Liquidmetal Technologies Reports First Quarter 2017 Results
Liquidmetal® Technologies, Inc. (OTCQB: LQMT), the leading developer of amorphous alloys and composites, reported results
for the quarter ended March 31, 2017.
Management Commentary
“The preparations for the opening of our new 41,000 sq/ft corporate office and manufacturing facility in Lake Forest, CA are
running smoothly. We have many initiatives on our plate for 2017, and we look forward to sharing our plans with our investors,
customers and partners on our upcoming open house to be announced soon,” said Professor Li, Chairman and CEO at LQMT.
Q1 2017 Financial Summary
In Q1 2017, the Company generated $48 thousand in revenue as it continued to focus on the development and manufacturing of
prototype and commercial parts for its customers, and partnering with licensees on the development of the Company’s technology and
production processes.
Selling, marketing, general and administrative expense was $1.7 million in Q1 2017, compared to $2.0 million in Q1 2016. The
decrease was primarily due to decreases in employee incentive compensation.
Research and development expense was $392 thousand in Q1 2017, compared to $559 thousand in Q1 2016. The decrease was primarily
due to decreases in employee incentive compensation and lower internal project costs due to the completion of biocompatibility
studies in Q1 2017.
Cash and restricted cash totaled $48 million at March 31, 2017, as compared to $58.9 million at December 31, 2016. The decrease
was primarily attributable to Q1 2017 capital expenditures associated with the continued build-out of the Company’s manufacturing
capabilities.
For a more detailed and complete analysis of the Company’s financial results, please refer to the Company’s March 31, 2017 Form
10-Q, which it filed earlier today.
About Liquidmetal Technologies
Rancho Santa Margarita, California-based Liquidmetal Technologies, Inc. is the leading developer of bulk amorphous alloys.
Amorphous alloys are unique materials that are distinguished by their ability to be injection molded and die cast into high
performance applications for a broad range of markets. For more information, go to www.liquidmetal.com.
Forward-Looking Statement
This press release contains "forward-looking statements," including but not limited to statements regarding the advantages of
Liquidmetal's amorphous alloy technology, scheduled manufacturing of customer parts and other statements associated with
Liquidmetal's technology and operations. These statements are based on current expectations of future events. If underlying
assumptions prove inaccurate or unknown risks or uncertainties materialize, actual results could vary materially from Liquidmetal's
expectations and projections. Risks and uncertainties include, among other things; customer adoption of Liquidmetal's technologies
and successful integration of those technologies into customer products; potential difficulties or delays in manufacturing products
incorporating Liquidmetal's technologies; Liquidmetal's ability to fund its current and anticipated operations; the ability of
third party suppliers and manufacturers to meet customer product requirements; general industry conditions; general economic
conditions; and governmental laws and regulations affecting Liquidmetal's operations. Additional information concerning these and
other risk factors can be found in Liquidmetal's public periodic filings with the U.S. Securities and Exchange Commission,
including the discussion under the heading "Risk Factors" in Liquidmetal's 2016 Annual Report on Form 10-K.
| LIQUIDMETAL TECHNOLOGIES, INC. AND SUBSIDIARIES |
| CONSOLIDATED BALANCE SHEETS |
| (in thousands, except par value and share data) |
|
|
|
|
|
|
|
March 31, |
|
December 31, |
|
|
|
2017
|
|
|
|
2016
|
|
|
|
(Unaudited) |
|
(Audited) |
|
ASSETS
|
|
|
|
|
|
|
|
|
|
| Current assets: |
|
|
|
|
| Cash |
|
$ |
47,995 |
|
|
$ |
58,896 |
|
| Restricted cash |
|
|
5 |
|
|
|
5 |
|
| Trade accounts receivable |
|
|
- |
|
|
|
95 |
|
| Inventory |
|
|
773 |
|
|
|
390 |
|
| Prepaid expenses and other current assets |
|
|
274 |
|
|
|
312 |
|
| Total current assets |
|
$ |
49,047 |
|
|
$ |
59,698 |
|
| Property and equipment, net |
|
|
9,562 |
|
|
|
1,139 |
|
| Patents and trademarks, net |
|
|
473 |
|
|
|
494 |
|
| Other assets |
|
|
36 |
|
|
|
36 |
|
| Total assets |
|
$ |
59,118 |
|
|
$ |
61,367 |
|
|
|
|
|
|
|
LIABILITIES AND SHAREHOLDERS' EQUITY
|
|
|
|
|
|
|
|
|
|
| Current liabilities: |
|
|
|
|
| Accounts payable |
|
|
99 |
|
|
|
331 |
|
| Accrued liabilities |
|
|
587 |
|
|
|
1,070 |
|
| Deferred revenue |
|
|
17 |
|
|
|
13 |
|
| Warrant liabilities, current |
|
|
300 |
|
|
|
2,224 |
|
| Total current liabilities |
|
$ |
1,003 |
|
|
$ |
3,638 |
|
|
|
|
|
|
| Long-term liabilities: |
|
|
|
|
| Warrant liabilities, long-term |
|
|
1,846 |
|
|
|
2,047 |
|
| Other long-term liabilities |
|
|
856 |
|
|
|
856 |
|
| Total liabilities |
|
$ |
3,705 |
|
|
$ |
6,541 |
|
|
|
|
|
|
| Shareholders' equity: |
|
|
|
|
|
Preferred Stock, $0.001 par value; 10,000,000 shares authorized; 0 shares issued and outstanding at
March 31, 2017 and December 31, 2016, respectively
|
|
|
- |
|
|
|
- |
|
|
Common stock, $0.001 par value; 1,100,000,000 shares authorized; 891,979,085 and 886,090,164 shares
issued and outstanding at March 31, 2017 and December 31, 2016, respectively.
|
|
|
892 |
|
|
|
886 |
|
| Warrants |
|
|
18,179 |
|
|
|
18,179 |
|
| Additional paid-in capital |
|
|
274,046 |
|
|
|
272,520 |
|
| Accumulated deficit |
|
|
(237,632 |
) |
|
|
(236,689 |
) |
| Non-controlling interest in subsidiary |
|
|
(72 |
) |
|
|
(70 |
) |
|
|
|
|
|
| Total shareholders' equity |
|
|
55,413 |
|
|
|
54,826 |
|
|
|
|
|
|
| Total liabilities and shareholders' equity |
|
$ |
59,118 |
|
|
$ |
61,367 |
|
| |
| LIQUIDMETAL TECHNOLOGIES, INC. AND SUBSIDIARIES |
| CONSOLIDATED STATEMENTS OF OPERATIONS AND COMPREHENSIVE LOSS |
| (in thousands, except share and per share data) |
| (unaudited) |
|
|
|
|
|
|
|
For the Three Months |
|
|
Ended March 31,
|
|
|
|
2017
|
|
|
|
2016
|
|
|
|
|
|
|
| Revenue |
|
|
|
|
| Products |
|
$ |
48 |
|
|
$ |
165 |
|
| Licensing and royalties |
|
|
- |
|
|
|
3 |
|
| Total revenue |
|
|
48 |
|
|
|
168 |
|
|
|
|
|
|
| Cost of sales |
|
|
62 |
|
|
|
158 |
|
| Gross profit (loss) |
|
|
(14 |
) |
|
|
10 |
|
|
|
|
|
|
| Operating expenses |
|
|
|
|
| Selling, marketing, general and administrative |
|
|
1,703 |
|
|
|
2,017 |
|
| Research and development |
|
|
392 |
|
|
|
559 |
|
| Total operating expenses |
|
|
2,095 |
|
|
|
2,576 |
|
| Operating loss |
|
|
(2,109 |
) |
|
|
(2,566 |
) |
|
|
|
|
|
| Change in value of warrant liabilities, gain (loss) |
|
|
1,150 |
|
|
|
(1,569 |
) |
| Change in value of option liabilities, (loss) |
|
|
- |
|
|
|
(5,039 |
) |
| Interest expense |
|
|
- |
|
|
|
(4 |
) |
| Interest income |
|
|
14 |
|
|
|
- |
|
|
|
|
|
|
| Net loss and comprehensive loss |
|
|
(945 |
) |
|
|
(9,178 |
) |
|
|
|
|
|
| Net loss attributable to non-controlling interest |
|
|
2 |
|
|
|
2 |
|
|
Net loss and comprehensive loss attributable to Liquidmetal Technologies shareholders
|
|
$ |
(943 |
) |
|
$ |
(9,176 |
) |
|
|
|
|
|
|
|
|
|
|
|
Net loss per common share attributable to Liquidmetal Technologies shareholders, basic and
diluted
|
|
$ |
(0.00 |
) |
|
$ |
(0.02 |
) |
|
|
|
|
|
| Number of weighted average shares - basic and diluted |
|
|
888,053,138 |
|
|
|
512,149,485 |
|
Liquidmetal Technologies, Inc.
Otis Buchanan
Media Relations
949-635-2120
otis.buchanan@liquidmetal.com
View source version on businesswire.com: http://www.businesswire.com/news/home/20170509006592/en/