Root9b Technologies Inc (OTCMKTS:RTNB) didn’t started the year on strong note and traded almost flat with thin volumes. However, recently the stock has been fetching attention of shareholders with some spikes in daily volumes.
On Friday’s trading session, the stock price of RTNB surged more than 2% to close the trading session at $1.80. The gains came at a share volume of 709,635 compared to average share volume of 236,072. The ticker made a 52-week high of $1.85 and then retreated to close at $1.80.
The performance
Root9b Technologies is doing well in the cybersecurity business. The company doesn’t possess enough cash reserves but generates considerable revenues. As per the annual report for FY2014, the cash reserves came at $765,000. The current assets were $4.99 million while current liabilities stood at $6.06 million. The revenue in the year was $20.17 million and net loss came at $24.43 million.
The company is posting significant revenues compared to various other OTC firms. However, the problem is with net loss. The revenues have declined almost 20% YOY while the net loss has surged by almost 300% to $24.43 million in FY2014 from $6.12 million in FY2013. Root9b has been generating revenues in seven digits but is seems meaningless if the company cannot turn profitable soon.
The outstanding count
Root9b Technologies reported 72 million of outstanding shares in mid-March compared to 32 million outstanding shares in November 2014. Despite the poor show in terms of net loss in 2014, the company boasts a market cap of almost $130 million.
The credit can also be given to its rank in Cybersecurity 500 list, as now it holds ‘45’ rank in the list compared to last rank of ‘216.’ The company operates in a growing industry and should take some substantial measures to turn itself into a profitable unit.
