LogicMark Reports 31% Revenue Growth in Q1
PERS maker LogicMark emerges from reverse stock split in April with solid revenue growth in first quarter.
LogicMark makes a PERS solution and has recently partnered with US Monitoring on a new subscription model.
LogicMark, Inc. (Nasdaq: LGMK), a provider of personal emergency response systems (PERS), health communications devices, and technology, announced its revenues for Q1 2023 ended March 31 rose 31% versus the prior quarter. The company’s gross profit in the first quarter was $1.9 million, up 41% from the prior quarter. Gross margin in the first quarter was 66.3%.
In January 2023, LogicMark completed a registered public offering of common stock, raising $5.2 million in gross proceeds. In April, the company executed a 1-for-20 reverse stock split of its outstanding shares of Common Stock and Series C Redeemable Preferred Stock in order to regain compliance with Nasdaq listing requirements. Prior to the reverse stock split, the stock had sunk to just $0.23 cents per share. The stock is at $3.30 per share today.
Other highlights from the company include the launch of the LogicMark store on Amazon, expanding its B2C sales channel, and partnering with US Monitoring to offer 24/7 monitoring services. LogicMark’s cash balance on March 31, 2023 was $9.8 million, up from $7 million on December 31, 2022.
Chia-Lin Simmons, LogicMark’s Chief Executive Officer, commented, “Our recent launch of the LogicMark store on Amazon’s platform represents a pivotal expansion of our B2C footprint, establishing yet another channel upon which to grow sales, especially in light of our upcoming product launch activities slated for second half of 2023. Amazon, as the largest online retailer in the country, presents an enormous opportunity for LogicMark to expand its reach. We are pleased to see a steady stream of sales emerging from this new channel which just launched mid-April and look forward to expanding the store offerings with upcoming product launches.”
Coinciding with this expansion is our exciting new 24/7 monitoring service partnership with US Monitoring. This represents the launch of our new subscription revenue model and opportunities to enhance the services margins for LogicMark which has, until now, been a pure hardware company. US Monitoring, a U.S.-based company, provides national wholesale monitoring services.
Back in 2016, LogicMark was acquired by NXT-ID for $20 million. Back in 2012, SSI Hall of Famer Ben Cornett was among the acquirers of LogicMark.
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About the Author
Jason Knott
Jason Knott is Chief Content Officer for Emerald Expositions Connected Brands. Jason has covered low-voltage electronics as an editor since 1990, serving as editor and publisher of Security Sales & Integration. He joined CE Pro in 2000 and serves as Editor-in-Chief of that brand. He served as chairman of the Security Industry Association’s Education Committee from 2000-2004 and sat on the board of that association from 1998-2002. He is also a former board member of the Alarm Industry Research and Educational Foundation. He has been a member of the CEDIA Business Working Group since 2010. Jason graduated from the University of Southern California. Have a suggestion or a topic you want to read more about? Email Jason at [email protected]
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