KINDERHOOK, N.Y.--(BUSINESS WIRE)--American Bio Medica Corporation (OTCPK: ABMC) today announced financial results for the three months ended March 31, 2017.
Chief Executive Officer Melissa A. Waterhouse stated, “The new product and service offerings discussed in our March press release are now all available to our customers as of April 2017; with the latest being a lower cost alternative for onsite drug testing that we started marketing in April. From an operational perspective, our margins are stable and we continue to control costs so they are inline with revenues; this has allowed us to improve operational results, even with sales declines. ”
- Net sales in the first quarter of 2017 were $1,316,000, compared to $1,470,000 in the first quarter 2016, a decrease of 10.5%.
- Operating loss was $67,000 in the first quarter 2017, compared to an operating loss of $81,000 in the first quarter 2016.
- Net loss was $132,000 in the first quarter 2017, compared to net income of $1,000 in the first quarter 2016 due to the receipt of a tech transfer payment in the first quarter 2016 (which did not reoccur in the first quarter 2017).
For more information on ABMC or its drug testing products, please visit www.abmc.com.
About American Bio Medica Corporation
American Bio Medica Corporation manufactures and markets accurate, cost-effective immunoassay test kits, primarily point of collection tests for drugs of abuse. The Company and its worldwide distribution network target the workplace, government, corrections, clinical and educational markets. ABMC’s Rapid Drug Screen®, Rapid ONE®, RDS® InCup®, Rapid TOX® and Rapid TOX Cup® II test for the presence or absence of drugs of abuse in urine, while OralStat® tests for the presence or absence of drugs of abuse in oral fluids. ABMC’s Rapid Reader® is a compact, portable device that, when connected to any computer, interprets the results of an ABMC drug screen, and sends the results to a data management system, enabling the test administrator to easily manage their drug testing program.
This release may contain forward-looking statements. These forward-looking statements involve risks and uncertainties that could cause actual results to differ, and such differences could be material. Such risks and uncertainties include, but are not limited to, risks and uncertainties related to the following: continued acceptance of our products, increased levels of competition in our industry, acceptance of new products, product development, compliance with regulatory requirements, including but not limited to our ability to obtain marketing clearance on our product for our intended markets, intellectual property rights, our dependence on key personnel, third party sales and suppliers, trading in our common shares may be subject to “penny stock” rules, our history of recurring net losses and our ability to continue as a going concern. There can be no assurance that the Company will be successful in addressing such risks and uncertainties and the Company assumes no duty to update any forward-looking statements based upon actual results. Investors are strongly encouraged to review the section entitled “Risk Factors” in the Company's annual report on Form 10-K for the year ended December 31, 2016, quarterly reports on Form 10-Q, and other periodic reports on file with the Securities and Exchange Commission for a discussion of risks and uncertainties that could affect operating results and the market price of the Company's common shares.
(financial tables follow)
|AMERICAN BIO MEDICA CORPORATION|
|Condensed Statements of Operations|
|For the three||For the three|
|months ended||months ended|
|March 31, 2017||March 31, 2016|
|Cost of goods sold||751,000||840,000|
|Research and development||46,000||54,000|
|Selling and marketing||196,000||270,000|
|General and administrative||390,000||387,000|
|Total operating expenses||632,000||711,000|
|Other (expense) / income||(65,000||)||83,000|
|Net (loss) / income before tax||(132,000||)||2,000|
|Income tax expense||0||(1,000||)|
|Net (loss) / income||$||(132,000||)||$||1,000|
|Basic & diluted (loss) / income per common share||$||(0.00||)||$||0.00|
|Weighted average shares outstanding – basic||28,842,788||26,610,426|
|Weighted average shares outstanding – diluted||28,842,788||26,751,259|
(Condensed Balance Sheets follow)
|American Bio Medica Corporation|
|Condensed Balance Sheets|
|March 31,||December 31,|
|Cash and cash equivalents||$||136,000||$||156,000|
|Accounts receivable, net of allowance for doubtful accounts of $49,000 at March 31, 2017 and December 31, 2016||
|Inventory, net of allowance of $470,000 at March 31, 2017 and $449,000 at December 31, 2016||
|Prepaid expenses and other current assets||63,000||92,000|
|Total current assets||2,313,000||2,386,000|
|Property, plant and equipment, net||805,000||824,000|
|Deferred finance costs – line of credit, net||39,000||47,000|
|LIABILITIES AND STOCKHOLDERS’ EQUITY|
|Accrued expenses and other current liabilities||256,000||276,000|
|Line of credit||750,000||639,000|
|Current portion of long-term debt||75,000||75,000|
|Total current liabilities||1,672,000||1,593,000|
|Long-term debt, net of current portion and deferred finance costs||701,000||753,000|
|COMMITMENTS AND CONTINGENCIES|
|Additional paid-in capital||21,048,000||21,037,000|
|Total stockholders’ equity||905,000||1,025,000|
|Total liabilities and stockholders’ equity||$||3,278,000||$||3,371,000|