Astrotech Corporation (NASDAQ: ASTC) reported its financial results for the second quarter of fiscal year 2020, which ended December 31, 2019.
Fiscal 2020 has been pivotal for the Company. This quarter, 1st Detect sold its first units of the TRACER 1000™ explosives trace detector (ETD) to a global shipping and logistics company. In addition, we have completed numerous domestic and international product demonstrations and field trials where the TRACER 1000 outperformed incumbent ion mobility spectrometry (IMS) ETDs. Among these demonstrations was a field trial with Finland's Helsinki International Airport and Finavia, one of the world's most technologically advanced airport operators. The Finavia case study is available on our website at https://www.1stdetect.com/finavia-cs/ and demonstrates that the TRACER 1000 outperforms the IMS-ETDs on a head-to-head comparison. In addition, 1st Detect was selected by the TSA's Innovation Task Force to conduct live screenings at Miami International Airport, which was completed in November. Results again showed that the TRACER 1000 outperformed IMS-ETDs.
The Company also responded to a number of inquiries from the growing hemp and cannabis market by launching AgLAB Inc. (formerly AG-TECH). With minimal additional development, the Company's versatile platform mass spectrometry technology is being designed to detect the presence of pesticides in hemp and cannabis. Ideally suited for this market, the AgLAB-1000 can detect pesticides on plant material and during the oil extraction and distillation process. We believe there are currently no other ruggedized instruments in the field that can detect pesticides at parts per billion (ppb) in real-time.
In addition, Thomas B. Pickens, the Company's Chairman and Chief Executive Officer, invested an additional $1 million subsequent to the end of the quarter.
"We have reached an exciting phase in our company," stated Pickens. "1st Detect completed its first commercial sales with more anticipated sales on the horizon, we continue to outperform our competition in field trials, and our versatile platform technology has a green field of opportunity in the emerging and high-growth hemp and cannabis industry. My continued financial support will help fund working capital and operating expenses as we develop both markets."
Second Quarter Fiscal Year 2020 Financial Highlights
Management continues efforts to optimize our resources while reducing cost and adding financial flexibility.
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 develops, manufactures, and sells chemical analyzers for use in the agriculture market. Astrotech is headquartered in Austin, Texas. 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, the Company's use of proceeds from the private placement transaction, 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. 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.
Consolidated Statements of Operations and Comprehensive Loss
(In thousands, except per share data)
Three Months Ended
Six Months Ended
Cost of revenue
Selling, general and administrative
Research and development
Total operating expenses
Loss from operations
Interest and other income (expense), net
Loss from operations before income taxes
Income tax benefit
Weighted average common shares outstanding:
Basic and diluted
Basic and diluted net loss per common share:
Other comprehensive loss, net of tax:
Reclassification adjustment for realized loss
Total comprehensive loss
Consolidated Balance Sheets
(In thousands, except share and per share data)
Cash and cash equivalents
Income tax receivable
Prepaid expenses and other current assets
Total current assets
Property and equipment, net
Operating leases, right-of-use assets, net
Long-term tax receivable
Liabilities and stockholders' equity
Payroll related accruals
Accrued expenses and other liabilities
Income tax payable
Term note payable - related party
Operating lease liabilities - current
Total current liabilities
Operating lease liabilities, non-current
Commitments and contingencies
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 December 31, 2019 and June 30, 2019, respectively
Common stock, $0.001 par value, 15,000,000 shares authorized; 6,749,664 and 6,184,698 shares issued at December 31, 2019 and June 30, 2019, respectively; 6,348,137 and 5,775,171 shares outstanding at December 31, 2019 and June 30, 2019, respectively
Treasury stock, 399,916 shares at cost at December 31, 2019 and June 30, 2019, respectively
Additional paid-in capital
Total stockholders' equity
Total liabilities and stockholders' equity
View source version on businesswire.com: https://www.businesswire.com/news/home/20200213005877/en/
[ Back To Homepage ]