The field mobility market is expected to grow from $9 billion in 2009 to $10.3 billion in 2010, a 14% year over year growth rate. When delivering packages, it is becoming increasingly necessary to have constant contact with headquarters, real time GPS tracking, and durable, efficient, hardware. In an industry so competitive, dominated by large national brands, productivity and timely delivery are essential. Decision Point Systems is taking the technology utilized by the National shipping companies such as Fedex and UPS and placing it in the hands of smaller firms in an affordable manner.
On June third, DNPI announced the launch of MobileArc for couriers, an end to end solution that provides a mobile computation unit, activation on a national carrier network as well as the specialized software considered necessary for expedited delivery and distribution in the market place. For hardware, the company recommends the MC55 or MC75, built by Motorola, both of these models package a cell phone, a mobile computer, a bar code scanner and a digital color camera into one device, allowing for constant updates and paperless service. For software, the company has partnered with CXT software solutions which provides a variety of platforms for efficient package delivery.
In the latest quarter results the company reported a revenue increase for the fourth quarter of 2009 of 14%, an increase from $11.5 million to $13.1 million in one year. Nicholas Toms, CEO commented on the results with the following quote, “2009 was a transformative year for DecisionPoint," as we changed the direction of the company to focus on higher margin, customer-driven mobile wireless and RFID software and service solutions. In fact, Q4 marked our third consecutive quarter of year-over-year EBITDA growth and second sequential quarter of profitability. From an operational perspective, we achieved what we set out to accomplish in 2009: diversification of our revenue and customer base, margin expansion, and a return to profitability. Our success in signing significant new customer contracts and expanding an already robust pipeline provides us continued optimism for fiscal 2010. We remain focused on profitable growth and expansion of higher margin solutions and services,"
Today, the company announced the solidification of 15+ contracts at a total value of over $1.2 million for the Mobile Arc for courier’s solution, reflecting some demand for the new product. Currently, DNPI is trading at $.43 down .02 or 4% on fairly thin volume. The company’s equity price experienced a rough April, May and June but appears to be bouncing back from a rough three months as summer reaches full swing.