Exhibit 99.1

 

ASTROTECH REPORTS THIRD QUARTER OF FISCAL YEAR 2020

FINANCIAL RESULTS

 

Austin, Texas May 13, 2020

– Astrotech Corporation (NASDAQ: ASTC) reported its financial results for the third quarter of fiscal year 2020, which ended March 31, 2020.

 

This quarter was pivotal for the Company, as we continued to generate interest for our new AgLAB-1000™ product that is being designed for process control and pesticide detection in the hemp and cannabis industries. In addition, our 1st Detect subsidiary continued its sales of the TRACER 1000™ explosives trace detector (ETD) to a global shipping and logistics company. Although the COVID-19 pandemic has caused some near-term uncertainty for the travel industry, global shipping has been less impacted and this is where we see continued demand for our product. Finally, we also launched a new company, BreathTech Corporation, to focus on the breath analysis market to potentially aid in the battle against COVID-19 and pneumonia.

“With both our hemp and cannabis product, the AgLAB-1000™, and our breath analysis product, the BreathTest-1000™, we believe we will be offering highly differentiated solutions compared to other currently available options,” stated Thomas B. Pickens, Chairman and Chief Executive Officer of Astrotech Corporation. “Regarding the BreathTest-1000, many current COVID-19 tests require either a saliva or blood sample to be sent to a laboratory for testing, which can take days to get the results, or require a long swab to be inserted deep into the nasal cavity, which is uncomfortable and not practical for every day testing. We are hopeful that, once fully developed and approved, this could help make available regular mass testing for factories, cruise lines, air travel, sports, or other domains where people congregate in crowded spaces.”

No assurances can be given that we will be able to successfully develop the BreathTest-1000 or the AgLAB-1000. The governmental approval process could be lengthy, time consuming and is inherently unpredictable, and we cannot guarantee that these products will ever be approved for sale and marketing.

 

During the third quarter, the Company raised approximately $5.5 million in equity offerings and borrowings as it looks to expand into the agriculture and breath analysis markets.

Third Quarter Fiscal Year 2020 Financial Highlights

Management continues efforts to optimize our resources while reducing cost and adding financial flexibility.

The Company continued its commercial sales of the TRACER 1000, leading to revenue of $118 thousand for the third quarter of fiscal 2020. Additional purchase orders have already been received.

Monthly cash outlay for this fiscal year has been reduced to approximately $550 thousand, a 24.4% reduction from our cash outlay through the first nine months of fiscal year 2019, which is partially driven by our directors and officers foregoing compensation.

In February 2020, Astrotech secured a loan of $1.0 million from its Chairman and CEO pursuant to a secured promissory note.

The Company completed two registered direct offerings of its common stock at the end of the fiscal quarter, raising total net proceeds of approximately $4.5 million.



About Astrotech

 

Astrotech (NASDAQ: ASTC) is a science and technology development and commercialization company that launches, manages, and builds scalable companies based on innovative technology in order to maximize shareholder value.  1st Detect develops, manufactures, and sells trace detectors for use in the security and detection market. AgLAB is developing chemical analyzers for use in the agriculture market.  BreathTech is developing a breath analysis tool to provide early detection of lung diseases. Astrotech is headquartered in Austin, Texas. For information, please visit www.astrotechcorp.com.

 

About AgLAB-1000™ and BreathTest-1000™

This press release contains information about our new products under development, AgLAB-1000 and BreathTest-1000.  Product development involves a high degree of risk and uncertainty, and there can be no assurance that our new products will be successfully developed, achieve their intended benefits, receive full market authorization, or be commercially successful.  In addition, FDA approval will be required to market BreathTest-1000 in the United States.  Obtaining FDA approval is a complex and lengthy process, and there can be no assurance that FDA approval for BreathTest-1000 will be granted on a timely basis or at all.

Forward-Looking Statements

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, the severity and duration of the COVID-19 pandemic and its impact on the U.S. and worldwide economy, the timing, scope and effect of further U.S. and international governmental, regulatory, fiscal, monetary and public health responses to the COVID-19 pandemic, the Company’s use of proceeds from the common stock offerings, whether we can successfully complete the development of our new products and proprietary technologies, whether we can obtain the FDA and other regulatory approvals required to market our products under development in the United States or abroad, 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. In addition, any forward-looking statements included in this press release represent the Company’s views only as of the date of its publication and should not be relied upon as representing its views as of any subsequent date. The Company assumes no obligation to update these forward-looking statements.

 

Company Contact: Eric Stober, Chief Financial Officer, Astrotech Corporation, (512) 485-9530

Tables follow



 

 

ASTROTECH CORPORATION

Consolidated Statements of Operations and Comprehensive Loss

(In thousands, except per share data)

(Unaudited)

 

 

 

Three Months Ended

March 31,

 

 

Nine Months Ended

March 31,

 

 

 

2020

 

 

2019

 

 

2020

 

 

2019

 

Revenue

 

$

118

 

 

 

 

 

$

324

 

 

$

40

 

Cost of revenue

 

 

111

 

 

 

 

 

 

307

 

 

 

11

 

Gross profit

 

 

7

 

 

 

 

 

 

17

 

 

 

29

 

Operating expenses:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Selling, general and administrative

 

 

1,193

 

 

 

1,238

 

 

 

3,505

 

 

 

3,667

 

Research and development

 

 

814

 

 

 

1,026

 

 

 

2,608

 

 

 

3,027

 

Total operating expenses

 

 

2,007

 

 

 

2,264

 

 

 

6,113

 

 

 

6,694

 

Loss from operations

 

 

(2,000

)

 

 

(2,264

)

 

 

(6,096

)

 

 

(6,665

)

Interest and other expense, net

 

 

(68

)

 

 

12

 

 

 

(123

)

 

 

15

 

Loss from operations before income taxes

 

 

(2,068

)

 

 

(2,252

)

 

 

(6,219

)

 

 

(6,650

)

Income tax benefit

 

 

 

 

 

858

 

 

 

 

 

 

858

 

Net loss

 

$

(2,068

)

 

$

(1,394

)

 

$

(6,219

)

 

$

(5,792

)

Weighted average common shares outstanding:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Basic and diluted

 

 

6,107

 

 

 

5,467

 

 

 

5,934

 

 

 

4,734

 

Basic and diluted net loss per common share:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Net loss

 

$

(0.34

)

 

$

(0.25

)

 

$

(1.05

)

 

$

(1.22

)

Other comprehensive loss, net of tax:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Net loss

 

$

(2,068

)

 

$

(1,394

)

 

$

(6,219

)

 

$

(5,792

)

Available-for-sale securities:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Reclassification adjustment for realized loss

 

 

 

 

 

 

 

 

 

 

 

31

 

Total comprehensive loss

 

$

(2,068

)

 

$

(1,394

)

 

$

(6,219

)

 

$

(5,761

)



ASTROTECH CORPORATION

Consolidated Balance Sheets

(In thousands, except share and per share data)

 

 

March 31,

2020

 

 

June 30,

2019

 

 

 

(Unaudited)

 

 

(Note)

 

Assets

 

 

 

 

 

 

 

 

Current assets

 

 

 

 

 

 

 

 

Cash and cash equivalents

 

$

4,660

 

 

$

1,588

 

Restricted cash

 

 

122

 

 

 

 

Accounts receivable, net of allowance of $0

 

 

85

 

 

 

3

 

Inventory:

 

 

 

 

 

 

 

 

Raw materials

 

 

374

 

 

 

150

 

Work-in-process

 

 

155

 

 

 

181

 

Finished goods

 

 

64

 

 

 

 

Income tax receivable

 

 

429

 

 

 

429

 

Prepaid expenses and other current assets

 

 

239

 

 

 

371

 

Total current assets

 

 

6,128

 

 

 

2,722

 

Property and equipment, net

 

 

371

 

 

 

469

 

Operating leases, right-of-use assets, net

 

 

937

 

 

 

 

Long-term tax receivable

 

 

 

 

 

429

 

Other assets

 

 

72

 

 

 

72

 

Total assets

 

$

7,508

 

 

$

3,692

 

Liabilities and stockholders’ equity

 

 

 

 

 

 

 

 

Current liabilities

 

 

 

 

 

 

 

 

Accounts payable

 

 

188

 

 

 

160

 

Payroll related accruals

 

 

412

 

 

 

319

 

Accrued expenses and other liabilities

 

 

718

 

 

 

357

 

Income tax payable

 

 

2

 

 

 

2

 

Term note payable - related party

 

 

2,500

 

 

 

 

Lease liabilities, current

 

 

326

 

 

 

 

Total current liabilities

 

 

4,146

 

 

 

838

 

Lease liabilities, non-current

 

 

711

 

 

 

 

Other liabilities

 

 

 

 

 

146

 

Total liabilities

 

 

4,857

 

 

 

984

 

Commitments and contingencies

 

 

 

 

 

 

 

 

Stockholders’ equity

 

 

 

 

 

 

 

 

Convertible preferred stock, $0.001 par value, 2,500,000 shares authorized; 280,898 shares of Series C and 280,898 shares of Series D issued and outstanding at March 31, 2020 and June 30, 2019, respectively

 

 

 

 

 

 

Common stock, $0.001 par value, 15,000,000 shares authorized; 7,975,388 and 6,184,698 shares issued at March 31, 2020 and June 30, 2019, respectively; 7,575,742 and 5,775,171 shares outstanding at March 31, 2020 and June 30, 2019, respectively

 

 

190,599

 

 

 

190,571

 

Treasury stock, 399,916 shares at cost at March 31, 2020 and June 30, 2019, respectively

 

 

(4,129

)

 

 

(4,129

)

Additional paid-in capital

 

 

13,868

 

 

 

7,964

 

Accumulated deficit

 

 

(197,687

)

 

 

(191,698

)

Total stockholders’ equity

 

 

2,651

 

 

 

2,708

 

Total liabilities and stockholders’ equity

 

$

7,508

 

 

$

3,692

 

 

View differences made from one to another to evaluate Astrotech Corp's financial trajectory

Compare SEC Filings Year-over-Year (YoY) and Quarter-over-Quarter (QoQ)
Sample 10-K Year-over-Year (YoY) Comparison

Compare this 8-K Corporate News to its predecessor by reading our highlights to see what text and tables were  removed  ,   added    and   changed   by Astrotech Corp.

Continue

Never Miss A New SEC Filing Again


Real-Time SEC Filing Notifications
Screenshot taken from Gmail for a new 10-K Annual Report
Last10K.com Member Feature

Receive an e-mail as soon as a company files an Annual Report, Quarterly Report or has new 8-K corporate news.

Continue

We Highlighted This SEC Filing For You


SEC Filing Sentiment Analysis - Bullish, Bearish, Neutral
Screenshot taken from Wynn's 2018 10-K Annual Report
Last10K.com Member Feature

Read positive and negative remarks made by management in their entirety without having to find them in a 10-K/Q.

Continue

Widen Your SEC Filing Reading Experience


Increased Reading Area for SEC Filings
Screenshot taken from Adobe Inc.'s 10-Q Quarterly Report
Last10K.com Member Feature

Remove data columns and navigations in order to see much more filing content and tables in one view

Continue

Uncover Actionable Information Inside SEC Filings


SEC Filing Disclosures
Screenshot taken from Lumber Liquidators 10-K Annual Report
Last10K.com Member Feature

Read both hidden opportunities and early signs of potential problems without having to find them in a 10-K/Q

Continue

Adobe PDF, Microsoft Word and Excel Downloads


Download Annual and Quarterly Reports as PDF, Word and Excel Documents
Screenshots of actual 10-K and 10-Q SEC Filings in PDF, Word and Excel formats
Last10K.com Member Feature

Export Annual and Quarterly Reports to Adobe PDF, Microsoft Word and Excel for offline viewing, annotations and analysis

Continue

FREE Financial Statements


Download Annual and Quarterly Reports as PDF, Word and Excel Documents
Screenshot of actual balance sheet from company 10-K Annual Report
Last10K.com Member Feature

Get one-click access to balance sheets, income, operations and cash flow statements without having to find them in Annual and Quarterly Reports

Continue for FREE

Intrinsic Value Calculator


Intrinsic Value Calculator
Screenshot of intrinsic value for AT&T (2019)
Last10K.com Member Feature

Our Intrinsic Value calculator estimates what an entire company is worth using up to 10 years of financial ratios to determine if a stock is overvalued or not

Continue

Financial Stability Report


Financial Stability Report
Screenshot of financial stability report for Coco-Cola (2019)
Last10K.com Member Feature

Our Financial Stability reports uses up to 10 years of financial ratios to determine the health of a company's EPS, Dividends, Book Value, Return on Equity, Current Ratio and Debt-to-Equity

Continue

Log in with your credentials

or    

Forgot your details?

Create Account