EX-99 10 dyn051305ex99-1.txt EXHIBIT 99 - PRESS RELEASE Contact: Craig Dunham Dynasil Corporation of America Phone: (856) 767-4600 Email: cdunham@Dynasil.com Dynasil Announces Second Quarter Fiscal Year 2005 Results WEST BERLIN, N.J.-May 13, 2005--Dynasil Corporation of America (OTCBB: DYSL), fabricator of optical blanks from synthetic fused silica, fused quartz, and other optical materials for the semi- conductor, laser, space and optical components industries, and through its subsidiary, Optometrics Corporation, a worldwide supplier of optical components including diffraction gratings, thin film filters, laser optics, monochromators, and specialized optical systems, announced results of operations for the 2nd quarter ended March 31, 2005. As previously announced, the acquisition of the assets of Optometrics LLC was completed on March 8, 2005. The results for the quarter and 6 months ended March 31, 2005 include 23 days of Optometrics' results of operations from March 9, 2005 through March 31, 2005. For calendar year 2004, Optometrics LLC had revenues of $3.06 Million, EBITDA of $380,000, and net income before taxes of $258,000. The addition of Optometrics is expected to approximately double Dynasil's revenues as well as add significant profitability. Revenues for the quarter ended March 31, 2005 were $1,097,026, an increase of 85% over revenues of $594,469 for the quarter ended March 31, 2004. The net profit for the quarter ended March 31, 2005 was $12,677, or a positive $.00 per share, compared with a net loss of $46,873, or a negative $.02 per share, for the quarter ended March 31, 2004. Excluding the impact of Optometrics, Dynasil's historic business delivered a sales increase of 48% and a second consecutive profitable quarter. The Company is pleased to have strengthened its management team during the quarter with the addition of Laura Lunardo as CFO and Chief Operating Officer of Optometrics Corporation as well as Fran Ciancarelli becoming Vice President- Sales and Marketing. Revenues for the 6 months ended March 31, 2005 were $1,878,212 an increase of 54% over revenues of $1,216,963 for the 6 months ended March 31, 2004. The net profit for the 6 months ended March 31, 2005 was $18,753, or a positive $0.01 per share, compared with a net loss of $72, 905, or a negative $0.03 per share, for the 6 months ended March 31, 2004. "The completion of the Optometrics acquisition and the anticipated benefits from combining the two companies is expected to add significantly to Dynasil profitability," said Craig T. Dunham, President and CEO. "Dynasil's historic business has been improved to be profitable for the last two quarters and I am excited about the benefits from the addition of Optometrics" added Mr. Dunham. About Dynasil: Founded in 1960, Dynasil Corporation of America is a fabricator of optical blanks from synthetic fused silica, fused quartz and other optical materials as well as optical components and specialized optical systems. This news release may contain forward-looking statements usually containing the words "believe," "expect," or similar expressions. These statements are made pursuant to the safe harbor provisions of the Private Securities Litigation Reform Act. Future results of operations, projections, and expectations, which may relate to this release, involve certain risks and uncertainties that could cause actual results to differ materially from the forward-looking statements. Factors that would cause or contribute to such differences include, but are not limited to, the factors detailed in the Company's Annual Report or Form 10-KSB and in the Company's other Securities and Exchange Commission filings, continuation of existing market conditions and demand for our products. DYNASIL CORPORATION OF AMERICA AND SUBSIDIARIES CONSOLIDATED BALANCE SHEETS UNAUDITED) ASSETS March 31 September 30 2005 2004 ---------- ---------- Current assets Cash and cash equivalents $ 412,839 $ 254,908 Accounts receivable 770,692 309,276 Inventory 861,132 369,813 Other current assets 123,773 16,656 ---------- ---------- Total current assets 2,168,436 950,653 Property, Plant and Equipment, net 777,365 419,718 Other Assets Deferred financing costs 18,595 3,321 Intangibles 78,414 0 ---------- ---------- Total Other Assets 97,009 3,321 ---------- ---------- Total Assets $3,042,810 $1,373,692 ========== ========== LIABILITIES AND STOCKHOLDERS' EQUITY Current Liabilities Note payable to bank- Line of credit $250,000 $ 0 Current portion - long-term debt 155,746 120,000 Accounts payable 313,029 184,214 Accrued expenses 331,261 114,959 ---------- ---------- Total current liabilities 1,050,036 419,173 Long-term Debt, net 714,454 488,889 Stockholders' Equity 1,278,320 465,630 ---------- ---------- Total Liabilities and Stockholders' Equity $3,042,810 $1,373,692 ========== ========== DYNASIL CORPORATION OF AMERICA AND SUBSIDIARIES CONSOLIDATED STATEMENT OF OPERATIONS (UNAUDITED) Three Months Ended Six Months Ended March 31 March 31 2005 2004 2005 2004 Sales $1,097,026 $594,469 $1,878,212 $1,216,963 Cost of Sales 816,113 457,361 1,396,799 919,907 ---------- -------- --------- --------- Gross Profit 280,913 137,108 481,413 297,056 Selling, general and 256,977 175,923 443,698 354,502 administrative ---------- -------- --------- --------- Income (Loss) from Operations 23,936 (38,815) ( 37,715) (57,446) Interest expense - net (11,259) (8,058) (18,962) (15,459) ---------- -------- --------- --------- Income (Loss) before Income 12,677 (46,873) 18,753 (72,905) Taxes Income Taxes 0 0 0 0 ---------- -------- --------- --------- Net Income (Loss) $12,677 $(46,873) $18,753 $(72,905) ---------- -------- --------- --------- Net Income (Loss) per share Basic $0.00 ($ 0.02) $0.01 ($0.03) Diluted $0.00 ($ 0.02) $0.00 ($0.03)