Core Viewpoint - Autoscope Technologies Corporation reported strong financial results for the fourth quarter and full year of 2024, highlighting significant increases in revenue, product sales, and operating income, despite a decrease in net income due to higher tax expenses. Fourth Quarter 2024 Financial Summary - Revenue from continuing operations was $3.3 million, up from $2.6 million in Q4 2023 [4] - Royalty revenue increased by 22% to $3.0 million, driven by strong demand for Autoscope Vision in North America [4][7] - Product sales surged by 186% to $292,000, attributed to increased sales of Wrong Way detection products and Autoscope Analytics in EMEA markets [4][7] - Gross margin improved to 95%, up from 93% in the same period last year [5] - Operating expenses decreased by 14% to $1.7 million, leading to income from operations of $1.5 million, a 222% increase from the prior year [6][7] - Net income from continuing operations was $761,000, down 32% from $1.1 million in Q4 2023 due to increased tax expenses [9] Full Year 2024 Financial Summary - Total revenue from continuing operations increased by $0.5 million to $13.6 million compared to 2023 [10] - Royalty income rose by 2% to $13.2 million, while product sales increased by 148% to $429,000 [10] - Gross margins for the year improved to 95% from 94% in 2023 [11] - Operating expenses decreased by 12% to $6.8 million, resulting in income from operations of $6.2 million, a 33% increase from the previous year [12] - Net income from continuing operations remained unchanged at $4.5 million, with net income per share slightly decreasing to $0.82 from $0.83 [14] Liquidity and Capital Resources - Cash and cash equivalents decreased to $4.4 million from $6.5 million at the end of 2023 [15] - Net cash provided by operating activities increased to $5.2 million in 2024 from $5.0 million in 2023 [15] - Net cash provided by investing activities was $2.9 million in 2024, compared to a net cash used of $2.0 million in 2023 [17] - Net cash used by financing activities increased to $10.2 million, primarily due to a special one-time dividend of $7.2 million paid in February 2024 [18] Management Commentary - The Interim CEO expressed satisfaction with the strong demand for Autoscope Vision and the successful implementation of their AI-powered platform, emphasizing a commitment to maintaining a disciplined approach to expense management [19]