New York – IDO Security Inc. (OTCBB: IDOI) developer of the innovative MagShoe™ shoe scanning device (SSD), today announced that the Company has reported its 2nd quarter financial results for the three months ended June 30, 2012.
Revenues for the six and three months ended June 30, 2012 were $285,480 and $80,916, respectively, compared to $19,486 and $325 for the corresponding periods in 2011. The Company recorded a net loss for the six and three months ended June 30, 2012 of $31,847 and $1,568,448, respectively, compared to $3,926,331 and $1,754,433 for the corresponding periods in 2011. The Company recorded revenues of approximately $203,000 for fiscal 2011, representing the strongest year-end revenues to date and now the Company has exceeded last year’s revenues within the first 6 months of fiscal 2012.
The increase in revenues for the six and three months ended June 30, 2012 as compared to the 2011 periods is primarily attributable to the substantial increase in the number of MagShoe devices delivered to customers in Africa, Europe and the Far East. The decrease in net loss for the six months ended June 30, 2012 includes the gain on the one-time extinguishment of debt in the approximate amount of $2.9 million that occurred in the first quarter of fiscal 2012. As of June 30, 2012, the Company received purchase orders for additional MagShoe units.
Michael Goldberg, President of IDO Security said, “We are pleased to see an increased demand for the MagShoe over the last 12 months which we credit to our new management team in Israel that is headed by Yaniv Beran. Our marketing and sales team has been diligent in showcasing and demonstrating the effectiveness of the MagShoes an ideal solution to close the security gap in the lower extremities that most existing screening devices fail to detect security threats. Our team has several pilot programs currently in place and we believe will result in sales of the MagShoes over the coming months.”
A more detailed description of the business, results of operations and financial statements are contained in the Quarterly Report on Form 10-Q filed with the Securities and Exchange Commission on August 20, 2012.
About IDO Security, Inc.
Headquartered in New York with a subsidiary in Israel, IDO Security designs, develops and markets the patented MagShoe™ shoe scanning device (SSD), filling a critical void in today’s detectors by extending screening to the lower body and feet. MagShoe™’s “shoes-on” design maximizes security, thoroughness and accuracy while eliminating the need to remove shoes for increased convenience and safety; neither invasive nor harmful to the body as some of the other screening devices currently used in the marketplace. Ideal for security and loss prevention at virtually any facility, MagShoe™ is currently in use worldwide at international airports, cruise lines, government agencies, correctional facilities, mints and more.
For more information on the Company, please visit: http://www.idosecurityinc.com
This press release contains forward-looking statements that involve substantial uncertainties and risks. These forward-looking statements are based upon our current expectations, estimates and projections about our business and our industry, and that reflect our beliefs and assumptions based upon information available to us at the date of this release. We caution readers that forward-looking statements are predictions based upon our current expectations about future events. These forward-looking statements are not guarantees of future performance and are subject to risks, uncertainties and assumptions that are difficult to predict. Our actual results, performance or achievements could differ materially from those expressed as a result of a number of factors, including but not limited to, anticipated trends and challenges in our business and the markets in which we operate, the ultimate market acceptance of our products, the sufficiency of existing capital resources, our plans for future products and enhancements of existing products, the ability to secure additional sources of financing, general economic conditions, the availability of competing products and changes in technology, legislative or regulatory changes that affect us and the risks and uncertainties discussed under the heading “RISK FACTORS” in Item 1A of IDO’s Annual Report on Form 10-K for the year ended December 31, 2011, and in our other filings with the Securities and Exchange Commission at www.sec.gov. We undertake no obligation to revise or update any forward-looking statement for any reason.