EX-99 5 dyn063005ex99-1.txt PRESS RELEASE Contact: Craig Dunham Dynasil Corporation of America Phone: (856) 767-4600 Email: cdunham@Dynasil.com Dynasil Announces Third Quarter Fiscal Year 2005 Results WEST BERLIN, N.J.-July 28, 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 3rd quarter ended June 30, 2005. This is the first full quarter of results after the combination of Optometrics with Dynasil. As previously announced, the acquisition of the assets of Optometrics LLC was completed on March 8, 2005. The results for the quarter and 9 months ended June 30, 2005 include 113 days of Optometrics' results of operations from March 9, 2005 through June 30, 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. Revenues for the quarter ended June 30, 2005 were $1,619,128, an increase of 220% over revenues of $505,504 for the quarter ended June 30, 2004. The net profit for the quarter ended June 30, 2005 was $56,134, or a positive $.01 per share, compared with a net loss of $97,926, or a negative $.04 per share, for the quarter ended June 30, 2004. Excluding the impact of Optometrics, Dynasil's long-standing optical materials business delivered a sales increase of 62% and a third consecutive profitable quarter. Revenues for the 9 months ended June 30, 2005 were $3,497,340, an increase of 103% over revenues of $1,722,467 for the 9 months ended June 30, 2004. The net profit for the 9 months ended June 30, 2005 was $74,885, or a positive $.02 per share, compared with a net loss of $170,831, or a negative $0.08 per share, for the 9 months ended June 30, 2004. On a pro forma basis, net income including Optometrics for the entire 9 months ended June 30, 2005 was $149,894, or $.04 per share. "The completion of the Optometrics acquisition and improvements in our long-standing optical materials business have added significant profitability to Dynasil," said Craig T. Dunham, President and CEO. "The integration of Optometrics is going extremely well and we are starting to see benefits in sales, marketing, and manufacturing. We continue to focus on our strategy of profitable growth from our optical components businesses and by pursuing acquisitions and strategic alliances" 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 June 30 September 30 2005 2004 ---------- ---------- Current assets Cash and cash equivalents $351,578 $254,908 Accounts receivable 732,670 309,276 Inventories 867,300 369,813 Prepaid expenses and other 114,446 16,656 current assets ---------- ---------- Total current assets 2,065,994 950,653 Property, plant and equipment, net 769,414 419,718 Other assets 93,402 3,321 ---------- ---------- Total Assets $2,928,810 $1,373,692 ========== ========== LIABILITIES AND STOCKHOLDERS' EQUITY Current liabilities Note payable to bank- Line of $250,000 $0 credit Current portion of long-term 186,881 120,000 debt Accounts payable 333,042 184,214 Accrued expenses and other 208,876 114,959 current liabilities ---------- ---------- Total current liabilities 978,799 419,173 Long-term debt, net 637,467 488,889 Stockholders' Equity 1,312,544 465,630 ---------- ---------- Total Liabilities and $2,928,810 $1,373,692 Stockholders' Equity ========== ========== DYNASIL CORPORATION OF AMERICA AND SUBSIDIARIES CONSOLIDATED STATEMENT OF OPERATIONS (UNAUDITED) Three Months Ended Nine Months Ended June 30 June 30 2005 2004 2005 2004 Sales $1,619,128 $505,504 $3,497,340 $1,722,467 Cost of Sales 1,103,318 417,299 2,500,119 1,337,204 --------- -------- ---------- ---------- Gross Profit 515,810 88,205 997,221 385,263 Selling, general and 434,966 173,740 877,540 528,243 administrative --------- -------- ---------- ---------- Income (Loss) from Operations 80,844 ( 85,535) 119,681 (142,980) Interest expense - net (20,610) ( 12,391) (39,572) (27,851) --------- -------- ---------- ---------- Income (Loss) before Income 60,234 (97,926) 80,109 (170,831) Taxes Income Taxes 4,100 0 5,224 0 --------- -------- ---------- ---------- Net Income (Loss) $ 56,134 ($ 97,926) $ 74,885 ($ 170,831) --------- -------- ---------- ---------- Net Income (Loss) per share Basic $0.01 ( $0.04) $0.02 ($0.08) Diluted $0.01 ( $0.04) $0.02 ($0.08)