Information Analysis Inc. (IAIC)

[MikeDDKing]

IAIC is one of my favorites. I like IAIC a lot and have been buying heavily. It looks like a potential multi-bagger to me. Here are the reasons why I like it:

1. They earned $0.011/share last quarter which is huge considering the share price of $0.16.

2. They have a pristine balance sheet with a book value of $0.144/share and cash of $0.084/share.

3. In the earnings PR they said they were recently awarded contracts in excess of $3M which is big considering their revenue.

4. They said they have a number of bid opportunities for new business whcih should allow their profitability to continue to grow.

5. On 10/01/09 they signed an IDIQ contract with the Department of Homeland Security.

6. In the Q3 earnings PR they stated: "We continue to pursue merger and acquisition opportunities."

[MikeDDKing]

Information Analysis Inc. Reports Third Quarter Profitable Results
On 9:00 am EST, Thursday November 12, 2009

FAIRFAX, Va.--(BUSINESS WIRE)--Information Analysis Inc. (IAIC:OTCBB) today reported results for its third fiscal quarter ended September 30, 2009. Revenues were $1,988,000, compared to $1,596,000 reported in the third quarter 2008. The information technology services company reported net income of $122,000, or $0.01 per share basic and diluted, compared to a net loss of $71,000 or $0.00 per share basic and diluted, in the third quarter 2008.

For the nine months ended September 30, 2009, IAI’s revenues were $4,787,000, compared to revenues of $5,042,000 for the same period in 2008. The Company reported net income of $66,000, or $0.01 per share basic and diluted, compared to a net loss of $269,000, or ($0.02) per share basic and diluted, reported for the comparable 2008 period.

“The Company increased revenue and profit in the third quarter in comparison to last year’s third quarter. Additionally, as a result of our continuing investment in sales and marketing, we have been awarded a number of new contracts in the past few months worth in excess of 3 million dollars,” said Sandor Rosenberg, Chairman and Chief Executive Officer of IAI. “There are still a number of bid opportunities outstanding for new business, which should allow our profitability to continue to grow.”

“We continue to pursue merger and acquisition opportunities.”

About Information Analysis Incorporated

Information Analysis Incorporated (www.infoa.com), headquartered in Fairfax, Virginia, is an information technology services company. The Company is a web solution provider and software conversion specialist, modernizing legacy systems and extending their reach to the internet world.

Additional information for investors

This release may contain forward-looking statements regarding the Company's business, customer prospects, or other factors that may affect future earnings or financial results. Such statements involve risks and uncertainties which could cause actual results to vary materially from those expressed in the forward-looking statements. Investors should read and understand the risk factors detailed in the Company's 10-K for the fiscal year ended December 31, 2008 and in other filings with the Securities and Exchange Commission.

                  Information Analysis Incorporated  
  
                       Statements of Operations  
   
        
    
                                   Three months ended September 30,  
   
 (in thousands, 
 except per share data; unaudited)              2009        2008  
    
 Revenue:          
  Professional fees                         $  1,302    $  1,261    
  Software sales                                 686         335    
  Total revenue                                1,988       1,596    
 Cost of goods sold and services provided:          
   Cost of professional fees                     751         870    
   Cost of software sales                        580         235    
   Total cost of sales                         1,331       1,105    
 Gross margin                                    657         491 
    
 Selling, general and administrative expense     536         568    
 Income (loss) from operations                   121         (77) 
 Other income, net                                 1           6    
 Income (loss) before income taxes               122         (71)   
 Provision for income taxes                       --          --    
 Net income (loss)                            $  122     $   (71)   
            
 Earnings (loss) per common share:          
  Basic                                      $  0.01     $ (0.01)   
  Diluted                                    $  0.01     $ (0.01) 
 Shares used in calculating earnings per share:          
  Basic                                   11,196,760  11,196,760    
  Diluted                                 11,208,403  11,196,760   

                  Information Analysis Incorporated  
  
                       Statements of Operations  
   
        
    
                                    Nine months ended September 30,  
    
 (in thousands, 
 except per share data; unaudited)              2009        2008  
  
 Revenue:         
  Professional fees                         $  3,601    $  4,093    
  Software sales                               1,186         949    
  Total revenue                                4,787       5,042    
 Cost of goods sold and services provided:         
  Cost of professional fees                    2,295       3,027    
  Cost of software sales                         931         681    
  Total cost of sales                          3,226       3,708    
 Gross margin                                  1,561       1,334    
 Selling, general and administrative expense   1,503       1,618    
 Income (loss) from operations                    58        (284) 
 Other income, net                                 8          15    
 Income (loss) before income taxes                66        (269)   
 Provision for income taxes                       --          --    
 Net income (loss)                          $     66    $   (269)  
           
 Earnings per share:         
  Basic                                     $   0.01    $  (0.02)   
  Diluted                                   $   0.01    $  (0.02)   
           
 Shares used in calculating earnings per share:         
  Basic                                   11,196,760  11,196,760    
  Diluted                                 11,207,820  11,196,760   

                  Information Analysis Incorporated  
  
                            Balance Sheets  
   
                 
                                         As of               As of   
                                   September 30, 2009  December 31, 2008   
 (in thousands)                       (unaudited)          (audited)  
   
 ASSETS         
 Current assets:         
  Cash and cash equivalents                   $  942     $  1,549 
  Accounts receivable, net                     1,605        1,122 
  Prepaid expenses                               193          470 
  Other assets                                     1            1 
   Total current assets                        2,741        3,142 
               
 Fixed assets, net                                42           56 
 Other assets                                      6            6 
   Total assets                             $  2,789     $  3,204 
           
 LIABILITIES & STOCKHOLDERS' EQUITY         
 Current liabilities:         
  Accounts payable                            $  465     $    802 
  Accrued payroll and related liabilities        268          214 
  Other accrued liabilities                      235           31 
  Deferred revenues                              200          603 
  Income taxes payable                            --            2 
   Total liabilities                           1,168        1,652 
           
 Common stock, par value $0.01, 30,000,000 
 shares authorized; 12,839,376 shares 
 issued, 11,196,760 outstanding                  128          128 
 Additional paid in capital                   14,553       14,550 
 Accumulated deficit                         (12,130)     (12,196) 
 Less treasury stock; 1,642,616 shares 
 at cost                                        (930)        (930) 
  Total stockholders' equity                   1,621        1,552 
  Total liabilities and stockholders' equity $  2,789    $  3,204

Contact:
Information Analysis Inc.
Richard S. DeRose, 703-293-7901

[MikeDDKing]

Information Analysis, Inc. Awarded Subcontract with imPACTS
On 9:00 am EDT, Thursday October 1, 2009

FAIRFAX, Va.--(BUSINESS WIRE)--The Department of Homeland Security (DHS) awarded two IDIQ contracts with a potential period of performance of up to five years each to imPACTS LLC, a national provider of high quality government services. As part of the imPACTS team, Information Analysis Incorporated (IAIC:OTCBB), a provider of management and technical services, will be an integral part of supporting the imPACTS team in its efforts to support the mission of DHS. These contracts enable imPACTS to compete for work with other awardees in a broad range of services and solutions supporting DHS offices around the country and globally. Program Management, Administrative, Clerical, and Technical Services (PACTS), a multiple-award IDIQ procurement with a $1.5 billion ceiling, is set-aside for Service-Disabled Veteran Owned Small Businesses (SDVOSB) and provides a vehicle to procure program management, administrative, clerical, and technical services for DHS. These two contracts were awarded in the following PACTS Functional Categories (FC): FC 3 for Clerical and FC 4 for Technical.

In order to provide the best possible level of service to DHS, imPACTS was formed as a Service Disabled Veteran Owned Small Business joint-venture backed by an exclusive team of businesses that were selected for their DHS experience, relevant technology skills, and proven track records of quality performance. The imPACTS’ team’s collective experience demonstrates our ability to deliver high quality services and solutions.

While vastly different, the two categories of services imPACTS will provide include all skill levels, from entry level to senior management, from junior analysts to senior subject matter experts. The FC 3 (Clerical) contract scope includes general office support and secretarial duties to include document drafting and word processing, phone messaging, and mail services. These services may be procured to support field office work, call centers, and growing department needs. The FC 4 (Technical) contract scope allows DHS to contract for services in the support of physical laws and principles of engineering which may involve any of the following activities: provision of advice, preparation of feasibility studies, preparation of preliminary and final plans and designs, provision of technical services during the construction or installation phase, inspection and evaluation of engineering projects and related services to support new or existing projects and explore technology that further secures the country. Information Analysis will support the imPACTS team in both Functional Categories.

“Success in a DHS-imPACTS partnership means that things that are needed get done in a timely, cost-effective, and professional manner,” said Rick Davis, imPACTS Contract Program Manager. “We view this relationship as a partnership with open communications, accurate and technically viable bids, well-stated requirements, wise shepherding of taxpayer dollars, and fair return to private sector partners.” Sandy Rosenberg, CEO of Information Analysis said, “This opportunity is very exciting for us to team in such a business venture. We believe that our experience in various parts of DHS enhances the team’s overall capabilities.”

About Information Analysis Incorporated

Information Analysis Incorporated (www.infoa.com), headquartered in Fairfax, Virginia, is a management consulting and information technology services company. The Company provides solutions from the feasibility stage through full implementation of a system.

About imPACTS™ LLC

imPACTS™ LLC, an Arlington, VA based joint venture (JV), was created to provide quality professional services to the U.S. Department of Homeland Security (DHS) under the PACTS contract. www.impactsllc.com

Additional information for investors

This release may contain forward-looking statements regarding the Company's business, customer prospects, or other factors that may affect future earnings or financial results. Such statements involve risks and uncertainties which could cause actual results to vary materially from those expressed in the forward-looking statements. Investors should read and understand the risk factors detailed in the Company's 10-KSB for the fiscal year ended December 31, 2008, and in other filings with the Securities and Exchange Commission.


Contact:
Information Analysis Incorporated
Richard S. DeRose, 703-293-7901

[B BALL GUY]

It would be nice if the MM's would leave this stock alone

[B BALL GUY]

Nice to see the price going up, but where is the volume?

[B BALL GUY]

This stock is showing more activity. Let's see some posts from you guy's/gal's that are more familiar with this company. The RB board is just a disaster. Your info is appreciated.

[MELI]

hello

[ncglnrp]

Welcome to IAIC's Message Board.