Nanophase Reports Record Second Quarter Revenue and Profit
Nanophase Technologies (OTCQB: NANX) reported record financial results for Q2 2024, with revenue reaching $13 million, a 10% increase from Q2 2023. The company's Solésence subsidiary saw a 44% year-over-year revenue increase to $11.2 million. Net income for Q2 was $856,000, a 157% increase from the same period last year.
For the first half of 2024, Nanophase reported revenue of $22.9 million, a 7% increase from H1 2023. Net income for H1 2024 was $1.7 million, compared to a net loss of $0.8 million in H1 2023. The company also won its third consecutive Cosmopack North America Formulation Award for its Lip Oil SPF 40+ product.
Nanophase Technologies (OTCQB: NANX) ha riportato risultati finanziari record per il secondo trimestre del 2024, con un fatturato che ha raggiunto 13 milioni di dollari, un aumento del 10% rispetto al secondo trimestre del 2023. La controllata Solésence della società ha registrato un aumento del fatturato del 44% anno su anno, raggiungendo 11,2 milioni di dollari. Il reddito netto per il secondo trimestre è stato di 856.000 dollari, un aumento del 157% rispetto allo stesso periodo dell'anno precedente.
Per il primo semestre del 2024, Nanophase ha riportato un fatturato di 22,9 milioni di dollari, un aumento del 7% rispetto al primo semestre del 2023. Il reddito netto per il primo semestre del 2024 è stato di 1,7 milioni di dollari, rispetto a una perdita netta di 0,8 milioni di dollari nel primo semestre del 2023. L'azienda ha anche vinto il terzo premio consecutivo Cosmopack North America Formulation Award per il suo prodotto Lip Oil SPF 40+.
Nanophase Technologies (OTCQB: NANX) reportó resultados financieros récord para el segundo trimestre de 2024, con ingresos que alcanzaron 13 millones de dólares, un aumento del 10% en comparación con el segundo trimestre de 2023. La subsidiaria Solésence de la compañía vio un aumento del 44% en los ingresos interanuales, alcanzando 11,2 millones de dólares. La ganancia neta para el segundo trimestre fue de 856,000 dólares, un aumento del 157% en comparación con el mismo periodo del año pasado.
Para la primera mitad de 2024, Nanophase reportó ingresos de 22,9 millones de dólares, un aumento del 7% en comparación con el primer semestre de 2023. La ganancia neta para la primera mitad de 2024 fue de 1,7 millones de dólares, en comparación con una pérdida neta de 0,8 millones de dólares en el primer semestre de 2023. La compañía también ganó su tercer premio consecutivo Cosmopack North America Formulation Award por su producto Lip Oil SPF 40+.
Nanophase Technologies (OTCQB: NANX)는 2024년 2분기에 기록적인 재무 결과를 보고하며, 매출이 1300만 달러에 달하여 2023년 2분기 대비 10% 증가했습니다. 회사의 자회사인 Solésence는 전년 대비 44%의 매출 증가를 보여주며 1120만 달러에 달했습니다. 2분기 순 이익은 856,000 달러로, 작년 같은 시기 대비 157% 증가했습니다.
2024년 상반기 동안 Nanophase는 2290만 달러의 매출을 기록하며, 2023년 상반기 대비 7% 증가했습니다. 2024년 상반기 순 이익은 170만 달러로, 2023년 상반기 80만 달러의 순손실에 비해 개선되었습니다. 이 회사는 또한 세 번째 연속 Cosmopack North America Formulation Award를 자신의 Lip Oil SPF 40+ 제품으로 수상했습니다.
Nanophase Technologies (OTCQB: NANX) a annoncé des résultats financiers records pour le deuxième trimestre 2024, avec un chiffre d'affaires atteignant 13 millions de dollars, soit une augmentation de 10% par rapport au deuxième trimestre 2023. La filiale Solésence de l'entreprise a connu une augmentation annuelle des revenus de 44%, atteignant 11,2 millions de dollars. Le revenu net pour le deuxième trimestre s'élevait à 856 000 dollars, une augmentation de 157% par rapport à la même période l'année dernière.
Pour le premier semestre 2024, Nanophase a réalisé un chiffre d'affaires de 22,9 millions de dollars, soit une augmentation de 7% par rapport au premier semestre 2023. Le revenu net pour le premier semestre 2024 était de 1,7 million de dollars, contre une perte nette de 0,8 million de dollars au premier semestre 2023. La société a également remporté son troisième Cosmopack North America Formulation Award consécutif pour son produit Lip Oil SPF 40+.
Nanophase Technologies (OTCQB: NANX) meldete rekordverdächtige finanzielle Ergebnisse für das zweite Quartal 2024, mit einem Umsatz von 13 Millionen Dollar, was einem Anstieg von 10% im Vergleich zum zweiten Quartal 2023 entspricht. Die Tochtergesellschaft Solésence des Unternehmens verzeichnete einen Umsatzanstieg von 44% im Jahresvergleich auf 11,2 Millionen Dollar. Der Nettogewinn für das zweite Quartal betrug 856.000 Dollar, was einem Anstieg von 157% im Vergleich zum Vorjahreszeitraum entspricht.
Für das erste Halbjahr 2024 berichtete Nanophase von einem Umsatz von 22,9 Millionen Dollar, was einem Anstieg von 7% im Vergleich zum ersten Halbjahr 2023 entspricht. Der Nettogewinn für das erste Halbjahr 2024 betrug 1,7 Millionen Dollar, im Vergleich zu einem Nettoverlust von 0,8 Millionen Dollar im ersten Halbjahr 2023. Das Unternehmen erhielt außerdem seinen dritten aufeinander folgenden Cosmopack North America Formulation Award für sein Lip Oil SPF 40+ Produkt.
- Record Q2 revenue of $13 million, up 10% year-over-year
- Solésence revenue increased 44% to $11.2 million in Q2
- Q2 net income of $856,000, up 157% from Q2 2023
- H1 2024 net income of $1.7 million, compared to $0.8 million loss in H1 2023
- Third consecutive win at Cosmopack North America Formulation Award
- Expecting second half revenue to exceed first half by more than 20%
- Demonstrating margin performance above industry averages
- None.
—
—
—Record Third Win in a Row at Cosmoprof and Cosmopack North America
ROMEOVILLE, Ill., Aug. 06, 2024 (GLOBE NEWSWIRE) -- Nanophase Technologies Corporation (OTCQB: NANX), a leader in mineral-based and scientifically-driven health care solutions across beauty and life science categories — with innovations that protect skin from environmental aggressors and aid in medical diagnostics — today announced record financial results for the second quarter ended June 30, 2024.
Jess Jankowski, President and Chief Executive Officer, commented: “The efforts we have made in the last half year are continuing to show results as we deliver another profitable quarter. We expect this progress to continue as we build the team needed to sustain our performance.”
Kevin Cureton, Chief Operating Officer, commented: “We are now seeing that our company has the ability to simultaneously grow with our dynamic industry and improve our operational effectiveness. While the journey to becoming a best-in-class development and manufacturing organization has just begun, we are pleased with our progress. We were also both thrilled and humbled to make history this year at the Cosmoprof and Cosmopack North America Awards, when we took home our third consecutive Cosmopack North America Award for Formulation for our Lip Oil SPF 40+. Through the three years of Cosmopack Formulation Awards, we have demonstrated to our industry that SPF-infused beauty can be more aesthetically pleasing and outperform non-SPF products across categories, with a skincare product winning in 2022, a complexion product in 2023, and now a makeup product winning in 2024. The result is that consumers no longer have to choose between protecting their skin and looking their best – through the power of our technology and prowess of our teams, they can have it all!”
Second Quarter Financial Highlights
- Revenue for the second quarter was
$13 million , vs.$11.9 million for the same period in 2023, a10% increase.- Solésence revenue was
$11.2 million , vs.$7.8 million for the same period in 2023, a44% increase.
- Solésence revenue was
- Net income was
$856,000 for the second quarter, vs.$333,000 for the same period in 2023, a157% increase.
Six-Month Financial Highlights
- Revenue for the six months ended June 30th was
$22.9 million , vs.$21.3 million for the same period in 2023, a7% increase.- Solésence revenue was
$19.3 million , vs.$12.8 million for the same period in 2023, a51% increase.
- Solésence revenue was
- Gross profit for the six months ended June 30th was
$7.3 million , vs$5.8 million for the same period in 2023, a26% increase. - Net income for the six months ended June 30th was
$1.7 million , vs. a net loss of$0.8 million for the same period in 2023, a312% increase.- Net income as a percentage of sales was
8% for the period.
- Net income as a percentage of sales was
Operational Highlights
Solésence Beauty Science Won Third Consecutive Cosmopack North America Formulation Award
- In July, Solésence won the Formulation Award at Cosmopack North America for the third year in a row, making Solésence the first and only third-time winner of the Awards in the Cosmoprof North America network (Cosmoprof & Cosmopack North America Awards).
- The winning 2024 formula was Lip Oil SPF 40+ featuring Solésence Kleair™.
- The Company won the same award in 2023 for Natural Glow Face Oil SPF 40+ featuring Solésence Kleair™ and Solésence Bloom™ and in 2022 for Multi-Cultural Magic SPF 50+ featuring Solésence Kleair™.
Global Integration of KPIs
- In the second quarter, the Company implemented process improvements in the planning system to improve efficiencies and welcomed a new Operations Planning Manager to support ongoing growth in Production.
- In the first half of 2024, the Company integrated KPIs with global visibility across all departments and began the implementation of Overall Equipment Effectiveness (OEE) methodologies for evaluating performance and defining key opportunities for continued improvement.
Jankowski continued: “With our second half revenue expected to exceed first half performance by more than
Conference Call
Nanophase will host its Second Quarter Conference Call on Wednesday, August 7, 2024, at 11:00 a.m. CDT, 12:00 p.m. EDT, to discuss its financial results and provide a business and financial update. On the call will be Jess Jankowski, the Company’s President & CEO, joined by Kevin Cureton, the Company’s Chief Operating Officer.
Participant Registration:
https://register.vevent.com/register/BI1f3051f859dd4b0e901722ef14e8ee82
To receive the dial-in number, as well as your personalized PIN, you must register at the above link. Once registered, you will also have the option to have the system dial-out to you once the conference call has begun. If you forget your PIN prior to the conference call, you can simply re-register.
Listen-Only Webcast & Replay:
https://edge.media-server.com/mmc/p/58zb87un
The call may also be accessed through the company’s website, at www.nanophase.com, by clicking on Investor Relations, Investor News, and the links in this conference call announcement release. Please connect to the conference at least five minutes before the call is scheduled to begin.
FINANCIAL RESULTS AND NON-GAAP INFORMATION
Use of Non-GAAP Financial Information
Nanophase believes that the presentation of results excluding certain items, such as non-cash equity compensation charges, provides meaningful supplemental information to both management and investors, facilitating the evaluation of performance across reporting periods. The Company uses these non-GAAP measures for internal planning and reporting purposes. These non-GAAP measures are not in accordance with, or an alternative for, Generally Accepted Accounting Principles (“GAAP”) and may be different from non-GAAP measures used by other companies. The presentation of this additional information is not meant to be considered in isolation or as a substitute for net income or net income per share prepared in accordance with GAAP.
About Nanophase Technologies
Nanophase Technologies Corporation (OTCQB: NANX), www.nanophase.com, is a leading innovator in mineral-based and scientifically driven healthcare solutions across beauty and life science categories, as well as other legacy advanced materials applications. Leveraging a platform of integrated, patented and proprietary technologies, the Company creates products with unique performance, enhancing consumers' health and well-being. We deliver commercial quantity and quality engineered materials both as ingredients and as part of fully formulated products in a variety of formats.
About Solésence Beauty Science
Solésence, www.solesence.com, a wholly owned subsidiary of Nanophase Technologies, is changing the face of skin health with patented, mineral-based technology that is embraced by leading performance-driven and clean beauty brands alike. Our patented products for brands transform the way mineral actives look, feel and function — enabling textures never-before-seen in the mineral space and inclusivity never-before-seen in the sun care space. Solésence’s innovative formulations offer best-in-class UV protection, unparalleled free radical prevention to protect against pollution, and enhanced antioxidant performance.
Forward-Looking Statements
This press release contains words such as “expects,” “shall,” “will,” “believes,” and similar expressions that are intended to identify forward-looking statements within the meaning of the Safe Harbor Provisions of the Private Securities Litigation Reform Act of 1995. Such statements in this announcement are made based on the Company’s current beliefs, known events and circumstances at the time of publication, and as such, are subject in the future to unforeseen risks and uncertainties that could cause the Company’s results of operations, performance, and achievements to differ materially from current expectations expressed in, or implied by, these forward-looking statements. These risks and uncertainties include, without limitation, the following: a decision by a customer to cancel a purchase order or supply agreement in light of the Company’s dependence on a limited number of key customers; uncertain demand for, and acceptance of, the Company’s engineered materials, ingredients, and fully formulated products; the Company’s manufacturing capacity and product mix flexibility in light of customer demand; the Company’s limited marketing experience; changes in development and distribution relationships; the impact of competitive products and technologies; the Company’s dependence on patents and protection of proprietary information; the resolution of litigation in which the Company may become involved; the impact of any potential new government regulations that could be difficult to respond to or too costly to comply with while remaining financially viable; the ability of the Company to maintain an appropriate electronic trading venue; and other factors described in the Company’s Form 10-K filed March 28, 2024. In addition, the Company’s forward-looking statements could be affected by general industry and market conditions and growth rates. Except as required by federal securities laws, the Company undertakes no obligation to update or revise these forward-looking statements to reflect new events, uncertainties, or other contingencies.
Investor Relations Contact:
Phone: (630) 771-6736
| NANOPHASE TECHNOLOGIES CORPORATION | ||||||||||
| CONSOLIDATED BALANCE SHEETS | ||||||||||
| (Unaudited Consolidated Condensed) | ||||||||||
| (in thousands except share and per share data) | ||||||||||
| June | December 31, | |||||||||
| 2024 | 2023 | |||||||||
| ASSETS | (Unaudited) | |||||||||
| Current assets: | ||||||||||
| Cash | $ | 2,358 | $ | 1,722 | ||||||
| Trade accounts receivable, less allowance for credit losses of | ||||||||||
| for June 30, 2024 and | 5,932 | 3,467 | ||||||||
| Inventories, net | 13,874 | 10,031 | ||||||||
| Prepaid expenses and other current assets | 2,096 | 1,082 | ||||||||
| Total current assets | 24,260 | 16,302 | ||||||||
| Equipment and leasehold improvements, net | 9,261 | 8,668 | ||||||||
| Operating leases, right of use | 7,326 | 7,907 | ||||||||
| Other assets, net | 2 | 4 | ||||||||
| $ | 40,849 | $ | 32,881 | |||||||
| LIABILITIES AND STOCKHOLDERS' EQUITY | ||||||||||
| Current liabilities: | ||||||||||
| Lines of credit - accounts receivable, related party | 2,272 | 2,810 | ||||||||
| Current portion of long term debt, related party | - | 2,000 | ||||||||
| Current portion of operating lease obligations | 1,043 | 1,297 | ||||||||
| Accounts payable | 5,577 | 6,260 | ||||||||
| Current portion of deferred revenue | 3,077 | 2,353 | ||||||||
| Accrued expenses | 1,800 | 869 | ||||||||
| Total current liabilities | 13,769 | 15,589 | ||||||||
| Long-term portion of operating lease obligations | 8,714 | 9,152 | ||||||||
| Long-term debt - inventory, related party | 5,200 | 5,000 | ||||||||
| Long-term debt, related party | 1,000 | 1,000 | ||||||||
| Asset retirement obligation | 242 | 238 | ||||||||
| Total long-term liabilities | 15,156 | 15,390 | ||||||||
| Shareholders' equity: | ||||||||||
| Preferred stock, $.01 par value, 24,088 shares authorized and | ||||||||||
| no shares issued and outstanding | - | - | ||||||||
| Common stock, $.01 par value, 95,000,000 and 60,000,000 shares authorized; | ||||||||||
| 69,860,984 and 49,627,254 shares issued and outstanding on June 30, 2024 | ||||||||||
| and December 31, 2023, respectively | 698 | 496 | ||||||||
| Additional paid-in capital | 114,140 | 106,069 | ||||||||
| Accumulated deficit | (102,914 | ) | (104,663 | ) | ||||||
| Total stockholders' equity | 11,924 | 1,902 | ||||||||
| Total liabilities and shareholders' equity | $ | 40,849 | $ | 32,881 | ||||||
| NANOPHASE TECHNOLOGIES CORPORATION | |||||||||||||||||
| CONSOLIDATED STATEMENTS OF OPERATIONS | |||||||||||||||||
| (Unaudited Consolidated Condensed) | |||||||||||||||||
| (in thousands except share and per share data) | |||||||||||||||||
| Three months ended | Six months ended | ||||||||||||||||
| June 30, | June 30, | ||||||||||||||||
| 2024 | 2023 | 2024 | 2023 | ||||||||||||||
| Revenue: | |||||||||||||||||
| Product revenue | $ | 12,923 | $ | 11,844 | $ | 22,694 | $ | 21,180 | |||||||||
| Other revenue | 123 | 28 | 220 | 149 | |||||||||||||
| Net revenue | 13,046 | 11,872 | 22,914 | 21,329 | |||||||||||||
| Cost of revenue | 9,306 | 8,197 | 15,594 | 15,505 | |||||||||||||
| Gross profit | 3,740 | 3,675 | 7,320 | 5,824 | |||||||||||||
| Operating expense: | |||||||||||||||||
| Research and development expense | 864 | 991 | 1,776 | 1,994 | |||||||||||||
| Selling, general and administrative expense | 1,829 | 2,105 | 3,388 | 4,255 | |||||||||||||
| Income from operations | 1,047 | 579 | 2,156 | (425 | ) | ||||||||||||
| Interest expense | 191 | 246 | 409 | 400 | |||||||||||||
| Other income, net | - | - | - | - | |||||||||||||
| Income before provision for income taxes | 856 | 333 | 1,747 | (825 | ) | ||||||||||||
| Provision for income taxes | - | - | - | - | |||||||||||||
| Net income (loss) | $ | 856 | $ | 333 | $ | 1,747 | $ | (825 | ) | ||||||||
| Net income (loss) per share-basic | $ | 0.02 | $ | 0.01 | $ | 0.03 | $ | (0.02 | ) | ||||||||
| Weighted average number of common shares outstanding - basic | 56,674,170 | 49,567,338 | 54,675,011 | 49,498,755 | |||||||||||||
| Net income per share-diluted | $ | 0.01 | $ | 0.01 | $ | 0.03 | $ | (0.02 | ) | ||||||||
| Weighted average number of common shares outstanding - diluted | 58,709,170 | 50,136,338 | 56,662,011 | 49,498,755 | |||||||||||||
| NANOPHASE TECHNOLOGIES CORPORATION | |||||||||||||||||
| CONSOLIDATED STATEMENTS OF OPERATIONS - EXPANDED SCHEDULE | |||||||||||||||||
| (Unaudited Consolidated Condensed) | |||||||||||||||||
| (in thousands except share and per share data) | |||||||||||||||||
| Three months ended | Six months ended | ||||||||||||||||
| June 30, | June 30, | ||||||||||||||||
| 2024 | 2023 | 2024 | 2023 | ||||||||||||||
| Revenue: | |||||||||||||||||
| Product revenue | $ | 12,923 | $ | 11,844 | $ | 22,694 | $ | 21,180 | |||||||||
| Other revenue | 123 | 28 | 220 | 149 | |||||||||||||
| Net revenue | 13,046 | 11,872 | 22,914 | 21,329 | |||||||||||||
| Operating expense: | |||||||||||||||||
| Cost of revenue detail: | |||||||||||||||||
| Depreciation | 222 | 158 | 444 | 316 | |||||||||||||
| Non-Cash equity compensation | 28 | 28 | 54 | 55 | |||||||||||||
| Other costs of revenue | 9,056 | 8,011 | 15,096 | 15,134 | |||||||||||||
| Cost of revenue | 9,306 | 8,197 | 15,594 | 15,505 | |||||||||||||
| Gross profit | 3,740 | 3,675 | 7,320 | 5,824 | |||||||||||||
| Research and development expense detail: | |||||||||||||||||
| Depreciation | 5 | 7 | 11 | 14 | |||||||||||||
| Non-Cash equity compensation | 32 | 45 | 65 | 92 | |||||||||||||
| Other research and development expense | 827 | 939 | 1,700 | 1,888 | |||||||||||||
| Research and development expense | 864 | 991 | 1,776 | 1,994 | |||||||||||||
| Selling, general and administrative expense detail: | |||||||||||||||||
| Depreciation and amortization | 7 | 8 | 14 | 15 | |||||||||||||
| Non-Cash equity compensation | 97 | 123 | 198 | 258 | |||||||||||||
| Other selling, general and administrative expense | 1,725 | 1,974 | 3,176 | 3,982 | |||||||||||||
| Selling, general and administrative expense | 1,829 | 2,105 | 3,388 | 4,255 | |||||||||||||
| Income from operations | 1,047 | 579 | 2,156 | (425 | ) | ||||||||||||
| Interest expense | 191 | 246 | 409 | 400 | |||||||||||||
| Other income, net | - | - | - | - | |||||||||||||
| Income before provision for income taxes | 856 | 333 | 1,747 | (825 | ) | ||||||||||||
| Provision for income taxes | - | - | - | - | |||||||||||||
| Net (loss) income | $ | 856 | $ | 333 | $ | 1,747 | $ | (825 | ) | ||||||||
| Non-GAAP Disclosure (see note regarding Non-GAAP disclosures): | |||||||||||||||||
| Addback Interest, net | 191 | 246 | 409 | 116 | |||||||||||||
| Addback Depreciation/Amortization | 234 | 134 | 469 | 269 | |||||||||||||
| Addback Non-Cash Equity Compensation | 157 | 135 | 317 | 302 | |||||||||||||
| Subtract Non-Cash Other Income | - | - | - | - | |||||||||||||
| Adjusted EBITDA | $ | 1,438 | $ | 848 | $ | 2,942 | $ | (138 | ) | ||||||||
FAQ
What was Nanophase Technologies' (NANX) revenue for Q2 2024?
How much did Solésence's revenue grow in Q2 2024 compared to Q2 2023?
What was Nanophase Technologies' (NANX) net income for the first half of 2024?
What award did Solésence Beauty Science win at Cosmopack North America in 2024?
What is Nanophase Technologies' (NANX) revenue expectation for the second half of 2024?
