Inpixon (NASDAQ:INPX) posted financial report for the second quarter closed June 30, 2017 and released an update on corporate developments. Nadir Ali, the CEO, expressed that in the second quarter, the company accomplished much in the segments of market and engineering outreach to further strengthen their base as a major provider of unique Indoor Positioning Analytics offerings.
With growing customer acceptance and pipeline, they anticipate that their sales cycles will continue to enhance as they grow from the initial phases of indoor positioning know-how and advance the learning curve needed for consumers to rollout such solutions in more sites. They are also delighted with the growth in their Infrastructure division leading mainly from their government deals, which they anticipate will increase revenues in the coming quarters as compared to historical results.
For Q2 2017, net revenues came at $15.1 million as against $13.3 million for the same period in the previous year. This $1.8 million jump in revenues was mainly attributable to the acquisition deal of Integrio Technologies in 2016. For the reported, Indoor Positioning Analytics revenue came at $1.2 million as against $1.3 million for the same period, a year ago. Infrastructure revenue stood at $13.9 million for the quarter closed June 30, 2017, as compared to $12.1 million for the previous year period.
Inpixon reported that gross profit for the three-month period closed June 30, 2017 stood at $3.4 million, unchanged over the same period in 2016. The gross profit margin came at 22% in Q2 2017 compared to 26% for the previous year period. The drop in gross margin was mainly due to lower gross margins on the Integrio sales which is included in the Infrastructure division. Gross margins for Indoor Positioning Analytics segment came at 67% as compared to 77% in the same period, a year ago.