G6 Materials Reports 1Q22 Financial Results
Revenue Grew by 55%, Quarter-over-Quarter, for Period Ending August 31, 2021
Ronkonkoma, New York, USA – TheNewswire – November 1, 2021 – G6 Materials Corp. (“G6” or the “Company”) (TSXV: GGG, OTCQB: GPHBF),
a technology company creating value through the development of innovative graphene-based solutions, is pleased to announce that it has filed its unaudited financial results for the first quarter of the fiscal year ending August 31, 2021, the highlights of which are included in this news release. The full set of Condensed Interim Consolidated Financial Statements and Management Discussion and Analysis can be viewed by visiting G6’s website at www.g6-materials.com or its profile page on SEDAR at www.sedar.com.
Financial Highlights (all amounts expressed in US dollars unless otherwise noted)
- Revenue for the three-month period ended August 31, 2021 reached $341,134, a 55% increase from the $220,672 reported for the previous three-month period, which was primarily due to a stable increase in sales.
- Gross profit for the three-month period ended August 31, 2021 was $171,482, an 167% increase from the negative amount of $257,551 reported for the previous three-month period, due to the aforementioned reason partially offset by the increase in the shipping costs of direct materials and customer shipments mainly from the imports of air purification materials.
- Total expenses for the three-month period ended August 31, 2021 were $742,676, a 16% increase from the $642,057 reported for the previous three-month period, primarily due to an increase in professional fees and marketing and investor relations.
- Net loss for the three-month period ended August 31, 2021 improved by 37% to $571,194, as compared to a net loss of $899,609 reported for the previous three-month period, due to increases in the cost of goods sold, professional fees and office and administration expenses partially offset by the sales of intellectual property, consulting services, air purification products and hygiene products.
- Total assets for the period ended August 31, 2021 increased by 36% to $8,034,770 from $5,912,649 for the period ended May 31, 2021.
“I am pleased with G6’s increase in revenue over the last quarter and significant improvement in the Company’s gross profit and net loss position relative to the last three-month period. Also, G6’s cash balance and level of total assets is the strongest that it’s been in a very long time,” said Daniel Stolyarov, President & CEO of G6 Materials Corp. “Barring any unforeseen supply chain interruptions, I am looking forward to the Company maintaining its positive current momentum further into the 2022 fiscal year, as we have a number of exciting research projects, business development opportunities and other initiatives under way,” added Mr. Stolyarov.
Summary of Key Quarterly Financial Measures
(all amounts expressed in US dollars unless otherwise noted, with 1Q21 shown for year-over-year comparison purposes)
Subsequent Highlighted Events (all amounts expressed in US dollars unless otherwise noted)
- Air Purifier Prototype Reduced Pathogenic Microorganisms by 99.9% in Antimicrobial Efficacy Test: On September 7, 2021, the Company announced the results of the antimicrobial efficacy test on a prototype of G6’s proprietary graphene-based air purifier conducted by a US-based microbiological laboratory of The Intertek Group plc. The test showed that the concentration of pathogenic microorganisms present in the testing chamber was reduced by 99.9% over the duration of the experiment.
- CEO Letter to Shareholders: On September 9, 2021, the Company announced the issuance of an update letter from G6’s President and Chief Executive Officer, Daniel Stolyarov, to the Company’s shareholders.
- Updated Corporate Website and Investor Presentation: On September 27, 2021, the Company announced that it had significantly updated its investor presentation and made it available for download on its corporate website at http://g6-materials.com/investors/. The updated presentation contains recent highlights, including closing of the equity financing, the GX Technologies acquisition, G6’s air purification products, the scaling-up of graphene production, conductive epoxy applications, near-term target milestones, and G6’s relative valuation to its peer group. The Company also announced that it had added new pages and updated the content on existing pages of its corporate website at http://g6-materials.com/. The updated website offers current content and downloadable materials pertaining to G6’s technology, product offerings, intellectual property portfolio, the GX Technologies acquisition, investor information, news releases and media articles, job postings and other information. Visitors can also join G6’s email distribution list in order to receive updates directly from G6 in a timely manner.
About G6 Materials Corp.
G6 Materials Corp. is a technology company creating value through the development of innovative graphene-based solutions. Graphene Laboratories Inc., a wholly owned subsidiary of G6, sells a range of graphene-based products and other materials, including but not limited to conductive epoxies, high-performance composites, and R&D materials, with numerous customers from among the Fortune 500 list of companies, as well as NASA and leading universities. Graphene Laboratories Inc. is developing other innovative products including graphene-enhanced air purifiers and it plans to enter the global filtration market once all testing is complete and applicable government approvals are received.
G6 has identified new graphene-based applications to accelerate growth into the future. Accordingly, the Company has a valuable IP portfolio currently comprised of five granted patents. The Company’s management team and employees have a deep understanding of graphene technology based on decades of aggregate academic and commercial experience. Graphene Laboratories Inc., a wholly owned subsidiary of G6 located in Ronkonkoma, New York, has established its premium research laboratory and scalable production facility is equipped with advanced analytical and material processing equipment.
The Company’s e-commerce websites are listed below:
This news release contains forward-looking statements within the meaning of the applicable securities legislation that is based on expectations, estimates and projections as at the date of this news release. By their nature, forward-looking statements involve known and unknown risks, uncertainties and other factors which may cause actual results, performance or achievements, or other future events, to be materially different from any future results, performance or achievements expressed or implied by such forward-looking statements. “Forward-looking information” in this news release includes but is not limited to information about the graphene-enhanced air purifier (including efficacy and potential commercialization thereof); information about the potential for the Company’s long-term growth; the business goals and objectives of the Company, and other forward-looking information concerning the intentions, plans and future actions of the parties to the transactions described herein and the terms thereon.
The forward-looking information in this news release reflects the current expectations, assumptions and/or beliefs of the Company based on information currently available to the Company. Although the Company believes that the assumptions inherent in the forward-looking information are reasonable, forward-looking information is not a guarantee of future performance and accordingly undue reliance should not be put on such information due to the inherent uncertainty therein.
Risk factors that could cause actual results to differ materially include, but are not limited to, the risk that actual results in commercial applications of the graphene-enhanced air purifier may differ significantly from the Test Results; the Test Results may not be accepted by applicable regulatory agencies required to approve commercialization of the graphene-enhanced air purifier; the Company may not receive required approvals from regulatory agencies to commercialize the graphene-enhanced air purifier; the Company may not achieve further stages of commercialization of the graphene-enhanced air purifier as anticipated, or at all; risks associated with adoption by industries of graphene-based products health and environmental factors affecting adoption of these technologies; the company may fail to obtain appropriate government approvals or accreditation related to the business’ operations and technological processes; the results of the tests being performed by an independent laboratory may be unsatisfactory and prevent the company from receiving government approvals and accreditations; the market conditions and demand for its product as well as the market prices of such products being developed by the company may change over time; reliance on key personnel; the potential for conflicts of interest among certain officers, directors or promoters with certain other projects; competition; dilution; and the volatility of our common share price and volume.
The Company undertakes no obligation to revise or update any forward-looking information other than as required by law.
Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.