NEWTON, Mass., Aug. 11, 2016 /PRNewswire/ -- Dynasil Corporation
of America (NASDAQ: DYSL), a developer and manufacturer of optics
and photonics products, optical detection and analysis technology
and components for the homeland security, medical and industrial
markets, today announced its 2016 nine month year to date revenue
is $32.9 million compared to
$29.8 million in the same nine month
period of 2015. This $3.1
million represents an increase of 11% in 2016 primarily
driven by our Optics segment businesses. A substantial
increase in revenue from our U.K. subsidiary's previously announced
three-year crystal component supply agreement, as well as the
expansion of a product line in our U.S. Optics operations account
for the majority of this increase.
Certain key metrics by segment for the nine months ended
June 30, 2016 and 2015 are presented
below:
Results of
Operations for the Nine Months Ended June 30, 2016
|
|
Optics
|
Contract
Research
|
Biomedical
|
Total
|
Revenue
|
$18,415,000
|
$14,484,000
|
$
-
|
$
32,899,000
|
Gross
Profit
|
6,330,000
|
5,639,000
|
-
|
11,969,000
|
GM %
|
34%
|
39%
|
-
|
36%
|
Operating
expenses
|
5,233,000
|
5,107,000
|
1,099,000
|
11,439,000
|
Net Income
(loss)
|
$
875,000
|
$
526,000
|
$(1,069,000)
|
$
332,000
|
|
|
|
|
|
|
|
|
|
|
Results of
Operations for the Nine Months Ended June 30, 2015
|
|
Optics
|
Contract
Research
|
Biomedical
|
Total
|
Revenue
|
$15,781,000
|
$13,964,000
|
$
-
|
$
29,745,000
|
Gross
Profit
|
5,222,000
|
6,077,000
|
-
|
11,299,000
|
GM %
|
33%
|
44%
|
-
|
38%
|
Operating
expenses
|
4,786,000
|
5,712,000
|
739,000
|
11,237,000
|
Net Income
(loss)
|
$
117,000
|
$
356,000
|
$
(715,000)
|
$
(242,000)
|
"The Optics segment revenue was $18.4
million during the 2016 nine month period compared to
$15.8 in the same period in 2015, a
17% improvement year over year. Contract Research revenue has
grown 4% to $14.5 million, a
substantial achievement given the delayed funding of awards from
the government agencies to which we provide R&D services,"
commented Peter Sulick, Dynasil's
CEO.
"For the 2016 year to date, the net income attributed to our
Optics and Contract Research segments has increased to $1,401,000 from $473,000 in 2015," continued Sulick. "Optics
alone has increased to $875,000 from
$117,000. This is a substantial
improvement over prior years. Exclusive of the Xcede
consolidated loss, Dynasil's core operating units have improved net
income performance by approximately 300% year to date."
Revenue for the third quarter ended June
30, 2016 was $10.4 million
compared to $10.2 million in the
third quarter of 2015. "Our revenue growth continues in the
Optics segment year over year driven predominantly by the new
product offering that has been ramping up over the last 9 months in
the U.K. The Optics companies reported revenues of
$5.8 million in the quarter ended
June 30, 2016, compared to
$5.6 million of revenues in the same
period of 2015," stated CEO Sulick.
"Additionally, our Contract Research segment revenue for the
third quarter of 2016 remained even with the same period in
2015. Our backlog in this segment has remained steady at
$31.0 million compared with the
quarter ended March 31, 2016.
This has been a difficult year for contract R&D organizations
in general, but indications are the government climate for R&D
funding is improving. We are anticipating a much improved
fourth quarter and 2017."
Dynasil's net income for the third quarter of fiscal 2016 was
$0.3 million, down slightly from last
year's net income of $0.4 million for
the third quarter of fiscal 2015. The net income also
included expenses of approximately $0.4
million and $0.2 million in
the three months ended June 30, 2016
and 2015, respectively, associated with research and start-up costs
of Xcede Technologies, our majority-owned joint venture with Mayo
Clinic. Xcede incurred a stock expense charge during the quarter as
the final anti-dilution adjustment in satisfaction of the
anti-dilution clause in the existing licensing agreement between
Xcede and Mayo. Dynasil has voting control of Xcede via its common
stock ownership, thus Dynasil is required to include Xcede in the
company's consolidated financial statements even though Dynasil is
no longer funding Xcede.
Conference Call Information
Dynasil will host a conference call for investors and analysts
at 5:00 p.m. on August 11, 2016. The call will be hosted by
Chairman, CEO and President Peter
Sulick and Chief Financial Officer Robert Bowdring. Those who wish to listen
to the conference call can go to the event page at or visit the
Investor Information section of the Company's website at
www.dynasil.com. The call also may be accessed by dialing (888)
346-2613 or (412) 902-4252. For interested individuals unable
to join the live conference call, a webcast replay will be
available on the Company's website for one year.
About Dynasil
Dynasil Corporation of America (NASDAQ: DYSL) develops and
manufactures optics and photonics products, optical detection and
analysis technology and components for the homeland security,
medical and industrial markets. Combining world-class
expertise in research and materials science with extensive
experience in manufacturing and product development, Dynasil is
commercializing products including dual-mode radiation detection
solutions for Homeland Security and commercial applications and
sensors for non-destructive testing. Dynasil has an
impressive and growing portfolio of issued and pending U.S.
patents. The Company is based in Newton, MA, with additional operations in MA,
MN, NY, NJ and the United Kingdom.
More information about the Company is available at
www.dynasil.com.
Forward-Looking Statements
This press release may contain forward-looking statements within
the meaning of the Private Securities Litigation Reform Act of
1995. These forward-looking statements regarding future
events and our future results are based on current expectations,
estimates, forecasts, and projections and the beliefs and
assumptions of our management, including, without limitation, our
expectations regarding Xcede's ability to obtain financing from
outside investors. Actual results of the future events
described in such forward-looking statements could differ
materially from those stated in such forward-looking statements due
to a number of important factors, including the availability of
financing sources, as well as the uncertainties set forth in the
Company's Annual Report on Form 10-K and from time to time in the
Company's other filings with the Securities and Exchange
Commission. The Company disclaims any intention or obligation to
update any forward-looking statements, whether as a result of new
information, future events or otherwise.
Dynasil
Corporation of America and Subsidiaries
|
Consolidated
Balance Sheets (Unaudited)
|
|
|
|
|
ASSETS
|
June 30,
2016
|
|
September 30,
2015
|
Current
Assets
|
|
|
|
Cash and
cash equivalents
|
$
232,000
|
|
$
1,295,000
|
Accounts
receivable, net
|
4,928,000
|
|
3,382,000
|
Costs in
excess of billings and unbilled receivables
|
1,250,000
|
|
1,518,000
|
Inventories, net of reserves
|
3,926,000
|
|
3,066,000
|
Prepaid
expenses and other current assets
|
1,177,000
|
|
1,125,000
|
Total current assets
|
11,513,000
|
|
10,386,000
|
|
|
|
|
Property, Plant and
Equipment, net
|
7,113,000
|
|
6,662,000
|
Other
Assets
|
|
|
|
Intangibles, net
|
1,096,000
|
|
1,225,000
|
Goodwill
|
5,940,000
|
|
6,131,000
|
Security
deposits
|
60,000
|
|
58,000
|
Total other assets
|
7,096,000
|
|
7,414,000
|
|
|
|
|
Total
Assets
|
$
25,722,000
|
|
$
24,462,000
|
|
|
|
|
LIABILITIES AND
STOCKHOLDERS' EQUITY
|
|
|
|
Current
Liabilities
|
|
|
|
Line of
credit
|
$
104,000
|
|
$
1,455,000
|
Current
portion of long-term debt
|
2,397,000
|
|
112,000
|
Capital
lease obligations, current
|
98,000
|
|
76,000
|
Convertible notes and accrued interest
|
2,600,000
|
|
2,123,000
|
Accounts
payable
|
1,710,000
|
|
1,886,000
|
Deferred
revenue
|
229,000
|
|
109,000
|
Accrued
expenses and other liabilities
|
2,737,000
|
|
2,650,000
|
Total current liabilities
|
9,875,000
|
|
8,411,000
|
|
|
|
|
Long-term
Liabilities
|
|
|
|
Long-term debt, net of current portion
|
827,000
|
|
1,288,000
|
Capital
lease obligations, net of current portion
|
161,000
|
|
43,000
|
Deferred
tax liability
|
241,000
|
|
242,000
|
Other
long-term liabilities
|
46,000
|
|
50,000
|
Total long-term liabilities
|
1,275,000
|
|
1,623,000
|
|
|
|
|
Stockholders'
Equity
|
|
|
|
Dynasil
stockholders' equity
|
14,668,000
|
|
14,616,000
|
Noncontrolling interest
|
(96,000)
|
|
(188,000)
|
Total stockholders' equity
|
14,572,000
|
|
14,428,000
|
|
|
|
|
Total Liabilities
and Stockholders' Equity
|
$
25,722,000
|
|
$
24,462,000
|
Dynasil
Corporation of America and Subsidiaries
|
Consolidated
Statement of Operations and Comprehensive Income
(Loss)
|
(Unaudited)
|
|
|
|
|
|
|
|
|
|
Three Months
Ended
|
|
Nine Months
Ended
|
|
|
|
June
30,
|
|
June
30,
|
|
|
|
2016
|
|
2015
|
|
2016
|
|
2015
|
Net
revenue
|
|
$
10,406,000
|
|
$
10,239,000
|
|
$
32,899,000
|
|
$
29,745,000
|
Cost of
revenue
|
|
6,479,000
|
|
6,206,000
|
|
20,930,000
|
|
18,446,000
|
Gross
profit
|
|
3,927,000
|
|
4,033,000
|
|
11,969,000
|
|
11,299,000
|
Operating
expenses:
|
|
|
|
|
|
|
|
|
|
Sales and
marketing
|
|
246,000
|
|
312,000
|
|
930,000
|
|
986,000
|
|
Research and
development
|
|
544,000
|
|
356,000
|
|
1,547,000
|
|
1,145,000
|
|
General and
administrative
|
|
2,811,000
|
|
2,882,000
|
|
8,966,000
|
|
9,284,000
|
|
(Gain) loss on sale
of assets
|
|
-
|
|
8,000
|
|
(4,000)
|
|
(178,000)
|
|
|
|
|
|
|
|
|
|
|
Total operating
expenses
|
|
3,601,000
|
|
3,558,000
|
|
11,439,000
|
|
11,237,000
|
Income (loss) from
operations
|
|
326,000
|
|
475,000
|
|
530,000
|
|
62,000
|
Interest expense,
net
|
|
78,000
|
|
124,000
|
|
215,000
|
|
372,000
|
Income (loss) before
taxes
|
|
248,000
|
|
351,000
|
|
315,000
|
|
(310,000)
|
Income tax
(credit)
|
|
32,000
|
|
(14,000)
|
|
101,000
|
|
7,000
|
Net income
(loss)
|
|
216,000
|
|
365,000
|
|
214,000
|
|
(317,000)
|
|
Less: Net loss
attributable to noncontrolling interest
|
|
(42,000)
|
|
(23,000)
|
|
(118,000)
|
|
(75,000)
|
Net income (loss)
attributable to common stockholders
|
|
$
258,000
|
|
$
388,000
|
|
$
332,000
|
|
$
(242,000)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net income
(loss)
|
|
$
216,000
|
|
$
365,000
|
|
$
214,000
|
|
$
(317,000)
|
Other comprehensive
income (loss):
|
|
|
|
|
|
|
|
|
|
Increase in pension
liability
|
|
-
|
|
-
|
|
-
|
|
318,000
|
|
Foreign currency
translation
|
|
(417,000)
|
|
251,000
|
|
(673,000)
|
|
(138,000)
|
Total comprehensive
income (loss)
|
|
$
(201,000)
|
|
$
616,000
|
|
$
(459,000)
|
|
$
(137,000)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Basic net income
(loss) per common share
|
|
$
0.02
|
|
$
0.02
|
|
$
0.02
|
|
$
(0.01)
|
Diluted net income
(loss) per common share
|
|
$
0.02
|
|
$
0.02
|
|
$
0.02
|
|
$
(0.01)
|
|
|
|
|
|
|
|
|
|
|
Weighted average
shares outstanding
|
|
|
|
|
|
|
|
|
|
Basic
|
|
16,698,205
|
|
16,439,637
|
|
16,628,279
|
|
16,368,313
|
|
Diluted
|
|
16,701,737
|
|
16,447,088
|
|
16,671,016
|
|
16,368,313
|
Contact:
Patty
Kehe
Corporate Secretary
Dynasil Corporation of America
Phone: 617.668.6855
pkehe@dynasil.com
To view the original version on PR Newswire,
visit:http://www.prnewswire.com/news-releases/dynasil-corporation-of-america-reports-year-to-date-revenue-is-up-11-over-the-same-2015-period-300312387.html
SOURCE Dynasil Corporation of America