BOS Supply Chain Division Receives an Order in the Amount of $850,000

Rhea-AI Summary

BOS Better Online Solutions Ltd. (NASDAQ: BOSC) announced an $850,000 order from an existing Israeli customer, contributing to a total of $3.2 million in orders this year. The Supply Chain Division experienced a 40% revenue growth in the first half of 2022, reaching $12.9 million, while operating income surged by 80% to $990,000. The company provides supply chain services, RFID technology for inventory management, and develops custom robotics systems, positioning itself favorably in the competitive landscape.

Positive

• New order of $850,000 enhances revenue stream.
• Total orders from the existing customer reached $3.2 million in 2022.
• 40% revenue growth in Supply Chain Division, totaling $12.9 million.
• Operating income increased by 80% to $990,000.

Negative

• Dependency on a few major customers may pose revenue risks.
• Uncertainty about maintaining current gross profit margins.

RISHON LE ZION, Israel, Aug. 30, 2022 (GLOBE NEWSWIRE) -- BOS Better Online Solutions Ltd. ("BOS" or the "Company") (NASDAQ: BOSC) announced today that its Supply Chain Division has received an order in the amount of $850,000, for delivery during year 2023.

Avidan Zelicovski, BOS’ President, stated: “This is an order from an existing Israeli customer, which has placed orders in the total amount of $3.2 million since the beginning of the year. These orders demonstrate the strong added value our supply chain services provide to manufacturers. In the first six months of the year 2022 the revenues of the Supply Chain Division grew by 40%, to $12.9 million, from $9.3 million in the comparable period of last year. Its operating income grew by 80%, to $990,000 in the first six months of the year 2022, from $551,000 in the comparable period of last year.”

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

Use of Non-GAAP Financial Information

BOS reports financial results in accordance with US GAAP and herein provides some non-GAAP measures. These non-GAAP measures are not in accordance with, nor are they a substitute for, GAAP measures. These non-GAAP measures are intended to supplement the Company’s presentation of its financial results that are prepared in accordance with GAAP. The Company uses the non-GAAP measures presented to evaluate and manage the Company’s operations internally. The Company is also providing this information to assist investors in performing additional financial analysis that is consistent with financial models developed by research analysts who follow the Company. The reconciliation set forth below is provided in accordance with Regulation G and reconciles the non-GAAP financial measures with the most directly comparable GAAP financial measures.

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 of 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, the impact of the COVID-19 virus and continued availability of financing for working capital purposes and to refinance outstanding indebtedness; and additional risks and uncertainties 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 recent order did BOSC receive?

BOSC received an $850,000 order from an existing Israeli customer.

How much total revenue has BOSC generated from this customer in 2022?

BOSC has generated a total of $3.2 million in orders from this customer in 2022.

What was the revenue growth percentage for BOSC's Supply Chain Division in the first half of 2022?

The Supply Chain Division's revenue grew by 40% in the first half of 2022.

What was the operating income of BOSC in the first half of 2022?

BOSC's operating income increased to $990,000 in the first half of 2022.