Intelligent Protection Management (NASDAQ:IPM) Issues Quarterly Earnings Results, Misses Estimates By $0.08 EPS

Intelligent Protection Management (NASDAQ:IPM) announced its quarterly earnings results on Tuesday. The company reported ($0.06) earnings per share for the quarter, missing the consensus estimate of $0.02 by ($0.08), FiscalAI reports. The business had revenue of $10.95 million during the quarter. Intelligent Protection Management had a negative net margin of 14.80% and a negative return on equity of 21.13%.

Here are the key takeaways from Intelligent Protection Management’s conference call:

• Revenue rose 75.5% to $10.95 million in the third quarter, driven largely by a 271% increase in procurement revenue, including sales of AI-related equipment and fulfillment of a significant customer order.
• Procurement generally carries lower gross margins, so profitability did not increase in line with revenue. The company still reported a $779,000 net loss, although its operating loss narrowed and Adjusted EBITDA turned positive at $159,000.
• Core managed services revenue from non-affiliated customers grew 33%, while operating cash flow was $5.6 million and quarter-end cash was $12.5 million with no long-term debt. Management said it aims to achieve positive Adjusted EBITDA in the fourth quarter.
• IPM signed an agreement to acquire AdTech IT, a recurring-revenue managed services business, in a two-step closing process. Management expects the deal to expand customer reach and create cross-selling opportunities, while noting that growth depends on completing the transaction and executing successfully.

Intelligent Protection Management Stock Performance

Intelligent Protection Management stock traded down $0.05 during mid-day trading on Tuesday, reaching $1.64. The company’s stock had a trading volume of 26,209 shares, compared to its average volume of 46,871. The company has a market capitalization of $14.83 million, a P/E ratio of -5.86 and a beta of 1.75. The firm’s fifty day moving average price is $1.77 and its two-hundred day moving average price is $1.78. Intelligent Protection Management has a 12-month low of $1.37 and a 12-month high of $2.19.

Analyst Upgrades and Downgrades

Several analysts have recently commented on the company. Zacks Research raised Intelligent Protection Management to a “hold” rating in a research note on Thursday, August 13th. Weiss Ratings reaffirmed a “sell (d-)” rating on shares of Intelligent Protection Management in a report on Friday, October 2nd. One investment analyst has rated the stock with a Hold rating and one has issued a Sell rating to the company. According to data from MarketBeat.com, the company currently has an average rating of “Reduce”.

Intelligent Protection Management Company Profile

Intelligent Protection Management Corp. engages in the development of communications software to enhance security and privacy solutions for multimedia communication and data transmission. Its solutions include blockchain strategy consulting, blockchain implementation, white label video solutions, and technology licensing. The firm’s product portfolio includes Paltalk and Camfrog. The company was founded by Clifford Lerner and Darrell Lerner on July 19, 2005 and is headquartered in Jericho, NY.