Cemtrex Announces $1.2 Million Upgrade Order in Advanced Technologies Segment

Rhea-AI Summary

Cemtrex Inc. (NASDAQ: CETX, CETXP) has secured a $1.2 million order from a major correctional facility in Oregon to upgrade its security surveillance system. This order, fulfilled in Q2, involves implementing Vicon's advanced video surveillance and increased storage solutions. CEO Saagar Govil highlighted the strong demand for Vicon's security technologies, despite facing challenges like supply chain issues that impacted gross margins. The order indicates a positive market trend in Cemtrex's Advanced Technologies Segment, which is expected to drive future revenue growth.

Positive

• Secured a $1.2 million order to upgrade security technology.
• Confirms demand for Vicon's security solutions in a growing market.
• Indicates strong performance expectations for Advanced Technologies Segment.

Negative

• Gross margins impacted by supply chain issues and increased shipping costs.

Corrections Facility in Oregon to Upgrade Security Surveillance System

Brooklyn, NY, March 22, 2022 (GLOBE NEWSWIRE) --  - Cemtrex Inc. (NASDAQ: CETX, CETXP), a technology company driving innovation in Internet of Things (IoT), security, machine vision & artificial intelligence, and augmented & virtual reality, has received a $1.2 million order through its Advanced Technology Segment from a large correctional facility, and current customer, in Oregon to upgrade its security technology system with new hardware and software.

The enterprise-class system installation includes Vicon’s state-of-the-art end-to-end video surveillance security system and a large increase in storage hardware. The order was received and fulfilled in this second quarter of the calendar year. Details of the customer were not provided due to confidentiality agreements in place.

“This significant order from a major customer continues to validate our technology and reaffirms the upward growth trend for our Advanced Technologies Segment,” said Saagar Govil, Chairman and CEO of Cemtrex. “Vicon is expanding rapidly to address escalating demand as end-users seek a reliable source of video surveillance and access control technologies fit for today’s highly dynamic environment. Vicon offers customers a complete solution with the ability to monitor LPR, access control and video management all from Valerus. Our comprehensive view of information on a centralized platform helps integrators save on costs, and gives end-users a singular place for alarms, making responses faster, more manageable, and easier to report upon.

“With the first quarter of the calendar year typically the slowest period for this segment, this order represents a strong indicator of market improvement for the segment. Vicon continues to experience elevated demand for its security portfolio, although gross margins were impacted in the most recent quarter due to supply chain issues and increased shipping costs. We are aggressively combatting this challenge with our manufacturing and logistics suppliers to maintain our normal gross margin trajectory. As an internationally recognized brand in corrections and security we expect additional Vicon orders ahead, driving revenue and momentum,” concluded Govil.

About Vicon

Since 1967, Vicon has been a leading manufacturer of security surveillance systems. Today we are focused on providing solutions that have been engineered not just for performance and features, but for simplicity in deployment, operation and maintenance. Vicon’s end-to-end security surveillance portfolio consists of the full range of solutions including Valerus, an open platform browser-based VMS; VAX, a cutting edge access control solution; a broad range of IP cameras including the NDAA-compliant Roughneck series; and plug-and-play network video recorders. For more information visit www.vicon-security.com.

About Cemtrex

Cemtrex, Inc. (CETX) is a leading multi-industry technology company that is driving innovation in markets such as Internet of Things (IoT), Augmented and Virtual Reality (AR & VR), and Artificial Intelligence and Computer Vision (AI & CV) in a wide range of sectors, including but not limited to consumer products, industrial manufacturing, digital applications, and intelligent security & surveillance systems. www.cemtrex.com

Forward-Looking Statements

This press release contains “forward-looking statements” within the meaning of the Private Securities Litigation Reform Act of 1995, including statements relating to the closing of the offering, gross proceeds from the offering, our new product offerings, expected use of proceeds, or any proposed fundraising activities. These forward-looking statements are based on management’s current expectations and are subject to certain risks and uncertainties that could cause actual results to differ materially from those set forth in or implied by such forward looking statements. Statements made herein are as of the date of this press release and should not be relied upon as of any subsequent date. These risks and uncertainties are discussed under the heading “Risk Factors” contained in our Form 10-K filed with the Securities and Exchange Commission. All information in this press release is as of the date of the release and we undertake no duty to update this information unless required by law.

FAQ

What was the order amount for Cemtrex's recent security system upgrade?

Cemtrex secured a $1.2 million order for upgrading a security surveillance system.

Which facility placed the $1.2 million order with Cemtrex?

The order was placed by a large correctional facility in Oregon.

What technology is Cemtrex implementing for the security system upgrade?

Cemtrex is implementing Vicon's state-of-the-art video surveillance system.

How did the recent order affect Cemtrex's market outlook?

The order is seen as a strong indicator of market improvement for Cemtrex's Advanced Technologies Segment.

What challenges is Cemtrex facing after the recent order?

Cemtrex is facing gross margin impacts due to supply chain issues and increased shipping costs.