| June 30 | ||||
| 2007 | ||||
ASSETS |
||||
Current Assets: |
||||
Cash and cash equivalents |
$ | 4,420,943 | ||
Accounts receivable, net |
3,458,438 | |||
Inventory |
446,273 | |||
Prepayments and other current assets |
213,804 | |||
Total Current Assets |
8,539,458 | |||
Property and Equipment, net |
5,426,541 | |||
Other Assets |
||||
Intangible assets, net |
1,270,794 | |||
Other long-term assets |
2,000 | |||
Total Other Assets |
1,272,794 | |||
TOTAL ASSETS |
$ | 15,238,793 | ||
LIABILITIES AND STOCKHOLDERS’ EQUITY |
||||
Current Liabilities |
||||
Accounts payable |
$ | 692,063 | ||
Accounts payable — parent company |
30,277 | |||
Accrued liabilities |
279,760 | |||
Unearned revenue |
2,770,064 | |||
Current portion of long-term debt |
252,199 | |||
Deferred income taxes |
45,000 | |||
Total Current Liabilities |
4,069,363 | |||
Long-Term Debt |
241,093 | |||
Deferred income taxes |
6,000 | |||
Stockholder equity |
||||
Preferred Stock |
10,000 | |||
Common Stock |
10 | |||
Additional paid-in capital |
8,989,879 | |||
Retained earnings |
1,922,448 | |||
Total
Stockholders’ equity |
10,922,337 | |||
TOTAL LIABILITIES AND STOCKHOLDER EQUITY |
$ | 15,238,793 | ||
| 2007 | 2006 | |||||||
Revenues |
||||||||
Contract revenues |
$ | 6,857,749 | $ | 4,855,599 | ||||
Intellectual property revenues, net of
direct expenses |
35,730 | 57,222 | ||||||
Polymer revenue |
1,594,798 | 1,045,013 | ||||||
| 8,488,277 | 5,957,834 | |||||||
Cost of Sales |
||||||||
Direct expenses |
2,924,395 | 2,311,565 | ||||||
Overhead |
1,814,672 | 1,202,760 | ||||||
| 4,739,067 | 3,514,325 | |||||||
Gross Margin |
3,749,210 | 2,443,509 | ||||||
Other Operating Expenses |
||||||||
Research and development |
330,348 | 173,867 | ||||||
Selling, general and administrative |
1,846,601 | 1,438,946 | ||||||
| 2,176,949 | 1,612,813 | |||||||
Income from Operations |
1,572,261 | 830,696 | ||||||
Other Income (Expense) |
50,938 | (9,664 | ) | |||||
Net Income before Income Taxes |
1,623,199 | 821,032 | ||||||
Net Income Tax Expense |
572,525 | 188,932 | ||||||
Net Income |
$ | 1,050,674 | $ | 632,100 | ||||
| 2007 | 2006 | |||||||
Cash Flows from Operating Activities |
||||||||
Net Income |
$ | 1,050,674 | $ | 632,100 | ||||
Adjustments to reconcile net income to
net cash provided by operating activities: |
||||||||
Depreciation and amortization |
397,173 | 346,722 | ||||||
Stock-based compensation |
111,235 | 31,110 | ||||||
Change in operating assets and liabilities: |
||||||||
Accounts receivable, net |
859,795 | (872,643 | ) | |||||
Inventory |
(10,019 | ) | 99,117 | |||||
Prepayments and other
current assets |
(23,054 | ) | (59,273 | ) | ||||
Accounts payable |
(88,192 | ) | (525,997 | ) | ||||
Accrued liabilities |
145,506 | 41,809 | ||||||
Unearned revenue |
(540,577 | ) | 283,741 | |||||
Net Cash
Provided by (used in) Operating Activities |
1,902,541 | (23,314 | ) | |||||
Cash Flows from Investing Activities |
||||||||
Payment for intangible assets, net of reimbursement |
74,620 | (72,618 | ) | |||||
Capital expenditures |
(354,818 | ) | (178,587 | ) | ||||
Net Cash Used by Investing Activities |
(280,198 | ) | (251,205 | ) | ||||
Cash Flows from Financing Activities |
||||||||
Proceeds from issuance of preferred stock |
— | 2,000,000 | ||||||
Net Cash Provided by Financing Activities |
— | 2,000,000 | ||||||
Increase in Cash and Cash equivalents |
1,622,343 | 1,725,481 | ||||||
Cash and Cash Equivalents at Beginning
of Period |
2,798,600 | 543,733 | ||||||
Cash and
Cash Equivalents at End of Period |
$ | 4,420,943 | $ | 2,269,214 | ||||