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VirtualArmor International (CSE: VAI) reported impressive revenues in the second quarter

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VirtualArmor International is a cybersecurity company that delivers solutions to help enterprises build, monitor, maintain and secure their networks from cloud to core

Additional Information:

Company: VirtualArmor International
Website: http://www.virtualarmor.com
Stock Symbol: CSE: VAI)
Date Published: Aug 17, 2016
Transcript: Available

Video Transcript:

I’m Megan Edwards for Investmentpitch Media

VirtualArmor International is a cybersecurity company that delivers solutions to help enterprises build, monitor, maintain and secure their networks from cloud to core, reported an impressive increase in revenues in the second quarter.

All numbers are in U.S. dollars.

For the quarter ended June 30, 2016, the company reported total revenues of $3,169,000, an increase of 63% over the $1,943,000 reported in the comparable quarter in 2015.

This resulted from an increase in both the number of customers served as well as the size of orders from new and existing customers.

The company recorded a net loss of $501,800 for the quarter compared to net income of $169,000 for the comparable quarter in 2015.

Following adjustments for certain non-cash items, the company showed a small adjusted net income for the recent quarter.

The company focuses on handling the design, configuration, and installation of advanced network, cybersecurity, and cloud architecture solutions.

VirtualArmor’s services run 24/7 through its primary network operations center located in Middlesbrough, U.K. and a secondary center located in Salt Lake City, Utah.

Todd Kannegieter, CEO, stated: "We are pleased to report a record 63% revenue growth period over period due to increased demand for our cybersecurity and advanced networking solutions. Our growth this past quarter came from both our hardware and services segments, but hardware led the way growing at 70% period over period, with managed services growing at 36%. We expect these initial hardware sales to translate into our high margin multi-year managed services agreements that will contribute to predictable and recurring cash flows in the years to come."

Matthew Brennan, President, added: "Also, during the first 6 months we began our much anticipated expansion by doubling the size of our sales staff in an effort to scale our operations and gain traction in a market we believe to be very underserved. For the duration of this year we anticipate strategically adding additional personnel to various pockets of the U.S. and Canada where we believe we will get the best return for our shareholders."

During the quarter, the company expanded its sales force to meet surging cybersecurity solution demands, appointing new sales professionals in Seattle, Washington, Portland, Oregon, and the Bay Area in California.

The shares are trading at $0.425, and with 53 million shares outstanding, the company is capitalized at $22.5 million.

For more information, please visit the company’s website www.virtualarmor.com or contact Todd Kannegieter, CEO at 720-961-3304 or email todd.kannegieter@virtualarmor.com.

Investor relations is handled by Babek Pedram of Virtus Advisory, who can be reached at 416-644-5081 or email bpedram@virtusadvisory.com. I’m Megan Edwards for Investmentpitch Media