NORTHVALE, NJ / ACCESSWIRE / November 22, 2021 / ADM Tronics Unlimited, Inc. (OTCQB:ADMT), a technology-based developer and manufacturer of innovative technologies and products, announces results for its second fiscal quarter ended September 30, 2021 of Fiscal Year 2022.
"During the second quarter of Fiscal Year 2022 we achieved a very important milestone with the finalization of our first pre-production evaluation units of our Vet-Sonotron® veterinary electro-therapy technology," stated Andre' DiMino, President of ADMT. "Our increased efforts in research and development over the past several quarters allowed us to take this important step towards commercialization of this non-invasive therapeutic modality for animals. During the second quarter we did face challenges in our chemical and manufacturing segments from supply chain problems worldwide. However, our dedicated engineering and procurement team members are actively seeking alternative measures to reduce the impact of the raw material shortages."
ADM Tronics' second fiscal quarter ended September 30, 2020 had a reduction in revenues although revenues for the first six months of Fiscal Year 2022 increased as compared to the same periods last Fiscal Year. The reduction in revenues for the three months ended September 30, 2021was primarily due to the shortage in availability of electronic components and chemical raw materials from supply chain problems.
Operational expenses for ADM Tronics' fiscal quarter ended September 30, 2021 increased primarily due to $287,844 in non-cash expense from the issuance of a warrant to a consulting group to purchase 3,500,000 shares of ADMT common stock at an exercise price of $0.17 for the first year and $0.20 for the second year of the two year agreement, plus an increase in the allowance for doubtful accounts of $200,000.
Revenues for the three months ended September 30, 2021 were $851,859 as compared to $927,085 for the three months ended September 30, 2020, a decrease of 8% primarily due to reduced electronics and chemical segment revenues from the effects of raw materials shortages for manufacturing from worldwide supply chain problems, offset by increased engineering revenues. Loss from operations for the second quarter was $552,574 as compared to income of $5,366 for the same period last year. The loss was primarily due to increased operational expenses from the non-cash cost of the issuance of warrants for a consulting agreement in the amount of $287,844 and an increase in the allowance for doubtful accounts of $200,000.
Revenues for the six months ended September 30, 2021 were $1,573,217 as compared to $1,496,178 for the six months ended September 30, 2020, an increase of 5%. The increase in revenues was primarily from increased engineering and chemical revenues offset by a decrease in revenues from the electronics segment, primarily due to the effects of raw materials shortages for manufacturing from worldwide supply chain problems. Loss from operations for the six months ended September 30, 2021 was $595,571 as compared to loss of $178,504 for the same period last year. The loss was primarily due to increased operational expenses from the non-cash cost of the issuance of warrants for a consulting agreement in the amount of $287,844 and an increase in the allowance for doubtful accounts of $200,000.
Complete financial results are available in the Company's Quarterly Report on Form 10Q for September 30, 2020, available at www.sec.gov.
Financial Highlights
| Three Months Ended | Six Months Ended | ||||||||||||||
| September 30, | September 30, | ||||||||||||||
| 2021 | 2020 | 2021 | 2020 | ||||||||||||
Net revenues | $ | 851,859 | $ | 927,085 | $ | 1,573,217 | $ | 1,496,178 | |||||||
Cost of sales | $ | 489,195 | $ | 561,628 | $ | 908,571 | $ | 946,421 | |||||||
Gross Profit | $ | 362,664 | $ | 365,457 | $ | 664,646 | $ | 549,757 | |||||||
Total Operating expenses | $ | 915,238 | $ | 360,091 | $ | 1,260,217 | $ | 728,261 | |||||||
Income (loss) from operations | $ | (552,574 | ) | $ | 5,366 | $ | (595,571 | ) | $ | (178,504 | ) | ||||
Total other income | $ | 359,100 | $ | 3,545 | $ | 357,925 | $ | 17,179 | |||||||
Income (loss) before provision for income taxes | $ | (193,474 | ) | $ | 8,911 | $ | (237,646 | ) | $ | (161,325 | ) | ||||
Total (benefit) for income taxes | $ | (156,318 | ) | $ | (53,000 | ) | $ | (169,818 | ) | $ | (1,500 | ) | |||
Net income (loss) | $ | (37,156 | ) | $ | 61,911 | $ | (67,828 | ) | $ | (159,825 | ) | ||||
Basic and diluted per common share | $ | (0.00 | ) | $ | 0.00 | $ | (0.00 | ) | $ | (0.00 | ) | ||||
Weighted average shares of common stock outstanding - basic and diluted | 67,588,504 | 67,588,504 | 67,588,504 | 67,588,504 | |||||||||||
About ADMT
ADMT is a diversified, technology-based developer and manufacturer of innovative technologies and products. Its core competency is its ability to conceptualize a technology, bring it through development, into manufacturing and commercialization, all in-house. ADMT has three areas of activity: Proprietary Electronic Medical Devices; Design, Engineering, Regulatory and Manufacturing Services; and, Eco-Friendly, Safe, Water-Based Formulations. The Company's headquarters, laboratories, FDA-Registered medical device and manufacturing operations are located in Northvale, NJ. ADMT's multi-disciplinary team of engineers, researchers and technologists utilize advanced technology infrastructure, for the research, development and commercialization of diversified technologies. Additional information is available at admtronics.com
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Except for historical information contained herein, the matters set forth in this news release are "forward-looking" statements (as defined in the Private Securities Litigation Reform Act of 1995), including statements regarding future revenue growth and performance. Although ADMT believes the expectations reflected in such forward-looking statements are based upon reasonable assumptions, there can be no assurance that its expectations will be realized. Forward-looking statements involve risks and uncertainties that could cause actual results to differ materially from expectations. Factors that could contribute to such differences include those described from time to time in ADMT's filings with the SEC, news releases and other communications. The Company assumes no obligation to update the information contained in this news release.
Press Contact:
Andre DiMino
[email protected]
SOURCE: ADM Tronics Unlimited, Inc.
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