PRINCETON, N.J. , Aug. 14 /PRNewswire-FirstCall/ -- Mikros Systems
Corporation (OTC Bulletin Board: MKRS), announced its financial results for
the three and six months ended June 30, 2008 . Revenues for the second quarter
Year to date, revenues increased
Mikros continues to invest for the future. The decrease in net income was due partially to the cost of additional engineering work on independent research and development projects, including development and testing of a prototype buoy for the Phase I Navy Power Buoy SBIR. The Company also experienced increased personnel costs including professional consulting fees related to higher levels of bid and proposal activities as well as stock option and incentive compensation. These expenses were expected and are in line with the Company's operating budget. Management believes these additional expenses in 2008 will contribute to the growth of the Company in future periods.
Chief Executive Officer Tom Meaney stated, "We are very pleased with our second quarter results. Our marketing and research efforts in the first quarter are starting to pay off as evidenced by the increase in revenue during the second quarter. We remain on budget, our cash position continues to increase, and we expect our business will continue to grow throughout the remainder of 2008. We are fully focused on both developing our existing programs, including ADEPT, RWSE, AIRchitect-EMC, and Autonomous Power Buoys, and targeting new R&D opportunities in the Department of Defense and Homeland Security SBIR programs. Over the years, we have developed many deep customer relationships and built a strong reputation in the defense industry. We believe that we can build off of these relationships to expand into engineering support services. For example, our recent Seaport-e contract gives us the opportunity to partner with other defense contractors to bid for a wide array of engineering service contracts for the entire Naval Enterprise, including Naval Air Systems Command, Space and Naval Warfare Systems Command, Naval Supply Systems Command, Military Sealift Command, Naval Facilities Command, Strategic Systems Programs, the United States Marine Corps, and other Department of Defense agencies."
Adaptive Diagnostic Electronic Portable Testset (ADEPT)
The ADEPT equipment has been tested aboard three US Navy ships and at several Lockheed Martin land-based test sites. Test results have been very positive. Instrumentation embedded into ADEPT has shown close correlation with stand-alone test equipment currently in use. Navy technicians have recognized time savings of more than 50% when using ADEPT to perform routine radar maintenance. ADEPT's unique ability to catalog instrumentation data collected during the maintenance process and facilitate radar troubleshooting from remote locations will be exhibited as part of the distance support demonstration for the Navy's Trident Warrior exercise in 2009.
Mikros recently completed Integrated Logistics Support (ILS) plans and other elements required for fielding ADEPT aboard operating Navy ships. An initial order for up to four units in support of the lead ships undergoing modernization could come by the end of the Government's fiscal year. This order hinges on the approval of submitted test results and plans, the availability of Government funding, and the timeliness of end-of-year Government contracting processes.