STONY BROOK, N.Y.--(BUSINESS WIRE)--Applied DNA Sciences, Inc. (NASDAQ:APDN) (“Applied DNA”, or “the Company”), a provider of DNA-based supply chain, anti-counterfeiting and anti-theft technology, product genotyping and DNA mass production for diagnostics, announced financial results for the fiscal 2017 second quarter ended March 31, 2017.
“Revenue in the quarter was driven primarily by the recognition of deferred cotton revenue and from our synthetic fiber and consumer asset marking markets.”
“Our fiscal second quarter was distinguished by the continued development of commercial activity and a high number of pre-commercial opportunities, both of which we believe lay the groundwork for greater commercial-scale adoption of our SigNature® DNA platform,” stated Dr. James A. Hayward, president and CEO of Applied DNA. “Revenue in the quarter was driven primarily by the recognition of deferred cotton revenue and from our synthetic fiber and consumer asset marking markets.”
“We have made strides in diversifying our recurring revenue in fiscal 2017, building upon the base that began in 2013 with the Defense Logistics Agency and has expanded since then with asset and auto tagging in Europe and the long term cotton contracts between Himatsingka and their customer,” continued Dr. Hayward. “Building on the annual revenue commitments in cotton we announced in the first fiscal quarter, in the second fiscal quarter we shipped our fourth purchase order from Techmer to SigNature T tag synthetic fiber and launched our CertainT™ platform, which we believe will create a new revenue stream with the licensing of our CertainT logo to brands and retailers, indicating the use of our tag, test and track platform. Subsequent to the close of the quarter, we entered into a five-year agreement to supply bulk DNA that is expected to generate approximately $500,000 annually and we shipped our fifth purchase order from Techmer. Cumulatively, we believe these milestones evidence the steady maturation of our revenue model and further penetration of our business verticals.”
“Also after the close of the quarter, we announced that Bed, Bath and Beyond debuted its new Wamsutta PimaCott™ home fashion products line, which uses our SigNature T technology. From our perspective, the debut of SigNature T at one of the country’s biggest home textile retailers (Home Textiles Today, 2016 Survey) validates our cotton strategy, elevates the discussion on supply chain security and authenticity and positions our technology platform as the solution through which brands and retailers can mitigate risk and uncertainty in their global supply chains.”
