Benzinga | Jun 28, 2021 04:00PM EDT

Identiv Reports Delivers New Commercial Orders To Banco Azteca, Ross Stores

Identiv, Inc. (NASDAQ:INVE), a global leader in digital security and identification, today announced new orders received from Banco Azteca and Ross Stores, demonstrating renewed growth among commercial customers within its Premises segment.

During May and June, Identiv recognized over $1.1 million in software license revenue for orders from Banco Azteca, part of Grupo Elektra and one of the largest banking and retail businesses in Mexico. Identiv enabled Banco Azteca to expand its existing video and data analytics solutions across more than 400 additional stores providing real-time intelligence designed to make security operations smarter and more scalable. Banco Azteca continued the rollout of Identiv's solution, which was temporarily suspended during 2020 due to the global pandemic, on growing confidence of an economic recovery.

In April 2021, Ross Stores, another existing Identiv customer, placed a renewal order for service and support of their more than 37,500 installed cameras deployed across its retail locations while placing orders for an additional set of appliances to add to their installed base. New deployment orders year to date are setting the pace at an annualized rate of $0.8 - $1.0 million. The follow-on order from Ross Stores supports Identiv's focus on driving recurring revenue and reflects improving commercial and retail environments.

"We believe the orders received from Banco Azteca, Ross Stores, and other commercial customers, and the quoting activity behind them, show that the recovery in commercial businesses is happening," said Identiv CEO Steven Humphreys. "Non-grocery retail stores' business was hard-hit by lockdowns. Rebounding video intelligence deployments reflect a return to business and increased emphasis on security and customer experience. We're seeing these trends in physical security across multiple verticals. Combined with the continued strength in our Federal business, we expect 30% year-over-year growth in our Premises segment in Q2 2021."

"This growth in Premises strongly complements the core growth opportunities we're executing on in our RFID business," added Humphreys. "We expect the recovery of the commercial verticals to drive higher gross margins and expanded EBITDA margins as we move through 2021 and into 2022."