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Aug 09
Love35

Track Group Reports 3rd Quarter Fiscal 2019 Financial Results

By News, Quarterly Reports

NAPERVILLE, ILLINOIS – Track Group, Inc. (OTCQX: TRCK), a global leader in offender tracking and monitoring services, today announced financial results for its third quarter ended June 30, 2019 (the “Q3 FY19”). In Q3 FY19, the Company posted (i) record revenue of $9.0M, an increase of 17% over the same period last year, (ii) record operating income of $0.6M compared to an operating loss of $0.7M for the quarter ended June 30, 2018 (“Q3 FY18”), (iii) adjusted EBITDA of $1.9M, up 67% compared to Q3 FY18, and (iv) a cash balance at June 30, 2019 of $6.9M, representing an increase of 26% over September 30, 2018 and up 21% compared to March 31, 2019 as well as the highest balance since September 2014.

“For our quarter ended June 30, 2019, I am proud that Track Group generated the highest ever quarterly revenue, gross profit, and operating income in the Company’s history,” said Derek Cassell, Track Group’s CEO. “I would like to thank our employees, customers and partners for all of their efforts in making this happen.”

Financial Highlights

  • Quarterly revenue of $9.0M in Q3 FY19, up 17% over Q3 FY18 of $7.7M. Revenue for the 9 months ended June 30, 2019 (“9M FY19”) of $25.3M was up approximately 12% compared to revenue of $22.5M for the 9 months ended June 30, 2018 (“9M FY18”).
  • Quarterly gross profit of $4.8M in Q3 FY19, up 14% over Q3 FY18 of $4.2M. Gross Profit for 9M FY19 was $13.9 million, up 10% compared to Gross Profit of $12.7 million for 9M FY18.
  • Total operating expense for Q3 FY19 of $4.2M is down 16% versus Q3 FY18’s $4.9M of operating expenses. The drop in quarterly operating expense when combined with Q3 FY19 gross profit of $4.8M led to the highest quarterly operating income in the Company’s history of $640K, which is a dramatic turnaround of 187% compared to the $738K operating loss for Q3 FY18. For 9M FY19, operating income was $306K compared to loss from operations of $1,779K for 9M FY18, representing an improvement of 117%.
  • Adjusted EBITDA in the Q3 FY19 finished at $1.9M, up 67% compared to $1.2M for Q3 FY18. Adjusted EBITDA for 9M FY19 of $5.3M, up approximately 32% vs $4.0M for 9M FY18.
  • The cash balance of $6.9M at June 30, 2019 is up 26% compared to a balance of $5.4M at September 30, 2018 and up 21% over the March 31, 2019 cash balance of $5.7M and the highest level in nearly five years.
  • The Net loss attributable to common shareholders for Q3 FY19 was $0.1M compared to a net loss of $1.9M in Q3 FY18, an improvement of approximately 96%. The net loss attributable to shareholders for the 9M FY19 was $2.1 million compared to a net loss of $4.6 million in 9M FY18 representing an improvement of approximately 55%.

FULL ARTICLE

May 10
Love38

Track Group Reports 2nd Quarter Fiscal 2019 Financial Results

By News, Quarterly Reports

NAPERVILLE, ILLINOIS, May 10, 2019 – Track Group, Inc. (OTCQX: TRCK), a global leader in offender tracking and monitoring services, today announced financial results for its second quarter ended March 31, 2019 (the “Q2 FY19”). In Q2 FY19, the Company posted (i) revenue of $8.1M, an increase of 11% over the same period last year, (ii) an operating loss of $0.3M compared to an operating loss of $0.7M for the quarter ended March 31, 2018 (“Q2 FY18”), (iii) adjusted EBITDA of $1.6M, up 28% compared to Q2 FY18, and (iv) a cash balance at March 31, 2019 of $5.7M, representing an increase of 4% over September 30, 2018 and down 3% compared to December 31, 2018.

“Track Group’s first half of Fiscal 2019 produced records in revenue, gross profit, Adjusted EBITDA and active devices,” said Derek Cassell, Track Group’s CEO. “Our hard work and focus on customer service are paying off and paving the way for a record year come September 30, 2019.”

Financial Highlights

  • Quarterly revenue of $8.1M in Q2 FY19, up 11% over Q2 FY18 of $7.3M. Revenue for the 6 months ended March 31, 2019 (“6M FY19”) of $16.3M was up approximately 10% compared to revenue of $14.8M for the 6 months ended March 31, 2018 (“6M FY18”).
  • Quarterly gross profit of $4.5M in Q2 FY19, up 12% over Q2 FY18 of $4.0M. Gross Profit for 6M FY19 was $9.1million, up 7% compared to Gross Profit of $8.5 million for 6M FY18.
  • Total operating expense for Q2 FY19 of $4.77M is up nominally versus Q2 FY18’s $4.74M of operating expenses. The small jump in quarterly operating expense when combined with Q2 FY19 gross profit of $4.5M led to a quarterly loss of only $276K, which is an improvement of 61% compared to $716K operating loss for Q2 FY18. For 6M FY19, the loss from operations was $333K compared to loss from operations of $1.041M for 6M FY18, representing an improvement of approximately 68%.
  • Adjusted EBITDA in the Q2 FY19 finished at $1.6M, up 28% compared to $1.3M for Q2 FY18. Adjusted EBITDA for 6M FY19 of $3.3M, up approximately 18% vs $2.8M for 6MFY18.
  • Cash balance of $5.7M for Q2 FY19, up 113% compared to $2.7M for Q2 FY18 and down 3% over the December 31, 2018 cash balance of $5.9M.
  • Net loss attributable to shareholders in the Q2 FY19 was$0.3M compared to a net loss of $1.7M in Q2 FY18, an improvement of approximately 85%. The net loss attributable to shareholders for the 6M FY19 was $2.0 million compared to a net loss of $2.8 million in 6M FY18 representing an improvement of approximately 28%.

FULL ARTICLE >

Feb 18
Love36

Track Group Reports 1st Quarter Fiscal 2019 Financial Results

By News, Quarterly Reports

NAPERVILLE, ILLINOIS, February 14, 2019 – Track Group, Inc. (OTCQX: TRCK), a global leader in offender tracking and monitoring services, today announced financial results for its first quarter ended December 31, 2018 (the “First Quarter FY19”). The Company posted (i) revenue of $8.2M, an increase of 10% over the same period last year, (ii) an operating loss of only $0.1M compared to an operating loss of $0.3M in First Quarter FY18, (iii) adjusted EBITDA of $1.7M, up 10% compared to First Quarter FY18, and (iv) a cash balance at December 31, 2018 of $5.9M, representing an increase of 8% over September 30, 2018.

“We’re thrilled to report a strong start to fiscal 2019 with record highs in both revenue and gross profit in the first quarter,” said Derek Cassell, Track Group’s CEO. “With continued strengthening of our smartphone-based monitoring applications and launching of new customer relationships, we’re looking forward to an even better remainder of fiscal 2019.”

Financial Highlights

  • Record quarterly revenue of $8.2M in First Quarter FY19, up 10% over First Quarter FY18 of $7.5M.
  • Record quarterly gross profit of $4.6M in First Quarter FY19, up 4% over First Quarter FY18 of $4.5M.
  • Total operating expense for the First Quarter FY19 of $4.7M is down 2% versus First Quarter FY18’s $4.8M of operating expenses. The decline in quarterly operating expense when combined with a record quarterly gross profit led to a quarterly loss of only $57K, which is an improvement compared to $268K over the First Quarter FY18.
  • Adjusted EBITDA in the First Quarter FY19 finished at $1.7M, up 10% compared to $1.6M for First Quarter FY2018.
  • Consistent quarterly Adjusted EBITDA for the last five quarters. o Q1 of FY18 or 31 Dec 2017 Adj EBITDA = $1.6M
    • Q2 of FY18 or 31 March 2018 Adj EBITDA = $1.3M
    • Q3 of FY18 or 30 June 2018 Adj EBITDA =$1.2M
    • Q4 of FY18 or 30 Sept 2018 Adj EBITDA =$1.9M
    • Q1 of FY19 or 31 Dec 2018 Adj. EBITDA = $1.7M
  • Cash balance of $5.9M for First Quarter FY19, up 234% compared to $1.8M for First Quarter FY18.
  • Net loss attributable to shareholders in the First Quarter FY2019 was ($1.7M), an increase of 66% compared to First Quarter of FY18, but better than the Second and Third Quarters of FY18.

FULL ARTICLE >

Aug 28
Love39

Departamento de Correccion y Rehabilitacion de Puerto Rico Signs New Contract with Track Group, Inc.

By News

NAPERVILLE, IL – Track Group, Inc. (OTCQX: TRCK), a global leader in providing criminal justice agencies with offender tracking and monitoring services, announced today that the Departamento de Correccion y Rehabilitacion de Puerto Rico signed a new agreement with the Company to provide GPS Tracking products and services commencing on July 9, 2018 thru June 30, 2019; renewable for two (2) additional years.

The previous agreement signed between the Departamento de Correccion y Rehabilitacion de Puerto Rico and the Company, was solely for the GPS tracking of domestic violence offenders. Under the new agreement, Track Group will continue to monitor this offender population, but will also provide GPS tracking for the pretrial and probation populations.

“Our commitment to the Departamento de Correccion y Rehabilitacion de Puerto Rico
is the same today as it was when we began our partnership over six (6) years ago,” said Derek Cassell, Track Group’s CEO. “Which is to provide them with the most effective GPS tracking technology for their specific program needs; combined with our unparalleled customer service to help ensure compliance among the offender populations.”

For more information about this contract award or any monitoring products and services offered by Track Group, contact Matt Swando at 877-260-2010.

About Track Group (trackgrp.com)
Track Group designs, manufactures, and markets location tracking devices and develops and sells a variety of related software, services, accessories, networking solutions, and monitoring applications for the criminal justice market. The Company’s products and services are designed to empower professionals in security, law enforcement, corrections and rehabilitation organizations worldwide with single-sourced offender management solutions that integrate reliable intervention technologies to support re-socialization and monitoring initiatives.

Media Contact:
Matt Swando, Track Group
877-260-2010
matthew.swando@trackgrp.com

Aug 10
Love40

Track Group Reports 3rd Quarter Fiscal 2018 Financial Results

By News, Quarterly Reports

NAPERVILLE, ILLINOIS – Track Group, Inc. (OTCQX: TRCK), a global leader in offender tracking and monitoring services, today announced financial results for its third quarter ended June 30, 2018 (the “Third Quarter”). The Company posted gross profit of $4.2M, on total revenue of $7.7M, for a gross margin of 55%. In addition, the Third Quarter adjusted EBITDA came in at $1.16M.

“We’re thrilled to report record levels of active devices during our Third Quarter,” said Derek Cassell, Track Group’s CEO. “The implementation of a number of new customer opportunities combined with the record device levels positions us well for the remainder of the calendar year.”

BUSINESS AND FINANCIAL HIGHLIGHTS

  • Revenue for the Third Quarter ($7.7M) is up approximately 4% compared to the same period last year.
  • Gross Profit for the Third Quarter increased approximately 13% from last year ($4.2M vs. $3.7M) which led to Gross Profit for the 9 months ended June 30, 2018 being up 12% compared to the prior year ($12.7M vs $11.3M). As a result, gross margin for the Third Quarter and the 9 months ended June 30, 2018 was 55% and 56%, respectively, up considerably from the gross margin of 51% for both periods last year.
  • The quarterly operating loss of ($0.7M) is among the lowest in over three years, and allowed the Company to improve the 9 months ended June 30, 2018 operating loss to ($1.8M) down by 57% compared to the same period last year ($4.1M), due to a combination of a strong Gross Profit results and lower Operating Expenses.
  • Adjusted EBITDA in the Third Quarter finished at ($1.16M), which led to Adjusted EBITDA for the 9 months ended June 30, 2018 increasing 75% ($4.0M) compared to the same period last year ($2.3M).
  • Net loss, attributable to shareholders, for the 9 months ended June 30, 2018 was ($4.6M) compared to a loss of ($3.5M) for the same period last year due to a gain on settlement of a contingent liability of $3.2M in the same period last year. Without the gain on settlement of the contingent liability in 2017, loss attributable to shareholders would have been $6.7M for the 9 months ended June 30, 2017, compared to $4.6M in 2018.
  • Net Cash Provided by Operating Activities remained strong for the 9 months ended June 30, 2018 ($5.3M) compared to the same period of fiscal year 2017 ($2.9M), or up 81%.
  • On July 19, 2018, the Company and Conrent Invest S.A. (“Conrent”) agreed to extend the maturity date to the earlier of April 1, 2019 or the date upon which the principal and interest is repaid for the Amended and Restated Unsecured Facility Agreement dated June 30, 2015 between the Company and Conrent.
  • On July 23, 2018, the Company announced the introduction of BACtrack, a mobile alcohol monitoring system that integrates a smartphone app and a law enforcement-grade, handheld breathalyzer to provide breath alcohol content.

FULL ARTICLE >

Jul 23
Love38

Track Group, Inc. Introduces Mobile Breath Alcohol Monitoring System

By News

NAPERVILLE, IL – Track Group, Inc. (OTCQX: TRCK), a global leader in providing community corrections agencies with offender tracking and monitoring services, today announced the introduction of BACtrack, a mobile alcohol monitoring system that integrates a smartphone app and a law enforcement-grade, handheld breathalyzer to provide breath alcohol content (BAC).

“We are excited to announce the newest addition to our product portfolio,” said Derek Cassell, Track Group’s CEO. “Track Group and BACtrack, Inc. have teamed up to develop a specifically designed alcohol monitoring device for criminal justice – making it an innovative solution for corrections agencies to monitor individuals in the community who are required to abstain from alcohol as a condition of parole, probation or pretrial sentencing.”

BACtrack’s features include a law enforcement-grade fuel cell, uniquely designed mouthpiece, Bluetooth connectivity, GPS location functionality, random/scheduled or manual testing options, video verification on all tests and officer email or text notifications on missed or failed tests.

The smartphone app utilized by the participant is easy-to-use and provides testing reminders and step-by-step testing instructions. Participants are required to take a photo of themselves, which is then stored in the BACtrack software system and utilized for comparison against the breath test videos. This video verification, combined with our uniquely designed mouthpiece, minimizes the risk of testing manipulation.

“The introduction of BACtrack reflects Track Group’s continued commitment to offer the latest, application-based technology to our customers and the market,” said CEO, Derek Cassell, “and also addresses the #1 problem facing agencies with regards to mobile breathalyzers – excessive device replacement costs.”

For more information about this contract award or any monitoring products and services offered by Track Group, contact Matt Swando at 877-260-2010.

About Track Group (trackgrp.com)
Track Group designs, manufactures, and markets location tracking devices and develops and sells a variety of related software, services, accessories, networking solutions, and monitoring applications for the criminal justice market. The Company’s products and services are designed to empower professionals in security, law enforcement, corrections and rehabilitation organizations worldwide with single-sourced offender management solutions that integrate reliable intervention technologies to support re-socialization and monitoring initiatives.

Media Contact:
Matt Swando, Track Group
877-260-2010
matthew.swando@trackgrp.com

May 11
Love40

Track Group Reports 2nd Quarter Fiscal 2018 Financial Results

By News, Quarterly Reports

NAPERVILLE, ILLINOIS, May 11, 2018 – Track Group, Inc. (OTCQX: TRCK), a global leader in offender tracking and monitoring services, today announced financial results for its second quarter ended March 31, 2018 (the “Second Quarter”). The Company posted gross profit of $4.0M, on total revenue of $7.3M, for a gross margin of 55%. In addition, the Second Quarter adjusted EBITDA came in at $1.3M, up 96% compared to the Second Quarter of FY2017 and total Operating Expenses were $4.7M, down 6%, both of which contributed to the second lowest operating loss ($0.7M) in over three years.

“We’re delighted to follow our fiscal year 2018 record First Quarter results with another strong Quarter” said Derek Cassell, Track Group’s CEO. “We have begun implementing a number of new customer opportunities from our pipeline and expect to see the results of our hard work in our upcoming Third and Fourth Quarters.”

Business and Financial Highlights

  • Revenue for the Second Quarter ($7.3M) is up nominally compared to the same period last year.
  • Gross Profit for the Second Quarter remained flat as compared to last year ($4.0M vs. $4.1M) which led to Gross Profit in the first half of FY2018 being up 12% compared to the prior year ($8.5M vs $7.6M).
  • Total operating expenses for the Second Quarter ($4.7M) are down 6% vs. last year ($5.1M) and has led to a 9% reduction in the first half of FY2018 Operating Expenses compared to the prior year ($9.5M vs $10.5M).
  • The quarterly operating loss of ($0.7M) is the second lowest loss in over three years and allowed the company to improve the first half FY2018 operating loss of ($1.0M) by 64% compared to the same period last year ($2.9M), due to a combination of a strong Gross Profit results and lower Operating Expenses.
  • Adjusted EBITDA in the Second Quarter finished up 96% ($1.3M) compared to last year ($0.6M) and represented the third highest Adjusted EBITDA in over 3 years. The Adjusted EBITDA for the first half of FY2018 is up 170% ($2.8M) compared to the first half of FY2017 ($1.0M).
  • Net loss, attributable to shareholders, for the Second Quarter was ($1.7M) compared to a loss of ($1.6M) for the same quarter last year due to foreign exchange movement.
  • Net Cash Provided by Operating Activities remained strong in the first half of FY2018 ($1.8M) compared to the first half of FY2017 ($2.0M) and ($0.8M) two years ago.
  • Discussions are ongoing regarding the proposed extension of the maturity of the Amended and Restated Unsecured Facility Agreement dated June 30, 2015 between the Company and Conrent Invest S.A.

FULL ARTICLE >

Feb 08
Love41

Track Group Reports 1st Quarter Fiscal 2018 Financial Results

By News, Quarterly Reports

NAPERVILLE, ILLINOIS, February 8, 2018 – Track Group, Inc. (OTCQX: TRCK), a global leader in offender tracking and monitoring services, today announced financial results for its first quarter ended December 31, 2017 (the “First Quarter”). The Company posted gross profit of $4.5M, an increase of 26% over last year on total revenue of $7.5M, a quarterly record Adjusted EBITDA of $1.6M up 286% compared to FY2016 and total operating expenses of $4.8M, a decrease of 11% which reduced the First Quarter operating loss to its lowest level in over three years to ($0.3M).

“We’re delighted to start our fiscal year 2018 off strongly with another quarterly record for Adjusted EBITDA and the fifth consecutive quarter of growth in Adjusted EBITDA,” said Derek Cassell, Track Group’s CEO. “We are looking forward to capitalizing on a number of new customer opportunities in our pipeline so we can continue the top-line growth we have generated over the last three years.”

Business and Financial Highlights

  • The Company announced signing two large contracts totaling in excess of $30M with Marion County Community Corrections and Gendarmeria de Chile, the Republic of Chile’s prison service, shortly after the conclusion of the First Quarter;
  • Gross profit for the First Quarter $4.5M which is the best gross profit in the past five quarters and up 26% over last year ($4.5M vs. $3.5M) on quarterly revenue that was nominally down from the same period last year;
  • Total operating expenses for First Quarter ($4.8M) are down 11% vs. last year ($5.4M) and the 2nd lowest quarterly operating expenses in the last two fiscal years;
  • The lowest quarterly operating loss ($0.3M) in over three years and a 82% improvement over the quarterly operating loss of ($1.9M) in the same period last year due to a combination of a strong gross profit result and lower operating expenses;
  • Adjusted EBITDA in the First Quarter finished at a quarterly record of $1.6M up 286% compared to $0.4M last year and represented the fifth consecutive quarter that Adjusted EBITDA has increased;
  • Net loss attributable to shareholders in the First Quarter ended December 31, 2017 improved to ($1.0M) or 60% compared to ($2.6M) for the same quarter last year;
  • Net cash provided by operating activities remained positive at $0.3M in the First Quarter compared to $2.1M for last year principally due to the timing of working capital expenditures; and
  • The new CEO, Derek Cassell, appointed January 1, 2018, has realigned the management team to execute the Company’s strategy including the appointment of an industry veteran, Matt Swando, as the new Vice President of Sales and Marketing.

FULL ARTICLE >

Jan 25
Love27

Gendarmeria de Chile Signs New Electronic Monitoring Contract with Track Group

By News

NAPERVILLE, IL – Track Group, Inc. (OTCQX: TRCK), a global leader in providing criminal justice agencies with offender tracking and monitoring services, today announced that Gendarmeria de Chile, the Republic of Chile’s uniformed prison service, signed a new agreement with the Company to provide electronic monitoring products and services commencing on October 18, 2017 for a period of 365 days totaling up to approximately $10.6 million.

The previous multi-year agreement signed between Gendarmeria de Chile and the Company’s Chilean subsidiary in 2013, ended in October of 2017 although services have continued uninterrupted.

“The commitment we made to Gendarmeria de Chile and Ministerio de Justica in 2013 remains the same today,” said Derek Cassell, Track Group’s CEO. “Which is to provide the best and most effective technology combined with extraordinary service with the ultimate goal of helping to alleviate prison overcrowding, while ensuring compliance among domestic violence, pre-trial and early release offenders.”

Services provided by Track Group as part of the contract include the provision of monitoring software, supply, installation, replacement and withdrawal of surveillance devices, training for Gendarmería de Chile’s personnel, and maintenance of the Surveillance Center and the Regional Surveillance Support Center.

“I’m very proud to say that together with Gendarmeria de Chile and Ministerio de Justica, we built what has become known as one of the most successful offender monitoring programs in the world,” said Francisco Javier Toro Lyng, General Manager of Track Group’s Chilean Office. “We are thrilled this relationship will now have an opportunity to continue.”

For more information about this contract award or any monitoring products and services offered by Track Group, contact Matt Swando at 877-260-2010.

About Track Group (trackgrp.com)
Track Group designs, manufactures, and markets location tracking devices and develops and sells a variety of related software, services, accessories, networking solutions, and monitoring applications for the criminal justice market. The Company’s products and services are designed to empower professionals in security, law enforcement, corrections and rehabilitation organizations worldwide with single-sourced offender management solutions that integrate reliable intervention technologies to support re-socialization and monitoring initiatives.

Media Contact:
Matt Swando, Track Group
877-260-2010
matthew.swando@trackgrp.com

Jan 12
Love32

Track Group Awarded Marion County Community Corrections Monitoring Contract

By News

NAPERVILLE, IL – Track Group, Inc. (OTCQX: TRCK), a global leader in providing community corrections agencies with offender tracking and monitoring services, today announced that Marion County’s Advisory Board has approved and signed a multi-year contract for the Company to continue providing the Agency with products and services for offenders valued at approximately $20 Million across the full range of sentences under the Agency’s oversight.

“This is a major accomplishment for Track Group and especially our dedicated team in Indianapolis, Indiana that underscores the great work we’ve done together with this important customer,” said Derek Cassell, Track Group’s CEO. “We are very proud of our thriving relationship with Marion County and the State of Indiana that’s entering its tenth year in 2018.”

Track Group has worked with Marion County Community Corrections since 2008. The electronic monitoring program is one of several cost-effective options the County uses to provide additional intervention, sanctions and structure for offenders so they are more likely to succeed upon release.

For more information about this contract award or any monitoring products and services offered by Track Group, contact Matt Swando at 877-260-2010.

About Track Group (trackgrp.com)
Track Group designs, manufactures, and markets location tracking devices and develops and sells a variety of related software, services, accessories, networking solutions, and monitoring applications for the criminal justice market. The Company’s products and services are designed to empower professionals in security, law enforcement, corrections and rehabilitation organizations worldwide with single-sourced offender management solutions that integrate reliable intervention technologies to support re-socialization and monitoring initiatives.

Media Contact:
Matt Swando, Track Group
877-260-2010
matthew.swando@trackgrp.com