United States Antimony Corporation Reports Second Quarter and Six Months Ended June 30, 2024 Results

Rhea-AI Summary

United States Antimony (NYSE American:UAMY) reported increased revenues and gross profit for Q2 and H1 2024. H1 2024 revenues rose 26% to $5.6 million, with gross profit up 122% to $950k. Q2 2024 saw a 24% revenue increase to $2.813 million and a 135% gross profit jump to $908.6k. The company reported net income from continuing operations of $30k for H1 2024.

Key highlights include:

• Bear River Zeolite operations improved with 94.3% runtime in Q2 2024
• Antimony prices nearly doubled from $5.31/lb to $10.64/lb due to supply issues
• Mexican operations shut down, now reported as 'Discontinued Operation'
• Cash position increased to $12.39 million as of June 30, 2024

The company aims to focus on critical minerals access, expand its zeolite business, and improve customer delivery reliability.

Positive

• Revenues increased 26% to $5.6 million for H1 2024
• Gross profit rose 122% to $950k for H1 2024
• Q2 2024 revenues up 24% to $2.813 million
• Q2 2024 gross profit increased 135% to $908.6k
• Net income from continuing operations of $30k for H1 2024
• Bear River Zeolite runtime improved to 94.3% in Q2 2024
• Antimony prices nearly doubled from $5.31/lb to $10.64/lb
• Cash position increased to $12.39 million as of June 30, 2024

Negative

• Operating expenses increased 124% to $2.014 million for H1 2024
• Loss from continuing operations of $55.7k for Q2 2024
• Discontinued operations in Mexico resulted in a loss of $150,373 for H1 2024

Insights

Financial Analyst

USAC's Q2 2024 results show promising growth, with revenues up 26% to $5.6 million for H1 2024. The company achieved a significant gross profit increase of 122%, demonstrating improved operational efficiency. However, operating expenses also rose by 124%, partly due to new project development costs.

The cash position improved to $12.39 million, up from year-end 2023. The decision to shut down Mexican operations, now reported as discontinued, should reduce cash drain. The antimony market price nearly doubling to $10.64 per pound could positively impact future revenues if USAC secures international suppliers.

While the company reported a small net income from continuing operations, the overall picture remains mixed. Investors should monitor how USAC capitalizes on the favorable antimony market and executes its growth strategies in critical minerals and zeolite operations.

Market Research Analyst

USAC's focus on critical minerals and zeolite presents interesting market opportunities. The antimony price surge to $10.64 per pound reflects global supply constraints, potentially benefiting USAC if they secure reliable ore sources. The company's emphasis on U.S.-based supply aligns with growing demand for domestically sourced critical minerals.

The zeolite business shows promise, with improved operational efficiency at Bear River Zeolite. The 94.3% runtime in Q2 2024 suggests enhanced production capabilities. USAC's high-quality zeolite reserves in Idaho could be a significant competitive advantage if they successfully expand their customer base and improve delivery reliability.

Investors should watch for USAC's progress in executing its growth strategies, particularly in accessing new critical mineral sources and expanding zeolite operations. The company's ability to capitalize on these opportunities will be important for long-term growth.

"The Critical Minerals and ZEO Company"

THOMPSON FALLS, MT / ACCESSWIRE / August 9, 2024 / United States Antimony Corporation ("USAC" or the "Company" or "U.S. Antimony Corporation"), (NYSE American:UAMY) reported today its second quarter and six months ended June 30, 2024 financial and operational results.

Revenues for the first six months of 2024 increased 26%, or $1.169 million, to $5.6 million, compared to the first six months of 2023, while cost of sales only increased 6%, or $219k, during the same period. This in-turn allowed gross profit to increase 122%, or $950k. Operating expenses increased $1.115 million, or 124%, for the first six months of 2024 to $2.014 million, of which $301k of the increase was non-cash stock compensation and $311k was costs associated with new project development. These projects and initiatives are part of the growth and improved strategy of the Company. The Company reported net income from continuing operations of $30k for the six months ended June 30, 2024.

When comparing the three months ended June 30, 2024 to the three months ended June 30, 2023, revenues were up 24% to $2.813 million. Gross profit also increased 135% to $908.6k. Loss from continuing operations was $55.7k for the three months ended June 30, 2024 compared to a loss of $23k in the prior year.

We continue to enhance operations at Bear River Zeolite with both mechanical and equipment improvements and we experienced a runtime during the second quarter of 2024 of 94.3%. We continue to see a dramatic improvement in the overall operating environment at Bear River Zeolite which is leading to higher throughput and improved customer order delivery times. This should continue to be observed further in future financial reports.

Antimony continues to be a scarce commodity worldwide due to supply issues and trade restrictions imposed on certain countries. This in-turn has caused the worldwide antimony metal market price to nearly double from $5.31 per pound on December 31, 2023 to $10.64 per pound as of August 6, 2024. Management is seeking international suppliers of raw ore that we can then process for our customers, most of which only wish to purchase from U.S. suppliers.

As announced on March 11, 2024, the Company completely shut down its operational activities in Mexico and those operations are now reported as a "Discontinued Operation". The historical cash drain of these operations on the Company ceased with this decision. The cash position of the Company at June 30, 2024 was $12.39 million, up $492k from December 31, 2023.

Commenting on the Second Quarter 2024 operational and financial results, Mr. Gary C. Evans, Chairman and Co-CEO of U.S. Antimony Corporation stated, "While we are pleased with both the operating and financial results reported today for this new period, and as we continue to turn this company around, we can do better. Management has "many irons in the fire" so to speak and we are anxious to begin executing on those efforts. Access to critical minerals sorely needed by the U.S. government, and not just antimony, is a primary focus. Growing our zeolite business and expanding our customer base is another objective. We are blessed with a very high-quality zeolite reserve base in Preston, Idaho that is difficult for any contender to compete with. We must capitalize on this high-quality asset and expand our operations accordingly. The Company has lost a number of customers in the past because we were not very reliable in our ability to deliver product consistently. One particular customer was a large multi-national user of zeolite. With changes we have made in management personnel and the significant improvements that continue to occur around the operating capability of our Bear River Zeolite processing facility, we sincerely hope this is an issue to be discussed only in the past."

United States Antimony Corporation and Subsidiaries
Condensed Consolidated Statements of Operations
(Unaudited)

			For the three months ended								For the six months ended
			June 30, 2024				June 30, 2023				June 30, 2024				June 30, 2023
REVENUES		$	2,813,780			$	2,265,117			$	5,645,170			$	4,475,961
COST OF REVENUES			1,905,139				1,878,558				3,913,625				3,694,559
GROSS PROFIT			908,641				386,559				1,731,545				781,402
OPERATING EXPENSES:
General and administrative			477,366				247,419				932,760				388,690
Salaries and benefits			285,359				145,412				526,964				273,104
Professional fees			221,529				191,063				398,686				237,067
Loss on disposal of property, plant and equipment			-				-				17,494				-
Other operating expenses			137,991				-				137,991				-
TOTAL OPERATING EXPENSES			1,122,245				583,894				2,013,895				898,861
LOSS FROM OPERATIONS			(213,604	)			(197,335	)			(282,350	)			(117,459	)
OTHER INCOME (EXPENSE):
Interest and investment income			151,921				167,781				302,772				290,153
Trademark and licensing income			8,360				11,381				14,728				18,906
Other miscellaneous income (expense)			(2,381	)			(4,859	)			(4,753	)			78,749
TOTAL OTHER INCOME			157,900				174,303				312,747				387,808
INCOME (LOSS) FROM CONTINUING OPERATIONS BEFORE INCOME TAXES			(55,704	)			(23,032	)			30,397				270,349
Income tax expense			-				-				-				-
INCOME (LOSS) FROM CONTINUING OPERATIONS			(55,704	)			(23,032	)			30,397				270,349
Discontinued operations:
Income (loss) from discontinued operations before income taxes			258,496				(313,433	)			(150,373	)			(1,413,798	)
Income tax expense			-				-				-				-
Income (loss) from discontinued operations (Note 11)			258,496				(313,433	)			(150,373	)			(1,413,798	)
Net income (loss)			202,792				(336,465	)			(119,976	)			(1,143,449	)
Preferred dividends			(1,875	)			(1,875	)			(3,750	)			(3,750	)
Net income (loss) available to common stockholders		$	200,917			$	(338,340	)		$	(123,726	)		$	(1,147,199	)
Basic and diluted earnings per common share:
Income (loss) from continuing operations		$	nil			$	nil			$	nil			$	nil
Income (loss) from discontinued operations		$	nil			$	nil			$	nil			$	(0.01	)
Net income (loss)		$	nil			$	nil			$	nil			$	(0.01	)
Weighted average shares outstanding:
Basic			108,438,984				107,647,317				108,173,645				107,504,628
Diluted			108,943,126				107,647,317				108,425,716				107,504,628

United States Antimony Corporation and Subsidiaries
Condensed Consolidated Balance Sheets
(Unaudited)

		June 30, 2024				December 31, 2023
ASSETS
CURRENT ASSETS
Cash and cash equivalents		$	12,391,431			$	11,899,574
Certificates of deposit			22,216				72,898
Accounts receivable, net			1,393,760				625,256
Inventories, net			462,354				1,019,154
Prepaid expenses and other current assets			291,229				92,369
Current assets held for sale			50,798				366,955
Total current assets			14,611,788				14,076,206
Properties, plants and equipment, net			7,798,594				7,765,045
Restricted cash for reclamation bonds			55,060				55,061
Other assets			20,217				18,098
Non-current assets held for sale			6,443,581				6,180,585
Total assets		$	28,929,240			$	28,094,995
LIABILITIES AND STOCKHOLDERS' EQUITY
CURRENT LIABILITIES
Accounts payable		$	544,100			$	330,147
Accrued liabilities			157,001				109,341
Accrued liabilities - directors			161,249				124,810
Royalties payable			113,917				153,429
Long-term debt, current portion			129,967				28,443
Current liabilities held for sale			145,930				151,288
Total current liabilities			1,252,164				897,458
Long-term debt, net of current portion			262,127				-
Stock payable to directors			38,542				38,542
Asset retirement obligations			1,138,102				1,101,561
Non-current liabilities held for sale			536,466				536,466
Total liabilities			3,227,401				2,574,027
COMMITMENTS AND CONTINGENCIES
STOCKHOLDERS' EQUITY
Preferred stock $0.01 par value, 10,000,000 shares authorized:
Series A: 0 shares issued and outstanding			-				-
Series B: 750,000 shares issued and outstanding (liquidation preference $971,250 and $967,500, respectively)			7,500				7,500
Series C: 177,904 shares issued and outstanding (liquidation preference $97,847 both years)			1,779				1,779
Series D: 0 shares issued and outstanding			-				-
Common stock, $0.01 par value, 150,000,000 shares authorized; 108,438,984 and 107,647,317 shares issued and outstanding, respectively			1,084,389				1,076,472
Additional paid-in capital			64,146,766				63,853,836
Accumulated deficit			(39,538,595	)			(39,418,619	)
Total stockholders' equity			25,701,839				25,520,968
Total liabilities and stockholders' equity		$	28,929,240			$	28,094,995

United States Antimony Corporation and Subsidiaries
Condensed Consolidated Statements of Cash Flows
(Unaudited)

		For the six months ended
		June 30, 2024				June 30, 2023
CASH FLOWS FROM OPERATING ACTIVITIES OF CONTINUING OPERATIONS:
Net income from continuing operations			30,397			$	270,349
Adjustments to reconcile net income from continuing operations to net cash
provided (used) by operating activities of continuing operations:
Depreciation and amortization			220,633				154,458
Accretion of asset retirement obligation			36,541				750
Loss on disposal of property, plant, and equipment			17,494				-
Write down of inventory to net realizable value			10,501				-
Share-based compensation			300,847				-
Allowance for doubtful accounts on accounts receivable			(14,258	)			43,560
Other non-cash items			(16,106	)			(13,621	)
Changes in operating assets and liabilities:
Accounts receivable			(754,246	)			(567,077	)
Inventories, net			546,299				(265,804	)
Prepaid expenses and other current assets			(198,860	)			(240,225	)
Other assets			(2,119	)			-
Accounts payable			213,953				(253,579	)
Accrued liabilities			47,660				(52,935	)
Accrued liabilities - directors			36,439				145,413
Royalties payable			(39,512	)			(389,716	)
Net cash provided (used) by operating activities of continuing operations			435,663				(1,168,428	)
CASH FLOWS FROM INVESTING ACTIVITIES OF CONTINUING OPERATIONS:
Proceeds from redemption of certificates of deposit			50,682				-
Purchases of properties, plant, and equipment			(150,721	)			(1,195,534	)
Net cash used by investing activities of continuing operations			(100,039	)			(1,195,534	)
CASH FLOWS FROM FINANCING ACTIVITIES OF CONTINUING OPERATIONS:
Payments on dividends payable			-				(787,730	)
Principal payments on long-term debt			(39,071	)			(46,370	)
Net cash used by financing activities of continuing operations			(39,071	)			(834,100	)
Net cash flows provided (used) by continuing operations			296,553				(3,198,062	)
CASH FLOWS FROM DISCONTINUED OPERATIONS:
Net cash used by operating activities			195,303				(2,023,067	)
Net cash used by investing activities			-				(152,322	)
Net cash flows used by discontinued operations			195,303				(2,175,389	)
NET INCREASE (DECREASE) IN CASH AND CASH EQUIVALENTS AND RESTRICTED CASH			491,856				(5,373,451	)
CASH AND CASH EQUIVALENTS AND RESTRICTED CASH AT BEGINNING OF PERIOD			11,954,635				19,117,666
CASH AND CASH EQUIVALENTS AND RESTRICTED CASH AT END OF PERIOD		$	12,446,491			$	13,744,215
NON-CASH FINANCING AND INVESTING ACTIVITIES:
Common stock buyback and retirement			-			$	202,980
Conversion of Preferred Series D to Common Stock			-			$	16,927
Equipment purchased with note payable		$	402,722			$	0

About USAC:
United States Antimony Corporation and its subsidiaries in the U.S. and Mexico ("USAC", the "Company", "Our", "Us", or "We") sell processed antimony, zeolite, and precious metals products in the U.S. and Canada. The Company processes antimony ore primarily into antimony oxide, antimony metal, and antimony trisulfide. Our antimony oxide is used to form a flame-retardant system for plastics, rubber, fiberglass, textile goods, paints, coatings and paper, as a color fastener in paint, and as a phosphorescent agent in fluorescent light bulbs. Our antimony metal is used in bearings, storage batteries, and ordnance. Our antimony trisulfide is used as a primer in ammunition. In its operations in Idaho, the Company mines and processes zeolite, a group of industrial minerals used in soil amendment and fertilizer, water filtration, sewage treatment, nuclear waste and other environmental cleanup, odor control, gas separation, animal nutrition, and other miscellaneous applications. We recover certain amounts of precious metals, primarily gold and silver, at our plant in Montana from antimony concentrates. 

Forward-Looking Statements:
Readers should note that, in addition to the historical information contained herein, this press release may contain forward-looking statements within the meaning of, and intended to be covered by, the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. Such forward-looking statements are based upon current expectations and beliefs concerning future developments and their potential effects on the Company including matters related to the Company's operations, pending contracts and future revenues, financial performance, and profitability, ability to execute on its increased production and installation schedules for planned capital expenditures, and the size of forecasted deposits. Although the Company believes that the expectations reflected in the forward-looking statements and the assumptions upon which they are based are reasonable, it can give no assurance that such expectations and assumptions will prove to have been correct. The reader is cautioned not to put undue reliance on these forward-looking statements, as these statements are subject to numerous factors and uncertainties. In addition, other factors that could cause actual results to differ materially are discussed in the Company's most recent filings, including Form 10-K, Form 10-Q, and Form 8-K with the Securities and Exchange Commission.  

Forward-looking statements are typically identified by words such as "believe," "expect," "anticipate," "intend," "outlook," "estimate," "forecast," "project," "pro forma" and other similar words and expressions. Forward-looking statements are subject to numerous assumptions, risks, and uncertainties, which change over time. Forward-looking statements speak only as of the date they are made. Because forward-looking statements are subject to assumptions and uncertainties, actual results or future events could differ, possibly materially, from those anticipated in the forward-looking statements and future results could differ materially from historical performance.

CONTACT:
United States Antimony Corporation
PO Box 643
47 Cox Gulch Rd.
Thompson Falls, Montana 59873-0643
E-Mail: jmiller@usantimony.com
Phone: 813-505-0674

SOURCE: United States Antimony Corporation

View the original press release on accesswire.com

FAQ

What was UAMY's revenue growth in Q2 2024?

UAMY's revenue grew by 24% to $2.813 million in Q2 2024 compared to Q2 2023.

How much did UAMY's gross profit increase in H1 2024?

UAMY's gross profit increased by 122%, or $950k, in the first half of 2024 compared to the same period in 2023.

What was the runtime at Bear River Zeolite in Q2 2024?

The runtime at Bear River Zeolite was 94.3% during the second quarter of 2024.

How did the antimony metal market price change from December 31, 2023 to August 6, 2024?

The worldwide antimony metal market price nearly doubled from $5.31 per pound on December 31, 2023 to $10.64 per pound as of August 6, 2024.

What was UAMY's cash position as of June 30, 2024?

UAMY's cash position as of June 30, 2024 was $12.39 million, an increase of $492k from December 31, 2023.