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The Markets
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Hardware & electrical equipment

ShotSpotter beats second-quarter estimates, forecasts profitability by its fourth quarter

The gunshot detection solutions company also upped its full-year revenue guidance

ShotSpotter Inc (NASDAQ:SSTI) announced better-than-expected second-quarter earnings, beating Wall Street estimates on earnings and revenue and affirming its guidance for profitability by the fourth quarter.

The gunshot detection solutions company reported a net loss of US$0.03 per share on revenue of US$8.9mln compared with a net loss of US$1.16 per share on revenue of US$5.84mln in the previous year’s second quarter.

The California-based company surpassed Wall Street estimates of a net loss of US$0.10 EPS on revenue of $8.01mln.

The company has developed the technology to pinpoint when and where a gun has been fired.

READ: ShotSpotter offers plenty of upside for investors ready to pull the trigger

Through the use of multiple sensors, machine learning technology and acoustic experts, the tech can detect the time, location, direction and angle of the explosion and send crucial information to 911 dispatchers and other first responders.

For the year ahead, the tech company upped its revenue guidance to US$33.5mln to US$34ln compared with its prior guidance of US$33mln to US$34mln.

The company expects to achieve GAAP profitability by the fourth quarter of 2018.

“Our record topline, which was up 53% year-over-year, was driven by continued expansion with new and existing customers, who are leveraging our data-driven policing technology to more effectively deter and prevent gun violence,” said CEO Ralph Clark in a press release.

ShotSpotter has partnered with big-name companies like AT&T Inc (NYSE:T), General Electric Company (NYSE:GE) and Verizon Communications Inc (NYSE:VZ).

Shares of ShotSpotter were up nearly 2% to US$44.80 by the closing bell.

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