PASSUR® Aerospace Announces Results for the First Quarter Ended January 31, 2018 and Launching of New Business Intelligence and Analytics Group

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Apr 02, 2018, 10:12 ET

STAMFORD, Conn., April 2, 2018 /PRNewswire/ -- PASSUR® Aerospace, Inc. (OTC: PSSR), a business intelligence, predictive analytics, and big data company, announced the formation of a new Business Intelligence Group, the hiring of Ilhan Ince, Vice President of Business Intelligence and Analytics, formerly Managing Director of Operations Planning and Performance at American Airlines, as well as the financial results for the first quarter, FY 2018.

Launch of PASSUR's Business Intelligence Group (PASSUR BI) – Led by Ilhan Ince, Vice President of Business Intelligence and Analytics

Mr. Ince joined PASSUR as the VP of Business Intelligence and Analytics in December 2017. Previously, Mr. Ince was the Managing Director of the American Airlines Operations Planning and Performance team, responsible for operations planning and analysis including operational goals development, improved performance and operating efficiency through strategic planning, big data analytics, process re-engineering and decision support system implementation. His first transportation industry position was with the US Airways Operations Research team developing schedule optimization software. He has since worked on many aspects of airline operations and network optimization including block planning, robust schedule development, and operations recovery.

"Ilhan Ince brings an enormous amount of experience and a fantastic reputation with airlines and other important industry stakeholders," said Jim Barry, PASSUR President and CEO. "Our new PASSUR BI Group, under Ilhan's leadership, puts together many of the investments we've made in the last several years into a single organization – and we believe allows us to have an even more meaningful and measurable impact on our customers' operational performance – and thus help us to increase PASSUR revenue globally."

Under Mr. Ince's leadership, PASSUR will deliver actionable intelligence and analytics to airlines and airports from the following capabilities:

The PASSUR global database of flight and operations information, integrating multiple additional industry data sets, including from the PASSUR sensor network, into its integrated aviation database, along with data from a variety of additional aircraft, airspace, and ground surveillance technologies;
The widely-deployed aviation intelligence solutions platform used by hundreds of industry stakeholders to measure and optimize NAS operations;
Experience in managing, integrating, and deriving meaningful information from multiple data sources;
Over 15 years of experience in dashboards and data visualization;
The Company's Aviation Intelligence Center of Excellence ("CoE"), a team of subject matter experts with extensive experience in airline, airport and business aviation operations, finance, air traffic management, systems automation, and data visualization, with specific expertise in the operational and business needs, requirements, objectives, and constraints of the aviation industry.

PASSUR BI: Helping airlines and airports use actionable intelligence to improve operational performance

PASSUR BI is intended to help unlock the savings that could result from better real-time analytics.
Allows for easy interpretation of big data generated within our proprietary sensor networks, and the ability to identify actionable new metrics that impact our customers and partners, whether they are financial (cost savings), operational (fewer delays/cancellations/diversions), or human (bags and passengers connected).
Includes dashboard development, product benchmarking, and targeted analytics around system performance, all of which provide airlines and airports the opportunity to segment their most important operational objectives, and then receive alerts and recommendations to actions they can take to achieve their goals.
Provides analytics and consulting for airline and airport projects including performance review, hub structure design, and robust schedule development, which are now available in streamlined and cost-effective solutions.
Will help aviation organizations and professionals identify the most important problems to target, where to invest resources for the greatest gains, and create "before" and "after" profiles to measure their return on investment.

Aviation Analytics – potential airline and airport savings in the billions annually

Commercial airlines provide the best example of how data analytics are driving improved efficiency through better on-time arrivals, reduced delays and new maintenance techniques.
It has been estimated that $5-6 billion annually of global airline operating costs can be reduced through the new connectivity and advanced analytics (*The Data Science Revolution That's Transforming Aviation, Forbes Magazine. June 16, 2017.)
Help airlines and airports increase their capacity to process information and use advanced analytics in artificial intelligence to help inform operations – and in real time.
Easy access to aircraft performance data via web-based dashboards, spreadsheets and applications provided by data analytics enabled by the internet of things (IOT) will continue to expand.

Opening Regional Dallas Office – positions PASSUR near large airline and airport customers, and technology partners

PASSUR recently opened its latest regional office in Dallas, Texas. Our Business Intelligence and Analytics group is located in this office, ideally placed to interact with the national carriers, major airports, and PASSUR technology partners also headquartered in the southwest US. Additionally, this office supports PASSUR's growth strategy into international markets as it is a gateway into Mexico and Latin America.

Reports financial results for the first quarter, ended January 31, 2018 – continued significant increase in operating expenses to build out our Business Intelligence capabilities and help achieve other strategic objectives

For Q1, 2018, PASSUR announced revenues of $3,513,000 for the three months ended January 31, 2018, compared with $3,616,000 for the same period in fiscal year 2017, a decline of $102,000, or 3%. The decline in revenues for the three months ended January 31, 2018, was primarily due to lost revenue from expired contracts. This amount was partially offset by the net incremental revenue recognized during the period, related to new contracts closed during fiscal year 2017, plus new revenue related to contracts closed during Q1 2018.

For the three months ended January 31, 2018, the Company incurred a net loss of $1,167,000, or $0.15 per diluted share, compared with a net loss of $51,000, or $0.01 per diluted share for the same period in fiscal year 2017. Contributing to the Company's net loss for the three months ended January 31, 2018, was a reduction in revenue, as described above, as well as a significant increase in operating expenses due to our continued investment in hiring new development, sales and marketing and management professionals needed to achieve our future strategic product enhancements and revenue growth objectives. These investments were targeted in several important growth areas, including the initiation of PASSUR's new Business Intelligence Group.

About PASSUR® Aerospace, Inc.

PASSUR Aerospace (OTC: PSSR) is a leading business intelligence company, providing predictive analytics and decision support technology for the aviation industry primarily to improve the operational performance and cash flow of airlines and the airports where they operate. PASSUR Aerospace's information solutions are used at the five largest North American airlines, more than 60 airport customers, (including the top 30 North American airports), hundreds of business aviation customers, and the U.S. government. PASSUR owns and operates the largest commercial passive radar network in the world that provides aircraft position updates every 1 to 4.6 seconds, powering a proprietary database that is accessible in real-time and delivers timely and accurate information and solutions via PASSUR's industry leading algorithms and business logic included in its products. Visit PASSUR Aerospace's website at www.passur.com for updated products, solutions, and news. PASSUR, Airwayz, NextGen2 and NextGen3 are trademarks or registered trademarks of PASSUR Aerospace, Inc. in the U.S. All other companies and product names of those companies contained herein may be trademarks of their respective holders.

Visit PASSUR Aerospace's website at www.passur.com for updated products, solutions, and news.

PASSUR Aerospace, Inc. and Subsidiary
CONSOLIDATED BALANCE SHEETS

	January 31, 2018	October 31, 2017 (1)
	(unaudited)
Assets
Current assets:
Cash	$ 3,056,352	$ 275,146
Accounts receivable, net	927,251	1,308,091
Prepaid expenses and other current assets	411,330	303,045
Total current assets	4,394,933	1,886,282

PASSUR Network, net	5,942,861	6,004,367
Capitalized software development costs, net	8,922,494	8,893,414
Property and equipment, net	765,880	852,147
Other assets	156,103	169,635
Total assets	$ 20,182,271	$ 17,805,845

Liabilities and stockholders' equity
Current liabilities:
Accounts payable	$ 1,615,959	$ 984,369
Accrued expenses and other current liabilities	1,116,059	1,273,170
Deferred revenue, current portion	4,815,397	2,824,885
Total current liabilities	7,547,415	5,082,424

Deferred revenue, long term portion	447,656	470,831
Notes payable - related party	4,725,000	3,800,000
Other Liabilities	5,517	-
Total liabilities	12,725,588	9,353,255

Commitment and contingencies

Total stockholders' equity	7,456,683	8,452,590
Total liabilities and stockholders' equity	$ 20,182,271	$ 17,805,845



(1) Certain January 31, 2017 balances have been restated from previously reported results. Please refer to Note 2 of the Company's Annual Report on Form 10-K for the year ended October 31, 2017.

PASSUR Aerospace, Inc. and Subsidiary
CONSOLIDATED STATEMENTS OF OPERATIONS
(Unaudited)

	Three Months Ended
	January 31,
	2018	2017 (1)

Revenues	$ 3,513,487	$ 3,615,556

Cost and expenses:
Cost of revenues	2,239,299	1,681,774
Research and development expenses	154,666	227,480
Selling, general, and administrative expenses	2,220,828	1,818,534
	4,614,793	3,727,788

Loss from operations	$ (1,101,306)	$ (112,232)

Interest expense - related party	65,713	41,400
Loss before income taxes	(1,167,019)	(153,632)
Provision/(benefit) for income taxes	-	(103,065)
Net loss	$ (1,167,019)	$ (50,567)

Net loss per common share - basic	$ (0.15)	$ (0.01)
Net loss per common share - diluted	$ (0.15)	$ (0.01)

Weighted average number of common shares outstanding - basic	7,696,091	7,690,199
Weighted average number of common shares outstanding - diluted	7,696,091	7,690,199



(1) Certain January 31, 2017 balances have been restated from previously reported results. Please refer to Note 2 of the Company's Annual Report on Form 10-K for the year ended October 31, 2017.

Contact:	Media:	Investor Relations:
	Ron Dunsky	Louis J. Petrucelly
	SVP Marketing and New Business Development	SVP & Chief Financial Officer
	(203) 622-4086	(203) 622-4086
	[email protected]	[email protected]