Company Press Release
SOURCE: LightPath Technologies, Inc.
LightPath Technologies Announces 2nd Quarter Fiscal 2000 Financial Results
Company Experiences Continued Momentum in Collimator Sales And Announces Production and Development Facility Expansions
ALBUQUERQUE, N.M., Feb. 14 /PRNewswire/ -- LightPath Technologies, Inc. (Nasdaq: LPTHA - news), developer and manufacturer of optical components and patented GRADIUM® glass products for telecommunications, industrial, medical and consumer applications, today announced financial results for the second quarter of fiscal year 2000.
For the quarter ended December 31, 1999, the Company reported total revenues of $277,795 compared to $254,569 for the second quarter of the previous year; a 9% increase. Net loss for the quarter was $956,579, net loss applicable to common shareholders was $2,139,621 or $(0.32) per applicable common share, compared to a net loss of $913,183 and a net loss applicable to common shareholders of $972,247 million or $(0.23) per applicable common share, in the second quarter of the previous year.
For the six-month period ended December 31, 1999, the Company reported a 23% increase in total revenues to $546,900 compared with $445,297 for the comparable period in the previous year. Net loss for the six-month period was $2.0 million, net loss applicable to common shareholders was $3.2 million or $(0.53) per applicable common share, compared to $1.9 million and net loss applicable to common shareholders of $2 million or $(0.53) per applicable common share, for the first half of fiscal 1999. The number of shares outstanding used in the per-share calculations for the three and six-month period increased by 61% and 56% respectively, from the previous year's comparable periods due to the conversions of convertible debentures and preferred stock issued in private placements and the exercise of outstanding warrants and options.
The Company also announced that it had posted record product sales orders for the second consecutive quarter. During the quarter ended December 31, 1999, the Company recorded sales bookings of approximately $380,000, of which over 50% were for telecommunication component products. A total of 30 separate customers placed telecommunication related product orders, with 21 of those companies being first-time customers. Two OEM customers accounted for more than 48% of the telecommunication product orders.
Donald E. Lawson, President and CEO stated, ''I am pleased that the design cycles for two significant OEMs are progressing and the differentiating advantages of our collimating products are being proven. Our automated patented laser fusion process has yielded a capability that has allowed us to work with many new customers to meet their needs without delay for specific optical networking products. Collimating solutions are required and inherent throughout the telecommunications network and our expanding customer base is reflective of the size of our opportunity.''
LightPath also announced today that it has expanded both its production capability for existing optical component products and its development activity for the optical switch program. The Company has secured a five year lease for an additional 17,000 square foot building in Albuquerque that is immediately being converted to a class 10,000 clean-room manufacturing facility. This building will house the capacity build-out for our existing optical component products based on the automated laser fusion and polishing processes. In addition, LightPath has leased 11,000 square feet of office and lab space in Warren, New Jersey, where the Company will intensify development of its optical switch technologies. The Company intends to immediately hire engineers and scientists to staff the new operation, which will be headed by Mark Fitch, Senior Vice President of LightPath.
Mr. Lawson continued, ''With the completion of the class A warrant redemption last week, which, with other warrant and option exercises since January 1, 2000 resulted in proceeds to the Company of more than $29 million, the timing is very appropriate to initiate these expansion activities. The development of optical switching technology is still at an early stage and those that are available have not yet gained widespread acceptance due to inherent drawbacks. ''The major initiative being launched in New Jersey will focus entirely on bringing a high performance, compact, scaleable, optical switch engine to market.''
LightPath manufactures its proprietary collimator assembly, GRADIUM glass products and other optical telecommunications products at its headquarters in Albuquerque. The Company has 18 patents, plus 8 more pending, associated with its optical technologies. In addition, various foreign countries had issued a total of 7 patents with 10 patents pending. LightPath common stock trades on the Nasdaq SmallCap Market under the stock symbol LPTHA.
This news release includes statements that may constitute forward-looking statements made pursuant to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. This information may involve risks and uncertainties that could cause actual results to differ materially from such forward-looking statements. Factors that could cause or contribute to such differences include, but are not limited to, factors detailed by LightPath Technologies, Inc. in its public filings with the Securities and Exchange Commission.
LightPath Technologies, Inc.
Condensed Statement of Operations
For the quarter and six-month periods ended December 31, 1999
(unaudited)
Summary Financial Data - unaudited
(dollars except per share data)
Three months Ended Six months Ended
December 31, December 31,
1999 1998 1999 1998
Revenues $277,795 $254,569 $546,900 $445,297
Operating loss (1,001,630) (803,267) (1,591,041) (1,584,953)
Equity in losses
of LightChip, Inc. -- (125,913) -- (351,347)
Net loss $(956,579) $(913,183) $(1,972,957) $(1,875,289)
Net loss applicable
to common
shareholders $(2,139,621) $(972,247) $(3,164,157) $(2,033,930)
Basic and diluted
net loss per
share (Note 1) $(.32) $(.23) $(.53) $(.53)
Number of shares
used in per share
calculation 6,786,966 4,213,215 6,004,947 3,841,778
Note 1): Basic and diluted net loss per share contains the following:
Three months ended December 31, 1999 and 1998
-- contains $.17 and $.01, respectively arising from the 1999 noncash
imputed dividend arising from the issuance of preferred stock and
the premium earned by preferred stock;
-- contains of $.00 and $.03,respectively equity in losses of
LightChip, Inc.
Sixmonths ended December 31, 1999 and 1998
-- contains $.20 and $.04, respectively arising from the 1999 noncash
imputed dividend on Series F preferred stock and the premium earned
by preferred stock;
-- contains $.00 and $.09, respectively equity in losses of LightChip,
Inc.;
-- contains $.07 and $.00, respectively due to the noncash interest
charge for a beneficial conversion feature and debt discount
amortization associated with the debentures.
SOURCE: LightPath Technologies, Inc.
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