Plurilock Security Inc. (TSX-V:PLUR) received a “Buy” recommendation and $1 price target from analysts at Leede Jones Gable after posting skyrocketing first quarter revenue this year.
For the three months ended March 31, 2022, the Vancouver, British Columbia-based cybersecurity solutions provider reported C$6,953,052 in revenue, compared to C$75,761 in revenue in the first quarter of 2021.
Hardware and systems sales revenue made up 93.4% of the revenue figure this quarter, in stark contrast to no hardware and systems sales revenue being recorded in the comparable period a year earlier.
“The increase in total revenue was primarily attributable to revenue generated by the Solutions Division from Aurora Systems and Integra Networks,” the Leede Jones Gable analysts said in a note to clients.
“Adjusted earnings before interest, taxes, and amortization (EBITDA) loss for Q1/22 was $1.9 million, compared to our loss forecast of $1.3 million. The higher EBITDA loss was attributable, slightly lower gross margin and higher sale and marketing and R&D expenses.”
Leede Jones Gable noted that their positive investment “thesis remains intact”.
“Since January 1, 2022, announced purchase orders represent a combined total of US$6.7 + millions in disclosed sales,” said the analysts. “Plurilock’s balance sheet remains strong and it ended Q1/22 with cash of approximately $6 million.”
Plurilock offers world-class cybersecurity solutions paired with AI-driven, cloud-friendly security technologies for workforces. The company's solutions use patented behavioral-biometrics and layered identity signals for high security.
Contact the author Uttara Choudhury at uttara@proactiveinvestors.com
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