SuperCom Ltd. (SPCB) reported an increase of 3.67% to $1.13 in the premarket today. However, the last trading session closed at $1.09 with an incline of 11.22%.
$1 Million Project in Central Coast California
SPCB announced on 7th October 2021 that its wholly-owned subsidiary, Leaders in Community Alternatives (LCA), has been granted a new project. That project aims to provide rehabilitative services to a probation department on the Central Coast of California. This initiative which focuses on employment assistance for women, assists persons returning to the community after imprisonment. The initiative is planned to open and begin generating recurring revenue by the end of 2021, with a budget of around $1 million over three years, or approximately $340,000 per year.
SPCB is happy to win another project with an established client, demonstrating the value of their services and the strength of their long-term customer relationships. This victory is also due to the track record of developing tailored programs that best meet the goals of public agencies in terms of lowering recidivism. Lastly, the company plans to extend its client base, allowing it to expand into new markets throughout the world.
Launch of a new Project in California
SPCB launched a new project to provide out-of-custody youth programs as well as therapeutic services on 24th August 2021. This initiative helps people by delivering evidence-based and tailored interventions that help them avoid recidivism. Starting with a one-year evaluation period, this new initiative might be worth up to $240,000 every year. The government agency will explore expanding the initiative with a longer-term scope when the first year is over.
The initiative is already up and running, and clients are now being served. This program recognizes the service offerings’ sustained effectiveness in rehabilitating convicts and reducing recidivism. The company’s decades of expertise working with local national security and public safety agencies is paying off with increased interest among such agencies.
Second Quarter 2021 Results
SPCB reported second-quarter 2021 results on 10th August 2021. The company recorded revenue of $3093 million with a gross margin increased to 57.6%. Moreover, cash and cash equivalents inclined to $10.9 million showing a great increase from $9 million. The company also won a new deal in California worth up to $4 million. This agreement will provide help to criminals reentering society after periods of incarceration.
Furthermore, SPCB also won a $3.6 million national electronic monitoring project in Finland. Lastly, the company saw an increase in market activity in IOT business, which resulted in additional RFPs and interest in the patented IOT technology and service offerings.