- Software company archTIS (AR9) has released its June quarterly report, showing it had around $2.5 million in the bank at the end of the quarter
- The strong result follows a capital raise by the company in May and June, worth around $2.26 million
- But archTIS spent $857,000 on operating costs in the three months to the end of June, almost double what it spent in the March quarter
- However, two contracts were awarded to the company, with more expected as the Government invests in cybersecurity
- Shares in archTIS have taken a hit following the report's release, down 12.2 per cent, trading for 21.5 cents per share
Software company archTIS (AR9) has released its June quarterly report, showing while it has almost $2.5 million in the bank, operating costs have doubled.
The company was paid $190,000 by customers over the three months to June, to bring its total cash in the bank to $2.46 million.
The majority of that figure comes from a recent capital raise by archTIS, who raised $2.26 million in May and June this year via a share purchase plan and placement.
But the company's operating costs more than doubled this quarter, from $419,000 in March, to $857,000 at the end of June.
Of the $857,000 spent, the vast majority went to paying staff, administration and corporate costs.
However, archTIS is expecting an increase in customers following its successful push into the government sector.
The Federal Government has also announced $1.35 billion will be spent bolstering our cybersecurity, which the company's CEO believes is a real opportunity.
"archTIS is pleased to have concluded a productive quarter that has seen the company expand the markets in which we sell our Kojensi product to the private sector underpinning our commercialisation strategy," said archTIS CEO Daniel Lai.
"This was marked by important wins in defence industry and the education and space sectors, including contracts secured with global military systems integrator Northrop Grumman and leading Australian educational institution Curtin University," he added.
Today's mixed bag of results appears to have spooked some investors, with archTIS' share price dropping 12.2 per cent, to 21.5 cents per share at 3.55 pm AEST.