Park City Group has record quarter
Ryan Summerlin February 19, 2013
As one of the few publically traded companies in the area, the Park City Group is taking off, announcing record numbers for its fiscal second quarter which ended December 31, 2012. Park City Group is a Software-as-a-Service (SaaS) provider and launched a "supply chain solutions" for retailers and suppliers, the Park City Group Global Food Registry.
"Business is wonderful," said Randall Fields, the Park City Group’s Chairman and CEO. "In part, retailers and suppliers are concerned with food safety, and more and more they are concerned with tracking out-of-stock and over-stocked products. We help them with that. You could say we are hitting on all eight cylinders; every part of the business is doing well."
"We had wins selling additional supply chain management services to existing customers, which is a validation for the value of our end-to-end supply chain solutions," he added " The scale of these retailers, all of which are among the largest in the world, is an order of magnitude greater than most of our existing customers and should provide for accelerated growth as we move through the phases of implementation."
The Park City Group Global Food Registry, which was created as a way to track food from shipment to shipment all along the food chain, works to provide a new system in pinpointing where food borne illnesses originate. And with the food tracking software, the company hopes to add ways to track medicinal drug manufacturing in the United States, ReposiTrak, Inc.
Before the software was launched, the system for tracking food borne illnesses was done manually, Fields said, and that there was no electronic system in place to track food. Because outbreaks are traced the old fashioned way, Fields said it would take a month or more to find the origins of an outbreak and all the places the contaminated food ended up.
"Food supply is very opaque," he said. "We try to make it apparent. When problems around food safety occur, people think about what we do."
Subscription revenue to the registry grew by 16 percent in the first quarter, a record $2 million in sales to new and existing customers, a press release from the company stated. The company also had a record in year-to-date subscription revenue, $3.9 million or a 14 percent increase from the previous year.
Other revenue streams from the company decreased slightly, an approximated $0.2 million, which was expected with the strategic shift to the recurring subscription revenue model, placing total estimated revenue increasing by 4 percent or $2.7 million.
"I think people should be increasingly happy with how we are performing," Fields said. "As a CEO, I am so pleased with the performance of our team and am very excited about our outlook."
"From where we stand today, we expect to achieve record results for the fiscal year," he added. " our business should deliver predictable and sustainable growth in revenue and earnings for the next several years."