Rekor Systems, Inc. - REKR STOCK NEWS

Rekor is collaborating with the Oregon Department of Transportation (ODOT) to address the loss of gas tax revenue due to the rise in electric vehicles (EVs). As EVs make up about 8% of new car sales in Oregon, traditional gas taxes are declining. ODOT contracted Rekor to develop a sustainable funding model that includes a Connected Vehicle Ecosystem (CVE) aimed at collecting data from millions of vehicles. This initiative supports President Biden's goal of electrifying two-thirds of new passenger cars and a quarter of heavy trucks by 2032 as outlined in the Infrastructure Investment and Jobs Act. Rekor utilizes its Rekor One platform to analyze data and enhance transportation systems. Their data capture devices, Rekor Edge Max and Rekor Edge Flex, will play a crucial role in this data collection effort.

Rekor Systems, Inc. (NASDAQ:REKR) announced the launch of its Rekor Command platform, an AI-driven roadway intelligence solution designed for Departments of Transportation (DOTs) and Traffic Management Centers (TMCs). Unveiled at the ITS America conference, the platform aims to enhance the management of traffic disruptions and improve safety on roadways. Rekor Command integrates diverse roadway data sources into a single platform, enabling real-time monitoring, faster incident response, and better traffic flow management.

With features like on-demand reporting and third-party data integration, the platform supports proactive issue identification. Built on Amazon Web Services (AWS), Rekor Command is recognized under the AWS Public Sector Partner program and has completed the AWS Foundational Technical Review, ensuring its compliance with security and operational excellence standards.

Rekor Systems (NASDAQ:REKR) is making strides in digitizing American infrastructure with its AI-driven digital operating system, Rekor One. The company aims to address the significant infrastructure challenges highlighted by the American Society of Civil Engineers, which reported a C- rating in 2021, with substantial needs for modernization. Despite the Infrastructure Investment and Jobs Act allocating $1.2 trillion for infrastructure, there remains an investment gap. Rekor is uniquely positioned as it operates without direct competitors in roadway intelligence and anticipates substantial growth in the transportation infrastructure market, projected to expand from $1.7 trillion in 2021 to $3.6 trillion by 2031 at a CAGR of 7.2%. Recent contract wins include a $14.145 million award for traffic count studies in South Carolina and Florida.

Rekor Systems (NASDAQ:REKR) has been selected as a preferred vendor for the South Carolina Department of Transportation (SCDOT) and the Florida Department of Transportation (FDOT), securing contracts valued at a combined total of $14,145,000. These contracts, awarded after rigorous evaluations, will last four and six years respectively. Rekor's Class, Count & Speed Application and Rekor Edge Flex traffic data collection systems will be deployed to gather non-intrusive traffic data across both states. The systems feature advanced AI and machine learning capabilities for real-time data processing, ensuring safe deployment without traffic disruption. This development positions Rekor as a leader in delivering roadway intelligence and analytics services, enhancing safety and efficiency on the roads.

Rekor Systems (NASDAQ:REKR) has announced a new contract valued at $648,000 for the sale of its Rekor Edge Pro and Rekor Scout systems to a major parking operator with over 15,000 locations in the U.S. and Canada. This contract contributes to a total of $6.9 million in product and licensing contracts secured in the last 60 days. The Rekor Edge Pro is designed for vehicle recognition and operates efficiently in various environments, while the Rekor Scout platform enhances parking management with AI capabilities. This partnership reflects Rekor's expansion beyond urban mobility services into diverse markets.

Rekor Systems, Inc. (NASDAQ:REKR) reported a 72% increase in gross revenue for 2022, reaching $19.9 million, driven by the acquisition of Southern Traffic Services. Recurring revenue surged 182% to $13.1 million, reflecting a shift towards contracts offering predictable income. Despite these gains, operating expenses rose to $59.98 million, partially due to increased headcount and marketing efforts. Adjusted Gross Margin decreased to 45% from 61% in 2021. The company recognized significant goodwill impairment of $34.84 million due to market conditions. Performance obligations rose 45% to $21.4 million.

Rekor Systems (NASDAQ:REKR) announced significant results from Oklahoma's Uninsured Vehicle Enforcement Diversion (UVED) Program, revealing a reduction of approximately 100,000 uninsured vehicles since its inception. The program, which has seen over 83,000 enrollments and generated about $15 million in diversion fees, aims to mitigate uninsured driving through AI technology. More than 55,000 citizens have opted for insurance, avoiding court proceedings. The program also achieved a 33% to 40% reduction in uninsured vehicles on the roads, demonstrating a successful approach to addressing uninsured driving issues.