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EX-32.1 - EXHIBIT 32.1 - UNIVERSAL SECURITY INSTRUMENTS INCtv506180_ex32-1.htm
EX-31.2 - EXHIBIT 31.2 - UNIVERSAL SECURITY INSTRUMENTS INCtv506180_ex31-2.htm
EX-31.1 - EXHIBIT 31.1 - UNIVERSAL SECURITY INSTRUMENTS INCtv506180_ex31-1.htm
10-Q - FORM 10-Q - UNIVERSAL SECURITY INSTRUMENTS INCtv506180_10q.htm

 

Exhibit 99.1

 

For Immediate Release

Contact: Harvey Grossblatt, CEO

Universal Security Instruments, Inc.

410-363-3000, Ext. 224

or

Don Hunt, Jeff Lambert

Lambert, Edwards & Associates, Inc.

616-233-0500

 

Universal Security Instruments Reports Second-Quarter Results

 

OWINGS MILLS, MD. November 19, 2018: - Universal Security Instruments, Inc. (NYSE AMEX: UUU) today announced results for its fiscal second quarter ended September 30, 2018.

 

For the three months ended September 30, 2018, sales rose approximately 26% to $4,526,252 compared to sales of $3,582,816 for the same period last year. The Company reported a net loss of $121,324, or $0.05 per basic and diluted share, compared to a net loss of $167,925 or $0.07 per basic and diluted share for the same period last year.

 

For the six months ended September 30, 2018, sales rose approximately 24% to $8,572,248 versus $6,901,053 for the same period last year. The Company reported a net loss of $560,157, or $0.24 per basic and diluted share, compared to a net loss of $711,588 or $0.31, per basic and diluted share for the corresponding 2017 period.

 

“We are very pleased that our trend of higher sales has continued for the last four quarters and we are anticipating this favorable trend will continue moving forward. We are also gratified that the Company reported operating income for both the three-month and six-month periods. While our Hong Kong Joint Venture continues to experience weaker sales, we are working with our Chinese partners to reduce the Joint Venture’s losses. The new tariffs imposed by the Trump administration affect our ground fault circuit interrupters, carbon monoxide alarms and photoelectric alarms which are manufactured in the Peoples Republic of China. We are currently developing marketing and sales strategies to reduce the impact of these tariff increases on our customers,” said Harvey Grossblatt President and CEO.

 

UNIVERSAL SECURITY INSTRUMENTS, INC. is a U.S.-based manufacturer (through its Hong Kong Joint Venture) and distributor of safety and security devices. Founded in 1969, the Company has an over 40-year heritage of developing innovative and easy-to-install products, including smoke, fire and carbon monoxide alarms. For more information on Universal Security Instruments, visit our website at www.universalsecurity.com.

 

 

 

"Safe Harbor” Statement under the Private Securities Litigation Reform Act of 1995: Certain matters discussed in this news release may constitute forward-looking statements within the meaning of the federal securities laws that inherently include certain risks and uncertainties.  Actual results could differ materially from those projected in or contemplated by the forward-looking statements due to a number of factors, including, among other items, our Hong Kong Joint Venture's respective ability to maintain operating profitability, currency fluctuations, the impact of current and future laws and governmental regulations affecting us and our Hong Kong Joint Venture and other factors which may be identified from time to time in our Securities and Exchange Commission filings and other public announcements.  We do not undertake and specifically disclaim any obligation to update any forward-looking statements to reflect occurrence of anticipated or unanticipated events or circumstances after the date of such statements.  We will revise our outlook from time to time and frequently will not disclose such revisions publicly

 

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 Universal/Page 2

 

UNIVERSAL SECURITY INSTRUMENTS, INC.

CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS – (UNAUDITED)

 

  

Three Months Ended

September 30,

 
   2018   2017 
Sales  $4,526,252   $3,582,816 
Net loss   (121,324)   (167,925)
Loss per share:          
Basic and diluted  $(0.05)  $(0.07)
           
Weighted average number of common shares outstanding:          
Basic and diluted   2,312,887    2,312,887 

 

   Six Months Ended September 30, 
   2018   2017 
Sales  $8,572,248   $6,901,053 
Net loss   (560,157)   (711,588)
Loss per share:          
Basic and diluted  $(0.24)  $(0.31)
           
Weighted average number of common shares outstanding:          
Basic and diluted   2,312,887    2,312,887 

 

CONDENSED CONSOLIDATED BALANCE SHEETS – (UNAUDITED)

 

   September 30, 
   2018   2017 
ASSETS          
Cash  $13,067   $257,637 
Accounts receivable and amount due from factor   2,880,142    2,284,565 
Inventory   6,673,098    5,851,393 
Prepaid expenses   263,265    291,476 
TOTAL CURRENT ASSETS   9,829,572    8,685,071 
           
INVESTMENT IN HONG KONG JOINT VENTURE   9,025,865    10,638,820 
PROPERTY,  EQUIPMENT, AND INTANGIBLE ASSET – NET   79,179    109,123 
OTHER ASSETS   4,000    4,000 
TOTAL ASSETS  $18,938,616   $19,437,014 
           
LIABILITIES AND SHAREHOLDERS’ EQUITY          
           
Line of credit - factor  $1,546,847   $1,046,749 
Accounts payable   5,544,959    4,488,308 
Accrued liabilities   142,245    127,183 
TOTAL CURRENT LIABILITIES   7,234,051    5,662,240 
           
COMMITMENTS AND CONTINGENCIES   -    - 
SHAREHOLDERS’ EQUITY          
Common stock, $.01 par value per share; authorized 20,000,000 shares; issued and outstanding 2,312,887 at September 30, 2018 and 2017   23,129    23,129 
Additional paid-in capital   12,885,841    12,885,841 
(Accumulated Deficit) Retained earnings   (1,859,037)   251,842 
Accumulated other comprehensive income   654,632    613,962 
           
TOTAL SHAREHOLDERS’ EQUITY   11,704,565    13,774,774 
           
TOTAL LIABILITIES AND SHAREHOLDERS’ EQUITY  $18,938,616   $19,437,014