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8-K - CURRENT REPORT - LIGHTPATH TECHNOLOGIES INC | lpth_8k.htm |
Exhibit 99.1
LightPath Technologies Announces COVID-19 Actions and Preliminary
Results for Third Quarter of Fiscal 2020
ORLANDO,
FL – April 9, 2020 – LightPath
Technologies, Inc. (NASDAQ: LPTH) (“LightPath,”
the “Company,” or “we”), a leading
vertically integrated global
manufacturer, distributor and
integrator of
proprietary optical
and infrared components and high-level
assemblies, today announced preliminary financial results
for the third quarter ended March 31, 2020 and the scheduling of a
conference call and simultaneous webcast to take place on May 7,
2020 to discuss the Company’s financial and operational
results for the third quarter of fiscal 2020.
Sam
Rubin, Chief Executive Officer (“CEO”) of LightPath,
stated, “As the newly appointed CEO I am pleased to begin an
important part of my responsibilities by communicating with our
stockholders on behalf of the Company. Since I arrived, I have had
conversations with our executives, other employees, as well as a
number of customers, and it has increased my confidence in my
decision to join LightPath. Over the next few months I will be
continuing my evaluation of the Company and will put together a
strategic framework that will be communicated in the summer of
2020. There certainly are issues that need to be addressed and an
abundance of opportunities to be embraced. I am now even more
confident that the Company will be able to manage a very successful
path forward.”
“Of
course, there are always uncertainties, and the situation with the
COVID-19 pandemic has certainly placed a new set of issues upon us
that needs to be addressed. First, I would like to provide an
update regarding the current impact of COVID-19 on LightPath and
our business. Currently, all of our manufacturing facilities in
China, Latvia and the U.S. remain open, and continue operations. We
are taking all appropriate actions to keep our three manufacturing
facilities operational, and to meet the production requirements of
our customers. While, to date, we have not had any employee
impacted, we have taken all precautions to ensure that our
employees remain safe, and that our business operations continue.
Like many other companies, all of our non-manufacturing employees
located in the U.S. and Latvia have been asked to work from home,
pursuant to the recommendations of local authorities. However, as
an essential business, we are permitted to continue manufacturing
production at these facilities. Where possible, we have staggered
shifts to reduce contact within shifts and between different
shifts, and have minimized interaction and physical proximity
between employees working within the same building. Our China
manufacturing facility continues to operate as normal.
Additionally, in case our situation at any of our manufacturing
facilities changes in the future, we have put in place contingency
plans to minimize the dependencies between the various facilities,
so that if any of our facilities are impacted, the remaining
facilities can continue to operate with minimal
impact.”
“Second,
while we have not seen any significant negative impact to our
sales, we have also developed plans for balancing production
capacity, minimizing expenses, and preserving cash, in case our
sales are negatively impacted in a meaningful
way.”
“Lastly,
we want to share some preliminary financial results for the third
quarter of fiscal 2020. Although we do not typically release
preliminary quarterly financial results, we believe that given the
extraordinary circumstances with the ongoing COVID-19 pandemic, it
is imperative to update our stockholders on certain of our key
financial indicators. The Company expects to issue its final
financial results for the third quarter ended March 31, 2020 on
Thursday, May 7, 2020. Based on the preliminary financial results,
LightPath expects to report:
●
12-month backlog
between $18 million and $20 million at March 31, 2020, compared to
$17 million at March 31, 2019.
●
Total revenues
between $8.4 million and $8.7 million for the third quarter of
fiscal 2020, compared to $7.9 million for the third quarter of
fiscal 2019.
●
Capital
expenditures for the third quarter of fiscal 2020 were less than
$500,000.
●
Cash and cash
equivalents of approximately $4.4 million as of March 31, 2020, as
compared to $4.6 million at March 31, 2019. The decrease in cash
over the past year is primarily related to capital expenditures and
debt reduction, partially offset by cash provided by operating
activities.”
Mr.
Rubin continued, “We have not seen any direct impact of
COVID-19 to our business; however, the COVID-19 pandemic continues
to impact economic conditions, which could impact the short-term
and long-term demand from our customers.”
“During
our third quarter conference call to be held in May, we will
provide further updates on the business environment and the
strategies we have put in place. The Company expects to issue its
final financial results for the third quarter ended March 31, 2020
on Thursday, May 7, 2020 after the close of the stock market. A
conference call and simultaneous webcast will be scheduled for
Thursday, May 7th, as detailed
below.”
Investor Conference Call and Webcast Details
LightPath
will host an audio conference call and webcast on Thursday, May 7,
2020 at 4:30 p.m. ET to discuss its financial and operational
performance for the third quarter ended March 31,
2020.
Date:
Thursday, May 7, 2020
Time:
4:30 PM (ET)
Dial-in
Number: 1-877-317-2514
International
Dial-in Number: 1-412-317-2514
Webcast:
https://services.choruscall.com/links/lpth200507.html
Participants
should dial-in or log-on approximately 10 minutes prior to the
start of the event. A replay of the call will be available
approximately one hour after completion through May 21, 2020. To
listen to the replay, dial 1-877-344-7529 (domestic) or
1-412-317-0088 (international), and enter conference ID
#10142161.
About LightPath Technologies
LightPath
Technologies, Inc. (NASDAQ: LPTH) is a leading global, vertically
integrated provider of optics, photonics and infrared solutions for
the industrial, commercial, defense, telecommunications, and
medical industries. LightPath designs, manufactures, and
distributes proprietary optical and infrared components including
molded glass aspheric lenses and assemblies, infrared lenses and
thermal imaging assemblies, fused fiber collimators, and
proprietary Black
DiamondTM (“BD6”)
chalcogenide-based glass lenses. LightPath also offers custom
optical assemblies, including full engineering design support. The
Company is headquartered in Orlando, Florida, with manufacturing
and sales offices in Latvia and China.
LightPath’s
wholly-owned subsidiary, ISP Optics
Corporation, manufactures
a full range of infrared products from high performance MWIR and
LWIR lenses and lens assemblies. ISP’s infrared lens assembly
product line includes athermal lens systems used in cooled and
un-cooled thermal imaging cameras. Manufacturing is performed
in-house to provide precision optical components including
spherical, aspherical and diffractive coated infrared lenses.
ISP’s optics processes allow it to manufacture its products
from all important types of infrared materials and crystals.
Manufacturing processes include CNC grinding and CNC polishing,
diamond turning, continuous and conventional polishing, optical
contacting and advanced coating technologies.
For
more information on LightPath and its businesses, please visit
www.lightpath.com.
Information Regarding Preliminary Results
The
preliminary estimated financial information contained in this press
release reflects management’s estimates based solely upon
information available to it as of the date of this press release
and is not a comprehensive statement of our financial results for
the third quarter ended March 31, 2020. We have provided ranges for
the preliminary estimated financial results described above
primarily because our financial closing procedures for the third
quarter ended March 31, 2020 are not yet complete. The information
presented above should not be considered a substitute for full
unaudited financial statements for the third quarter ended March
31, 2020, once they become available, and should not be regarded as
a representation by us or our management as to the actual financial
results for the third quarter ended March 31, 2020. The ranges for
the preliminary estimated financial results described above
constitute forward-looking statements. The preliminary estimated
financial information presented above is subject to change, and our
actual financial results may differ from such preliminary estimates
and such differences could be material. Accordingly, you should not
place undue reliance upon these preliminary estimates.
Forward-Looking Statements
This press release includes statements that constitute
forward-looking statements made pursuant to the safe harbor
provisions of the Private Securities Litigation Reform Act of 1995.
Forward-looking statements may be identified by the use of words
such as “forecast,” “guidance,”
“plan,” “estimate,” “will,”
“would,” “project,” “maintain,”
“intend,” “expect,”
“anticipate,” “prospect,”
“strategy,” “future,” “likely,”
“may,” “should,” “believe,”
“continue,” “opportunity,”
“potential,” and other similar expressions that predict
or indicate future events or trends or that are not statements of
historical matters, and include, for example, statements related to
the expected effects on the Company’s business from the
COVID-19 pandemic. These forward-looking statements are based on
information available at the time the statements are made and/or
management’s good faith belief as of that time with respect
to future events, and are subject to risks and uncertainties that
could cause actual results to differ materially from those
expressed in or suggested by the forward-looking statements.
Factors that could cause or contribute to such differences include,
but are not limited to, the duration and scope of the COVID-19
pandemic and impact on the demand for the Company products; the
ability of the Company to obtain needed raw materials and
components from its suppliers; actions governments, businesses, and
individuals take in response to the pandemic, including mandatory
business closures and restrictions on onsite commercial
interactions; the impact of the pandemic and actions taken in
response to the pandemic on global and regional economies and
economic activity; the pace of recovery when the COVID-19 pandemic
subsides; general economic uncertainty in key global markets and a
worsening of global economic conditions or low levels of economic
growth; the effects of steps that the Company could take to reduce
operating costs; the inability of the Company to sustain profitable
sales growth, convert inventory to cash, or reduce its costs to
maintain competitive prices for its products; circumstances or
developments that may make the Company unable to implement or
realize the anticipated benefits, or that may increase the costs,
of its current and planned business initiatives; and those factors
detailed by LightPath Technologies, Inc. in its public filings with
the Securities and Exchange Commission, including its Annual Report
on Form 10-K for the year ended June 30, 2019. Should one or more
of these risks, uncertainties, or facts materialize, or should
underlying assumptions prove incorrect, actual results may vary
materially from those indicated or anticipated by the
forward-looking statements contained herein. Accordingly, you are
cautioned not to place undue reliance on these forward-looking
statements, which speak only as of the date they are made.
Forward-looking statements should not be read as a guarantee of
future performance or results and will not necessarily be accurate
indications of the times at, or by, which such performance or
results will be achieved. Except as required under the federal
securities laws and the rules and regulations of the Securities and
Exchange Commission, we do not have any intention or obligation to
update publicly any forward-looking statements, whether as a result
of new information, future events, or otherwise.
Contacts:
Sam Rubin, President & CEO
|
Don Retreage, Jr. CFO
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Jordan
Darrow
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LightPath
Technologies, Inc.
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LightPath
Technologies, Inc.
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Darrow
Associates
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Tel:
407-382-4003
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Tel:
407-382-4003
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Tel:
512-551-9296
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jgaynor@lightpath.com
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dretreage@lightpath.com
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jdarrow@darrowir.com
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