International Isotopes Inc. Announces First Quarter 2013 Financial Results
Total revenue declined by approximately 14% in the first quarter 2013, however, some segments are reporting improved results
IDAHO FALLS, Idaho, May 15, 2013 /PRNewswire/ — International Isotopes Inc. (OTC Bulletin Board: INIS) announces financial results for the first quarter ended March 31, 2013.
Revenue for the three months ended March 31, 2013 was $1,672,789, as compared to $1,949,343 for the same period in 2012, an overall decrease of approximately 14%. The Company’s business segments reported mixed results for the first quarter.
Revenue from the sale of radiochemical products for the three months ended March 31, 2013 was $440,020, compared to $381,916 for the same period in 2012, an increase of approximately 15%. Sales of radiochemical product had been declining through the first three quarters of 2012 but sales began to improve in the fourth quarter of 2012 and that trend continued into the first quarter of 2013.
Revenue from nuclear medicine standard products for the three months ended March 31, 2013 was $908,266, compared to $1,128,005 for the same period in 2012. This represents a decrease of approximately 19%. The decrease is primarily due to decreased paper product sales used in nuclear medicine imaging and sold by our joint venture, TI Services, LLC, as a result of clinics shifting towards maintaining electronic records and the overall continuing decline in the number of operating nuclear medicine clinics. This decline is partially offset by an increase in miscellaneous source sales within the segment. The Company expects to launch some new products within this business segment later in 2013 and through TI Services, LLC, and is optimistic the introduction of these products will boost sales within this segment.
Revenue from the sale of cobalt products for the three months ended March 31, 2013 was $191,266, compared to $349,332 for the same period in 2012, a decrease of approximately 45%. Sales of cobalt products continue to feel the negative impact caused by technical issues with target design requirements, and resultant delays in production caused by the curtailment of shipping cobalt material from the Idaho National Laboratory to the Company’s facility for processing. The Company is continuing to work through these technical issues and expects to resume cobalt target transfers later this year and to resume cobalt irradiation in 2014.
Revenue from the radiological services segment for the three months ended March 31, 2013 was $86,537, compared to $25,290 for the same period in 2012. This represents an increase of approximately 242% and is the result of increased volumes of gemstone processing and the start of certain field service activities including efforts to support recovery of disused sources under the Department of Energy’s Orphan Source Recovery Program and installation or removal of certain cobalt therapy units. The Company expects a significant increase in the revenue from field service activities for the remainder of this year.
Gross profit for the three months ended March 31, 2013 was $579,520, compared to $670,740 for the same period in 2012. This represents a decrease of approximately 14%. Operating expense decreased to $1,166,801 for the three months ended March 31, 2013, from $1,276,935 for the same period in 2012, a decrease of approximately 9%. The decrease in operating expense was attributable to small reductions in salary and contract labor, general administrative, and research and development costs.
The net loss for the three months ended March 31, 2013 was $668,892, compared to $590,247 for the same period in 2012. This is an increase in loss of approximately 13%. The increase in net loss for the period is due primarily to increased interest expense associated with the convertible debenture the Company entered into in July 2012.
Steve T. Laflin, President and CEO of the Company said, “While there is a decrease in revenue for the first quarter, our radiochemical business segment is clearly showing positive signs of returning to historic growth rates. The delays in cobalt production resulting from technical problems at the Advanced Test Reactor that surfaced in mid 2012 continue to impact sales in 2013 in a significant way. We still believe we will be able to resume cobalt target transfers for processing later this year and if so, that will generate more typical revenue figures for the cobalt products segment in the third and fourth quarters. While the nuclear medicine segment shows a further decline in sales in the first quarter, we remain optimistic new products planned for this segment will have a positive impact on sales by year-end. At this point I believe our most promising segment for the remainder of this year will be our radiological services segment driven by opportunities in field services and our expected receipt of the first AOS-100 container in the second quarter this year.”
International Isotopes Inc. Three Months Ended March 31st 2013 2012 ---- ---- Sales of Product $1,672,789 $1,949,343 Gross Profit $579,520 $670,740 Total Operating Expenses $1,166,801 $1,276,935 Operating (Loss) ($587,281) ($606,195) Total Other Income (Expense) ($92,819) $14,281 Net (Loss) ($668,892) ($590,247) Net (Loss) Per Common Share $0.00 $0.00 basic and diluted Weighted Av. Share Outstanding 360,420,968 359,477,920 basic and diluted
About International Isotopes Inc.
International Isotopes Inc. manufactures a full range of nuclear medicine calibration and reference standards, high purity fluoride gases, and a variety of cobalt-60 products such as teletherapy sources. The Company also provides a wide selection of radioisotopes and radiochemicals for medical devices, calibration, clinical research, life sciences, and industrial applications and provides a host of analytical, measurement, recycling, and processing services on a contract basis to clients
International Isotopes Inc. Safe Harbor Statement
Certain statements in this press release are “forward-looking statements” within the meaning of Section 27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934, including statements with respect to expectations for improving the strength of sales within certain business segments, the resumption of cobalt production activities, the impact of adding new products to the nuclear medicine segment, the expected new opportunities in field services, and the beneficial impact of the new AOS-100 container. Information contained in such forward-looking statements is based on current expectations and is subject to change. These statements involve a number of risks, uncertainties and other factors that could cause actual results, performance or achievements of International Isotopes, Inc. to be materially different from any future results, performance or achievements expressed or implied by these forward-looking statements. Other factors, which could materially affect such forward-looking statements, can be found in International Isotopes, Inc.’s filings with the Securities and Exchange Commission at www.sec.gov, including our Annual Report on Form 10-K for the year ended December 31, 2012. Investors, potential investors and other readers are urged to consider these factors carefully in evaluating the forward-looking statements and are cautioned not to place undue reliance on such forward-looking statements. The forward-looking statements made herein are only made as of the date of this press release and the Company undertakes no obligation to publicly update such forward-looking statements to reflect subsequent events or circumstances.
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SOURCE International Isotopes Inc