Significant market potential in the US for Precise Biometrics – Interim report for the first quarter 2011

Precise Biometrics AB (publ), Corporate Identity No. 556545-6596

Interim Report for the period January – March 2011

  • The group's net sales for the first quarter were SEK 3.6 million (19.3).
  • Losses for the first quarter were SEK -9.7 million (-0.3).
  • Loss per share for the first quarter was SEK -0.07 (0.00)
  • Available cash at the end of th­­e quarter were SEK 11.6 million (35.5).

Important events during the quarter

  • The new more efficient and customer orientated organization, which includes the three business areas Mobile, IAM and Access Solutions, and a new Management Team came into effect January 1, 2011. This is an important part of the strategic platform for the company's development according to the Plan 2015.

  • Precise Biometrics released a new fingerprint family – Precise Sense™ – targeted for volume sales towards the bank and corporate segments. The product family includes six different types of designs aimed to meet different requirements. Three of the designs were released in January 2011.

  • The Board of Directors has resolved, subject to approval of the Annual General Meeting on April 27, to undertake an issue of shares with preferential rights for Precise Biometrics' shareholders that will raise a maximum of SEK 54 million before deduction of issue related costs.

Important events after the end of the quarter

  • Precise Biometrics was noted for the fastest result in the MINEX II test – the most important US government test for standardized Match-on-Card. Precise Biometrics was also the only biometric supplier that was approved with three different card manufacturers. New US directives states that all federal government agencies must implement PIV (Personal Identity Verification) – a program that specifies how government employees must identify themselves – starting 2012. And as PIV will include Match-on-Card, Precise Biometrics will be very well positioned on the US government market which comprises 5.7 million users.

  • Precise Biometrics launched a new embedded offer. Embedded solutions enable hardware manufacturers to implement biometric verification on their products. Precise Biometrics' new offer enable customers a shorter going-to-market process and a higher freedom to choose the functionalities that fits the hardware better.