Jacksonville-based transportation technology company Duos Technologies Group Inc. reported a loss of $1.39 million in the second quarter, as revenues soared year-over-year.
The 22 cents per share loss for the quarter, which closed June 30, trailed the 83-cent loss it posted the same quarter last year.
Revenue grew to $3.62 million — an increase of 450% over the same period last year — while operating expenses were nearly the same as those in the second quarter of 2021 at about $2.7 million.
The decrease in losses was primarily the result of increased revenue as the production and start of installation of new and upgraded Railcar Inspection Portals have ramped up, the company said on its Aug. 15 earnings call.
Duos uses AI technology to inspect vehicles such as trains and tractor trailers while they're moving, with the company saying it can find defects that would lead to things like derailments.
The company was also awarded a large, multi-year contract with a national rail carrier, it said, with two Railcar Inspection Portals expected to be manufactured in 2022.
While Duos’ expenses have stayed the same, its general and administrative costs decreased $88,000, while its sales and marketing expenses increased $25,000 and its research and development costs increased $62,000.
Full-year revenue expectations fall between $16.5 million and $18 million, the company said, which would represent an increase between 99% and 117% from full-year 2021 revenue, and are the same figures that were cited in Q1 2022 earnings. Because of delays in anticipated start dates, however, the bulk of that revenue is expected to come in during the second half of the year, with some being realized into 2023.
Inflated labor and material costs are also delaying Duos’ path to profitability, the company said in its SEC filings, though some of those increased costs are being passed onto customers.
