Applied Energetics Reports First Quarter 2011 Financial Results
TUCSON, Ariz., May 10, 2011 /PRNewswire/ — Applied Energetics, Inc., (NASDAQ: AERG), today reported summary financial results for the first quarter ended March 31, 2011. The Company will host a live conference call today, May 10 at 11:00 a.m. (Eastern Time).
First Quarter 2011 Summary Financial Results
Revenue for the first quarter of 2011 decreased about 22.2% to approximately $2.8 million, compared to approximately $3.6 million for the same period last year. Counter-IED (CIED) program revenue for the first quarter of 2011 decreased by $454,000 to $1.7 million as we completed our field operational support and focus on the more compact version of this technology. Revenue from Laser Guided Energy (LGE) decreased by $130,000 to $707,000, and revenue from High Voltage products increased by $226,000 to $233,000 for the first quarter of 2011, respectively. Revenues for the Ultrashort Pulse Laser product line had a decrease of $420,000 to $146,000 for the first quarter of 2011.
Net loss attributable to common stockholders for the first quarter of 2011 was $1.4 million, or $0.02 per basic and diluted common share, compared to the prior comparable period net loss attributable to common stockholders of $1.0 million or $0.01 per basic and diluted common share.
At March 31, 2011, the Company had approximately $8.3 million in cash and cash equivalents as compared to $9.0 million in cash and cash equivalents at December 31, 2010.
At March 31, 2011, the Company had a backlog (workload remaining on signed contracts) of approximately $1.2 million, to be completed within the next twelve months.
Joe Hayden, President, commented, “The first quarter was challenging as expected due to the delays in approving a Federal budget. We have recently had several significant achievements as our more compact version of our counter-IED technology completed Government testing last Friday, and we have recently completed testing with our Transportable Demonstrator ultrashort pulse laser system in Hawaii. Our continued ability to perform and deliver on our contracts will be critical to our success in an increasingly competitive Federal budget environment. Additionally, our efforts to develop commercial business for our ultrashort pulse laser and high voltage technologies are beginning to show results as potential customers are requesting information, demonstrations and visits to our facilities to see these new products. The Commercial Applications Centers we are building for these technologies are scheduled to begin operations in the 3rd Quarter of this year.”
Conference Call
Applied Energetics will host a conference call on May 10, 2011, at 11:00 a.m. ET. Shareholders and other interested parties may participate in the conference call by dialing +1 888 680 0893 (domestic) or +1 617 213 4859 (international) and entering access code 10944380, a few minutes before 11:00 a.m. ET on May 10, 2011. A link to the call can also be found on the Internet at www.appliedenergetics.com.
A replay of the conference call will be accessible two hours after its completion through May 17 by dialing +1 888 286 8010 (domestic) or +1 617 801 6888 (international) and entering access code 30392537. The call will also be archived for 30 days at www.appliedenergetics.com.
About Applied Energetics, Inc.
Applied Energetics develops and manufactures applied energy systems for military and commercial applications. Through our efforts in developing our core technology, Laser Guided Energy (“LGE”), we have gained expertise and proprietary knowledge in high performance lasers, high-voltage electronics, advanced dynamic optics and atmospheric and plasma interactions. We apply these technologies to deliver innovative solutions to urgent military requirements, including neutralizing improvised explosive devices (“IEDs”) and other high priority missions of U.S. and allied military forces. We have developed an effective and robust counter-IED (“CIED”) technology as a result of our research and development. Additionally, we develop and manufacture high voltage and ultra-short pulse (“USP”) laser products for government and commercial customers for a range of applications.
For more information about Applied Energetics, please visit www.appliedenergetics.com.
“Safe Harbor” Statement under the Private Securities Litigation Reform Act of 1995:
Certain statements contained in this News Release constitute “forward-looking statements” within the meaning of the Private Securities Litigation Reform Act of 1995. Such forward-looking statements involve a number of known and unknown risks, uncertainties and other factors which may cause the actual results, performance or achievements of the Company to be materially different from any future results, performance or achievements expressed or implied by such forward-looking statements.
Such factors include, but are not limited to: the dependence on sales of a limited number of products and the uncertainty of the timing and magnitude of government funding and orders, dependence on sales to government customers; the uncertainty of patent protection; the uncertainty of strategic alliances; the uncertainty of management tenure; the impact of third-party suppliers’ manufacturing constraints or difficulties; management’s ability to achieve business performance objectives, market acceptance of, and demand for, the Company’s products, and resulting revenues; development and testing of technology and products; manufacturing capabilities; impact of competitive products and pricing; litigation and other risks detailed in the Company’s filings with the Securities and Exchange Commission. The words “looking forward,” “believe,” “may,” “plan,” “seek,’ “strategy,” “demonstrate,” “intend,” “expect,” “continue,” “contemplate,” “estimate,” “anticipate,” “will,” “likely” and similar expressions identify forward-looking statements. Readers are cautioned not to place undue reliance on these forward-looking statements, which speak only as of the date the statement was made. Applied Energetics undertakes no obligation to update any forward-looking statements contained in this news release.
-Financial Table to Follow-
APPLIED ENERGETICS, INC.
CONDENSED CONSOLIDATED BALANCE SHEETS
December 31,
March 31, 2011 2010
-------------- -------------
(Unaudited)
-----------
ASSETS
Current assets
Cash and cash equivalents $8,327,319 $8,983,281
Accounts receivable 1,571,381 2,022,292
Inventory 258,881 683,546
Prepaid expenses and deposits 408,218 365,506
Other receivables 53,117 48,717
------ ------
Total current assets 10,618,916 12,103,342
Long term receivables - net 205,313 205,313
Property and equipment - net 2,415,165 2,507,814
Other assets 10,000 10,000
------ ------
TOTAL ASSETS $13,249,394 $14,826,469
=========== ===========
LIABILITIES AND STOCKHOLDERS' EQUITY
Current liabilities
Accounts payable $917,974 $870,009
Accrued expenses 597,432 1,005,682
Accrued compensation 621,835 507,341
Customer deposits 24,997 126,282
Billings in excess of costs 39,567 6,505
------ -----
Total current liabilities 2,201,805 2,515,819
Total liabilities 2,201,805 2,515,819
--------- ---------
Commitments and contingencies -See
Note 9
Stockholders' equity
Series A Convertible Preferred Stock,
$.001 par value, 2,000,000 shares 107 107
authorized; 107,172 shares issued and
outstanding at March 31, 2011
and at December 31, 2010
Common stock, $.001 par value,
125,000,000 shares authorized; 91,153 91,068
91,153,770 shares issued and
outstanding at March 31, 2011 and
91,068,357 shares issued and
outstanding at December 31, 2010
Additional paid-in capital 78,882,637 78,738,520
Accumulated deficit (67,926,308) (66,519,045)
----------- -----------
Total stockholders' equity 11,047,589 12,310,650
---------- ----------
TOTAL LIABILITIES AND STOCKHOLDERS'
EQUITY $13,249,394 $14,826,469
=========== ===========
APPLIED ENERGETICS, INC.
CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS
(Unaudited)
For the three months ended
March 31,
---------
2011 2010
---- ----
Revenue $2,816,578 $3,594,778
Cost of revenue 2,672,114 3,368,676
--------- ---------
Gross profit 144,464 226,102
Operating expenses
General and administrative 994,686 1,077,232
Selling and marketing 324,840 71,654
Research and development 186,201 32,862
------- ------
Total operating expenses 1,505,727 1,181,748
--------- ---------
Operating loss (1,361,263) (955,646)
Other (expense) income
Interest expense (1,411) (1,667)
Interest income 1,248 2,462
----- -----
Total other (163) 795
---- ---
Net loss (1,361,426) (954,851)
Preferred stock dividends (45,836) (57,984)
------- -------
Net loss attributable to common
stockholders $(1,407,262) $(1,012,835)
=========== ===========
Net loss per common share - basic
and diluted $(0.02) $(0.01)
====== ======
Weighted average number of shares
outstanding, basic and diluted 91,058,783 89,000,884
========== ==========
SOURCE Applied Energetics, Inc.