OTI has announced its results for the quarter ended 31 March 2012.

Total revenues increased by 5% to US$12.6 million compared with US$12 million for the first quarter of 2011. Licensing and transaction fees revenue rose to US$1.3 million, up by 9% on last year’s US$1.2 million.

Operating expenses grew by 11% to US$7.7 million compared with 2011’s US$7.0 million.

The company made progress in its NFC business during the quarter, but the news of most interest to the security document community is its receipt of a US$6.9 million contract to supply an electronic immigration control system in Panama.

“The autumn 2011 floods in Thailand had an on-going negative impact on our business, including the shutdown of our subcontractor’s facility which increased our sales costs,” says Oded Bashan, chairman and chief executive officer of OTI. “I am pleased to say that we are now back to normal production capacity. However, the full impact of this event has not yet fed through and we may still face delays in executing projects and some customer orders may be disrupted.”

He adds: “We are making progress in implementing our strategy and expanding our customer base. As such, the company is maintaining its projected revenue for 2012, with revenues of approximately US$50 million and gross margin of 50-52%. We also now expect operating expenses to be approximately US$28 million for the year. The projected revenue reflects our uncertainty about the on-going impact of the floods in Thailand.”