-----BEGIN PRIVACY-ENHANCED MESSAGE----- Proc-Type: 2001,MIC-CLEAR Originator-Name: webmaster@www.sec.gov Originator-Key-Asymmetric: MFgwCgYEVQgBAQICAf8DSgAwRwJAW2sNKK9AVtBzYZmr6aGjlWyK3XmZv3dTINen TWSM7vrzLADbmYQaionwg5sDW3P6oaM5D3tdezXMm7z1T+B+twIDAQAB MIC-Info: RSA-MD5,RSA, RS3r+HhEzZZ4xz/MWZv8yi5Z5gt0IM3L38VjOCrN5L9J9ROXjDEUfrKE4zmnVbZn /XIhXTrANJeRzTCM0UM2Cw== 0000912057-95-009703.txt : 19951121 0000912057-95-009703.hdr.sgml : 19951121 ACCESSION NUMBER: 0000912057-95-009703 CONFORMED SUBMISSION TYPE: 10QSB PUBLIC DOCUMENT COUNT: 2 CONFORMED PERIOD OF REPORT: 19950930 FILED AS OF DATE: 19951113 SROS: NONE FILER: COMPANY DATA: COMPANY CONFORMED NAME: OZO DIVERSIFIED AUTOMATION INC /CO/ CENTRAL INDEX KEY: 0000812152 STANDARD INDUSTRIAL CLASSIFICATION: 3577 IRS NUMBER: 840922701 STATE OF INCORPORATION: CO FISCAL YEAR END: 1231 FILING VALUES: FORM TYPE: 10QSB SEC ACT: 1934 Act SEC FILE NUMBER: 000-16335 FILM NUMBER: 95589993 BUSINESS ADDRESS: STREET 1: 7450 EAST JEWELL AVE STE A CITY: DENVER STATE: CO ZIP: 80231 BUSINESS PHONE: 3033680401 MAIL ADDRESS: STREET 1: 7450 E JEWELL AVE STREET 2: STE A CITY: DENVER STATE: CO ZIP: 80231 10QSB 1 OZO DIVERSIFIED AUTOMATION, INC. UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 FORM 10QSB QUARTERLY REPORT UNDER SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the quarterly period ended September 30, 1995 Commission File No. 0-16335 OZO DIVERSIFIED AUTOMATION, INC. 7450 East Jewell Avenue, Suite A Denver, Colorado 80231 Telephone: (303) 368-0401 Colorado 84-0922701 - - - ------------------------ --------------------------------------- (State of Incorporation) (IRS Employer Identification No.) Indicate by check mark whether the Issuer (1) has filed all reports required to be filed by Section 13 or 15(d) of the Securities Exchange Act of 1934 during the past 12 months (or for such shorter period that the Registrant was required to file such reports), and (2) has been subject to such filing requirements for the past 90 days. Yes ___X___ No ______ As of September 30, 1995 Registrant had 452,664 shares of its $.10 par value common stock outstanding. 1 PART I - FINANCIAL INFORMATION OZO Diversified Automation, Inc. BALANCE SHEETS ASSETS
September 30, December 31, 1995 1994 ------------ ------------ (Unaudited) CURRENT ASSETS Cash $ 37,546 $ 47,111 Accounts and notes receivable, net of allowance for doubtful accounts of $5000 (1994 & 1995) 293,495 197,909 Inventories (Note 3) 432,799 254,091 Prepaid expenses 7,000 17,385 Other 2,697 0 -------- -------- Total Current Assets 773,537 516,496 -------- -------- PROPERTY AND EQUIPMENT Manufacturing 160,185 159,543 Furniture and fixtures 112,509 112,509 Capitalized Lease 41,554 41,554 Vehicle 10,820 10,820 -------- -------- 325,068 324,426 Less accumulated depreciation 310,816 299,443 -------- -------- Total Property and Equipment 14,252 24,983 -------- -------- OTHER ASSETS Notes Receivables, net of current portion 2,215 Deferred Financing Costs 26,637 32,507 -------- -------- Total Assets $814,426 $576,201 -------- -------- -------- --------
See notes to financial statements 2 PART I - FINANCIAL INFORMATION (CONTINUED) OZO DIVERSIFIED AUTOMATION, INC. BALANCE SHEETS (CONTINUED) LIABILITIES AND SHAREHOLDERS' EQUITY
September 30, December 31, 1995 1994 ------------ ------------ (UNAUDITED) CURRENT LIABILITIES Current portion of notes payable $ 21,357 $ 17,568 Accounts payable and accrued expenses 462,632 150,613 Line of credit 29,460 0 ----------- ----------- Total Current Liabilities 513,449 168,181 ----------- ----------- OTHER LIABILITIES Notes Payable, net of current portion 240,000 255,936 ----------- ----------- Total Liabilities 753,449 424,117 ----------- ----------- SHAREHOLDERS' EQUITY Preferred stock, $.10 par value authorized 1,000,000 shares issued - none Common stock, $.10 par value authorized, 5,000,000 shares issued and outstanding - 452,664 shares (1995) 452,664 shares (1994) 45,261 45,261 Capital in excess of par value 1,169,809 1,169,809 Accumulated deficit (1,154,093) (1,062,986) ----------- ----------- Total Shareholders' Equity 60,977 152,084 ----------- ----------- Total Liabilities & Stockholders' Equity $ 814,426 $ 576,201 ----------- ----------- ----------- -----------
See notes to financial statements 3 OZO DIVERSIFIED AUTOMATION, INC. STATEMENTS OF OPERATIONS (UNAUDITED)
Nine Months Ended September 30, ------------------------ 1995 1994 ---------- --------- Net Sales $1,355,392 $ 919,083 Cost of Sales 699,164 501,355 ---------- --------- Gross Profit 656,228 417,728 Operating Expenses: Marketing & Sales 256,742 184,720 Research & Development 122,982 155,795 General and Administrative 367,611 312,505 ---------- --------- 747,335 653,020 ---------- --------- Income (loss) before taxes (91,107) (235,292) NET INCOME (LOSS) $ (91,107) $(235,292) ---------- --------- ---------- --------- EARNINGS (LOSS) PER COMMON SHARE $ (0.20) $ (0.60) ---------- --------- ---------- ---------
See notes to financial statements 4 OZO DIVERSIFIED AUTOMATION, INC. STATEMENTS OF CASH FLOWS (UNAUDITED)
Nine Months Ended September 30, ------------------------- 1995 1994 --------- --------- Cash flows from operating activities: Net Income (loss) $ (91,107) $(235,292) Adjustments to reconcile net loss to net cash used in operating activities: Depreciation 11,373 18,105 Amortization of deferred financing costs 5,870 7,370 Decrease (increase) in assets: Accounts receivable (93,371) 65,407 Inventories (178,708) (129,446) Prepaid expenses 10,385 7,971 Other (2,697) (2,697) Increase (decrease) in accounts payable and accrued expenses 341,480 9,831 --------- --------- Total adjustments 94,332 (23,459) --------- --------- Net cash used in operating activities 3,225 (258,751) --------- --------- Cash flows from investing activities: Capital Expenditures (642) (16,861) --------- --------- Net cash provided (used) in investing activities (642) (16,861) --------- --------- Cash flows from financing activities: Increase (decrease) in notes payable (12,148) (17,381) Proceeds from issuance of common stock (0) 37,500 --------- --------- Net cash provided (used) by financing activities (12,148) 20,119 --------- --------- Net increase (decrease) in cash (9,565) (255,493) Cash at beginning of period 47,111 277,261 --------- --------- Cash at end of period $ 37,546 $ 21,768 --------- --------- --------- ---------
See notes to financial statements 5 OZO DIVERSIFIED AUTOMATION, INC. STATEMENTS OF OPERATIONS (UNAUDITED)
Three Months Ended September 30, ---------------------- 1995 1994 -------- --------- Net Sales $576,672 $ 136,146 Cost of Sales 280,767 69,986 -------- --------- Gross Profit 295,905 66,160 Operating Expenses: Marketing & Sales 127,809 54,434 Research & Development 38,659 36,820 General and Administrative 132,753 119,897 -------- --------- 299,221 211,151 -------- --------- Income (loss) before taxes (3,316) (144,991) -------- --------- NET INCOME (LOSS) $ (3,316) $(144,991) -------- --------- -------- --------- EARNINGS (LOSS) PER COMMON SHARE $ (0.01) $ (0.37) -------- --------- -------- ---------
See notes to financial statements 6 OZO DIVERSIFIED AUTOMATION, INC. NOTES TO FINANCIAL STATEMENTS NINE MONTHS ENDED SEPTEMBER 30, 1995 AND 1994 (UNAUDITED) In the opinion of management of OZO Diversified Automation, Inc. (the Company), the accompanying unaudited financial statements reflect all adjustments (consisting only of normal recurring accruals) necessary to present fairly the financial position of the Company as of September 30, 1995 and the results of operations and changes in financial position for the nine months ended September 30, 1995. The results of operations for the nine months ended September 30, 1995 are not necessarily indicative of the results that may be expected for the year ending December 31, 1995. These unaudited financial statements should be read in conjunction with the Company's annual report on Form 10-KSB for the year ended December 31, 1994. NOTE 1 - A summary of significant accounting policies is currently on file with the Securities and Exchange Commission on Form 10-KSB. NOTE 2 - Income Taxes: At December 31, 1994, the Company had net operating loss carryforwards totaling approximately $913,000 that may be offset against future taxable income through 2009 and research and development credits of approximately $33,000 expiring through 2009. The Company has fully reserved the tax benefits of these operating losses because the likelihood of realization of the tax benefits cannot be determined. These carryforwards are subject to review by the Internal Revenue Service. Temporary differences between the time of reporting certain items for financial and tax reporting purposes, primarily from using different methods of reporting depreciation costs and warranty and vacation accruals, are not considered significant by management of the Company. NOTE 3 - Inventories:
September 30, December 31, 1995 1994 ------------- ------------ Raw Materials $ 332,603 $ 180,720 Work in process 32,006 20,256 Finished Goods 68,190 53,115 ------------- ------------ $ 432,799 $ 254,091 ------------- ------------ ------------- ------------
7 MANAGEMENT'S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND RESULTS OF OPERATIONS For the first nine months ended September 30, 1995, the Company had revenues of $1,355,392, a 47% increase from revenues of $919,083 for the comparable period in 1994. During the quarter ended September 30, 1995, the Company had revenues of $576,672, a 324% increase over revenues of $136,146 for the comparable period in 1994. The loss for the nine months ended September 30, 1995 was $91,107, compared with a loss of $235,292 for the comparable period in 1994. The loss for the quarter was $3,316 compared to a loss of $144,991 in 1994. Working capital, although limited, is expected to be adequate to fund operations and order backlogs. Third quarter 1995 revenues were offset by higher development costs of the new depaneling products, precipitating higher warranty expense. Rising prices of vendor parts, higher inventories, rising prices of air travel for scheduled equipment installation and sales activities, and added staff for quality control and customer service also contributed to increases in costs. Management has continued focused marketing efforts in the depaneling application, with participation in the Surface Mount International trade show in August 1995 and completion of a depaneling product video in July 1995. As of November 7, 1995, the Company had a backlog of current open orders of approximately $625,000. The Company's new depaneling products account for 78% of the current backlog. 8 PART II - OTHER INFORMATION --------------------------- OZO Diversified Automation, Inc. Items 1-5 Not Applicable. Item 6 Exhibits and Reports on Form 8-K -------------------------------- a) Exhibits - none. b) No Reports on Form 8-K were filed during the quarter ending September 30, 1995 SIGNATURES Pursuant to the requirements of the Securities Exchange Act of 1934, the Registrant has duly caused this Report to be signed on its behalf by the undersigned thereunto duly authorized. OZO DIVERSIFIED AUTOMATION, INC. By: Marjorie Zimdars-Orthman -------------------------------- Marjorie Zimdars-Orthman Principal Executive Officer Principal Financial Officer Dated: November 9, 1995 9 EX-27 2 FINANCIAL DATA SCHEDULE
5 9-MOS DEC-31-1995 JAN-01-1995 SEP-30-1995 37,546 0 293,495 0 432,799 773,537 352,068 310,816 814,426 513,449 240,000 45,261 0 0 15,716 814,426 1,355,392 1,355,392 699,164 699,164 0 0 0 (91,107) 0 0 0 0 0 (91,107) (.20) 0
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