Intrusion (NASDAQ:INTZ) Announces Earnings Results, Misses Expectations By $0.03 EPS

Intrusion (NASDAQ:INTZ) posted its earnings results on Tuesday. The company reported ($0.13) earnings per share for the quarter, missing analysts’ consensus estimates of ($0.10) by ($0.03), FiscalAI reports. Intrusion had a negative return on equity of 159.79% and a negative net margin of 191.24%.The firm had revenue of $1.45 million for the quarter, compared to the consensus estimate of $1.50 million.

Here are the key takeaways from Intrusion’s conference call:

• Second-quarter revenue rose 64% sequentially to $1.5 million, helped by the Texas contract, but remained down 22% year over year because of delayed Department of Defense funding.
• The timing of the DOD contract extension remains uncertain, while cash and equivalents were only $0.2 million at quarter-end. Intrusion raised $3.3 million through note financing and expects to pursue additional public or private capital, including its ATM program.
• The VigilAigent acquisition added approximately $3.5 million of annual recurring revenue, more than $350,000 in annualized new business and renewals, potential MSP partnerships, and identified over $3 million in annualized cost synergies.
• Intrusion began recognizing revenue from a $4 million annual Texas contract and is pursuing similar opportunities in other states. Management also expects the PortNexus public-safety channel to begin contributing meaningful revenue in 2027.
• Management said it is targeting a transition to profitability in 2027, with an internal goal of reaching cash-flow positivity as early as the first quarter, although it did not provide a firm quarterly commitment.

Intrusion Price Performance

INTZ traded up $0.01 during trading on Thursday, hitting $0.67. 178,120 shares of the stock traded hands, compared to its average volume of 901,530. The firm has a market capitalization of $15.20 million, a P/E ratio of -1.21 and a beta of -1.57. The firm has a 50-day moving average of $0.79 and a 200 day moving average of $0.88. Intrusion has a 12-month low of $0.65 and a 12-month high of $2.27.

Wall Street Analyst Weigh In

A number of analysts recently weighed in on the company. Zacks Research upgraded Intrusion from a “strong sell” rating to a “hold” rating in a research report on Wednesday, August 5th. Ascendiant Capital Markets decreased their price target on shares of Intrusion from $10.50 to $9.50 and set a “buy” rating on the stock in a research note on Monday, June 8th. Finally, Weiss Ratings lowered shares of Intrusion from a “sell (d-)” rating to a “sell (e+)” rating in a report on Friday, May 29th. One investment analyst has rated the stock with a Buy rating, two have assigned a Hold rating and one has given a Sell rating to the company. Based on data from MarketBeat.com, the stock presently has a consensus rating of “Hold” and an average price target of $5.25.

Institutional Inflows and Outflows

A number of hedge funds and other institutional investors have recently made changes to their positions in INTZ. Virtu Financial LLC bought a new stake in shares of Intrusion during the fourth quarter valued at approximately $31,000. Millennium Management LLC purchased a new stake in shares of Intrusion in the 3rd quarter worth about $34,000. XTX Topco Ltd bought a new position in shares of Intrusion in the 4th quarter worth about $35,000. Jane Street Group LLC purchased a new position in Intrusion during the 4th quarter valued at about $51,000. Finally, State Street Corp grew its holdings in Intrusion by 11.6% in the fourth quarter. State Street Corp now owns 102,765 shares of the company’s stock worth $118,000 after purchasing an additional 10,700 shares during the period. Hedge funds and other institutional investors own 19.43% of the company’s stock.

About Intrusion

Intrusion Inc, a cybersecurity company in the United States. The company offers its customers access to threat intelligence database, which contains the historical data, known associations, and reputational behavior of Internet Protocol addresses. It offers INTRUSION Shield, a zero trust reputation-based Software as a Service solution that inspects and kills dangerous network connections. The company also provides INTRUSION TraceCop, a big data tool that contains an inventory of network selectors and enrichments to support forensic investigations; and INTRUSION Savant, a network monitoring solution that uses the data available in TraceCop to identify suspicious traffic in real-time.