PASSUR® Aerospace Announces Net Income of $135,000 and Third Consecutive Quarter of Operating Profit for the First Quarter Ended January 31, 2021

Rhea-AI Summary

PASSUR Aerospace, Inc. (OTC: PSSR) reported revenues of $1,698,000 for the three months ended January 31, 2021, marking a 60% decrease from $4,225,000 in the same period of fiscal 2020. However, the company achieved a net income of $135,000, or $0.02 per diluted share, compared to a net loss of $583,000, or $0.08 per diluted share, in the prior year. PASSUR also secured $2,185,000 in grants from the CARES Act for employee support and signed contracts with 21 new customers, showcasing resilience despite ongoing market challenges.

Positive

• Achieved net income of $135,000 for Q1 FY2021, a turnaround from a net loss of $583,000 in FY2020.
• Operating profit has been positive for three consecutive quarters.
• Secured contracts with 21 new customers despite market challenges.
• Received $2,185,000 in grants from the CARES Act for payroll support.

Negative

• Revenue declined by $2,527,000, or 60%, compared to the same period in FY2020.

STAMFORD, Conn., March 15, 2021 /PRNewswire/ -- PASSUR® Aerospace, Inc. (OTC: PSSR), a global leader in digital operational excellence, announced revenues of $1,698,000 for the three months ended January 31, 2021, compared with $4,225,000, for the same period in fiscal year 2020, a decrease of $2,527,000 or 60%.

The Company had a net income of $135,000, or $0.02 per diluted share, for the three months ended January 31, 2021, as compared to a net loss for the same period in fiscal 2020 of $583,000, or $0.08 per diluted share.

"We are proud to announce the Company's net income of $135,000 for the first quarter of fiscal year 2021, ended January 31, 2021," stated Brian Cook, PASSUR's President and CEO. "Operating profit was also positive for the third consecutive quarter. We continue to position the company as a profitable enterprise, in spite of a depressed market due to COVID-19."

In February 2021, PASSUR received a top-off grant of $875,000 from the CARES Act Payroll Support Program for Air Carriers and Contractors (PSP-1), which is being used for the continuation of payment of employee wages, salaries, and benefits for certain eligible employees.  In addition, in March 2021, the Company entered into a Payroll Support Extension Agreement (PSP-2) for an additional grant of $1,310,000, under similar conditions. Visit our website to view the full 10-Q.

Major Achievements

• Despite the market challenges presented by the ongoing COVID-19 pandemic, PASSUR was able to obtain contract signatures for 21 customers. The Company also continues to see commercial opportunities within a resurgent Business Aviation market.
• The Company successfully helped to enable the launch of the IATA Tactical Operating Portal ("ITOP Global") in concert with the International Air Transport Association ("IATA"), which will provide valuable real-time data to the global aviation community amidst COVID-19 challenges.

About PASSUR® Aerospace, Inc.

PASSUR Aerospace, Inc. (OTC: PSSR) is the operations platform of choice for aviation experts, offering a unique combination of global data, decision support, and subject matter expertise solutions to improve operational efficiencies. Our platform and people help deliver actionable-data and user-friendly tools to corporate and operations leadership looking for creative ways to minimize and eliminate bottleneck capacity constraints, react to irregular operations (IROPS), restart operations after an interruption in service, and enhance the efficiency of the daily schedule. Our collaborative framework uniquely enhances data sharing, communications, and decision-making within and between stakeholders in an operations ecosystem. PASSUR provides its solutions to the largest airlines and airports globally including in the United States, Canada, and Latin America.

Visit PASSUR Aerospace's website at www.passur.com for updated products, solutions, and news. 

 

Contact: Media:	Investor Relations:
Evee Burgard	Sean Doherty
VP Marketing	Executive VP Finance and Administration
(310) 995-0313	(226) 338-0969
305239@email4pr.com

 

Forward Looking Statements
This press release contains ":forward-looking statements: within the meaning of the Private Securities Litigation Reform Act of 1995 regarding the Company's future plans, objectives, and expected performance. Forward-looking statements are subject to risks, uncertainties and assumptions, and are identified by words such as "will", "expects", "estimates", "projects", "anticipates", "believes", "intends", "plans", "may", "pending", "continues", "should", "could" and other similar words. All statements other than statements of historical fact are considered to be forward-looking statements and such forward-looking statements, including statements of management's expectations and beliefs, are based on preliminary information and assumptions and expectations of future events.  The Company cannot and does not guarantee that such information, assumptions, and expectations are accurate or will be realized. These forward-looking statements are not guarantees of future performance or results, and should be evaluated in light of important risk factors, assumptions, and uncertainties that could cause the Company's results to differ in material respects, including, without limitation,  those related to customer needs, budgetary constraints, competitive pressures, the success of airline trials,  the Company's maintenance of above average quality of its product and services, as well as potential regulatory changes. Additional uncertainties include, without limitation, uncertainties relating to the ability of the Company to sell its existing product and professional service lines, plus new products and professional services, as well as the potential for terrorist attacks, changes in fuel costs, airline bankruptcies and consolidations, and economic conditions, including, without limitation, the severity and duration of the continuing COVID-19 pandemic and its adverse impact on the U.S. and world aviation and travel industries.  Further information regarding some of the factors that could affect the Company's results and cause those results to vary materially from those currently anticipated is contained on Forms 10-K - including under the heading entitled "Risk Factors", 10-Q, and other reports filed with the Securities and Exchange Commission. In addition, undue reliance should not be placed on the Company's forward-looking statements.  Any forward-looking statement made by the Company in this press release speaks only as of the date on which we made it and reflect management's analysis, judgments, belief, or expectation only as of such date. Except as required by law, the Company disclaims any obligation to update its risk factors or to publicly announce updates to the forward-looking statements contained in this press release to reflect new information, future events, or other developments.  

 

PASSUR Aerospace, Inc. and Subsidiary Consolidated Balance Sheets
	January 31, 2021		October 31, 2020
	(unaudited)
Assets
Current assets:
Cash	$                1,914,815		$                2,748,066
Accounts receivable, net	601,650		662,081
Prepaid expenses and other current assets	202,250		162,843
Total current assets	2,718,715		3,572,990
Capitalized software development costs, net	1,101,949		1,223,399
Property and equipment, net	193,856		257,561
Operating lease right-of-use assets	205,184		232,721
Other assets	52,851		53,031
Total assets	$                4,272,555		$                5,339,702
Liabilities and stockholders' equity
Current liabilities:
Accounts payable	$              1,244,121		$                1,486,808
Accrued liabilities - Stimulus funding	999,424		1,933,955
Accrued expenses and other current liabilities	674,389		721,058
Operating lease liabilities, current portion	138,743		168,923
Deferred revenue, current portion	1,187,422		1,173,573
Total current liabilities	4,244,099		5,484,317
Deferred revenue, long term portion	283,321		249,727
Note payable - related party	10,691,625		10,691,625
Operating lease liabilities, non-current	229,000		271,946
Total liabilities	15,448,045		16,697,615
Commitments and contingencies
Stockholders' equity:
Preferred shares - authorized 5,000,000 shares, par value $0.01 per share;
none issued or outstanding	-		-
Common shares - authorized 20,000,000 shares, respectively,
par value $0.01 per share;  issued 8,496,526 at January 31,
2021 and October 31, 2020	84,964		84,964
Additional paid-in capital	18,495,228		18,448,202
Accumulated deficit	(27,822,004)		(27,957,401)
	(9,241,812)		(9,424,235)
Treasury stock, at cost, 784,435  shares at January 31, 2021 and
October 31, 2020, respectively	(1,933,678)		(1,933,678)
Total stockholders' equity	(11,175,490)		(11,357,913)
Total liabilities and stockholders' equity	$                4,272,555		$                5,339,702

 

PASSUR Aerospace, Inc. and Subsidiary Consolidated Statements of Operations
(Unaudited)
	2021		2020
Revenues	$          1,697,921		$            4,225,315
Operating expenses:
Cost of revenues	569,673		2,286,066
Research and development expenses	47,632		112,303
Selling, general, and administrative expenses	678,819		2,168,350
	1,296,124		4,566,719
Income/(loss) from operations	$             401,797		$           (341,404)
Interest expense - related party	266,400		210,286
Income/(loss) before income taxes	135,397		(551,690)
Provision for income taxes	-		31,560
Net income/(loss)	$             135,397		$           (583,250)
Net income/(loss) per common share - basic	$                   0.02		$                 (0.08)
Net income/(loss) per common share - diluted	$                   0.02		$                 (0.08)
Weighted average number of common shares outstanding - basic	7,712,091		7,706,004
Weighted average number of common shares outstanding - diluted	7,712,091		7,706,004

 

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SOURCE PASSUR Aerospace

FAQ

What were PASSUR Aerospace's revenues for Q1 FY2021?

PASSUR Aerospace reported revenues of $1,698,000 for the three months ended January 31, 2021.

How did PASSUR Aerospace's net income compare in FY2021 to FY2020?

PASSUR reported a net income of $135,000 for Q1 FY2021, compared to a net loss of $583,000 in Q1 FY2020.

What grants did PASSUR Aerospace receive in March 2021?

PASSUR received an additional grant of $1,310,000 under the Payroll Support Extension Agreement in March 2021.

How many new customers did PASSUR Aerospace sign contracts with?

PASSUR signed contracts with 21 new customers despite market challenges.

What was the decrease in revenue for PASSUR Aerospace compared to the previous year?

The revenue decreased by $2,527,000, or 60%, compared to the same period in FY2020.