puraDYN Announces 25 Percent Revenue Growth in 2001; Good Outlook for 2002 Confirmed
BOYNTON BEACH, Fla.--April 8, 2002--puraDYN Filter Technologies Inc. (AMEX:PFT), the global by-pass oil filtration system company, today announced financial results for the year ended December 31, 2001. Net sales for the year totaled $1.47 million as compared with $1.17 million in 2000.puraDYN's President and Chief Operating Officer Kevin G. Kroger commented, "Results for 2001 were in line with our expectations. This was a year of challenge and opportunity. We want to assure the market that although delays in our product launch and a declining US economy affected puraDYN's bottom line, we expect significant revenue growth in the upcoming year as we continue to implement and expand distribution agreements."
In 2001, net loss was $4.56 million ($0.31 per share on a diluted basis) as compared with a net loss of $7.09 million the previous year ($0.55 per share on a diluted basis). A full summary of year-end results is attached.
"We have had some notable achievements in the last several months," continued Mr. Kroger. Current milestones include:
| -- | Domestic and international distribution network expanded by over 80%; |
| -- | Patent-pending CGP(TM) technology validated by respected independent research lab for high efficiency in reducing solid contaminants below 1 micron; |
| -- | Substantial orders generated from one of the largest private truck fleets in the US; |
| -- | Filter purchase program established with the States of Florida and Texas; |
| -- | Aftermarket programs launched with transportation leaders including Mack Trucks and Volvo Trucks North America. |
"We are confident that 2002 will deliver higher sales and EBITDA. Several new orders were recently announced and we expect the new order trend to accelerate in the second half of the year," Mr. Kroger stated. "We are operating in a large, growing and fragmented market estimated at $7.8 billion. If we achieve even a small penetration of our products, shareholder value will greatly appreciate."
The oil filtration system is designed to safely extend oil drain intervals. The system will dramatically reduce operating expenses, maintenance costs, capital expenses and environmental damage.
About puraDYN Filter Technologies Inc.
puraDYN (AMEX:PFT) designs, manufactures and markets the puraDYN(R) By-Pass Oil Filtration System, a unit that continuously cleans lubricating oil; maintains oil viscosity; and safely and dramatically extends oil change intervals and engine life. Effective for internal combustion engines, transmissions and hydraulic applications, the patented and proprietary system is a cost-effective and energy conscious solution targeting a $7.8 billion potential market. The Company has established aftermarket programs with several of the transportation industry leaders.
For more information on puraDYN Filter Technologies Inc., visit http://www.puradyn.com
Statements in this press release which are not historical data are forward-looking statements which involve known and unknown risks, uncertainties or other factors not under the company's control, which may cause actual results, performance or achievements of the company to be materially different from the results, performance or other expectations implied by these forward-looking statements. These factors include, but are not limited to, those detailed in the company's periodic filings with the Securities and Exchange Commission.
puraDYN Filter Technologies
Consolidated Statements of Earnings
Twelve Months Ended 12/31
2001 2000
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Net sales $ 1,472,307 $ 1,172,567
Investment income 507,616 421,484
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1,979,923 1,594,051
Costs and expenses
Cost of products sold 1,746,356 1,139,507
Selling and administrative 4,737,858 7,458,809
Interest expense 52,459 85,128
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Total Expenses 6,536,673 8,683,444
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Net Loss (4,556,750) (7,089,393)
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Basic and diluted loss per share ($0.31) ($0.55)
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Weighted-average shares outstanding 14,733,287 12,984,296
Balance Sheet Highlights
As of December 31, 2001
Cash and cash equivalents $ 951,801
Total shareholders equity $ 4,257,305