Rekor Systems, Inc. (REKR) Bundle
A Brief History of Rekor Systems, Inc. (REKR)
Company Formation and Early Years
Rekor Systems, Inc. was established in 2017, originally operating under the name Rekor Network, Inc.. The company began as a technology platform focused on providing advanced analytics and artificial intelligence solutions for traffic management and public safety.
Public Offering
In 2020, Rekor went public via a reverse merger with a publicly traded company, thereby trading on the NASDAQ under the ticker symbol REKR. The merger facilitated an influx of capital, enabling the company to accelerate product development.
Product Development and Innovations
Rekor specializes in automated license plate recognition (ALPR) systems. In 2021, they reported a significant improvement in the accuracy of their ALPR technology, achieving a detection accuracy rate of over 99%. The technology has been implemented in various sectors, including law enforcement, parking management, and tolling systems.
Financial Growth
For the year ended December 31, 2021, Rekor reported revenue of $4.5 million, which was a substantial increase from the $1.2 million reported in 2020. The company has shown consistent revenue growth driven by increased demand for its technology.
| Year | Revenue ($ millions) | Net Income ($ millions) | Market Capitalization ($ millions) |
|---|---|---|---|
| 2019 | 0.5 | -3.0 | 50 |
| 2020 | 1.2 | -2.5 | 75 |
| 2021 | 4.5 | -3.5 | 150 |
| 2022 | 10.0 | -4.0 | 200 |
Industry Partnerships
Throughout its history, Rekor has established key partnerships with various technology and software companies. In 2021, they announced a partnership with Microsoft to enhance their cloud capabilities, further improving their product offerings.
Acquisition Strategy
In 2022, Rekor acquired OpenALPR, a leader in ALPR technology, for $28 million. This strategic acquisition aimed to expand Rekor's technology portfolio and market reach.
Recent Developments
As of October 2023, Rekor announced a new contract with the city of Los Angeles valued at $3 million to implement its ALPR systems for citywide traffic management. The project is expected to enhance public safety and optimize traffic flow.
Stock Performance
Rekor's stock performance has shown volatility since its public listing. As of October 2023, REKR's stock price is approximately $4.20, with a year-to-date change of +25% from its beginning price of $3.36.
Future Outlook
The company is focusing on expanding its footprint in the smart city technology market, with a projected annual growth rate of 22% through 2025. Rekor aims to enhance its product offerings and gain new contracts across various states in the U.S.
A Who Owns Rekor Systems, Inc. (REKR)
Institutional Ownership
Institutional Ownership
As of the latest filings, institutional ownership plays a significant role in Rekor Systems, Inc. The following table outlines the key institutional stakeholders:
| Institution | Shares Owned | Percentage of Total Shares | Last Reported Date |
|---|---|---|---|
| The Vanguard Group | 1,344,000 | 9.3% | 2023-09-30 |
| BlackRock, Inc. | 1,200,000 | 8.2% | 2023-09-30 |
| Invesco Ltd. | 900,000 | 6.1% | 2023-09-30 |
| Renaissance Technologies LLC | 800,000 | 5.5% | 2023-09-30 |
| State Street Corporation | 750,000 | 5.1% | 2023-09-30 |
Insider Ownership
Insider ownership is also a vital factor to consider. The recent data reflects the following distribution of shares held by insiders:
| Name | Position | Shares Owned | Percentage of Total Shares |
|---|---|---|---|
| William McGowan | CEO | 500,000 | 3.4% |
| Richard McGowan | Chairman | 400,000 | 2.7% |
| Susan Smith | CFO | 250,000 | 1.7% |
| James Williams | COO | 200,000 | 1.4% |
Shareholder Base
The shareholder base of Rekor Systems is diverse, comprising various individual and institutional investors. Below is a summary of the major shareholder categories:
- Institutional Investors: 37% of total shares
- Insider Ownership: 9.2% of total shares
- Retail Investors: 53.8% of total shares
Recent Stock Performance
The stock performance has been notable in recent months. Here is a summary of the financial performance:
| Date | Stock Price | Market Cap | EPS |
|---|---|---|---|
| 2023-10-01 | $15.25 | $220 million | $0.45 |
| 2023-09-01 | $14.80 | $205 million | $0.40 |
| 2023-08-01 | $13.50 | $190 million | $0.35 |
| 2023-07-01 | $12.80 | $180 million | $0.30 |
Future Prospects
The future outlook of Rekor Systems, Inc. is influenced by various factors including market demand and growth potential. The following points provide insight into potential developments:
- Expansion into new markets
- Increase in product offerings
- Strategic partnerships and collaborations
Rekor Systems, Inc. (REKR) Mission Statement
Company Overview
Rekor Systems, Inc. (REKR) is a technology company specializing in real-time automatic license plate recognition (ALPR) solutions. The company operates in various sectors, including public safety, transportation, and intelligent transportation systems.
Mission Statement
Rekor Systems, Inc. aims to deliver cutting-edge technology that enhances public safety and improves operational efficiency while maintaining a commitment to innovation and customer satisfaction.
Core Values
- Innovation: Commitment to developing advanced technology solutions.
- Integrity: Upholding honesty and transparency in operations.
- Customer Focus: Prioritizing customer needs and feedback in product development.
- Collaboration: Encouraging teamwork and partnership within the community.
Financial Performance
As of the latest financial reports for the fiscal year 2022, Rekor Systems reported the following numbers:
| Financial Metric | Amount (in USD) |
|---|---|
| Revenue | $14.6 million |
| Net Loss | $(12.8) million |
| Total Assets | $8.9 million |
| Total Liabilities | $20.2 million |
Market Position
Rekor Systems has established a significant presence in the ALPR market, with an estimated market share of approximately 5% as of 2023. The global ALPR market is projected to reach $3 billion by 2026, growing at a CAGR of 9.7% from 2021 to 2026.
Strategic Goals
- To expand the customer base by 30% over the next year.
- To increase revenue by 25% year-over-year.
- To enhance product features based on user feedback, aiming for a customer satisfaction rate of over 90%.
Recent Developments
In 2023, Rekor Systems announced partnerships with various law enforcement agencies, enhancing their ALPR capabilities and expanding their deployment across urban areas. The company also reported the deployment of its technology in over 200 municipalities nationwide.
Conclusion of Mission Alignment
The mission of Rekor Systems, Inc. aligns closely with its ongoing commitment to innovation in public safety technology and active engagement with stakeholders, culminating in improved solution delivery across markets.
How Rekor Systems, Inc. (REKR) Works
Business Overview
Business Overview
Rekor Systems, Inc. (REKR) provides solutions in the field of public safety and transportation through advanced artificial intelligence (AI) and machine learning capabilities. The company specializes in Automatic Number Plate Recognition (ANPR) technology, which allows for the identification and analysis of vehicle license plates.
Technology and Solutions
Rekor’s platform leverages AI to offer various services:
- Automatic License Plate Recognition
- Traffic management solutions
- Analytics and reporting tools for public safety
- Real-time monitoring systems
- Cloud-based data storage and management
Financial Performance
As of Q2 2023, Rekor Systems reported the following financial data:
| Metric | Amount |
|---|---|
| Revenue | $5.5 million |
| Net Loss | ($2.1 million) |
| Total Assets | $12.7 million |
| Stockholder Equity | $7.4 million |
Market Position
Rekor operates within a growing market, primarily in the North American region, with significant contracts and partnerships:
- Over 200 law enforcement agencies utilize Rekor’s technologies.
- Partnerships with state and local governments enhance service reach.
- Expansion efforts into international markets are ongoing, particularly in Europe.
Recent Developments
Key developments in 2023 include:
- Launch of a new cloud-based platform for enhanced data analytics.
- Contract with the City of Columbus for integrated traffic solutions.
- Introduction of new collaborations with technology partners to innovate product offerings.
Stock Performance
As of September 2023, the stock performance metrics for REKR are as follows:
| Metric | Value |
|---|---|
| Current Stock Price | $1.25 |
| Market Cap | $63 million |
| 52-week Range | $0.85 - $2.10 |
| Volume (Average) | 350,000 shares |
Strategic Partnerships
Rekor has formed strategic alliances to enhance its service delivery:
- Partnership with Global Traffic Technologies
- Collaboration with law enforcement agencies for enhanced safety measures
- Engagements with data analytics companies for better operational insights
Future Outlook
Rekor's strategic initiatives focus on:
- Expanding product offerings in the AI-driven market.
- Increasing footprint in North American and global markets.
- Enhancing technology through continuous R&D investment.
How Rekor Systems, Inc. (REKR) Makes Money
Revenue Streams
Revenue Streams
Rekor Systems, Inc. generates revenue primarily through the following channels:
- Software Sales: Licensing of proprietary software for vehicle recognition and analytics.
- Hardware Sales: Selling integrated hardware systems including cameras and sensors.
- Subscription Services: Recurring revenue from cloud-based solutions and data services.
- Consulting Services: Providing expert analysis and implementation strategies for clients.
Financial Performance
As of the latest financial reports, Rekor Systems, Inc. has demonstrated growth in its revenue streams:
| Year | Total Revenue (in millions) | Net Income (in millions) | Gross Margin (%) |
|---|---|---|---|
| 2021 | $3.5 | ($5.2) | 30% |
| 2022 | $9.2 | ($4.1) | 40% |
| 2023 (YTD) | $6.5 | (Projected: $2.0) | 45% |
Customer Segments
The customer base for Rekor Systems, Inc. is diverse, including:
- Government Agencies: Local, state, and federal law enforcement agencies.
- Transportation Sector: Companies and municipalities focusing on traffic management.
- Private Sector: Businesses requiring enhanced security and operations analytics.
Key Partnerships
Strategic alliances play a crucial role in Rekor's revenue generation:
- Technology Partners: Collaborations with technology firms to enhance product offerings.
- Government Contracts: Securing contracts that provide steady revenue.
Market Engagement
Rekor Systems engages in various marketing strategies to drive revenue:
- Trade Shows: Participation in industry trade shows to showcase technology.
- Digital Marketing: Utilize online platforms to reach potential customers.
Recent Developments
The recent financial actions include:
| Event | Date | Impact on Revenue |
|---|---|---|
| Acquisition of Aware Software | August 2023 | Expected increase in service revenue by 20% |
| New Government Contract | September 2023 | Estimated $1.5 million in annual revenue |
Future Projections
The projections for Rekor Systems’ revenue growth are promising:
- Growth Rate: Expected CAGR of 25% over the next five years.
- Market Expansion: Plans to enter new geographic markets including Europe and Asia.
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