2016-09-06 -NR - Gatekeeper Provides Corporate Update for Fourth Fiscal Quarter
FOR IMMEDIATE RELEASE
Gatekeeper Provides Corporate Update for Fourth Fiscal Quarter
- Completed record orders totaling approximately $4 million CDN
- Achieved backorder at end of Q4 of approximately $800,000 CDN
- Received record number of wireless projects using Gatekeeper’s AUTOWAKE system
- Increased total number of cameras shipped by 65% over same 2015 period
- Increased total number of mobile digital recorders shipped by 41% over same 2015 period
- Stop-arm camera evaluation sites increased to 21
- Finalized design and commercialization of multi-lane stop-arm license plate reading system
Abbotsford, BC September 6th, 2016 - Gatekeeper Systems Inc. (“Gatekeeper” or the “Company”) (TSX.V: GSI; OTC: GKPRF; FSE: 1GK) is pleased to provide an update to shareholders regarding recent developments within the Company’s fourth fiscal quarter ended August 31st, 2016 (“Q4”).
The Company’s base business continued to drive sales in Q4 with a record number of completed orders totaling approximately $4 million CDN. The increase is primarily due to an increase in camera sales and mobile digital recorders of 65% and 41%, respectively, as compared to the same period in fiscal 2015. The Company also increased its number of wireless systems shipped with its unique AUTOWAKE feature, shipping 197 systems during the fiscal year ended August 31, 2015, as compared to 445 systems during the fiscal year ended August 31, 2016, representing a 226% increase.
Stop-arm camera evaluation sites increased from sixteen to twenty-one over the last quarter and involves approximately 1,500 buses owned by various school districts. Gatekeeper is in the process of working with school districts, law enforcement, and judicial systems to complete the evaluation phase on these sites and progress to commercial implementation, ideally in the form of revenue sharing arrangements.
The Company executed on its first five-year revenue sharing contract (the “Contract”) in the stop-arm camera business with Jones County School District in Georgia. Equipment was installed on schedule April 16th and 17th, 2016 with a Press Day held on April 27th, 2016. Pursuant to the Contract, Gatekeeper will receive 50% of the revenue from each citation issued with 25% shared with the school district and 25% shared with Jones County. Stop-arm violation fines in Georgia are $350 USD for the first time offence, $750 USD for the second time offence and $1,000 USD for the third time offence.
The Company issued its first citation prior to school ending for summer break. There is an estimated 13 to 15 million stop-arm violations in the United States with legislations now passed in thirteen States that allow video enforcement technology to be used to issue citations.
During Q4, Gatekeeper continued product development activity, completing a number of new features in its base incident management software. In addition, the Company finalized the design and commercialization plan for a multi-lane license plate reading system for its stop-arm camera business.
Doug Dyment, President and CEO commented, “Our financial planning with new credit facility enabled us to complete approximately $4 million in orders in Q4 which was a record for the Company. Landing and executing these orders was a total team effort and I am very pleased to have reached a new high water mark for sales activity. With approximately $800,000 CDN in backorders leading into Q1 2017, we are confident we are on track to execute on our sales and profitability goals for the coming year.”
About Gatekeeper Systems Inc.
Gatekeeper provides innovative, end-to-end video safety and security solutions for mobile applications including body cameras, in-car police video systems, school bus video and stop arm camera video enforcement systems, transit bus video systems, and airborne digital recording systems for military applications.
The Company is headquartered in Abbotsford, British Columbia, Canada, and its shares are traded on the TSX Venture Exchange under the symbol “GSI”, on the OTC Markets under the symbol “GKPRF”, and on the Frankfurt Stock Exchange under the symbol “1GK”.
For more information visit: www.gatekeeper-systems.com.
On behalf of the Board,
President & CEO
Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.