Precision Optics Corporation, Inc., a leading designer and manufacturer of advanced optical instruments for the medical and defense industries, announced operating results on an unaudited basis for its second quarter fiscal year ended December 31, 2019.
Conference Call Scheduled for today, February 13, 2020 at 5:00pm ET
GARDNER, Mass., Feb. 13, 2020 /PRNewswire/ -- Precision Optics Corporation, Inc. (OTCQB: PEYE), a leading designer and manufacturer of advanced optical instruments for the medical and defense industries, announced operating results on an unaudited basis for its second quarter fiscal year ended December 31, 2019.
Second quarter fiscal 2020 highlights:
- Revenue for the quarter ended December 31, 2019 was $2.8 million compared to $1.5 million in the same quarter of the previous fiscal year, an increase of 89% driven primarily by Ross Optical operating as a division of Precision Optics. Revenues for both Precision Optics and Ross Optical increased quarter-over-quarter and year-over-year.
- Gross margins for the quarter ended December 31, 2019 of 33% compared to 24% in the same quarter of the prior year driven primarily by Ross Optical operating as a division of Precision Optics.
- Net loss of $550,825 during the quarter included $274,706 of stock-based compensation.
Precision Optics’ CEO, Joseph Forkey, commented, “I am pleased with the strong top line performance during the second quarter which highlighted the continued traction we are achieving in our Precision Optics operations, as well as our recently acquired Ross Optical division, with both reporting growth in revenues on a quarter-over-quarter, and year-over-year basis. We continued to deliver against our three commercial level production projects and momentum continues to build in our product pipeline with two products anticipated to be launched this year. As previously discussed, the investments we continue to make in certain products advancing through their complex engineering phases negatively impacted our gross margins again this quarter. However, as these new products come to market, we believe they will contribute to a higher level of top line revenue as well as a return to higher blended gross margins.”
Dr. Forkey continued, “We also continue to make disciplined investments in the areas of engineering, sales and marketing, and technology advancement. Recently, we announced the appointment of Jon Everett as our new VP of Engineering to increase our product development pipeline and move existing development projects towards commercialization. The joint Precision Optics and Ross Optical sales teams continue to work well together as we take advantage of the anticipated synergies between the operations, including our joint participation at two highly attended west coast industry conferences over the last two weeks. Finally, we are maintaining our leadership position in micro optics and 3D imaging, with a new patent issued recently for single-use devices, and the submission of two additional patent applications last week. I am pleased with the balanced approach we are taking to invest in the future of Precision Optics, while maintaining a focus on achieving consistent positive cash flows.”
The following table summarizes the second quarter (unaudited) results for the periods ended December 31, 2019 and 2018:
| Three Months Ended | ||||||||
| 2019 | 2018 | |||||||
| Revenues | $ | 2,796,762 | $ | 1,477,851 | ||||
| Gross Profit | 917,939 | 355,722 | ||||||
| Operating Expenses: | ||||||||
| Stock based compensation | 263,473 | 10,228 | ||||||
| Ross Optical division | 325,987 | - | ||||||
| Other operating expenses | 880,077 | 471,101 | ||||||
| 1,469,537 | 481,329 | |||||||
| Net Loss | (550,825) | (125,948) | ||||||
| Loss Per Share: | ||||||||
| Basic and Diluted | $ | (0.04) | $ | (0.01) | ||||
| Weighted Average Common Shares Outstanding: | ||||||||
| Basic and Diluted | 12,873,971 | 11,618,878 | ||||||
Conference Call Details
The Company has scheduled a conference call to discuss the second quarter 2020 financial results for Thursday, February 13, 2020 at 5:00 p.m. ET.
Call-in Information: Interested parties can access the conference call by dialing (844) 735-3662 or (412) 317-5705.
Live Webcast Information: Interested parties can access the conference call via a live Internet webcast, which is available at https://www.webcaster4.com/Webcast/Page/2109/33075.
Replay: A teleconference replay of the call will be available until February 20, 2020 at (877) 344-7529 or (412) 317-0088 confirmation #10139141. A webcast replay will be available at https://www.webcaster4.com/Webcast/Page/2109/33075.
About Precision Optics Corporation
Precision Optics Corporation has been a leading developer and manufacturer of advanced optical instruments since 1982. Using proprietary optical technologies, the Company designs and produces next generation medical instruments, Microprecision™ micro-optics with characteristic dimensions less than 1 millimeter, and other advanced optical systems for a broad range of customers including some of the largest global medical device companies. The Company’s innovative medical instrumentation line includes state-of-the-art endoscopes and endocouplers as well as custom illumination and imaging products for use in minimally invasive surgical procedures. The Company believes that current advances in its proprietary micro-optics and 3D imaging technologies present significant opportunities for expanding applications to numerous potential medical products and procedures. The Company’s website is www.poci.com. Investors can find Real-Time Quotes and market information for the Company on www.otcmarkets.com/stock/PEYE/quote.
About Forward-Looking Statements
This press release contains forward-looking statements. Forward-looking statements include, but are not limited to, statements that express the Company’s intentions, beliefs, expectations, strategies, predictions or any other statements related to the Company’s future activities or future events or conditions. These statements are based on current expectations, estimates and projections about the Company’s business based, in part, on assumptions made by the Company’s management. These statements are not guarantees of future performances and involve risks, uncertainties and assumptions that are difficult to predict. Therefore, actual outcomes and results may differ materially from what is expressed or forecasted in the forward-looking statements due to numerous factors, including those risks discussed in the Company’s annual report on Form 10-K and in other documents that we file from time to time with the SEC. Any forward-looking statements speak only as of the date on which they are made, and the Company does not undertake any obligation to update any forward-looking statement, except as required by law.
Company Contact:
PRECISION OPTICS CORPORATION
22 East Broadway
Gardner, Massachusetts 01440-3338
Telephone: 978-630-1800
Investor Contact:
LYTHAM PARTNERS, LLC
Robert Blum
Phoenix | New York
Telephone: 602-889-9700
peye@lythampartners.com
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SOURCE Precision Optics Corporation
Company Codes: OTC-PINK:PEYE, OTC-QB:PEYE
