Superconductive Components, Inc. Reports First Quarter 2005 Results
May 11 2005 - 2:31PM
PR Newswire (US)
Superconductive Components, Inc. Reports First Quarter 2005 Results
COLUMBUS, Ohio, May 11 /PRNewswire-FirstCall/ -- Superconductive
Components, Inc. (OTC:SCCI) (BULLETIN BOARD: SCCI) , a manufacturer
of ceramics and metals for advanced applications in batteries,
optical, and high temperature superconductive and
non-superconductive products, today announced results for the three
months ended March 31, 2005. The net loss was $138,917, or $0.06
per diluted share, for the first quarter 2005 compared to a net
loss of $285,794, or $0.16 per diluted share, for the same period
last year. Dan Rooney, Chairman, President and Chief Executive
Officer, commented, "We are encouraged by the relative improvement
in our first quarter 2005 results compared to last year. Results
were in line with our expectations. The increased marketing
activities initiated during 2004 are beginning to gain traction. It
is expected they will contribute to higher sales and improved
margins going forward, and particularly benefit from more favorable
mix of increased ceramic product sales." Mr. Rooney added,
"Commercialization of thin-film batteries is beginning to occur
through distinct applications for large, diverse end-markets. Some
of our thin-film battery customers have raised capital during the
past six months for the purchase of manufacturing equipment to
substantially increase their production capabilities. This is an
important step toward broader product market acceptance leading to
higher demand for thin-film batteries. We intend to remain the
leading supplier to this emerging market and plan to raise
additional capital during the first half of 2005 to further expand
our manufacturing capabilities." First Quarter 2005 Results Total
revenue increased 12.8% to $575,059 for the quarter ended March 31,
2005 from $509,777 for the same period in 2004. Product revenues
increased 4.7% to $486,626 for the first quarter 2005 from $464,856
the prior year due to the addition of a major new customer.
Contract research revenues increased to $88,433 for the first
quarter 2005 from $44,921 a year ago as a result of work performed
on a Phase II Small Business Innovation Research grant from the
Department of Energy. Gross margin rose to $106,832 for the first
quarter 2005 from $54,150 for the first quarter 2004. This increase
was attributable to higher revenues compared to the prior year and
product mix. Gross margin on product revenue increased to 21.8% of
total revenue for the first quarter 2005 from 11.6% a year ago.
General and administrative expense declined to $178,065 for the
first quarter 2005 from $261,256 for the same period last year.
This was primarily due to $70,390 of expenses related to the
Company's relocation to a new facility during the first quarter
2004. About Superconductive Components, Inc. Superconductive
Components, Inc. operates through SCI Engineered Materials and
manufactures ceramics and metals for advanced applications such as
superconductors, ferroelectric and optical materials for use in
wire, cable, batteries, wireless and fiber optics systems. The
company also provides materials for thin film applications used in
photovoltaics, electronic switches, hardness and decorative
coatings. The company is a global materials supplier with clients
in more than 40 countries. Additional information is available at
http://www.sciengineeredmaterials.com/ . This press release
contains certain forward-looking statements within the meaning of
Section 27A of the Securities Act of 1933, as amended, and Section
21E of the Securities Exchange Act of 1934, as amended, which are
intended to be covered by the safe harbors created thereby. Those
statements include, but are not limited to, all statements
regarding intent, beliefs, expectations, projections, forecasts,
and plans of the company and its management, and specifically
include statements regarding expectations that increased marketing
activities initiated in 2004 will contribute to higher sales and
improved margins going forward, and particularly benefit from more
favorable mix of ceramic product sales (paragraph 2),
commercialization of thin-film batteries is beginning to occur
through distinct applications for large, diverse end-markets and
some of the Company's thin-film battery customers have raised
capital during the past six months for the purchase of
manufacturing equipment to substantially increase their production
capabilities, and the Company's intention to remain the leading
supplier to the thin-film battery market and the Company's plan to
raise additional capital during the first half of 2005 to further
expand its manufacturing capabilities (paragraph 3). These
forward-looking statements involve numerous risks and
uncertainties, including, without limitation: the development of
the thin film battery market, the impact of competitive products
and services, the ability to adapt to technological changes, the
availability of capital, and other risks and uncertainties detailed
from time to time in the company's Securities and Exchange
Commission filings, including the company's Annual Report on Form
10- KSB for the year ended December 31, 2004. One or more of these
factors have affected, and could in the future affect, the
company's projections. Therefore, there can be no assurances that
the forward-looking statements included in this press release will
prove to be accurate. In light of the significant uncertainties in
the forward-looking statements included herein, the inclusion of
such information should not be regarded as a representation by the
company, or any other persons, that the objectives and plans of the
company will be achieved. All forward-looking statements made in
this press release are based on information presently available to
the management of the company. The company assumes no obligation to
update any forward-looking statements. DATASOURCE: Superconductive
Components, Inc. CONTACT: Robert Lentz for Superconductive
Components, Inc., +1-614-876-2000 Web site:
http://www.sciengineeredmaterials.com/
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