Press Release
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RANCHO SANTA MARGARITA, Calif.--(BUSINESS WIRE)--May 14, 2008--Liquidmetal(R) Technologies Inc. (OTCBB: LQMT) today reported financial results for the three months ended March 31st 2008. Revenue for the First Quarter was $6.8 million. This represents a 34% increase from $5.1 million in the First Quarter, 2007.
Overall Gross Margins was 28% in the First Quarter versus negative (27%) in the First Quarter of 2007. Selling, General & Administrative Expenses came in at $1.9 million for the quarter, down from $2.5 million in the First Quarter of 2007, and Research & Development Expense was at $0.3 million in the First Quarter, a level consistent with prior year.
The increase in revenues and reduction in the overall expenses allowed the Company to achieve positive EBITDA. Earnings before interest, taxes, and depreciation for the First Quarter were $0.3 million. This was the third consecutive quarter of positive EBITDA and continues the improving trend seen in recent quarters. Under GAAP, the Company had a net loss of $1.8 million in the First Quarter compared to a net income of $0.5 million in the First Quarter of 2007. The variation of net income results primarily reflects the accounting treatment for the outstanding warrants and conversion features of the convertible notes which are non-cash expenses.
Commenting on the operations, Mr. Larry Buffington, President and CEO, noted, "Our efforts to achieve higher levels of manufacturing efficiency and productivity are directly reflected in the significant improvement in our gross margins. At 28%, our first quarter gross margin is a dramatic improvement over last year and sets the path toward our goal of 35% - 40% which we believe is achievable. Implementing new manufacturing technology, migrating to more cost competitive manufacturing climates and increasing our business are means by which we expect to achieve continued improvement in our financial performance through the remainder of this year."
Conference Call
As previously announced, Liquidmetal Technologies will host a conference call at 4:30 pm (EDT) on Wednesday May 14th, 2008 to discuss the results.
Listeners may access the conference call live over the Internet from Liquidmetal Technologies' website http://ir.liquidmetal.com or at http://www.companyboardroom.com.
Liquidmetal Technologies, Inc.
Consolidated Statements of Operations Data
(In thousands, except per share data)
For the three months ended
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3/31/2008 3/31/2007
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(Unaudited)
Revenue $ 6,768 $ 5,067
Cost of sales 4,901 6,441
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Gross profit (loss) 1,867 (1,374)
Operating expenses
Selling, general and administrative
expenses 1,874 2,532
Research and development expenses 258 263
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Total operating expenses 2,132 2,795
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Loss before interest, other income and
income taxes (265) (4,169)
Loss from extinguishments of debt - (648)
Change in value of warrants, gain 106 3,692
Change in value of conversion feature,
gain 222 4,344
Other income - -
Interest expense (1,741) (2,763)
Interest income 2 61
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(Loss) gain before minority interests and
income taxes (1,676) 517
Minority interests (149) -
Income taxes - -
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Net (loss) gain $ (1,825) $ 517
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Net (loss) gain per share - basic and
diluted $ (0.04) $ 0.01
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Weighted average common shares - basic and
diluted 44,726 44,925
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CONTACT: Liquidmetal Technologies
Otis Buchanan, 949-635-2120
otis.buchanan@liquidmetal.com
SOURCE: Liquidmetal Technologies Inc.