Business
Datatrak International, Inc. Reports Results for Second Quarter and First Half of 2021
Datatrak International, Inc. Reports Results for Second Quarter and First Half of 2021.
About this update from Datatrak International, Inc.
[{"type":"text","content":"\n CLEVELAND, OH, Aug. 13, 2021 (GLOBE NEWSWIRE) -- via NewMediaWire -- Datatrak International, Inc. (OTC Markets: DTRK), (“Datatrak” or the “Company”), a Software-as-a-Service (“SaaS”) provider of cloud-based technologies for the life sciences industry, today announced its operating results for the second quarter and the first half of 2021.  Financial Highlights: Datatrak continues to see steady revenue and an increase in the number of new customers through Q2 2021 as part of its initiative to reinvest earnings into our Enterprise Cloud eClinical Platform, which means adding the rest of the products a complete eClinical platform needs to be full service for our clients in the life sciences industry. As our new product line is being adopted, we are shifting attention and resources to expanding our sales and marketing efforts to meet the demand for the flood of decentralized and hybrid clinical trials along with the backlog of thousands of trials delayed by the COVID-19 pandemic. We believe Datatrak is well positioned for this opportunity. As we transition through COVID-19 delays to new contracts, we expect to see new revenue generating contracts moving forward. Datatrak saw a 15% increase in the number of revenue generating contracts and an 11% increase in the number of customers for the second quarter of 2021 compared to the second quarter of 2020. New sales are partially accounted for in current revenues and partially recognized in future quarters’ revenues due to the long-term nature and accounting rules applying to revenue recognition in the clinical trial software business. The result is that positive new sales figures may take time to be reflected in the current period revenues. Revenue for the second quarter of 2021 was $1,604,000 compared to $1,745,000 for the second quarter of 2020. Direct costs totaled $545,000 for the three months ended June 30, 2021 compared to $467,000 for the three months ended June 30, 2020.  The increase in direct costs was due to higher amortization related to software development efforts as more new features and products, including the Company’s newest product, Datatrak Direct, are being placed into production. This amortization cost is a critical part of the strategic decision to reinvest earnings into expanding our ...