In accordance with its policy, AIFS reviews the estimated useful lives of its fixed assets on an ongoing basis. This review indicated that the actual lives of certain capitalized software were longer than the estimated useful lives used for amortization purposes in AIFS financial statements. As a result, effective December 31, 2021, AIFS changed its estimates of the useful lives of its capitalized software to better reflect the estimated periods during which these assets will remain in service. The estimated useful lives of the capitalized software that previously averaged seven years was decreased to an average of five years. The effect of this change in estimate was to increase 2021 depreciation expense by approximately $595,000, decrease 2021 net income by $595,000, increase in deferred tax asset by $164,000 and decrease 2021 basic and diluted earnings per share by $0.09 and $0.08, respectively.
Therefore, in the year ending December 31, 2021, AIFS reported a net income of $1,273, with EBITDA representing 20% of sales at year-end, slightly down from year-end 2020 levels of $408,667 and 21% respectively. AIFS declared a dividend of $0.035 per share in June 2021.
SHAREit, Auto-Graphics’ enterprise-class system, continued to grow in North America with its selection by both the Arkansas State Library and SCELC (Statewide California Electronic Library Consortium.) These awards further substantiate Auto-Graphics as the industry leader in statewide/regional resource sharing in North America, with 16 total statewide systems.
Auto-Graphics, Inc. has been an industry leader in library management and resource sharing software for nearly 50 years. A-G was the first to provide Cloud-based library resource sharing solutions to library consortia. All A-G products meet ISO and NISO standards and are available through a cloud-based delivery model (SaaS – “Software as a Service.”) For more information, visit A-G on Facebook and LinkedIn.
President
Customer Service Manager
Product Manager – VERSO
Product Manager, SHAREit
Chief Technology Officer
Chief Operations Officer
Mr. Hicks, CPA, has been a director since February 2012. Mr. Hicks is Chairman of the Audit Committee. Mr. Hicks has been a practicing certified public accountant for over twenty-five years in addition to partnering and managing both an underground construction company and real estate development business. Currently, Mr. Hicks is a founder and senior partner of Hicks & Williams, LLP a certified public accounting firm providing tax, audit and management consulting services to small and medium size clients across the nation.
Vice President of Sales
Mr. Heath has been a director since December 2012. Mr. Heath immigrated to California from Canada during the Internet commerce boom in 1999. Mr. Heath was formerly Vice President, Secondary Markets at Best Buy (2008-2010) and founded Dealtree.com in 1999, where he was CTO & COO from (2001-2010). Mr. Heath has developed expert system technologies for managing online sales channels and created several online marketplaces supporting secondary market sales. Mr. Heath is an Internet technology and business operations consultant and serves as President of Heath Investment Properties LLC. Mr. Heath is an active member of Rotary, and currently serves a Technology Director for District 5320 in Southern California.
Dr. Murphy has been a director since December 2012. He has over 20 years experience as a successful software executive specializing in high-growth SaaS companies. He currently is CEO of GVNG Technology and Practitioner of Strategy at the Pepperdine Graziadio Business School. Dr. Murphy is an active member on the board of directors for several early-stage and private equity owned companies. He received his MBA from Pepperdine University and his Doctor of Business Administration (DBA) from the Alliance Manchester Business School at The University of Manchester.
Ken Kerr has been a director since April 2020. During his career, he served in a variety of leadership positions in sales, marketing, and operations with companies in startup, turnaround, and expansion. Most recently he was CEO/CFO of Advisys, Inc., a SaaS company providing financial planning solutions to Fortune 100 banks, brokerages and insurance companies, and thousands of independent financial advisers. He retired from Advisys in 2018 and now consults with businesses to improve profits and productivity through effective employee engagement strategies. Ken graduated Cum Laude from UCLA with a bachelor’s degree in English Literature and has an MBA with an emphasis in Technology Management from the University of Phoenix.
Director of Customer Service and Quality Assurance
Controller
Product Manager, SHAREit – Customer Services
Product Manager, VERSO – Technical Services
Director of Information Technology