DELRAY BEACH, Fla., Jan. 11, 2016 (GLOBE NEWSWIRE) -- PositiveID Corporation (“PositiveID” or “Company”) (OTCQB:PSID), a life sciences company focused on detection and diagnostics, announced today a summary of 2015 highlights and its outlook for 2016 following two recent acquisitions.
Highlights
- Acquired E-N-G Mobile Systems, Inc., a growing business focused on mobile biological and chemical labs, with strong market share that has recorded average revenues of $4 million per year for the last decade
- Acquired the FDA-cleared Caregiver® non-contact thermometer, which has 80% gross margins and is targeting the largest growing segment of the temperature monitoring device market, which is forecast to reach $1 billion by 2020
- Reported record revenue of $2.7 million for the nine months ended September 30, 2015
- Completed the Firefly Dx benchtop prototype for point-of-need pathogen detection, including PCR capability, sample preparation and real-time optics, and filed associated patents
- Successfully detected multiple pathogens, including influenza, MRSA, MSSA, E.coli, C. diff and others, in less than 20 minutes on the Firefly Dx prototype PCR system, which is targeting the real-time PCR industry, estimated to be a $5.6 billion market by 2020
- Successfully completed Phase I of the Department of Homeland Security’s SenseNet program with Firefly Dx
- Completed successful testing of the M-BAND airborne bio-threat detector under the Department of Defense JUPITR program, a contract that generated over $1 million for the Company
“During the last month of 2015, PositiveID acquired two new businesses, which are very complementary to our detection and diagnostics business, helping us evolve into a much stronger, horizontally integrated company,” stated William J. Caragol, Chairman and CEO of PositiveID. “These two companies bring synergistic product offerings, experienced management, and a robust customer and distribution network. We now have multiple, new, near-term and sustainable revenue streams with growth and expansion opportunities, which we plan to build upon while we complete the development and testing of our Firefly Dx real-time pathogen detection system.”
On December 24, 2015, PositiveID acquired E-N-G Mobile Systems, Inc. (“ENG”), a leader in mobile labs, homeland security and communications vehicles. The acquisition of ENG will bring additional revenue and cash flow to PositiveID as well as a highly synergistic technology platform and customer base. Over the past 10 years, ENG has recorded average unaudited revenues annually of more than $4 million. The acquisition of ENG also brings an experienced management team with deep industry relationships and mobile technology vehicle expertise.
ENG, founded in 1988, has a solid history both in the U.S. and internationally, and an extensive list of customers ranging from the U.S. military, Fortune 100 companies, the U.S. Department of Homeland Security, foreign governments, local and state governments, television broadcast outlets, and the nation’s foremost laboratories. The largest and fastest growing aspect of ENG’s business over the last decade has been its mobile labs segment, which includes chemical, biological, nuclear, radiological and explosives testing in the field. In addition to the other lines of ENG’s business, PositiveID believes it will be able to continue to grow the mobile labs segment with the addition of its leading molecular diagnostics capabilities for testing samples in the field.
Lyle Probst, PositiveID’s President who leads the Company’s Pleasanton, CA office, will lead the operation of ENG in conjunction with ENG’s existing management team. ENG is located in the Bay Area, in close proximity to PositiveID’s labs. The acquisition of ENG adds an operating business that has a strong foothold in the mobile technology vehicle market with a consistent revenue stream while PositiveID completes the development of its Firefly Dx real-time pathogen detection system, which the Company targets to begin field-testing by the end of this year. Firefly Dx is targeting the real-time PCR industry, which is estimated to be a $5.6 billion market by 2020, according to IQ4I Research & Consultancy.
In early December, 2015 PositiveID also assumed control of Thermomedics, Inc., which markets the Caregiver® non-contact thermometer. Caregiver is a clinical grade, FDA-cleared, infrared thermometer for measurement of forehead temperature in adults, children, and infants, without contact, in under two seconds. Since there is no skin contact and Caregiver does not require probe cover supplies, it reduces the risk of cross-contamination and saves healthcare facilities the cost of covers (which are as much as $0.05 to $0.15 per temperature), storage space, and waste disposal costs. Infrared thermometry is experiencing the fastest growth in the global market for temperature monitoring devices, which is forecast to reach $1 billion by 2020, driven in part by concerns over the spread of highly infectious diseases like Ebola, according to Global Industry Analysts, Inc.
Thermomedics currently has agreements with the world’s leading healthcare product distributors and expects to expand its market share in 2016 through new and existing relationships. The established distribution and customer channels, including the federal government, for Caregiver, combined with the additional qualitative synergies of an experienced management team with proven regulatory, sales, distribution and manufacturing expertise, is expected to be of great value when PositiveID reaches commercialization of Firefly Dx.
“The significant milestones achieved in 2015 are all a part of PositiveID’s multi-faceted strategic plan to improve our financial position, product offerings, revenue streams, cash flows and fundamental value of the business,” Caragol stated. “Looking forward, we're even more excited about 2016 as we integrate these two newly acquired businesses into our organization. Both of these wholly owned subsidiaries have exceptional growth opportunities, which we plan on exploring and developing in the coming months and throughout 2016. In addition, our ongoing successful development of Firefly Dx should allow us to begin field testing that product, with commercial sales expected to begin in 2017. With the additional product offerings and revenues from our two new operating businesses, and the substantial upside potential of the Firefly Dx product on the horizon, we believe PositiveID is well positioned to offer long-term value to our shareholders in 2016,” Caragol concluded.
Shareholder webcast
PositiveID will host an audio webcast with presentation materials for shareholders on Wednesday, January 13, 2016, at 11:00 am ET. To access the webcast, please visit the Investor Relations section of PositiveID’s website. For those unable to participate in the live webcast, an archive will be available for 30 days on the Company’s website.
About PositiveID Corporation
PositiveID Corporation is a life sciences company focused on detection and diagnostics, with an extensive patent portfolio. PositiveID specializes in the development of microfluidic systems for the automated preparation of and performance of biological assays. PositiveID is also a leader in the mobile technology vehicle market, with a focus on the laboratory market and homeland security. For more information on PositiveID, please visit http://www.psidcorp.com, or connect with PositiveID on Twitter, Facebook or LinkedIn.
Statements about PositiveID's future expectations, including the likelihood that temperature monitoring device market will reach $1 billion by 2020; the likelihood that the Company now has multiple, new, near-term and sustainable revenue streams with growth and expansion opportunities; the likelihood that the Company will build upon these revenue streams while it completes the development and testing of Firefly Dx; the likelihood that the acquisition of ENG will bring additional revenue and cash flow to PositiveID as well as a highly synergistic technology platform and customer base; the likelihood that PositiveID will be able to continue to grow the mobile labs segment with the addition of its leading molecular diagnostics capabilities for testing samples in the field; the likelihood that the Company will begin field-testing Firefly Dx by the end of this year; the likelihood that the real-time PCR industry will be a $5.6 billion market by 2020; the likelihood that both of these wholly owned subsidiaries have exceptional growth opportunities; the likelihood that the Company’s ongoing successful development of Firefly Dx should allow it to begin field testing that product, with commercial sales expected to begin in 2017; the likelihood that with the additional product offerings and revenues from the Company’s two new operating businesses, and the substantial upside potential of the Firefly Dx product on the horizon, that PositiveID is well positioned to offer long-term value to its shareholders in 2016; and others made in this press release, constitute "forward-looking statements" within the meaning of Section 27A of the Securities Act of 1933, Section 21E of the Securities Exchange Act of 1934, and as that term is defined in the Private Litigation Reform Act of 1995. Such forward-looking statements involve risks and uncertainties and are subject to change at any time, and PositiveID’s actual results could differ materially from expected results. These risks and uncertainties include, without limitation, the Company’s ability to target the bio-threat detection and rapid medical testing sectors; the Company’s ability to successfully integrate ENG and Thermomedics into its operations; the Company’s ability to complete development of Firefly Dx; as well as other risks. Additional information about these and other factors that could affect the Company's business is set forth in the Company’s various filings with the Securities and Exchange Commission, including those set forth in the Company's 10-K filed on March 30, 2015, as amended on December 31, 2015, and 10-Qs filed on November 12, 2015, August 13, 2015, and May 15, 2015, under the caption “Risk Factors.” The Company undertakes no obligation to update or release any revisions to these forward-looking statements to reflect events or circumstances after the date of this statement or to reflect the occurrence of unanticipated events, except as required by law.