<SEC-DOCUMENT>0001004878-21-000063.txt : 20210819
<SEC-HEADER>0001004878-21-000063.hdr.sgml : 20210819
<ACCEPTANCE-DATETIME>20210819115158
ACCESSION NUMBER:		0001004878-21-000063
CONFORMED SUBMISSION TYPE:	8-K
PUBLIC DOCUMENT COUNT:		3
CONFORMED PERIOD OF REPORT:	20210813
ITEM INFORMATION:		Results of Operations and Financial Condition
ITEM INFORMATION:		Other Events
ITEM INFORMATION:		Financial Statements and Exhibits
FILED AS OF DATE:		20210819
DATE AS OF CHANGE:		20210819

FILER:

	COMPANY DATA:	
		COMPANY CONFORMED NAME:			FLEXIBLE SOLUTIONS INTERNATIONAL INC
		CENTRAL INDEX KEY:			0001069394
		STANDARD INDUSTRIAL CLASSIFICATION:	MISCELLANEOUS CHEMICAL PRODUCTS [2890]
		IRS NUMBER:				911922863
		STATE OF INCORPORATION:			NV
		FISCAL YEAR END:			1231

	FILING VALUES:
		FORM TYPE:		8-K
		SEC ACT:		1934 Act
		SEC FILE NUMBER:	001-31540
		FILM NUMBER:		211189241

	BUSINESS ADDRESS:	
		STREET 1:		2614 QUEENSWOOD DR
		CITY:			VICTORIA B C
		STATE:			A1
		ZIP:			V8N 1X5
		BUSINESS PHONE:		2504779969

	MAIL ADDRESS:	
		STREET 1:		2614 QUEENSWOOD DR
		CITY:			VICTORIA BC CANADA
		STATE:			A1
		ZIP:			V8N 1X5
</SEC-HEADER>
<DOCUMENT>
<TYPE>8-K
<SEQUENCE>1
<FILENAME>form8kfinresults8-21.txt
<DESCRIPTION>2ND QUARTER RESULTS
<TEXT>


                                  UNITED STATES
                       SECURITIES AND EXCHANGE COMMISSION
                             WASHINGTON, D.C. 20549

                                    FORM 8-K

                                 CURRENT REPORT

                     Pursuant to Section 13 or 15(d) of the
                         Securities Exchange Act of 1934

        Date of Report (date of earliest event reported): August 13, 2021

                      FLEXIBLE SOLUTIONS INTERNATIONAL INC.
                      -------------------------------------
             (Exact name of Registrant as specified in its charter)

      Alberta                         001-31540                71 163 0889
------------------------        -----------------------     ------------------
(State or other jurisdiction    (Commission File No.)           (Employer
    of incorporation)                                       Identification No.)

                                  6001 54 Ave.
                   Taber, Alberta, Canada T1G 1X4 (Address of
                principal executive offices, including Zip Code)

       Registrant's telephone number, including area code: (250) 477-9969
                                                           --------------

                                       N/A
                      ------------------------------------
          (Former name or former address if changed since last report)

Check  the  appropriate  box  below  if the  Form  8-K  filing  is  intended  to
simultaneously satisfy the filing obligations of the registrant under any of the
following provisions:

[ ] Written communications pursuant to Rule 425 under the Securities Act (17 CFR
    230.425)

[ ] Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR
    240.14a-12)

[ ] Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange
    Act (17 CFR 240.14d-2(b))

[ ] Pre-commencement communications pursuant to Rule 13e-14(c) under the
    Exchange Act (17 CFR 240.13e-4(c))

Securities registered pursuant to Section 12(b) of the Act:

  Title of each class      Trading Symbol  Name of exchange on which registered
    ----------------        -----------     -----------------------------------
      Common Stock              FSI                     NYSE American

Indicate by check mark whether the  registrant is an emerging  growth company as
defined in Rule 405 of the Securities  Act of 1933  (ss.203.405 of this chapter)
or Rule  12b-2 of the  Securities  Exchange  Act of 1934  (ss.204.12b-2  of this
chapter.

Emerging growth company [ ]

If an emerging  growth  company,  indicate by check mark if the  registrant  has
elected not to use the extended  transition period for complying with any new or
revised financial accounting standards provided pursuant to Section 13(a) of the
Exchange Act. [ ]


<PAGE>


Item 2.02. Results of Operations and Financial Condition

     On August 13,  2021,  the Company  issued a press  release  announcing  its
financial results for the six months ended June 30, 2021.

Item 8.01 Other Events

     On August 16,  2021 the  Company  held a  conference  call to  discuss  its
financial  results  for the six  months  ended June 30,  2021,  as well as other
information regarding the Company.

Item 9.01 Exhibits

Exhibit
Number      Description of Document

 99.1       August 13, 2021 Press Release

 99.2       Text of conference call speech by Dan O'Brien/August 16, 2021.


<PAGE>


                                   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 hereunto duly authorized.


Date:  August 16, 2021
                                 FLEXIBLE SOLUTIONS INTERNATIONAL INC.


                                 By:  /s/ Daniel B. O'Brien
                                      -----------------------------------------
                                     Daniel B. O'Brien, President and Chief
                                     Executive Officer


</TEXT>
</DOCUMENT>
<DOCUMENT>
<TYPE>EX-99
<SEQUENCE>2
<FILENAME>form8k202ex9918-21.txt
<DESCRIPTION>PRESS RELEASE
<TEXT>


NEWS RELEASE
                                                                August 13, 2021


              FSI ANNOUNCES Second Quarter, 2021 FINANCIAL RESULTS

A Conference  call is scheduled for Monday August,  16th,  11:00am Eastern time,
8:00am Pacific Time See dial in numbers below

VICTORIA,  BRITISH COLUMBIA, August 13, 2021 - FLEXIBLE SOLUTIONS INTERNATIONAL,
INC. (NYSE Amex:  FSI,  FRANKFURT:  FXT), is the developer and  manufacturer  of
biodegradable  polymers  for oil  extraction,  detergent  ingredients  and water
treatment as well as crop nutrient  availability  chemistry.  Flexible Solutions
also  manufactures  biodegradable  and  environmentally  safe  water and  energy
conservation technologies. Today the Company announces financial results for the
second quarter (Q2) ended June 30, 2021.

Mr. Daniel B. O'Brien,  CEO,  states,  "We are happy with the second quarter and
the first half of the year.  Raw material and shipping  costs may  constrain our
margins  in  the  second  half.  Regardless,  we  are  reasonably  confident  of
maintaining our recent growth in the second half of 2021 and through 2022."

o    Sales in the second  quarter  (Q2) were  $8,535,451,  compared  to sales of
     $7,709,607 in the  corresponding  period a year ago. The financials  show a
     Q2, 2021 net profit of  $1,176,761,  or $0.10 per share,  compared to a net
     profit of $1,132,867,  or $0.09 per share,  in Q2, 2020.

o    Basic weighted average shares used in computing  earnings per share amounts
     were 12,304,163 and 12,240,545 for Q2, 2021 and Q2, 2020 respectively.

o    Non-GAAP  operating cash flow: For the six months ending June 30, 2021, net
     income reflects $558,580 of non-cash charges (depreciation and stock option
     expenses),  PPP loan forgiveness,  as well as gain on investment,  interest
     expense,  interest  income,  and income  tax.  Net income  attributable  to
     non-controlling interests (minority interest) is removed from the cash flow
     calculation.  These are items not related to operating or current operating
     activities.  When these items are removed, the Company shows operating cash
     flow of $3,293,783,  or $0.27 per share.  This compares with operating cash
     flow of $3,044,425,  or $0.25 per share,  in the  corresponding 6 months of
     2020 (see the table that follows for details of these calculations).

The NanoChem  division  continues to be the dominant  source of revenue and cash
flow for the Company. New opportunities  continue to unfold in detergent,  water
treatment,  oil field  extraction and agricultural use to further increase sales
in this division.

Conference call

A conference  call has been scheduled for 11:00 am Eastern Time, 8:00 am Pacific
Time, on Monday,  August 16th. CEO, Dan O'Brien will be presenting and answering
questions on the  conference  call.  To  participate  in this call please dial 1
877-876-9173  (or 1  785-424-1667)  just prior to the scheduled  call time.  The
conference  call title,  "FSI Second  Quarter 2021  Financial  Results,"  may be
requested.

The above  information  and  following  table contain  supplemental  information
regarding  income and cash flow from  operations  for the period  ended June 30,
2021.  Adjustments to exclude  depreciation,  stock option expenses and one time
charges are given. This financial information is a Non-GAAP financial measure as
defined by SEC regulation G. The GAAP financial measure most directly comparable
is net income.  The reconciliation of each of the Non-GAAP financial measures is
as follows:


<PAGE>


                     FLEXIBLE SOLUTIONS INTERNATIONAL, INC.
                      Consolidated Statement of Operations
            For 3 Months Ended June 30 (6 Months Operating Cash Flow)
                                   (Unaudited)
-------------------------------------------------------------------------------
                                                     3 months ended June 30
                                                    2021             2020
                                               --------------------------------
Revenue                                        $8,535,451       $7,709,607

Income (loss) before income tax - GAAP         $1,923,937       $1,524,604

Provision for Income tax (expense) /
recovery  - GAAP                               $(478,727)       $(259,660)
Net income (loss) (controlling interest only)
- GAAP                                         $1,176,761       $1,132,867
Net income (loss) per common share - basic. -
GAAP                                           $     0.10       $     0.09
3 month weighted average shares used in
computing per share amounts - basic.-  GAAP    12,304,163       12,240,545

                                                  6 month Operating Cash Flow
                                                        Ended June 30
                                               --------------------------------
Operating Cash flow (6 months). NON-GAAP       $3,293,783 a,b,c $3,044,425 a,b,c

Operating Cash flow per share excluding
non-operating items and items not related to
current operations (6 months) - basic.
NON-GAAP                                       $    0.27 a,b,c  $     0.25 a,b,c

Non-cash Adjustments (6 month) GAAP            $   558,580 d    $  348,191 d

6 month weighted average shares used in
computing per share amounts - basic GAAP        12,315,746      12,239,171
-------------------------------------------------------------------------------

Notes:  certain  items not  related to  "operations"  of the  Company  have been
excluded from net income as follows.

a) Non-GAAP -::  Flexible  Solutions  International  purchased 65% of ENP in 4th
quarter,  2018 (October 2018).  Therefore Operating Cash Flow is adjusted by the
net income or loss of the non-controlling interest in ENP (2021 = $454,933, 2020
= $199,093).

b) Non-GAAP - amounts exclude certain cash and non-cash items:  depreciation and
stock compensation expense (2021 = $558,580, 2020 = $348,191),  interest expense
(2021 = $113,329,  2020 = $156,075),  interest  income  (2021 = $32,445,  2020 =
$12,614),  gain on  investment  (2021 =  $399,236,  2020 =  $539,417),  PPP loan
forgiveness (2021 = $537,960,  2020 = N/A), write down of inventory (2021 = N/A,
2020 = N/A),  deferred income tax recovery (2021 = N/A, 2020 = N/A),  Income tax
(2021  =  $964,183,   2020  =  $694,648),   and  Net  income   attributable   to
non-controlling interests. See the financial statements for all adjustments.

c) The revenue and gain from the 50%  investment  in the  private  Florida  LLC,
announced in January 2019,  is not treated as revenue or profit from  operations
by Flexible  Solutions  given the Company  only  purchased  50% of the LLC.  The
profit is treated as  investment  income and  therefore  occurs below  Operating
income  in the  Statement  of  Operations.  As a  result,  the  gains  from  all
investments, including that of the Florida LLC, are removed from the calculation
to arrive at Operating Cash Flow.

d) Non-GAAP - amounts represent depreciation and stock compensation expense.

Safe Harbor  Provision
The  Private  Securities  Litigation  Reform Act of 1995
provides  a  "Safe  Harbor"  for  forward-looking  statements.  Certain  of  the
statements contained herein, which are not historical facts, are forward looking
statement  with respect to events,  the  occurrence  of which  involve risks and
uncertainties.   These  forward-looking   statements  may  be  impacted,  either
positively or negatively,  by various factors.  Information concerning potential
factors  that could  affect the  company  is  detailed  from time to time in the
company's  reports filed with the Securities and Exchange  Commission.

                        Flexible Solutions International
                 6001 54th Ave, Taber, Alberta, CANADA T1G 1X4
                                Company Contacts

                                                                   Jason   Bloom
                                                      Toll  Free:  800 661  3560
                                                             Fax:  403 223  2905
                                              E-mail: info@flexiblesolutions.com

If you have  received  this news  release  by mistake or if you would like to be
removed from our update list please reply
to: info@flexiblesolutions.com
To find out more information about Flexible  Solutions and our products,  please
visit www.flexiblesolutions.com.
</TEXT>
</DOCUMENT>
<DOCUMENT>
<TYPE>EX-99
<SEQUENCE>3
<FILENAME>form8k202ex9928-21.txt
<DESCRIPTION>SPEECH
<TEXT>

Q2 2021 speech

Good morning. I'm Dan O'Brien, CEO of Flexible Solutions.

Safe Harbor provision:

The Private  Securities  Litigation  Reform Act of 1995 provides a "Safe Harbor"
for  forward-looking  statements.  Certain of the statements  contained  herein,
which are not historical  facts, are forward looking  statements with respect to
events,  the  occurrence  of  which  involve  risks  and  uncertainties.   These
forward-looking  statements may be impacted, either positively or negatively, by
various factors.  Information concerning potential factors that could affect the
company is detailed  from time to time in the  company's  reports filed with the
Securities and Exchange Commission.

Welcome to the FSI conference call for Q2 2021.

Prior  to  discussion  of our  financials,  I'd  like to  update  our  corporate
condition and product  lines along with what,  in our opinion,  might occur over
the next two quarters.

Covid virus:  The NanoChem  Subsidiary,  the ENP  Subsidiary and the Florida LLC
investment are all engaged in producing for the agriculture  and/or the cleaning
products sectors. Therefore, we are considered essential services and are likely
to remain so even if restrictions  are reinstated.  Nearly all our employees are
fully vaccinated.

Our NanoChem division:  NCS represents more than 1/2 of the revenue of FSI. This
division makes thermal poly-aspartic acid, called TPA for short, a biodegradable
polymer with many valuable  uses.  NCS also  manufactures  SUN 27(TM) and N Savr
30(TM) which are used to reduce nitrogen fertilizer loss from soil.

TPA is used in  agriculture  to  significantly  increase crop yield.  It acts by
slowing  crystal  growth  between  fertilizer  ions and  other  ions in the soil
resulting in the fertilizer remaining available longer for the plants to use.


<PAGE>


TPA is also a biodegradable way of treating oilfield water to prevent pipes from
plugging with mineral scale. TPA's effect is that it prevents the scaling out of
minerals  that  are  part of the  water  fraction  of oil as it  exits  the rock
formation. Scale must be prevented to keep the oil recovery pipes from clogging.

SUN 27(TM) and N Savr 30(TM) are nitrogen conservation  products.  Nitrogen is a
critical fertilizer but it can be lost through bacterial breakdown,  evaporation
and soil runoff.

SUN 27(TM) is used to conserve  nitrogen from attack by soil  bacterial  enzymes
while N Savr 30(TM) is directed toward reducing  nitrogen loss through  leaching
and evaporation.

ENP  Division:  ENP is  focused  on  sales  into the  greenhouse,  turf and golf
markets,  while, our NCS sales are into row crop agriculture - two very distinct
markets.  Q2 was strong,  as expected  and we predict Q3 as being  another  good
quarter.  Depending on early order sales, Q4 looks to be moderate or good. If Q4
is moderate,  Q1 2022 will be good and vice versa.

The Florida LLC investment:  Once again,  this  investment was  profitable.  The
Company is focused on international  sales into multiple  countries all of which
are facing  different  issues and responding in varied ways.  This investment is
expected to have a strong second half and continue growing in 2022.

Strategic  investment in Lygos: In December,  FSI invested  $500,000 in Lygos in
return for equity.  We made a second  investment  of $500,000 in June.  Lygos is
using the investment to complete  development  of a microbial  route to aspartic
acid using corn sugar as a  feedstock.  FSI would be the major user of  aspartic
acid derived this way and believes that sustainable aspartic acid would allow us
to obtain  large  new  customers  and  develop  valuable  new  products.  Lygos'
scientific  team have already  successfully  developed  other  organic acids and
cannabinoids  from sustainable  feedstock and are recognized as one of the world
leaders in synthetic  biology by their peers in the industry  and  academia.  We
have high  confidence  in their  ability to achieve  sustainable  aspartic  acid
through  a  fermentation  route.  Once an  economic  microbial  route  is  fully
developed,  we plan to work with Lygos to build  capacity  and produce  aspartic
acid which we can then polymerize into sustainable polyaspartates.


<PAGE>


Q3 2021

TPA, SUN 27(TM) and N Savr 30(TM) for agricultural use had peak uptake in Q1 and
Q2. Q3 will be lower but still  good.  In Q4,  early  order  sales are likely to
result in a strong quarter.

Oil, gas and industrial sales of TPA are expected to
be flat in Q3 2021 then increase slowly in Q4 and into Q1 2022.

Tariffs:  Since Sept 30th 2018, several of our raw materials imported from China
have  included a 10%  additional  tariff which rose to 25% in 2019. US customers
received  price  increases  from  us  as  this  inventory  entered   production.
International  customers are not charged the tariffs because we have applied for
the export rebates  available to recover the tariffs.  The  accumulating  tariff
payments to the  Government  are affecting our cost of goods,  our cash flow and
our profits  negatively  until the rebates are  received.  Rebates can take many
months to arrive;  we submitted our completed  applications  more than 1.5 years
ago. The total dollar  amount due back to us now exceeds $1 MM and  continues to
increase. The rebates will increase profitability and cash flow while decreasing
cost of goods for the future  quarters  in which the rebates  are  received.  In
early July, we received a response to our revised  application  of January 2021.
We responded overnight and have not heard back yet.

Shipping and Inventory:  Ocean shipping from Asia to the US and ocean  shipments
from the US to  international  ports continue to take much longer and prices per
container are more than triple normal.  Land  transport  inside the US is taking
much longer than usual and pricing is extremely  high as well.  We are doing our
best to cope with  shipping  issues by ordering  far ahead but we warn that some
disruption will be unavoidable and some of the extra costs will have to be borne
by us in order to retain customers.

Raw material  prices have also increased  substantially  over the last 4 months.
Passing price increases along to customers can take several months and result in
temporarily constrained margins. We expect to see this effect continue in Q3 and
Q4.

New  Equipment:  2.5 years ago, we began the  purchase and  installation  of new
equipment that will allow us to make additional products and increase sales. The
machinery went live in December and will contribute to sales and profits in 2021
and onward.  Revenue from this  equipment is expected to be significant by early
2022.


<PAGE>


Highlights of the financial results:

Sales for the quarter increased to 8.54 million, compared with $7.62 million for
Q2 2020.  The increased  sales can be attributed to shipping  orders that missed
cutoff for the first quarter along with sales that could not be shipped in Q1 as
a result of lack of raw materials due to inbound shipping delays.

Profits:  The result is a profit of $1.18 million or 10 cents per share in 2021,
compared to a gain of $1.13 million or 9 cents per share, in Q2 2020.

Operating  Cash Flow:  This non-GAAP  number is useful to show our progress with
non-cash items removed for clarity.  For First Half 2021 it was $3.30 million or
27 cents per share compared to $3.04 million or 25 cents per share.

Long term debt:  We continue to pay down our  long-term  debt  according  to the
terms of the loans.

Working capital is adequate for all our purposes and is increasing  continuously
as we book  retained  profit  from  sales.  We also have a line of  credit  with
Midland  States Bank.  We are  confident  that we can execute our plans with our
existing  capital.  The  equity  investment  in Lygos was made with cash on hand
provided by FSL, our Canadian operating company.

The text of this  speech will be  available  as an 8K filing on  www.sec.gov  by
Tuesday,  Aug 17th.  Email or fax copies can be  requested  from Jason  Bloom at
Jason@flexiblesolutions.com.

Thank you, the floor is open for questions.

</TEXT>
</DOCUMENT>
</SEC-DOCUMENT>
