Strikeforce Technologies Inc (OTCMKTS:SFOR) Remains Well Positioned For Growth

Strikeforce Technologies Inc (OTCMKTS:SFOR) is a company we have followed closely year to date, and in our latest analysis, we noted that the company has spent the last decade building up its product portfolio, but has run into certain hurdles. In turn, however, we noted that it is perfectly positioned to benefit from both wider market trends, and some company-specific developments (read: lawsuits). Our bottom line, last time, was there is some upside here, and it's not just a short term run – we're talking considerable long term revaluation.Well, the company just put out third quarter financials, and the numbers reinforce our bias. In light of the latest update, then, let's take a look at where the data fits into our bias, and what we are looking for next from Strikeforce.First, a quick introduction to the company.Strikeforce is a cyber security company based out of New Jersey, and as mentioned above, it's been in the business for well over a decade. It's product offerings in the space comprise three key offerings, spanning desktop and mobile device implementation. The three products are called ProtectID, GuardedID and MobileTrust. GuardedID and MobileTrust are a type of security suite, designed to protect against the most relevant cyber security threats – keylogging, clickjacking etc – for desktop and mobile devices respectively. ProtectID is more of a concept application, which Strikeforce has adapted for implementation in today's devices. It's primary feature, and a feature that is currently subject to a number of patent disputes in which Strikeforce is the plaintiff, is out of band authentication.The company has these products available at market across a number of retail fronts, including big names such as Target Corporation (NYSE:TGT) and Amazon.com, Inc. (NASDAQ:AMZN).Before we get in to the sales figures, let's quickly address just mentioned lawsuits. Strikeforce won a patent dispute case against Microsoft Corporation (NASDAQ:MSFT) earlier this year, and currently has a host of other suits outstanding. We won't go in to too much detail into these suits for the purposes of this discussion, but suffice to say, they have the potential to inject some considerable capital, be it by way of licensing revenue or one of compensatory payments, into Strikeforce's balance sheet over the coming twelve months. With the Microsoft suit serving as precedent, this potential for some is enough to support a buy thesis on its own, and for good reason.This said, we feel the company deserves some attention for its product suite, lawsuits aside, and here's why. Strikeforce's product portfolio is perfectly suited to meet the cyber security demands of today's digital world. It has been for some time, but this year, and going forward, it looks like the market has finally caught up.Which brings us to the numbers.During the third quarter, revenues came in at a little over $183K, an increase of 140% on the $76K recorded a year earlier. For the nine months to September 30, revenue growth mirrored the quarterly growth, reported at a nine-month total of $390K, up from $216K for the nine months to September 30, 2015.Cash on hand at the end of the third quarter was a little over $1.22 million, derived primarily from the Microsoft settlement in January, and as management noted in the most recent 10-Q, these Microsoft derived funds have funded operations year to date, and should continue to do so through the end of 2016. The funds also went towards paying off a large portion of the company's debt, allowing Strikeforce to greatly improve its balance sheet and capital structure – a welcome shift for shareholders. Payable convertible notes have reduced from more than $2.2 million at the end of last year to around $1.5 million at September 30, and total liabilities are down from $13.5 million to $9 million across the period.What these numbers show is that the current marketing efforts are finally translating to top line growth for the company, and we expect this top line growth to expand as Strikeforce funnels more of its working capital into marketing efforts. Couple that with the potential for one time six or more figure injections, and the balance sheet improvements seen over the last twelve months, and you've got a company that looks undervalued at its current market cap, and – even better – remains under the radar by way of its pink sheet listing.Here's the latest 10-Q.We will be updating our subscribers as soon as we know more. For the latest updates on SFOR, sign up below!Disclosure: We have no position in SFOR and have not been compensated for this article.