SCI Engineered Materials, Inc. Reports Second Quarter and Six Month 2012 Results
(firmenpresse) - COLUMBUS, OH -- (Marketwire) -- 08/07/12 -- SCI Engineered Materials, Inc. ("SCI") (OTCQB: SCIA) (OTCBB: SCIA) develops and commercializes technologies and manufactures ceramics and metals for advanced applications in the physical vapor deposition industry, reported its financial results today for the three and six month periods ended June 30, 2012.
Dan Rooney, Chairman, President and Chief Executive Officer, commented, "We are encouraged by the solid growth in product revenue and improved operating performance. Our core business continues to perform well and we are benefiting from previous investments in sales and marketing and increased manufacturing capabilities to serve complementary markets. There have been recent indications in the solar market that conditions may improve during the second half of this year compared with the first six months of 2012. Two developments are expected to specifically benefit SCI later this year. First, there has been increased product interest from several domestic and international solar customers and in early July 2012 we received increased orders for solar products that are scheduled to ship during the third quarter 2012. Second, we are beginning to benefit from the introduction of new product earlier this year. We continue to work closely with all of our customers and are positioned to meet their current and future product requirements."
Second Quarter 2012 Results
Revenue
Product revenue increased 24% for the second quarter 2012, especially for photonic and thin film battery customers. Contract research revenue declined $91,324 as planned to $56,511 for the second quarter 2012 due to completion of two government grants and awards during the past twelve months. Total revenue increased 19% to $2,703,728 for the second quarter 2012 compared with $2,277,568 a year ago.
Product revenue increased slightly to $4,461,759 for the first six months of 2012 compared with the same period last year despite the loss of a major customer in 2011. Contract research revenue declined as anticipated to $125,001 for the first half of 2012 from $353,171 last year. Total revenue for the first six months of 2012 was $4,586,760 versus $4,795,202 in 2011.
Backlog was $2.2 million at June 30, 2012, compared with $1.7 million at year-end 2011 and $2.7 million on the same date a year ago. Contract research backlog declined $0.4 million during the past year as government grants and awards were completed.
Gross profit
Gross profit increased 25% to $523,032 for the second quarter 2012 compared with a year ago which was attributable to higher sales and increased volume. Gross profit increased to 19.3% of revenue for the second quarter from 18.3% for the same period last year due to higher sales and a more favorable product mix compared with a year ago.
For the six months ended June 30, 2012, gross profit declined 13% to $838,177 from $964,367 the prior year. This decrease was attributable to the loss of a large customer in the first half of 2011, product mix and higher depreciation expense. As a result, gross profit declined to 18.3% of revenue for the first half of 2012 from 20.1% a year ago.
Operating expenses
We continue to control our costs as reflected by the 14% decline in operating expenses for the second quarter versus a year ago. Operating expenses (general and administrative (G&A) expense, research and development expense (R&D) and marketing and sales expense) were $508,259 for the second quarter 2012 versus $592,803 last year. This decrease was due to lower internally financed R&D expenses partially offset by higher external professional accounting fees and expenses related to an international trade show that occurred earlier last year. Results for the second quarter 2012 included non-cash expense of $35,526 compared with $67,513 of non-cash expense for the same period last year.
Operating expenses for the first half of 2012 declined 16% to $998,662 versus a year ago due to lower R&D expenses related to development of innovative transparent conductive oxide systems, other R&D activities and lower marketing and sales expense. G&A expenses included higher professional fees and non-cash stock based compensation expense partially offset by lower G&A expenses in other areas. There was $69,855 of non-cash expense for the first six months of 2012 compared with $97,550 last year.
Income (Loss) Applicable to Common Shares
Income applicable to common shares was $4,568 for the second quarter 2012, or $0.00 per diluted share, compared with a loss of $204,488, or $(0.05) per share, last year.
For the six months ended June 30, 2012, the loss applicable to common shares was $191,233, or $(0.05) per share, versus a loss of $281,232, or $(0.07) per share, a year ago.
EBITDA
EBITDA (earnings before interest, income taxes, depreciation and amortization) was $159,997 for the second quarter 2012 versus EBITDA of $(4,010) for the same period last year. This was primarily attributable to increases in product revenue and gross profit. Adjusted EBITDA, which excludes non-cash stock based compensation, was $195,778 for the second quarter compared with $25,918 for the same period a year ago.
EBITDA was $129,035 for the six months ended June 30, 2012 compared with $73,437 last year. Adjusted EBITDA was $199,913 for the first half of 2012 compared with $134,730 in 2011.
About SCI Engineered Materials, Inc.
SCI Engineered Materials, Inc. manufactures ceramics and metals for advanced applications such as photonics, thin film solar, thin film batteries, and semiconductors. SCI Engineered Materials is a global materials supplier with clients in more than 40 countries. Additional information is available at .
This press release contains certain forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended, which are intended to be covered by the safe harbors created thereby. Those statements include, but are not limited to, all statements regarding intent, beliefs, expectations, projections, customer guidance, forecasts, and plans of the company and its management, and specifically include statements concerning adapting to changes in solar customers' growth plans, scaling the company's production capabilities, positioned to be more efficient and profitable as market conditions improve, outlook for the solar industry remains attractive long term, encouraged by sequential quarter and year-over-year improvement in backlog, and the recent introduction of new product based on prior research and development activities are anticipated to benefit future performance. These forward-looking statements involve numerous risks and uncertainties, including, without limitation, other risks and uncertainties detailed from time to time in the Company's Securities and Exchange Commission filings, including the Company's Annual Report on Form 10-K for the year ended December 31, 2011. One or more of these factors have affected, and could in the future affect, the Company's projections. Therefore, there can be no assurances that the forward-looking statements included in this press release will prove to be accurate. In light of the significant uncertainties in the forward-looking statements included herein, the inclusion of such information should not be regarded as a representation by the Company, or any other persons, that the objectives and plans of the company will be achieved. All forward-looking statements made in this press release are based on information presently available to the management of the Company. The Company assumes no obligation to update any forward-looking statements.
For Additional Information
Contact:
Robert Lentz
(614) 876-2000
Themen in dieser Pressemitteilung:
Unternehmensinformation / Kurzprofil:
Datum: 07.08.2012 - 20:18 Uhr
Sprache: Deutsch
News-ID 172468
Anzahl Zeichen: 0
contact information:
Town:
COLUMBUS, OH
Kategorie:
Aircraft
Diese Pressemitteilung wurde bisher 148 mal aufgerufen.
Die Pressemitteilung mit dem Titel:
"SCI Engineered Materials, Inc. Reports Second Quarter and Six Month 2012 Results"
steht unter der journalistisch-redaktionellen Verantwortung von
SCI Engineered Materials (Nachricht senden)
Beachten Sie bitte die weiteren Informationen zum Haftungsauschluß (gemäß TMG - TeleMedianGesetz) und dem Datenschutz (gemäß der DSGVO).
