Attached files
| file | filename |
|---|---|
| 8-K - CURRENT REPORT - AMERICAN BIO MEDICA CORP | abmc_8k.htm |
Exhibit 99.1
 |
Contacts:
Melissa A.
Waterhouse
Chief Executive
Officer
(800) 227-1243, Ext
107
|
FOR IMMEDIATE RELEASE:
ABMC REPORTS FIRST QUARTER 2021 RESULTS
Kinderhook, N.Y., May 20, 2021 – American Bio Medica
Corporation (OTCQB: ABMC) today announced financial results for the
three months ended March 31, 2021.
Chief
Executive Officer Melissa A. Waterhouse stated, “As I
indicated in April 2021, sales of Covid-19 tests have declined
significantly from previous levels. In the middle of the first
quarter 2021, we were also informed by the manufacturer of the
Covid-19 Rapid Antigen test that we could no longer offer the
Covid-19 antigen test for sale in the United States. This obviously
hampered our sales efforts. In late April 2021, we did secure the
ability to offer a Covid-19 antigen/Influenza combination test
(from an unrelated third party) along with another rapid Covid-19
antibody test (as an alternative to the Healgen antibody test as it
has expanded use under the Emergency Use Authorization
(“EUA”) policy set forth by the United States Food and
Drug Administration (FDA). As with the other Covid-19 tests we are
offering, the tests will be marketed in full compliance with the
EUA policy. “
“Unfortunately,
although we have seen sporadic improvement in drug testing sales,
the uncertainty in our core drug testing markets continued in the
first quarter 2021 as government agencies, businesses and clinical
customers are still trying to financially recover from the
pandemic. We are hopeful our core markets will become more stable
as we get further into 2021. In the First Quarter 2021, we began
discussions with contract manufacturing customers to resume sales
given the introduction of Covid-19 vaccines and the belief that the
need for their products will resume. We have open purchase orders
(from 2020) with both customers and we expect to ship those orders
in the second quarter of 2021. One of the customers also placed an
additional (new) order in April 2021. In addition, we are starting
a pilot with a potential new contact manufacturer customer later
this month. If all goes well, we do expect this account to have a
positive impact on sales in 2021 but, it is too soon to know the
level of impact.”
Waterhouse
continued, “Operating expenses increased $153,000 in the
first quarter 2021 compared to the first quarter 2020. This
increase was solely in general and administrative and was due to
increased fees associated with debt as well as increased accounting
fees for the Fiscal 2020 audit. We will continue to make every
effort possible to control operating costs and manufacturing
costs.”
Financial
Highlights
● Net sales in the
first quarter 2021 were $566,000, compared to net sales of $729,000
in the first quarter 2020, a decrease of $163,000, or
22.4%.
● Operating loss was
$509,000 in the first quarter 2021, compared to an operating loss
of $271,000 in the first quarter 2020.
● Net loss was
$556,000 in the first quarter 2021, or $(0.01) per shares, compared
to a net loss of $325,000, or $(0.01) per share in the first
quarter 2020.
For
more information on ABMC or its drug testing products, please visit
www.abmc.com.
About American Bio Medica Corporation
American
Bio Medica Corporation manufactures and markets accurate,
cost-effective immunoassay test kits; primarily point of collection
tests for drugs of abuse. ABMC also provides contract manufacturing
services related to certain infectious diseases; such as malaria
and RSV and, distributes a rapid test to detect Covid-19
antibodies, a RT-PCR test to detect Covid-19 and a rapid Covid-19
antigen test.
This release may contain forward-looking statements. These
forward-looking statements involve risks and uncertainties that
could cause actual results to differ, and such differences could be
material. Such risks and uncertainties include, but are not limited
to, risks and uncertainties related to the following: continued
acceptance of our products, increased levels of competition in our
industry, acceptance of new products, future sales and profit
levels of the rapid antibody test, RT-PCR test and rapid antigen
test for Covid-19 that we are distributing, product development,
compliance with regulatory requirements, including but not limited
to our ability to obtain marketing clearance on our product for our
intended markets, intellectual property rights, our dependence on
key personnel, third party sales and suppliers, trading in our
common shares may be subject to “penny stock” rules,
our history of recurring net losses and our ability to continue as
a going concern. There can be no assurance that the Company will be
successful in addressing such risks and uncertainties and the
Company assumes no duty to update any forward-looking statements
based upon actual results. Investors are strongly encouraged to
review the section entitled “Risk Factors” in the
Company's annual report on Form 10-K for the year ended December
31, 2020, quarterly reports on Form 10-Q, and other periodic
reports on file with the Securities and Exchange Commission for a
discussion of risks and uncertainties that could affect operating
results and the market price of the Company's common
shares.
(financial tables follow)
|
AMERICAN BIO MEDICA CORPORATION
|
||
|
Condensed Statements of Operations
|
||
|
|
||
|
(unaudited)
|
||
|
|
For the
three
|
For the
three
|
|
|
months
ended
|
months
ended
|
|
|
March 31,
2021
|
March 31,
2020
|
|
|
|
|
|
Net
sales
|
$566,000
|
$729,000
|
|
Cost
of goods sold
|
461,000
|
539,000
|
|
Gross
profit
|
105,000
|
190,000
|
|
|
|
|
|
Operating
expenses:
|
|
|
|
Research
and development
|
20,000
|
34,000
|
|
Selling
and marketing
|
83,000
|
88,000
|
|
General
and administrative
|
511,000
|
339,000
|
|
Total
operating expenses
|
614,000
|
461,000
|
|
|
|
|
|
Operating
loss
|
(509,000)
|
(271,000)
|
|
|
|
|
|
Other
expense
|
(47,000)
|
(54,000)
|
|
|
|
|
|
Net
loss before tax
|
(556,000)
|
(325,000)
|
|
|
|
|
|
Income
tax expense
|
0
|
0
|
|
|
|
|
|
Net
loss
|
$(556,000)
|
$(325,000)
|
|
|
|
|
|
Basic
& diluted (loss) / income per common share
|
$(0.01)
|
$(0.01)
|
|
|
|
|
|
Weighted
average shares outstanding – basic
|
38,859,032
|
33,968,523
|
|
Weighted
average shares outstanding – diluted
|
38,859,032
|
33,968,523
|
(Condensed Balance Sheets follow)
|
American Bio Medica Corporation
|
||
|
Condensed Balance Sheets
|
||
|
|
March
31,
|
December
31,
|
|
|
2021
(unaudited)
|
2020
|
|
ASSETS
|
|
|
|
Current
Assets
|
|
|
|
Cash
and cash equivalents
|
$63,000
|
$98,000
|
|
Accounts
receivable, net of allowance for doubtful accounts of $5,000 at
March 31, 2021 and $22,000 December 31, 2020
|
337,000
|
407,000
|
|
Inventory,
net of allowance of $300,000 at March 31, 2021 and $279,000 at
December 31, 2020
|
507,000
|
536,000
|
|
Prepaid
expenses and other current assets
|
106,000
|
104,000
|
|
Right
of Use Asset – Operating Leases
|
35,000
|
35,000
|
|
Total
current assets
|
1,048,000
|
1,180,000
|
|
Property,
plant and equipment, net
|
560,000
|
576,000
|
|
Patents,
net
|
106,000
|
108,000
|
|
Right
of Use Asset – Operating Leases
|
32,000
|
41,000
|
|
Other
assets
|
21,000
|
21,000
|
|
Total
assets
|
$1,767,000
|
$1,926,000
|
|
LIABILITIES
AND STOCKHOLDERS’ EQUITY
|
|
|
|
Current
liabilities
|
|
|
|
Accounts
payable
|
$629,000
|
$577,000
|
|
Accrued
expenses and other current liabilities
|
526,000
|
620,000
|
|
Right
of Use Liability – Operating Leases
|
34,000
|
33,000
|
|
Wages
payable
|
111,000
|
107,000
|
|
Line
of credit
|
245,000
|
277,000
|
|
PPP
Loan
|
332,000
|
332,000
|
|
Current portion of long-term debt, net of deferred finance
costs
|
1,290,000
|
75,000
|
|
Total
current liabilities
|
3,167,000
|
2,021,000
|
|
Long-term
debt/other liabilities, net of current portion & deferred
finance costs
|
0
|
1,120,000
|
|
Right
of Use Liability – Operating Leases
|
31,000
|
41,000
|
|
Total
liabilities
|
3,198,000
|
3,182,000
|
|
COMMITMENTS
AND CONTINGENCIES
|
|
|
|
Stockholders’
Deficit:
|
|
|
|
Common
stock
|
398,000
|
377,000
|
|
Additional
paid-in capital
|
22,077,000
|
21,717,000
|
|
Accumulated
deficit
|
(23,906,000)
|
(23,350,000)
|
|
Total
stockholders’ deficit
|
(1,431,000)
|
(1,256,000)
|
|
Total
liabilities and stockholders’ deficit
|
$1,767,000
|
$1,926,000
|
#####