Duos Technologies full steam ahead under new management with its intelligent technologies

Building out its technology and services portfolio with 14 patents or patents pending Provides rail train inspections with its proprietary Railcar Inspection Portal (RIP) technology New CEO Charles 'Chuck' Ferry took over in September 2020 What Duos Technologies does:  Duos Technologies Group Inc (NASDAQ:DUOT) offers an array of intelligent technologies and services to support a diverse range of companies' operations and security.  Based in Jacksonville, Florida, Duos specializes in automated systems with a focus on the protection of critical infrastructure, notably the automation of complex mechanical inspections of rail assets. The North American rail market is estimated to be valued at US$60 billion. Duos’ proprietary Railcar Inspection Portal (RIP) technology uses an automated process that can be conducted while a train is in motion. It is a 360-degree modular intelligent visualization system that takes detailed, real-time, full-picture images of railcars travelling at speeds of up to 120 miles per hour. RIP's Linear Panorama Generator "scans” the top, bottom and sides and pieces them together like a puzzle, showing a complete picture of the railcar and producing a very high-definition picture of the entire train from end to end (called a “consist”).  The panoramic view can detect oil leaks, damaged parts, open doors and open and missing hatches, alerting inspectors to the issue and showing them the location of the problem. Sophisticated algorithms also identify more complex issues, and can also spot illegal riders on the side of the train.  The firm's systems are designed to incorporate intelligence, including video analytics, algorithms, and neural networking, in order to address specific needs. All rail solutions utilize the company’s xtd Extreme True Definition technology which captures over 200 Megapixel images when the train is moving.  The company says it avoids a “one size fits all” approach, preferring to individually assess the needs of a system and build a turnkey solution for its customers not just in railroading but other logistics, and intermodal transportation operations and in government, including Correctional Automation Systems. Duos also operates an artificial intelligence subsidiary, truevue360, or tv360 for short. The AI-based platform supports Duos’s underlying software for its rail inspection portal system and advanced logistics information system. How is it doing:  Duos Technologies started 2021 with news of the appointment of rail industry veteran Edmond L Harris as a director, having been elected to the company’s board at the annual meeting of shareholders held on November 19, 2020. It said Harris will serve as the chairman of the company's Nominating and Governance Committees and will also take a position as a member of the Audit Committee. Before joining Duos, Harris served as executive vice president of Operations for CSX Corporation and prior to that he held the same positions with Canadian Pacific and Illinois Central. With his appointment, and others previously disclosed, the Duos board composition remains at five total directors, four of whom are independent, noted the company.  The biggest boardroom change announcement came at the end of August 2020, when Duos named Charles 'Chuck' Ferry, a defense contracting expert and longtime former US Army service member, as its new CEO.  Ferry brings extensive leadership experience in the energy and defense contracting industries, the company said, and he spent 26 years of active duty service in the US Army. He most recently served as CEO of APR Energy, a global fast-track power company, where he oversaw 800 employees, 17 power plants and $325 million in annual revenue.  He also previously worked as general manager at  ARMA Global Corporation, a subsidiary of General Dynamics, the defense contracting company that provides IT services. During his time there, the company grew from $20 million in annual revenue to $200 million and from 80 employees to approximately 1,000. Before that, Ferry served as director of business development and operations at Lockheed-Martin, the aerospace and defense contractor. His appointment followed news in July 2020 of the retirement of Duos founder Gianni Arcaini as its president and CEO, with effect from September 1, although the company said the 71-year old would continue to serve as chairman of the company's board. Arcaini left his post 30 years after founding the company in 1990. On the financial front, Duos reported a 195% quarter-over-quarter increase in its 4Q 2020 revenue to $3.8 million, following what the company called “strong”  improvements across all its business segments driven by its ongoing strategic initiatives introduced during the third quarter. Duos Technologies ended the fourth quarter with cash and equivalents totaling $4 million. The company also recently completed a $4.5 million capital raise. Inflection points:  New strategy direction from CEO Improved financial results for 2021 with the potential to become cash-flow positive  More contract news  What the boss says:  Commenting on the company’s 4Q 2020 financial results, Duos Technologies Group CEO Chuck Ferry said in a statement: “In a short amount of time, our business has improved in terms of operational-technical delivery, customer satisfaction, and financial performance, all of which are core tenants of the plan we laid out following our strategic review late last year.”  Ferry added: “These positive developments considered and with our current visibility into the next twelve months of orders and deployments on the horizon, we are projecting $18 million in revenue for the year, which, under our current investment rate, would have us at a breakeven level and also cash flow positive.” Contact Sean at sean@proactiveinvestors.com