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Inova’s (OTCBB: INVA) IT Services Division Rapidly Expands

Monday, May 23rd, 2011

Inova Technology Inc. (OTCBB: INVA), an innovative technology company focused on IT solutions and RFID products, similar to companies like I.D. Systems Inc. (Nasdaq: IDSY) and Intermec Inc. (NYSE: IN), has seen its IT Services Division rapidly expand in recent months.

Inova Technology Inc. (OTCBB: INVA), an innovative technology company focused on IT solutions and RFID products, has seen its IT Services Division rapidly expand in recent months. After completing $1.4 million in projects during the first quarter of the year, the company has seen tremendous success despite the months being traditionally slow in the sales cycle.

Blue Chip Customers Provide Solid Base

With contracts to supply IT services to IBM and other blue chip companies, Inova Technology’s Desert Communications subsidiary provides “bread-and-butter” revenues that have been rapidly growing since 1994. The company offers solutions including hardware, software, support and service, as has been recognized as a significant technology partner by many organizations.

Currently, the company provides these IT services to a number of large customers, including the Fort Worth Independent School District, El Paso Independent School District, University of Texas and the City of El Paso. Meanwhile, its staff is certified by the likes of Cisco, Novell, Microsoft, and BICSI to offer unparalleled support for a wide variety of IT infrastructures.

New Contracts Drive Top-line Results

Inova Technology also recently announced in a press release that its revenues for the nine months ended January 2011 was up 32% compared to the same period a year ago. With a $1,293,572 cash position and a recent decision to pay down $600,000 in debt in February 2011, the company has seen its financial condition markedly improve on both the top and bottom line.

Meanwhile, the technology company has also seen new contracts continue to come in the door. On April 19^th, it was awarded a new $570,000 project for the Gallup McKinley school district in New Mexico that marked one of its first major moves outside of Texas. This expansion may pave the way for more diversified revenue streams and stronger backlogs to support future growth.

Growth Supports Development of RFID

Investors are also closely watching Inova Technology’s RFID division that runs through its subsidiary RighTag. With proprietary RFID scanners that offer more features and functionality than the competition, the company’s is uniquely positioned in one of the fastest growing trends in the world, with retailers like Wal-Mart beginning to require RFID solutions from suppliers.

The RFID division also has a number of blue chip customers that are a testament to the high quality of its solutions, including Honeywell, Northrop Grumman and the U.S. Department of Defense. While it may be the IT Services Division producing most of the revenues now, its financial support for the RFID growth could end up paying off handsomely in the near future.

Conclusions

With its strong top-line growth and improving bottom-line financial condition, investors may want to take a closer look at Inova Technology (OTCBB: INVA). Meanwhile, the company’s investment in RFID marks a prudent entry into one of the fastest growing technology markets in the world.

Tags: NASDAQ:IDSY, NYSE:IN, OTC:INVA
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Inova Technology’s Diversification Paves Path to Prosperity

Friday, May 13th, 2011

Inova Technology (OTCBB: INVA), an enterprise level information technology solutions provider specializing in RFID solutions, similar to companies like I.D. Systems Inc. (Nasdaq: IDSY) and Intermec Inc. (NYSE: IN), offers a path to prosperity through its unique diversification.

Business models come in all shapes and forms, but a tried and true pathway to success is through corporate diversification. In and amongst itself, the strategy can be multi-layered depending on the structuring of the plan. For some companies, such as Inova Technology (OTCBB:INVA), combining a revenue-generating machine as one branch of business with an developmental acquisition in a burgeoning industry can be a recipe for success. Simply put, the established business supports the balance sheet while the acquisition is built-out with the anticipation that its revenue will one day meet and exceed the revenues of its elder.

Inova has the strategy firmly intact and is now putting time behind it as the plan unfolds into what could soon lead to rapid expansion. Inova’s foundation is based upon the successful network solutions business of its wholly-owned subsidiary, Desert Communications.

Desert is an industry leader with, amongst a host of others, business relations with IBM and Cisco. Tapping into one of the most desirable and profitable sectors of the industry, Desert Communications draws a large portion of its revenue from government-funded programs that deliver network solutions to our Nation’s education system. In a testament to the Desert Communication prowess, ten separate projects were recently completed in the first quarter of 2011 at different school districts; tallying over $1.4 million in revenue from those projects alone.

Complementing the completed work and setting the stage for the future, Desert currently has a backlog of work in the neighborhood of $20 million. With this sort of monetary positioning, the “foundation” side of Inova is certainly well-positioned.

While the Desert Communications subsidiary by itself would make the majority of OTC companies writhe with envy, the true breadth of Inova being undervalued lies in its second subsidiary, RighTag. RighTag was spawned out of a strategic acquisition of Trakkers in 2007 and demonstrates the aptitude of the Inova management with the bargain purchase of the company for less than $6 million. RighTag is focused on the RFID (Radio Frequency Identification) industry and gaining steam.

RFID is one of the fastest growing industries today as its functions are virtually endless. Anything that needs to be scanned, tracked, or carry information is now starting to be done through RFID technologies. An industry valued at $1.95 billion in the U.S. alone in 2005, estimates show a compounded annual growth rate still of nearly 20% with estimates for the industry to near $30 billion annually in the U.S. over the next four years. RFID benefits from all sectors that are flourishing, such as the convenience store sector; recently reported by SBWire to be an industry outpacing almost all others.

Smack dab in the middle of the industry explosion is Inova’s RighTag. The fact that RighTag now has experience behind it with formidable clients such as Gerber Coburn (one of the largest contact lens manufacturer in the U.S.), Honeywell, Northrop Grumman and the U.S. Department of Defense, leaves Inova in what can only be described as a completely unique position. These are not the sort of clients that a typical OTC company carries in their portfolio…but Inova does.

The “roots to have strength and branches to bear fruit” strategy of Inova Technology has the company in a position that could soon spawn tremendous market attention. With shares trading only a few pennies above all-time lows and considering the connections and established relationships that Inova has between its two subsidiaries, a catalyst is just waiting to springboard the Company to new heights. With a market cap of a paltry $3 million and less than 58 million shares outstanding, the all-too-often-used term of “undervalued” seems applicable in this situation and a cause for investors to dig deep into performing due diligence.

Tags: NASDAQ:IDSY, NYSE:IN, OTC:INVA
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Inova (OTCBB: INVA) is a Compelling Opportunity for Investors

Wednesday, April 20th, 2011

Inova Technology (OTCBB: INVA), an enterprise level Information Technology solutions provider specializing in RFID solutions, similar to companies like I.D. Systems Inc. (Nasdaq: IDSY) and Intermec Inc. (NYSE: IN), is a compelling opportunity for investors.

Inova Technology, Inc. provides RFID services, Lead Tracking services and Network Solutions to its customers. Through its RFID subsidiary INVA provides proprietary RFID scanners that offer more features and functionality than competitors. The company’s RFID subsidiary also offers customized tags. Customers include Honeywell, Northrop Grumman and the U.S. Department of Defense.

Through its Lead Tracking business INVA offers proprietary wireless RFID scanners that contain GPRS capabilities allowing data to be sent over a mobile phone network to any location – all in one device approximately the size of an iPhone. INVA’s wireless scanner is a patent pending product and is believed to be the only scanner of its kind in the world. The Company’s Lead Tracking solutions have been utilized in more than 1,000 trade shows in the U.S. and Europe. The Network Solutions business has extensive expertise in LAN/WAN design and implementation, campus-wide wireless and security. INVA also provides support solutions that range from commercial to educational applications. This expertise has been proven with continued contract awards from large school districts throughout the country.

Strategy

Inova Technology is focused is on building the network solutions business and selling existing and future proprietary RFID solutions to new customers and customers of the networking businesses. Management believes that there is substantial opportunity to cross sell services to the Company’s existing customer base and further expand that customer base. Due to the difficult economic environment the Company continues to focus on more stable revenue opportunities as evidenced by recent contract awards with school districts in Texas.

The Company will also continue to leverage its existing intellectual property and expertise to develop new RFID solutions that enhance networks installed by the networking businesses and adapt existing RFID technology for several new verticals including security, mobile credit card processing and event ticket tracking. As a publicly traded company, management also intends to focus on creating value for shareholders by pursuing accretive acquisitions that complement existing businesses. Management also believes there is a large untapped opportunity within the RFID business. The RFID scanner business is growing at over 30% per year, generally has high gross margins and the Company’s “Mi” scanner has more features and sells for less than competitors products. Inova is focused on increasing its market share in this high growth business.

About Inova Technology

Inova Technology Inc. (Inova) is a technology holding company. The Company operates in three segments: providing information technology (IT) solutions and services, providing radio frequency identification (RFID) products and providing network solutions. The Company has four subsidiaries, which include Edgetech Services Inc., which is engaged in IT services and consulting; Trakkers LLC, which comprises RFID lead retrieval solutions for trade showss; RightTag, Inc. (RightTag), which is a manufacturer of RFID scanners and other RFID products, and Desert Communications, Inc., which provides large scale IT network solutions to government and corporate customers.

Tags: NASDAQ:IDSY, NYSE:IN, OTC:INVA
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Inova (OTCBB: INVA) Completes $1.4 Million in Projects in First Quarter

Monday, April 18th, 2011

Inova Technology (OTCBB: INVA), an enterprise level information technology solutions provider specializing in RFID solutions, similar to companies like I.D. Systems Inc. (Nasdaq: IDSY) and Intermec Inc. (NYSE: IN), recently announced that it completed $1.4 million projects during the first quarter.

Inova Technology (OTCBB:INVA) (“INVA”), through its wholly owned subsidiary, Desert Communications, has completed more than $1.4 million worth of network solutions projects between January and March 2011. The projects were completed for Lamesa ISD, San Eli ISD, Seagraves ISD, Sundown ISD, Denver City ISD, Ft. Hancock ISD, Irving ISD, Fort Worth ISD, Abilene ISD and Ysleta ISD.

“Considering this includes the traditionally slow months of January and February in our sales cycle, this is an excellent result,” said CEO, Mr. Adam Radly. “The company has also bid on numerous additional projects and we are expecting to be informed of the results of those bids during April 2011.”

The company receives projects in two stages: The first stage involves being awarded the project and the second stage involves getting approved funding for the project. Projects that form part of the company’s backlog are projects that are both awarded and funded. The Company will provide periodic updates regarding it’s backlog of contracts.

The Company previously announced that its revenue for the nine months ended January 2011 was up by 32%, compared to the same period a year ago. Inova also previously announced that it paid down $600,000 of debt in February 2011.

About Inova Technology

Inova Technology, Inc. (INVA) is an enterprise level Information Technology solutions provider specializing in providing proprietary RFID solutions, wireless networking, storage and security technology solutions and IT professional services. Our objective is to implement and optimize solutions for our clients with best of breed technology and the best possible service.

For more information please visit the company website at: http://www.inovatechnology.com

Media Contact www.accelerizefinancial.com, gabe@accelerize.com or (406) 862-1601.

Safe Harbor Statement under the Private Securities Litigation Reform Act of 1995: Except for historical information, the forward-looking matters discussed in this news release are subject to certain risks and uncertainties which could cause the Company’s actual results and financial condition to differ materially from those anticipated by the forward-looking statements including, but not limited to, the Company’s liquidity and the ability to obtain financing, the timing of regulatory approvals, uncertainties related to corporate partners or third-parties, product liability, the dependence on third parties for manufacturing and marketing, patent risk, copyright risk, competition, and the early stage of products being marketed or under development, as well as other risks indicated from time to time in the Company’s filings with the Securities and Exchange Commission. The Company assumes no obligation to update or supplement forward-looking statements that become untrue because of subsequent events.

Tags: NASDAQ:IDSY, NYSE:IN, OTC:INVA
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Inova (OTCBB: INVA) Reports 32% Increase in Revenues Year-Over-Year

Monday, April 11th, 2011

Inova Technology (OTCBB:INVA) released its 10Q for the quarter ending January 31, 2011. The highlights were:

Net revenues increased by 32% from $12,874,705 for the nine month period ending January 31, 2010 to $17,068,621 for the nine month period ending January 31, 2011.
EBITDA for the 9 month period ending January 2011 is $1,001,247.
Cash increased to $1,293,572 from $336,746 over the nine month period
Revenue up by 16% for the quarter ending January 2011.

Inova CEO Adam Radly said “Once again, our management and employees have done an excellent job under challenging economic circumstances. We are currently reviewing various expansion opportunities while continuing to execute our current business plan.”

Inova also announced in January 2011 that it has a backlog of more than $20 million of awarded and funded projects. This is the largest backlog of awarded and funded contracts in the Company’s history.

Mr Radly also said that “The Company is also bidding on additional projects and we expect to be able to provide an update regarding our success rate in late March or April of 2011.”

About Inova Technology

Inova Technology, Inc. (OTCBB:INVA) is an enterprise level Information Technology solutions provider specializing in providing proprietary RFID solutions, wireless networking, storage and security technology solutions and IT professional services. Our objective is to implement and optimize solutions for our clients with best of breed technology and the best possible service.

For more information please visit the company website at: http://www.inovatechnology.com or contact our Investor Relations Firm, Capital Communications Group at (415)332-7200 or richard@capitalgc.com.

Tags: NASDAQ:IDSY, NYSE:IN, OTC:INVA
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CYBRA Corp (OTC-BB: CYRP) Targets Multi-Billion Dollar Apparel Industry with New Suite of Solutions

Thursday, October 14th, 2010

CYBRA Corporation (OTC-BB: CYRP), a leader in bar code and RFID technology and IBM Power Systems and other major computing platforms, similar to companies like I.D. Systems, Inc. (Nasdaq: IDSY) and Zebra Technologies Corp (Nasdaq: ZBRA), announced a suite of new solutions specifically targeting apparel manufacturers facing numerous government and retailer mandates.

CYBRA Corporation (OTC.BB:CYRP), the developer of award-winning MarkMagic™ Bar Code Labels, RFID Tags, and Electronic Forms Software and EdgeMagic® Integrated RFID Control Software, has announced a suite of in-plant printing offerings specifically targeted at apparel manufacturers facing the following government and retailer mandates:

Item-level RFID Tags for EPC (Electronic Product Code) compliance with Walmart, Dillards, JC Penney, and other retailers.

Fabric Care Labels with Batch Numbers for Section 103 of the CPSIA (Consumer Product Safety Improvement Act).

VICS Color-To-Size Tickets for Women’s Ready-To-Wear, Men’s Sportswear, Footwear and Intimate Apparel manufacturers.

“We’ve had many customers approach us for cost-effective alternatives to service bureaus for meeting these new compliance marking mandates,” said Harold Brand, CYBRA’s CEO. “As suppliers to the apparel industry since 1990, we understand their workflows and are able to offer them integrated solutions that will save them time and money by giving their plant personnel the capability to print the labels, tags, and tickets they need, on demand, anywhere in the world.”

“Our customers are some of the world’s leading brands. These new offerings provide them with improved quality control, faster turnaround, and dramatic reductions in shipping costs. MarkMagic technology ensures that all documents produced will have the latest data — prices, sizes, batch and lot numbers, as reflected in their Enterprise Resource Planning, Warehouse Management, and other manufacturing systems,” he added.

About CYBRA Corporation

CYBRA Corporation is a leader in bar code and RFID technology for IBM Power Systems and other major computing platforms. An Avery Dennison, IBM, and Motorola/Symbol Partner, CYBRA is represented by a network of value added resellers throughout the United States and is represented internationally by sales and support offices.

MarkMagic™ Bar Code Labels, RFID Tags and Forms Software is used by thousands of customers worldwide, and has been selected as the bar code print engine of such leading software developers as Manhattan Associates™, Infor™ and VAI™. MarkMagic helps customers easily integrate barcode, RFID technology and electronic forms into their business systems.

EdgeMagic® is an integrated RFID control solution. EdgeMagic helps customers build any type of RFID system, from complying with the full range of RFID mandates to closed loop asset management RFID applications.
CYBRA software solutions run on all major computing platforms including IBM Power Systems (System i, iSeries, AS/400, AIX) as well as Linux, Unix, and Microsoft Windows.

CYBRA Corporation is located at One Executive Boulevard, Yonkers, NY 10701. Product information is available toll free at 1-800-CYBRA-88. CYBRA’s web site is located at http://www.cybra.com. To request information via e-mail, write to: info@cybra.com.

Forward-Looking Statements

This release and other statements issued or made from time to time by the Company or its representatives contain forward-looking statements within the meaning of Rule 175 of the Securities Act of 1933, as amended, and Rule 3b-6 of the Securities Exchange Act of 1934, as amended, that involve substantial risks and uncertainties. These forward-looking statements are not historical facts, but rather are based on current expectations, estimates and projections about our industry, our beliefs and our assumptions. Words such as “anticipates”, “expects”, “intends”, “plans”, “believes”, “seeks” and “estimates” and variations of these words and similar expressions are intended to identify forward-looking statements. These statements are not guarantees of future performance and are subject to risks, uncertainties and other factors, some of which are beyond our control and difficult to predict and could cause actual results to differ materially from those expressed or forecasted in the forward-looking statements.

These forward-looking statements include statements regarding projected revenue and income in future quarters and our beliefs with respect to the growth in the demand for our products. Other risks and uncertainties that may affect our business include our ability to expand beyond the IBM System i market for MarkMagic and expand into the radio frequency identification (“RFID”) market with EdgeMagic; our ability to penetrate the emerging and competitive market for bar code and RFID encoding software; our ability to introduce, produce, improve and market new and existing products, such as MarkMagic and EdgeMagic, and the market acceptance of these and other products; the impact of competitive products and pricing; and our timely development of new products and market acceptance of those products. Actual results may differ from those expressed or implied in our forward-looking statements. These statements represent beliefs and expectations only as of the date they were made. We may elect to update forward-looking statements, but we expressly disclaim any obligation to do so, even if our beliefs and expectations change. In addition to the statements described above, such forward-looking statements include the risks and uncertainties described more fully in our reports filed or to be filed with the Securities and Exchange Commission, including our annual reports on Form 10-K and quarterly reports on Form 10-Q.

Tags: NASDAQ:IDSY, NASDAQ:ZBRA, OTC:CYRP
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CYBRA Corp (OTC-BB: CYRP) Reports Explosive Growth in Q2

Monday, September 27th, 2010

CYBRA Corp (OTC-BB: CYRP), a provider of bar code label and tag printing, bar code scanning systems and RFID technology, similar to companies like I.D. Systems, Inc. (Nasdaq: IDSY) and Zebra Technologies Corp. (Nasdaq: ZBRA), reported explosive growth in its latest quarterly filing with the SEC.

With a record 59% increase in its revenues and positive cash flow, CYBRA Corp’s (OTC-BB: CYRP) second quarter marked a key turning point for shareholders. Meanwhile, the robust growth in RFID in recent quarters should continue to drive results higher in the future.

The company reported revenues that increased 59% to $487,578 due to positive reception from new and existing customers for its MarkMagic solution, as well as an increase in sales for its RFID product, EdgeMagic, as the market’s appetite for RFID technology continues to increase.

These revenue gains passed straight to the bottom line as cash flows from operations increased 769% to $56,823, which caused its cash and cash equivalents position on the balance sheet to rise 150% to $146,005. According to its quarterly filing, it expects these positive cash flows to continue through 2010.

Debt Restructuring Proves to be a Hidden Gem

Unfortunately, CYBRA’s operating results are skewed by a debt restructuring that resulted in significant non-cash charges affecting its income statement. The company restructured this debt in order to reduce its overhead and ultimately improve long-term shareholder value.

While the company showed a net loss of $634,128 on a GAAP basis, approximately $695,094 of that amount is a non-cash charge from losses due to the debt restructuring. As a result, some investors may be underestimating the company’s potential moving forward, which has created an opportunity now.

Robust Growth Projected in 2010 and Beyond

In its 10-Q, the company stated that the current upturn in its business may be the result of the overall improvement in the general business environment, positive market acceptance of new product features, as well as success in maintaining tight control on expenses.

More, the company sees a recent positive trend in consumer interest in RFID in general and in their new EdgeMagic product in particular. Wal-Mart’s recent announcement that it is implementing RFID tracking throughout their stores beginning with selected apparel goods is seen as a possible driver of these trends.

Since apparel suppliers represent a large segment of the company’s customer base, and the firm expects increased interest in EdgeMagic to meet anticipated retailer compliance requirements over the course of 2010 and 2011, thereby driving positive cash flows.

Conclusions

In the end, CYBRA Corp (OTC-BB: CYRP) reported a solid quarter of increasing revenues and positive cash flows that it expects to increase through 2010 and 2011 as customers speed up adoption of RFID technologies to meet anticipated retailer compliance requirements.

Tags: NASDAQ:IDSY, NASDAQ:ZBRA, OTC:CYRP
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Wal-Mart Opens Doors to Widespread RFID Adoption

Monday, September 20th, 2010

Radio Frequency Identification, or RFID, companies like CYBRA Corporation (OTC-BB: CYRP) and I.D. Systems, Inc. (Nasdaq: IDSY) could benefit as Wal-Mart Corporation (NYSE: WMT), the world’s largest retail chain, moves to adopt the emerging technology on a huge scale.

After recent studies found that item-level RFID tracking can speed up inventory counts by an average of 96%, it is easy to see why Wal-Mart Corporation, the world’s largest retailer, is implementing the technology as quickly as possible into its supply chain.

Wal-Mart Pulls the Trigger on RFID

Wal-Mart recently announced that they are rolling out RFID technology to track individual garments along its supply chain. The technology will help the world’s largest retailer to increase revenues by ensuring that the right goods are in the right place at the right time, while reducing costs by enabling more frequent and rapid inventory counts.

While RFID tags may be slightly more expensive than bar codes, the cost savings realized from the technology make it very compelling. German research firm Soreon released a study in 2004 conducted at a department store with 90,000 RFID tags. With only 30% of its items tagged, the retailer was able to achieve a return on investment of 187% and payback within a year.

A recent Bloomingdale’s study also quantified just how much faster inventory counts are with item-level RFID – 96 percent. Item-level scanning of more than 10,000 items took only two hours – far less than the 53 hours required with bar code scanning. On average, 209 items can be counted per hour with bar code, while 4,767 items can be counted per hour with RFID.

With an initial rollout encompassing more than 3,750 stores, Wal-Mart’s move could signal big changes for the RFID industry. Many retailers, like Target Corporation (NYSE: TGT) and Dillard’s, Inc. (NYSE: DDS), are now considering RFID adoption in order to remain competitive. Meanwhile, the overall trend should also result in lower total costs, as volumes improve.

CYBRA Offers the Industry’s Best Solution

CYBRA Corporation (OTC-BB: CYRP), long known as one of the largest players in the bar code industry, has also been positioning itself in the emerging RFID industry. In the apparel industry alone, where Wal-Mart is initially focused on for RFID, CYBRA counts 46% of the top 50 public apparel companies worth over $100 million as its customers.

With more than 20 years of experience in the industry, the company has already amassed thousands of clients, as one of the only software vendors building solutions on top of IBM’s Power System. Now that the world’s largest retailer has jumped onboard with RFID in a big way, others are sure to follow suit, with IBM’s Power System as one of the premier platforms.

By moving into the RFID space at a key time and dominating one of the industry’s most-used platforms, investors may want to take a look at this relatively undiscovered stock as a way to take advantage of the coming wave of RFID adoption in retail environments.

Tags: NASDAQ:IDSY, NYSE:WMT, OTC:CYRP
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Wal-Mart Opens Doors to Widespread RFID Adoption

Wednesday, August 11th, 2010

Since its invention in 1945, RFID has been hailed as a breakthrough technology, but a lack of standards has kept it out of the mainstream. Since then, the technology has been standardized, miniaturized and enhanced to such a level that researchers at Bristol University actually glued RFID microtransponders onto ants!

A Supply Chain Management Overhaul

While studying ant movements may be interesting, the RFID technology’s real market potential is in supply chain management. Currently, most retailers use bar codes that must be individually scanned at each location along the supply chain. Additionally, this scanning requires a line of sight, meaning that the bar codes must be placed on the outside of packages.

For instance, a t-shirt sold by Wal-Mart must be scanned by the manufacturer when it is created, the shipper when it is sent, the warehouse when it’s received, the store when it’s placed on the shelves, and at the checkout when it is purchased. This process involves significant man-power and leaves a lot of room for error.

Since they can be scanned from 20 feet away and within the product carton, RFID offer an improved solution that can greatly enhance efficiency. Meanwhile, RFID tags can hold significantly more information and can be rewritten – and even re-used – along the supply chain, as needed.

Wal-Mart Finally Pulls the Trigger

Last week, Wal-Mart announced that they are finally planning to roll out RFID technology to track individual garments along its supply chain. The technology will help the world’s largest retailer ensure that best-selling sizes are always on the shelves for customers to purchase, improving both profits and the customer experience.

And with a planned rollout encompassing more than 3,750 stores, Wal-Mart’s move could signal big things for the RFID and retail industries. While approximately 30 retail chains are already testing RFID, larger ones like Target Corporation (NYSE: TGT), will now be forced to consider RFID adoption sooner than later order to remain competitive.

RFID Can Save Wal-Mart Millions

While RFID tags are slightly more expensive than bar codes, the cost savings realized from the technology make it very compelling. German research firm Soreon released a study in 2004 conducted at a department store with 90,000 RFID tags. With only 30% of its items tagged, the retailer was able to achieve a return on investment of 187% and payback within a year.

The majority of the savings was seen in the reduction of manpower that was previously required to scan each item as it was moved from warehouse and distribution centers onto retail shelves. Meanwhile, point-of-sale cashiers were no longer required to scan individual items and manually control inventories, since this was automatically done via RFID tracking.

Previously, the high cost of RFID meant that manufacturers hesitated. However, the sharp reduction in RFID costs and the standardization of the technology since 2004 has helped to eliminate much of that cost and pave the way for industry implementation.

CYBRA Offers the Industry’s Best Solution

CYBRA Corporation (OTC-BB: CYRP), long known as one of the largest players in the barcode industry, is also positioning itself in the emerging RFID industry. With more than 20 years of experience, CYBRA Corporation has already amassed thousands of clients, as one of the only software vendors building solutions on top of IBM’s Power System. Now that the world’s largest retailer has jumped onboard with RFID in a big way, others are sure to follow suit, with IBM’s Power System as one of the premier platforms.

Tags: NASDAQ:IDSY, NYSE:TGT, NYSE:WMT, OTC:CYRP
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Wal-Mart Brings RFID to the Masses

Monday, August 9th, 2010

Avery Dennison Corporation (NYSE: AVY), CYBRA Corp. (OTC:CYRP), and I.D. Systems, Inc. (NASDAQ:IDSY) are in a great position to benefit from increased interest in the Radio-Frequency Identification market, as evidenced by Wal-Mart’s recent plan to implement expansion of RFID utilization. Starting this month, Wal-Mart plans to use RFID tags to better manage its inventory, which could lead to other retailers doing the same.

The Convenience of RFID

Unlike traditional bar codes that require line of sight to each tracked object, multiple RFID tags can be read at the same time enabling an entire case or pallet to be read at once. According to studies of an RFID pilot at American Apparel, RFID used to track clothing items can also result in a 14% increase in sales. At the same time, RFID can help reduce labor costs by up to 30% and inventory costs by up to 15%, according to data from the report.

Many retailers focused on niche markets have already begun implementing RFID to improve their inventory management and enhance their financial results. At the same time, many big box retailers, like Wal-Mart, have been conducting research and exploring their options. Finally, with Wal-Mart ready to roll out the technology, widespread adoption among mainstream retailers could soon be helping to improve efficiency and maintain competitive advantage.

Mark Gatehouse, director of replenishment for Wrangler jeans maker VF Corp. said, “View this as an investment in where things are going. Everyone is watching closely because no one wants to be at a competitive disadvantage, and this could really lift sales.” Indeed, many retailers have already started to experiment with the technology, enabling companies to analyze the size, color, and style that customers desire, but the real improvements may be to the top and bottom line.

CYBRA Corporation May Experience Increase RFID System Sales

CYBRA Corporation is provides bar code label and tag printing, bar code scanning systems and RFID technology to consumer goods manufacturers around the world. The company offers products that can assist companies in tracking assets, controlling inventory, and EPC (Electronic Product Code) compliance with a keen focus on the garment industry. Over the past five years, the firm has also been working on RFID technologies, and offers it as a natural upgrade to legacy systems using bar codes. And with Wal-Mart stepping up its requirements, CYBRA is well-positioned to profit from the upcoming switch to RFID technology.

Tags: NASDAQ:IDSY, NYSE:AVY, NYSE:WMT, OTC:CYRP
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