Both companies have been having a tough time recently, SteelCloud due to delays in the delivery of third-party software it uses in its appliances, V-One due to delays in the signing of government contracts that form the majority of its business.
V-One, listed over the counter in New York, reported first-quarter sales of $649,000 earlier this month, representing a 35.5% drop on last year’s numbers that the firm attributed to delayed contract signings. Net loss was $1.2m, about double year-earlier numbers.
SteelCloud is an OEM for security software firms, notably Computer Associates International Inc’s eTrust division. In March, the firm reported its bottom line was a loss for the first time in six quarters, following order delays. The company’s revenue dropped 45% to $4.2m.
Since then the company, which is based in Dulles, Virginia, has announced a contract with a major federal integrator that will realize $12m over 12 months, and could bring in as much as $20m over its lifetime. The firm expects a definitive sale agreement with V-One to be signed within 30 days.
