BOS Reports a 60% Growth in Orders Received in the First Quarter of the Year 2022

Rhea-AI Summary

BOS Better Online Solutions Ltd. (NASDAQ: BOSC) reported a record $13.8 million in orders for Q1 2022, a 60% increase from the same period last year. This growth was driven by heightened demand in the Supply Chain division from defense and aviation customers, along with the expansion of logistic centers in Israel increasing demand for the RFID division's offerings. CEO Eyal Cohen emphasized that the order growth is organic and does not factor in the recent acquisition of Dagesh.

Positive

• Record orders of $13.8 million in Q1 2022, up 60% year-over-year.
• Increased demand for Supply Chain products from defense and aviation sectors.
• Expansion of logistic centers in Israel boosting RFID division growth.

Negative

• Risks associated with dependency on a few major customers.
• Concerns over maintaining current gross profit margins.
• Uncertainty regarding successful integration of recent acquisitions.

RISHON LE ZION, Israel, April 26, 2022 (GLOBE NEWSWIRE) -- BOS Better Online Solutions Ltd. ("BOS" or the "Company") (NASDAQ: BOSC) announced today that orders received during the first quarter of 2022 reached a record amount of $13.8 million. This reflects an increase of 60% over the dollar amount of orders in the comparable period of last year. Most of the orders are for delivery in the year 2022.

Eyal Cohen, BOS’ CEO, stated: “This growth in orders is organic and does not include orders attributed to the acquisition of the assets of Dagesh, which we completed on March 1, 2022.

The growth is a result of:

a) An increased demand for the Supply Chain division’s products and services from customers in the defense and aviation industries;

b) Expansion in the number of logistic centers opened in Israel, which increased the demand for the RFID division’s products and services.”

About BOS

BOS provides services and systems for inventory production and management in three channels:

• Services – The Supply Chain division provides inventory procurement and kitting.
• Integration – the RFID division provides off-the-shelf software and equipment to track and manage inventory in the production floor and warehouse.
• Development – the Intelligent Robotics division develops and builds custom-made robotic cells for industrial and logistic processes.
  

Contact: Eyal Cohen, CEO
+972-542525925 | eyalc@boscom.com

Safe Harbor Regarding Forward-Looking Statements

The forward-looking statements contained herein reflect management's current views with respect to future events and financial performance. These forward-looking statements are subject to certain risks and uncertainties that could cause the actual results to differ materially from those in the forward-looking statements, all of which are difficult to predict and many of which are beyond the control of BOS. These risk factors and uncertainties include, amongst others, the dependency of sales being generated from one or few major customers, the uncertainty of BOS being able to maintain current gross profit margins, inability to keep up or ahead of technology and to succeed in a highly competitive industry, failure to successfully integrate and achieve the potential benefits of the acquisition of the business operations of Imdecol Ltd. (the Robotics business line) and Dagesh Inventory Counting and Maintenance Ltd., inability to maintain marketing and distribution arrangements and to expand our overseas markets, uncertainty with respect to the prospects of legal claims against BOS, the effect of exchange rate fluctuations, general worldwide economic conditions, military and political upheavals, the impact of the COVID-19 virus and continued availability of financing for working capital purposes and to refinance outstanding indebtedness. Additional risks and uncertainties are detailed in BOS' periodic reports and registration statements filed with the US Securities and Exchange Commission. BOS undertakes no obligation to publicly update or revise any such forward-looking statements to reflect any change in its expectations or in events, conditions or circumstances on which any such statements may be based, or that may affect the likelihood that actual results will differ from those set forth in the forward-looking statements. 

FAQ

What were the recent order figures for BOSC in Q1 2022?

BOSC reported record orders of $13.8 million for Q1 2022, reflecting a 60% increase year-over-year.

What factors contributed to BOSC's order growth?

The growth was driven by increased demand in the Supply Chain division from defense and aviation customers and the expansion of logistic centers in Israel.

Was the order growth for BOSC organic?

Yes, the CEO stated that the growth in orders is organic and does not include the recent acquisition of Dagesh.

What are the risks mentioned in BOSC's press release?

Risks include dependency on major customers, maintaining gross profit margins, and uncertainties related to recent acquisitions.