NORTHVALE, N.J., Nov. 19, 2008 (GLOBE NEWSWIRE) -- ADM Tronics Unlimited, Inc. (OTCBB:ADMT), a technology-based developer and manufacturer of unique, environmentally-safe, health and life-enhancing technologies, today announced financial results for the six months ended September 30, 2008.
ADMT reported a net loss of $4,407,174, or $.08 net loss per share, and $7,628,702, or $.14 net loss per share, for the three and six months ended September 30, 2008, respectively, an increase of $3,725,826 and $6,374,705 compared to a net loss of $681,348, or $.01 net loss per share, and $1,253,997, or $.02 net loss per share, for the three and six months ended September 30, 2007, respectively. This increase was primarily the result of decreases in the fair market value of our investment in Ivivi Technologies Inc. (Ivivi) of $4,517,500 and $9,815,000 for the three and six months ended September 30, 2008, respectively, which were offset by recognized deferred tax credits of $277,612 and $2,147,576 for the three and six months ended September 30, 2008, respectively. Revenues for the three months ended September 30, 2008 were $389,589, as compared to $399,847 for the three months ended September 30, 2007, a decrease of $10,258, or 3%. Revenues were $990,530 for the six months ended September 30, 2008, as compared to $692,933 for the six months ended September 30, 2007, an increase of $297,597, or 43%. This increase was mainly the result of greater sales in contract manufacturing for Ivivi. To date, we have not received any additional orders from Ivivi.
Andre' DiMino, President of ADMT, stated, "Our results show continued growth for our year-over-year periods. We expect to see continued growth and acceptance of our water-based chemical products through expanded sales and marketing activities."
ADM TRONICS UNLIMITED, INC. AND SUBSIDIARIES
CONDENSED CONSOLIDATED STATEMENT OF OPERATIONS
FOR THE THREE AND SIX MONTHS ENDED SEPTEMBER 30, 2008 AND 2007
(Unaudited)
Three Months Ended Six Months Ended
September 30, September 30,
2008 2007 2008 2007
----------- ----------- ----------- -----------
Revenues $ 389,589 $ 399,847 $ 990,530 $ 692,933
----------- ----------- ----------- -----------
Costs and expenses:
Cost of sales 258,269 249,170 657,480 419,229
Research and
development -- 1,057 -- 3,550
Selling, general
and adminis-
trative 311,913 245,798 600,581 494,517
----------- ----------- ----------- -----------
Total operating
expenses 570,182 496,025 1,258,061 917,296
----------- ----------- ----------- -----------
Operating loss (180,593) (96,178) (267,531) (224,363)
Interest income,
net 13,307 25,647 28,641 50,790
Change in fair
value of
investment in
Ivivi (4,517,500) -- (9,815,000) --
Equity in net loss
of Ivivi -- (610,817) -- (1,080,424)
----------- ----------- ----------- -----------
Net loss before
income taxes
(credit) (4,684,786) (681,348) (10,053,890) (1,253,997)
Income taxes
(credit) (277,612) -- (2,425,188) --
----------- ----------- ----------- -----------
Net loss $(4,407,174) $ (681,348) $(7,628,702) $(1,253,997)
=========== =========== =========== ===========
Net loss per share,
basic and diluted $ (0.08) $ (0.01) $ (0.14) $ (0.02)
=========== =========== =========== ===========
Weighted average
shares
outstanding, basic
and diluted 53,939,537 53,882,037 53,939,537 53,882,037
ADM TRONICS UNLIMITED, INC. AND SUBSIDIARIES
CONDENSED CONSOLIDATED BALANCE SHEETS
SEPTEMBER 30, 2008 MARCH 31, 2008
(Unaudited)
ASSETS
Current assets:
Cash and cash equivalents $ 1,518,042 $ 2,072,325
Accounts receivable, net of
allowance for doubtful
accounts of $1,088 and
$1,088, respectively 83,747 101,270
Inventories 365,745 469,403
Prepaid expenses and other
current assets 8,592 83,731
Restricted cash 225,000 --
------------ ------------
Total current assets 2,201,126 2,726,729
Property and equipment, net of
accumulated depreciation of
$21,576 and $17,873,
respectively 66,473 55,288
Inventory - long term portion 84,543 78,416
Investment in Ivivi 1,560,000 2,154,517
Advances to related parties 65,655 74,299
Other assets 236,144 28,486
------------ ------------
Total assets $ 4,213,941 $ 5,117,735
============ ============
LIABILITIES AND STOCKHOLDERS'
EQUITY
Current liabilities:
Accounts payable $ 139,349 $ 237,331
Note payable - Bank 200,000 --
Accrued expenses and other
current liabilities 48,165 87,439
Customer deposits - Ivivi 108,697 241,828
------------ ------------
Total current liabilities 496,211 566,598
------------ ------------
Stockholders' equity:
Preferred stock, $.01 par
value; 5,000,000 shares
authorized, no shares issued
and outstanding -- --
Common stock, $.0005 par
value; 150,000,000 shares
authorized, 53,939,537 shares
issued and outstanding at
September 30, 2008 and
March 31, 2008 26,970 26,970
Additional paid-in capital 32,153,597 32,153,597
Accumulated deficit (28,462,838) (27,629,430)
------------ ------------
Total stockholders' equity 3,717,730 4,551,137
------------ ------------
Total liabilities and
stockholders' equity $ 4,213,941 $ 5,117,735
============ ============
About ADMT
ADMT is a technology based developer and manufacturer of unique, environmentally safe, health and life enhancing technologies and products. Its core competency is its ability to conceptualize a technology, bring it through development into manufacturing and commercialization, all in-house. Its diversified product technology areas are environmentally friendly, water based industrial chemicals; therapeutic, non invasive electronic medical devices; and innovative personal care and topical dermatological products.
Forward-Looking Statements
This press release contains statements, which may constitute "forward-looking statements" made pursuant to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995 under Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. Forward-looking statements reflect management's current knowledge, assumptions, judgment and expectations regarding future performance or events. Although management believes that the expectations reflected in such statements are reasonable, they give no assurance that such expectations will prove to be correct and you should be aware that actual results could differ materially from those contained in the forward-looking statements. Forward-looking statements are subject to a number of risks and uncertainties, including, those risks detailed from time to time in the Company's filings with the Securities and Exchange Commission, including the Company's Annual Report on Form 10-KSB for the fiscal year ended March 31, 2008. The Company assumes no obligation to update the information contained in this press release.