. This compares to loss of $3 per share a year ago. These figures are adjusted for non-recurring items. This quarterly report represents an earnings surprise of 26.39%. A quarter ago, it was expected that this company would post a loss of $1.39 per share when it actually produced a loss of $0.94, delivering a surprise of 32.37%. Over the last four quarters, the company has surpassed ...

Company Performance - Intrusion Inc. is projected to report earnings per share (EPS) of -$0.72, reflecting a 76% increase from the same quarter last year [3] - The latest consensus estimate for revenue is $1.25 million, which is a decrease of 14.97% from the prior-year quarter [3] - For the full year, the Zacks Consensus Estimates project earnings of -$2.72 per share and revenue of $6.1 million, indicating changes of -377.19% and +8.72%, respectively, from the preceding year [10] Stock Performance - Shares of Intrusion Inc. gained 9.09% over the past month, outperforming the Computer and Technology sector's gain of 0.47% and the S&P 500's gain of 1.96% during the same period [6] - The stock closed at $1.34, moving up by 1.14% from the previous trading session, while the S&P 500, Dow, and Nasdaq experienced slight losses [9] Industry Context - The Computer - Networking industry is part of the Computer and Technology sector and currently holds a Zacks Industry Rank of 199, placing it within the bottom 22% of over 250 industries [2] - The Zacks Rank system indicates that the top 50% rated industries outperform the bottom half by a factor of 2 to 1 [7]

Prior to today's trading, shares of the company had gained 5.74% over the past month. This has outpaced the Computer and Technology sector's gain of 1.25% and the S&P 500's gain of 4.43% in that time. It is also important to note the recent changes to analyst estimates for Intrusion Inc. Such recent modifications usually signify the changing landscape of near-term business trends. Hence, positive alterations in estimates signify analyst optimism regarding the company's business and profitability. The Comput ...

Intrusion Inc. (INTZ) closed the most recent trading day at $1.10, moving -0.45% from the previous trading session. The stock trailed the S&P 500, which registered a daily loss of 0.41%. Elsewhere, the Dow saw a downswing of 0.12%, while the tech-heavy Nasdaq depreciated by 0.71%. The the stock of company has fallen by 28.71% in the past month, lagging the Computer and Technology sector's gain of 6.52% and the S&P 500's gain of 3.53%. Market participants will be closely following the financial results of In ...

SEC Charges Intercontinental Exchange and Nine Affiliates Including the New York Stock Exchange with Failing to Inform the Commission of a Cyber Intrusion The SEC's investigation was conducted by Benjamin D. Brutlag and Lory C. Stone under the supervision of Melissa Hodgman and Carolyn M. Welshhans. The team was assisted by Heidi Pilpel and David Liu of the SEC's Division of Trading and Markets and by the Technology Controls Program of the SEC's Division of Examinations. According to the SEC's order, in Apr ...

Revenue and Profitability - Revenue for the three-month period ended March 31, 2024, was $1.1 million, a decrease of 13.6% compared to $1.3 million for the same period in 2023[82] - Gross profit was $0.9 million, representing 80.0% of revenues for the quarter ended March 31, 2024, compared to $1.0 million or 76.1% of revenues for the same period in 2023[84] - Net loss for the quarter ended March 31, 2024, was $1.7 million, a significant improvement of 63.8% compared to a net loss of $4.7 million for the same period in 2023[82] - The company reported a net loss of $1.7 million for the quarter ended March 31, 2024, compared to a net loss of $4.7 million in the same quarter of 2023[102] Operating Expenses - Operating expenses totaled $3.4 million for the quarter ended March 31, 2024, a 33.0% decrease from $5.0 million for the same period in 2023[85] - Research and development expenses decreased to $1.0 million for the quarter ended March 31, 2024, down from $1.8 million in the same period in 2023[88] Cash Flow and Liquidity - Cash and cash equivalents as of March 31, 2024, were $0.1 million, with a working capital deficit of $(4.7) million[93] - The company raised $5.7 million in net proceeds through common stock issuance after March 31, 2024, improving liquidity[81] - Net cash used in operating activities for the quarter ended March 31, 2024, was $1.1 million, an improvement from $2.3 million in the same period of 2023[101] - The company’s cash and cash equivalents decreased by $17 thousand during the quarter, a significant improvement from a decrease of $2.6 million in the same period of 2023[101] Financing Activities - Net cash provided by financing activities for the three months ended March 31, 2024, was $1.5 million, a significant increase from $0.0 million in the same period of 2023, driven by proceeds from note issuances and public offerings[105] - The company made $200 thousand in principal payments on a note during the March 2024 quarter, reducing the outstanding balance to $0.9 million[97] - A second note payable of $343 thousand was purchased by the CEO, with a principal reduction of $101 thousand reflecting the exercise of stock purchase warrants[98] - The total outstanding balance of $1.1 million for both notes was converted into common stock and warrants on April 19, 2024[99] Sales and Market Performance - INTRUSION Shield revenues were $0.4 million for the three-month period ended March 31, 2024, compared to $0.3 million for the same period in 2023, indicating growth in sales[82] - Sales to U.S. government entities accounted for 58.6% of total revenues for the quarter ended March 31, 2024, compared to 48.4% for the same period in 2023[83] Accounting and Estimates - The company continues to evaluate its critical accounting policies and estimates, with no significant changes reported since the last annual filing[107] - Changes in working capital contributed to the reduction in net cash used in operations, primarily through reductions in prepaid expenses[102]

Recent Financial & Business Highlights: First Quarter Financial Results Revenue for the first quarter of 2024 was $1.1 million, a decrease of $0.2 million on both a sequential and year-over-year basis. The decline in revenue during the first quarter of 2024 was driven by a decrease in consulting revenue that was mainly associated with the federal budget not being approved until the end of the first quarter, which hindered the timing of new contract awards. The gross profit margin was 80% for the first quart ...