Paragon Technologies News Release

Rhea-AI Summary

Paragon Technologies (OTC PINK:PGNT) reported significant growth for the three and six months ending June 30, 2021. Net sales surged to $32,823,000 for Q2 2021 from $18,252,000 in Q2 2020, marking a 80% increase. Year-to-date sales reached $64,187,000, up 34% from $47,846,000 a year prior. Operating income also improved to $1,462,000 for Q2 2021, compared with $895,000 in 2020. Despite the gains, the company noted potential risks from the ongoing impact of COVID-19 on operations.

Positive

• Net sales increased by 80% year-over-year in Q2 2021, reaching $32,823,000.
• Year-to-date sales rose by 34%, totaling $64,187,000.
• Operating income improved to $1,462,000 for Q2 2021 from $895,000 in 2020.

Negative

• Potential risks from the ongoing impact of COVID-19 on operations.

EASTON, PA / ACCESSWIRE / August 13, 2021 / Paragon Technologies, Inc. (OTC PINK:PGNT), a holding company, announced its results for the three and six months ended June 30, 2021, on August 13, 2021.

Paragon Technologies, Inc.'s Consolidated Statement of Operations for the three and six months ended June 30, 2021 and 2020 are summarized below. For further detail on our results, shareholders should carefully review our quarterly report, which can be found at www.pgntgroup.com.

		Three Months Ended								Six Months Ended
		June 30,				June 30,				June 30,				June 30,
(In Thousands)		2021				2020				2021				2020
Net Sales		$	32,823			$	18,252			$	64,187			$	47,846
Operating Income			1,462				895				2,160				1,838
Other income (expense)
Interest Income			-				3				6				7
Interest expense			(84	)			(131	)			(172	)			(388	)
Employee retention credit			-				-				138				-
Realized gain (loss) on investment,
marketable securities			51				41				(394	)			44
Unrealized gain (loss) on investment,
equity securities			58				156				82				(66	)
Gain on sale of fixed assets			1				-				1				-
PPP loan forgiveness			-				10				-				10
Grant Income			18				-				17				-
Total Other Income (Expense)			44				79				(322	)			(393	)
Income before taxes and noncontrolling			1,506				974				1,838				1,445
interest
Income tax expense			610				358				865				530
Net income before noncontrolling interest			896				616				973				915
Net income attributable to noncontrolling
interest			118				52				207				69
Net income attributable to Paragon Technologies, Inc. and Subsidiaries		$	778			$	564			$	766			$	846

Analysis of Results and General Business Commentary:

In 2018 newly issued accounting rules required that all companies record any unrealized losses or gains from equity investments in the income statement.

Paragon's investment gains or losses reflect realized gains or losses in the company's investment portfolio.

Paragon utilizes pre-tax operating income, a non-GAAP financial measure, in its analysis of financial results. Paragon Technologies defines pre-tax operating earnings outside of the investment gains/losses of the Company.

During the year ended December 31, 2020, the World Health Organization declared the coronavirus outbreak (COVID-19) a pandemic. The impact of COVID-19 could negatively impact the Company's operations. The extent to which COVID-19 could impact the Company's results will depend on future developments, which are highly uncertain and cannot be predicted, including new information that may emerge concerning the severity of COVID-19 and actions taken to contain COVID-19 or its impact, among other factors.

About Paragon Technologies

Paragon Technologies, Inc. is a holding company owning subsidiaries that engage in diverse business activities, including material handling, distribution, real estate and investments.

Cautionary Note Regarding Forward-Looking Statements

This press release contains forward-looking statements within the "safe harbor" provisions of the Private Securities Litigation Reform Act of 1995. These forward-looking statements concern the Company's operations, financial condition and performance and are based largely on the Company's beliefs and expectations. These statements involve known and unknown risks, uncertainties and other factors that may cause the Company's actual results, performance or achievements, or industry results, to be materially different from any future results, performance or achievements expressed or implied by such forward-looking statements. Such factors and risks include, among others, those related to: general economic conditions, including those in the markets in which the Company operates; the Company's ability to expand its revenue streams; technological changes in the Company's industry; the continued acceptance of the Company's distribution channel by vendors and customers; decreased demand for the Company's products and services and the Company's ability to retain or replace its significant customers; factors affecting the capital markets and share prices generally; economic and political risks of selling products in foreign countries, including risks of non-compliance with U.S. and foreign laws and regulations; cybersecurity risks and risks of damage and interruptions of information technology systems; and the Company's ability to complete acquisitions, strategic investments, divestitures, mergers or other transactions on acceptable terms or at all. New risk factors emerge from time to time, and it is not possible for management to predict all such risk factors, nor can management assess the impact of all such factors on the Company's business or the extent to which any factor, or combination of factors, may cause actual results to differ materially from those contained in any forward-looking statements. All statements in this press release other than statements that are purely historical are forward-looking statements. The Company does not intend and assumes no obligation, to update any forward-looking statements made in this press release. Readers are cautioned not to place undue reliance on forward-looking statements, which speak only as of the date of this press release.

For further information, contact the company at info@pgntgroup.com.

SOURCE: Paragon Technologies Inc.

View source version on accesswire.com:
https://www.accesswire.com/659747/Paragon-Technologies-News-Release

FAQ

What were Paragon Technologies' net sales for Q2 2021?

Paragon Technologies reported net sales of $32,823,000 for Q2 2021.

How much did Paragon Technologies' operating income increase in Q2 2021?

Operating income for Paragon Technologies rose to $1,462,000 in Q2 2021.

What is the year-to-date sales figure for Paragon Technologies for 2021?

The year-to-date sales for Paragon Technologies for 2021 reached $64,187,000.

What potential risks does Paragon Technologies face following the latest results?

The company cited potential risks from the ongoing impact of COVID-19 on its operations.