HOUSTON, TX--(Marketwired - Aug 10, 2017) - FLAME SEAL PRODUCTS, INC. (
From: Craig Keyser, CEO Subject: June 30, 2017 Second Quarter Results and Corporate Update
Revenues for the quarter ended June 30, 2017 were $687,666, an $87,786, a 15% increase compared to the March 31, 2017 quarter and a $180,677 decrease or 21% less than the robust June 30, 2016 quarter.
Craig Keyser comments, "Flame Seal's sales recovered and stabilized in the second quarter of 2017after disappointing sales in the first quarter. At the same, we are transitioning from our legacy products to FSP's next generation technology which is intended to penetrate far larger markets requiring flame retardant protection for public safety. With added technical expertise and equipment upgrades, we are building a portfolio of products and an R & D inventory of future thermal barrier, ignition barrier, and flame retardant candidates. As pointed out in May, management and the Board of Directors are focusing our resources to maximize results and insure future profitability."
Operating Results
For the quarter ending June 30, 2017 FSP's net loss was $26,112. This small loss was largely a result of our development and testing of new products. The importance of these programs to the long term success of our company cannot be overstated.
Operations
During the first six months of 2017 gross operating margins held steady at 52%. Operations are stable at the current level of sales with existing product offerings, but will improve with higher sales resulting from successful testing and certifications.
Balance Sheet Status
FSP's current ratio at 4.3 improved from 3.8 and remains healthy. Receivables remain current as we maintain an adequate level of cash to navigate through our product line transition. As of June 30, 2017, FSP had 63,498,153 shares outstanding.
Craig Keyser notes, "Since 2013, we've dramatically improved our financial results and condition, but 2017 has presented some unexpected challenges. Even so, we are continuing to expand our customer base with higher volume, recurring business and we are building a team to take us to next level of customer support and profitability. We appreciate our stockholders ongoing support and trust."
About Flame Seal
Flame Seal Products, Inc., manufacturer of the world's number one fire prevention technology, was founded in 1992 as a research and development company focused on the investigation and application of passive Fire Prevention Technologies. FLAME SEAL PRODUCTS, INC. (FLMP) began trading its common stock on March 27, 2000. Flame Seal Products, Inc. is also the Transfer Agent of record. The company offers a wide variety of Code Driven solutions for a number of diverse applications and industries, and has developed three passive fire prevention technologies which are the basis for the company's products.
For more company and product information, go to: http://flameseal.com . For publicly disclosed information, go to www.otcmarkets.com - symbol FLMP. All press releases regarding FLMP results and corporate updates can be found in the "News" section and all financials are in the "Filing and Disclosure" section.
Safe Harbor Statement
Certain statements in this release may be "forward-looking" statements as defined in the Private Securities Litigation Reform Act of 1995. Such statements are subject to numerous risks and uncertainties. Actual results may vary significantly from the results expressed or implied in such statements. Factors that could cause actual results to materially differ from forward-looking statements include, but are not limited to, the Company's ability to meet the terms and conditions required to obtain its project financing, risks and delays associated with product development, risk of market acceptance of new products, risk of technology or product obsolescence, competitive risks, reliance on development partners and the need for additional capital. Flame Seal takes no obligation to update or correct forward-looking statements, and also takes no obligation to update or correct information prepared by third parties that are not paid for by Flame Seal.
Investor Relations Contact: Richard Kaneb 949-233-3229 richardkaneb@gmail.com www.flameseal.com
