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SALT LAKE CITY, May 15, 2023 (GLOBE NEWSWIRE) — OMNIQ Corp. (NASDAQ: OMQS) (“OMNIQ” or “the Company”), a provider of Artificial Intelligence (AI) and IoT – based solutions announces record Q1 2023 revenue of $27.8M.

  Record Revenue of $27.8 Million a 6% YoY increase, 11% sequential increase over Q4 2022
  Gross Profit of $5.7 Million vs $6.1 Million in Q1 2022, and vs $4 Million in Q4 2022
  AI Machine Vision Revenue increased by 88% following a 100% in Q4 2022 driven by strong customer demand across Public Safety and Automation of Parking
  OMNIQ’s Q Shield, AI based safe city solution has contracted 3 new cities in Q1 2023 and has expanded its pipeline into new states.
  Cash of $3.2 Million vs. $1.3 Million in December 31st, 2022.

Additional Q1 2023 and recent events:

  Purchase orders for its AI based parking and security solution for 4 Additional airports in Texas and California
  Q Shield AI based Machine Vision Safe City System added 3 new cities in GA and IO
  Awarded multiyear supply contract from “Clalit” Israel’s’ largest health organization, to produce, supply, and install Self-Service Patient Management Kiosks with an estimated value of $3m
  Current (Q2)
   Purchase order for its AI based Border and Public Safety System with unique feature of Real Time Anomaly Detection deployed in sensitive areas in the Middle East
  CEO featured on Wall Street Resource Webcast
  Q Shield AI based Machine Vision System adds Gun Shot Detection technology

“Our team’s focused efforts lead to another strong quarter resulting in record-breaking revenues of $27.8 million,” said Shai Lustgarten, CEO of OmniQ. “Importantly, we saw a significant rebound in margins from Q4 2022 to Q1 2023 of 21.8% vs 16%, a trend which we feel confident will continue. Each of our verticals experienced strong growth, with our AI sector seeing a sales increase of 88% following last quarter’s 100% increase. Our AI margins continue to improve, as a result of strong execution and driven by our proprietary parking and security solution.

“In addition, our Safe City division has seen a dramatic increase in demand from both our currently deployed states as well as expansion into new states. Our overall growth came from a wide group of customers and variety of sectors including safe city, supply chain, parking, hospitals, restaurant and retail. This diversity continues to not only solidify our growth plans, it also shows once again that our technology has demand and success from multiple large verticals who depend on our technology and services to improve their day-to-day operations.

“We are pleased to report that our company has maintained a strong momentum, and we look forward to Q2 and beyond. Our growth strategy is yielding positive results as we take proactive measures to increase efficiency and drive profitability.

I express my sincere gratitude to our dedicated employees for their hard work, innovative thinking, and unwavering commitment to excellence. It is through their collective efforts that we have become the preferred supplier for some of the most demanding customers in the world. I would also like to extend a special thanks to our valued investors and partners for their continued support, which enables us to pursue our growth strategy with confidence.”

First Quarter 2023 Financial Results

OMNIQ reported revenue of $27.8 million for the quarter ended March 31, 2023, an increase of 6% from $26.3 million in the first quarter of 2022. Our Gross Margin in the first quarter was 20.5% compared to the first quarter of 2022 which had gross margin of 23.3%. Total operating expenses for the quarter were $7.7 million, compared with $7.5 million in the first quarter of 2022.

Net loss for the quarter was $3.5 million, or a loss of $0.45 per basic share, compared with a loss of $2.6 million, or a loss of $0.34 per basic share, for the first quarter of last year.

Adjusted EBITDA (adjusted Earnings Before Interest, Taxes, Depreciation and Amortization) for the first quarter of 2023 amounted to a loss of $0.7 million compared with an adjusted EBITDA loss of $0.2 million in the first quarter of 2022.

Cash balance at December 31, 2022 was approximately $3.2 million compared with $1.3 million at December 31, 2022

Earnings Call Details

To participate in this event, dial approximately 5 to 10 minutes before the beginning of the call.

Event Date: May 16th 2023– 11:00 AM Eastern Time

Toll Free: 888-506-0062
International: 973-528-0011
Participant Access Code: 296041
Event Link: Webcast URL:

Replay Number:

Toll Free: 888-506-0062
International: 973-528-0011
Replay Passcode: 48435
Replay will be available on the company website at under the investor tab.

About omniQ Corp.

omniQ Corp. (Nasdaq: OMQS) provides computerized and machine vision image processing solutions that use patented and proprietary AI technology to deliver data collection, real-time surveillance and monitoring for supply chain management, homeland security, public safety, traffic & parking management, and access control applications. The technology and services provided by the Company help clients move people, assets, and data safely and securely through airports, warehouses, schools, national borders, and many other applications and environments.

omniQ’s customers include government agencies and leading Fortune 500 companies from several sectors, including manufacturing, retail, distribution, food and beverage, transportation and logistics, healthcare, and oil, gas, and chemicals. Since 2014, annual revenues have grown to more than $50 million from clients in the USA and abroad.

The Company currently addresses several billion-dollar markets, including the Global Safe City market, forecast to grow to $29 billion by 2022, and the Ticketless Safe Parking market, forecast to grow to $5.2 billion by 2023. For more information, visit

Information about Forward-Looking Statements

“Safe Harbor” Statement under the Private Securities Litigation Reform Act of 1995. Statements in this press release relating to plans, strategies, economic performance and trends, projections of results of specific activities or investments, and other statements that are not descriptions of historical facts may be forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995, Section 27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934.

This release contains “forward-looking statements” that include information relating to future events and future financial and operating performance. The words “anticipate”, “may,” “would,” “will,” “expect,” “estimate,” “can,” “believe,” “potential” and similar expressions and variations thereof are intended to identify forward-looking statements. Forward-looking statements should not be read as a guarantee of future performance or results, and will not necessarily be accurate indications of the times at, or by, which that performance or those results will be achieved. Forward-looking statements are based on information available at the time they are made and/or management’s good faith belief as of that time with respect to future events, and are subject to risks and uncertainties that could cause actual performance or results to differ materially from those expressed in or suggested by the forward-looking statements. Important factors that could cause these differences include, but are not limited to: fluctuations in demand for the Company’s products particularly during the current health crisis , the introduction of new products, the Company’s ability to maintain customer and strategic business relationships, the impact of competitive products and pricing, growth in targeted markets, the adequacy of the Company’s liquidity and financial strength to support its growth, the Company’s ability to manage credit and debt structures from vendors, debt holders and secured lenders, the Company’s ability to successfully integrate its acquisitions, and other information that may be detailed from time-to-time in omniQ Corp.’s filings with the United States Securities and Exchange Commission. Examples of such forward looking statements in this release include, among others, statements regarding revenue growth, driving sales, operational and financial initiatives, cost reduction and profitability, and simplification of operations. For a more detailed description of the risk factors and uncertainties affecting omniQ Corp., please refer to the Company’s recent Securities and Exchange Commission filings, which are available at omniQ Corp. undertakes no obligation to publicly update or revise any forward-looking statements, whether as a result of new information, future events or otherwise, unless otherwise required by law.


[email protected]


    As of  
(In thousands, except share and per share data)   March 31, 2023     December 31, 2022  
Current assets                
Cash and cash equivalents   $ 3,230     $ 1,311  
Accounts receivable, net     25,649       23,893  
Inventory     8,885       8,726  
Prepaid expenses     1,632       1,268  
Other current assets     729       473  
Total current assets     40,125       35,671  
Property and equipment, net of accumulated depreciation of $1,030 and $1,030 respectively     1,361       1,086  
Goodwill     16,483       16,542  
Trade name, net of accumulated amortization of $6,283 and $4,458, respectively     1,670       1,826  
Customer relationships, net of accumulated amortization of $11,001 and $10,762, respectively     4,604       4,967  
Other intangibles, net of accumulated amortization of $2,216 and $1,541, respectively     621       675  
Right of use lease asset     1,986       2,300  
Other assets     1,620       1,744  
Total Assets   $ 68,470     $ 64,811  
Current liabilities                
Accounts payable and accrued liabilities   $ 58,216     $ 54,736  
Line of credit     5,225       1,971  
Accrued payroll and sales tax     2,637       2,633  
Notes payable, related parties – current portion     195       293  
Notes payable – current portion     10,843       11,572  
Lease liability – current portion     890       942  
Other current liabilities     1,733       1,394  
Total current liabilities     79,739       73,541  
Long term liabilities                
Accrued interest and accrued liabilities, related party     72       72  
Notes payable, less current portion     44       55  
Lease liability     1,141       1,404  
Other long-term liabilities     314       265  
Total liabilities     81,310       75,337  
Stockholders’ deficit                
Series A Preferred stock; $0.001 par value; 2,000,000 shares designated, 0 shares issued and outstanding            
Series B Preferred stock; $0.001 par value; 1 share designated, 0 shares issued and outstanding            
Series C Preferred stock; $0.001 par value; 3,000,000 shares designated, 502,000 shares issued and outstanding, respectively     1       1  
Common stock; $0.001 par value; 15,000,000 shares authorized; 7,884,878 and 7,714,780 shares issued and outstanding, respectively.     8       8  
Additional paid-in capital     74,458       73,714  
Accumulated deficit     (87,975 )     (84,460 )
Cumulative Translation Adjustment     668       211  
Total OmniQ stockholders’ deficit     (12,840 )     (10,526 )
Total liabilities and deficit   $ 68,470     $ 64,811  

The accompanying unaudited notes should be read in conjunction with these unaudited condensed consolidated financial statements.


    For the Three months ended  
    March 31,  
(In thousands, except share and per share data)   2023     2022  
Total Revenues   $ 27,821     $ 26,322  
Cost of goods sold                
Cost of goods sold     22,099       20,194  
Gross profit     5,722       6,128  
Operating expenses                
Research & Development     423       523  
Selling, general and administrative     6,766       6,476  
Depreciation     108       93  
Amortization     436       445  
Total operating expenses     7,733       7,537  
Loss from operations     (2,011 )     (1,409 )
Other income (expenses):                
Interest expense     (938 )     (812 )
Other (expenses) income     (751 )     (264 )
Total other expenses     (1,689 )     (1,076 )
Net Loss Before Income Taxes     (3,700 )     (2,485 )
Provision for Income Taxes                
Current     193       (84 )
Total Provision for Income Taxes     193       (84 )
Net Loss     (3,507 )     (2,569 )
Net income attributable to noncontrolling interest           67  
Net Loss attributable to OmniQ Corp   $ (3,507 )   $ (2,636 )
Net Loss   $ (3,507 )   $ (2,569 )
Foreign currency translation adjustment     457       (10 )
Comprehensive loss   $ (3,050 )   $ (2,579 )
Reconciliation of net loss to net loss attributable to common shareholders                
Net loss   $ (3,507 )   $ (2,569 )
Less: Dividends attributable to non-common stockholders’ of OmniQ Corp     (8 )     (48 )
Net income attributable to noncontrolling interest           67  
Net loss attributable to common stockholders’ of OmniQ Corp   $ (3,515 )   $ (2,684 )
Net loss per share – basic attributable to common stockholders’ of OmniQ Corp   $ (0.45 )   $ (0.34 )
Weighted average number of common shares outstanding – basic     7,749,870       7,511,376  


    Three Months ended  
(In thousands)   March 31,  
Adjusted EBITDA Calculation   2023     2022  
Net loss     (3,507 )     (2,569 )
Depreciation & amortization     544       538  
Interest expense     938       811  
Income taxes     (193 )     84  
Stock compensation     516       457  
Nonrecurring loss events     790       491  
Adjusted EBITDA     (912 )     (188 )
Total revenues, net     27,822       26,322  
Adjusted EBITDA as a % of total revenues, net     (3 )%     (1 )%