San Diego Business Journal

ImageWare Systems Inc., a San Diego-based developer of mobile and cloud-based identity management software, reported $1.2 million in revenue for the fourth quarter ended Dec. 31, 2014, compared with $928,000 in the year-ago quarter financial results.

Net loss in the fourth quarter of 2014 was $1.9 million or $0.02 per basic share, compared with a net loss of $1.8 million or $0.02 per basic share in the year-ago quarter, the company said.

Gross margin in the fourth quarter of 2014 was reported at 79 percent compared with 72.2 percent in the like quarter of 2013.

According to the company, at December 31, 2014, cash and cash equivalents totaled $218,000 compared with $2.4 million at December 31, 2013. Total debt was $1.3 million compared with no debt at December 31, 2013. '

For the the year, ImageWare reported $4.2 million in revenue and a net loss of $7.9 million.

On February 6, 2015, ImageWare completed a registered direct offering of convertible preferred stock for $12 million. The company used approximately $2 million of the proceeds to repay all outstanding debt, and will use the remaining net proceeds of approximately $9.9 million for research and development, and other general corporate purposes, the company said.

“The past several months have seen the continuation of a transition period for our company, as many of our partners remain in the testing or implementation phase with our biometric technology,” said Jim Miller, chairman and CEO of ImageWare. “With that being said, all of our agreements remain in place and are progressing, albeit not at the pace we had expected..."

“Nevertheless, we continue to execute strategic steps that move us closer to our goal of becoming a SaaS-based leader in multimodal biometrics,” he said.

In recent days, ImageWare announced it was partnering with Agility, a global supplier of logistics, to provide biometric solutions to Agility’s partners and clients throughout the Middle East Gulf Coast region and other parts of the world.