ASTROTECH REPORTS THIRD QUARTER OF FISCAL YEAR 2017 FINANCIAL RESULTS
Austin, TX - May 9, 2017 -
Astrotech Corporation (NASDAQ: ASTC) reported its financial results for the third quarter of fiscal year 2017 ended March 31, 2017.
“In the third quarter, we took important steps at 1st Detect to accelerate our strategy to provide a mass spectrometer-based Explosive Trace Detection solution to the Department of Homeland Security. Our instrument provides far superior detection capabilities compared to existing passenger and baggage screening technologies at airports worldwide,” said Thomas B. Pickens III, Chairman and CEO of Astrotech Corporation. “We are also pleased with the progress being made at Astral Images in gaining market acceptance for its Astral HDR ICE product.”
• Explosive Trace Detection (ETD) Program: 1st Detect has teamed with the world’s leading supplier of ETD systems and has completed TSA’s critical design review and the partnership is operating as anticipated.
• Patents Granted: 1st Detect was awarded two new U.S. patents: ‘Ionization Within Ion Trap Using Photoionization and Electron Ionization’ on February 14, and ‘Introducing An Analyte Into A Chemical Analyzer’ on March 21.
Third Quarter Fiscal Year 2017 Financial Highlights
Revenue, costs of goods sold, SG&A, and R&D are expected to continue to fluctuate based on the timing of projects.
• Revenue was $411 thousand, reflecting 1st Detect’s income from research-based, fixed-price, government-related subcontracts.
• Gross profit was $250 thousand, or 61%, for the third quarter of fiscal 2017, compared to a gross loss of $158 thousand, or 81%, for the third quarter of fiscal 2016.
• The Company continues to expect the July 2016 corporate realignment to save approximately $3.5 million for the 2017 fiscal year.
• Cash and investments at March 31, 2017 were $17.4 million, and there was no debt.
Astrotech Corporation (NASDAQ: ASTC) is an innovative science and technology development and commercialization company that invents, acquires, and commercializes technological innovations sourced from internal research, universities, laboratories, and research institutions, and then funds, manages, and builds start-up companies for profitable divestiture tomarket leaders to maximize shareholder value. Sourced from Oak Ridge Laboratory’s chemical analyzer research, 1stDetect develops, manufactures, and sells chemical analyzers for use in the airport security, military, food and beverage, and breath analysis markets. Sourced from decades of image research from the laboratories of IBM and Kodak, Astral Images sells film to digital image enhancement, defect removal and color correction software, and post processing services providing economically feasible conversion of television and feature 35mm and 16mm films to the new 4K ultra-high definition (UHD), high-dynamic range (HDR) format necessary for the new generation of digital distribution. Sourced from NASA’s extensive microgravity research, Astrogenetix is applying a fast-track on-orbit discovery platform using the International Space Station to develop vaccines and other therapeutics. Demonstrating its entrepreneurial strategy,Astrotech management sold its state-of-the-art satellite servicing operations to Lockheed Martin in August 2014. Astrotech has operations throughout Texas and is headquartered in Austin. For information, please visit www.astrotechcorp.com.
This press release contains forward-looking statements that are made pursuant to the Safe Harbor provisions of the Private Securities Litigation Reform Act of 1995. Such forward-looking statements are subject to risks, trends, and uncertainties that could cause actual results to be materially different from the forward-looking statement. These factors include, but are not limited to, whether we can successfully develop our proprietary technologies and whether the market will accept our products and services, as well as other risk factors and business considerations described in the Company’s Securities and Exchange Commission filings including the annual report on Form 10-K. Any forward-looking statements in this document should be evaluated in light of these important risk factors. The Company assumes no obligation to update these forward-looking statements.
Chief Financial Officer
Cathy Mattison and Kirsten Chapman
LHA Investor Relations