Business
Datatrak International, Inc. Reports Results for Third Quarter and First Nine Months of 2021
Datatrak International, Inc. Reports Results for Third Quarter and First Nine Months of 2021.
About this update from Datatrak International, Inc.
[{"type":"text","content":"\n CLEVELAND, Nov. 15, 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 third quarter and the first nine months of 2021. Financial Highlights: Datatrak remains focused on innovation and expects to add business intelligence as part of its product offering in the fourth quarter of 2021, in addition to Datatrak Direct, which allows customers to run decentralized or hybrid clinical trials and was added to our platform in the second quarter of 2021.  This is one more step in the Company’s plan for a complete eClinical platform to be full service for our clients in the life sciences industry. As our new product lines are being adopted, we are shifting attention and resources to expanding our sales and marketing efforts to meet the demand for decentralized and hybrid clinical trials along with the backlog of thousands of trials delayed by the COVID-19 pandemic. We believe Datatrak continues to be well positioned for this opportunity. In addition to adding two new customers in the third quarter of 2021, Datatrak extended its contract with a major CRO partner. As we transition through COVID-19 delays to new contracts, we expect to see new revenue generating contracts moving forward. 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 third quarter of 2021 was $1,516,000 compared to $1,752,000 for the third quarter of 2020. Direct costs totaled $566,000 for the three months ended September 30, 2021 compared to $490,000 for the three months ended September 30, 2020.  The increase in direct costs was due to higher amortization related to software development efforts as more new features and products are being placed into production. This amortization cost is a critical part of the strategic decision to reinvest earnings into expanding our product line. ISP costs ...