Applied DNA Sciences Reports Fiscal Year End 2012 Results
STONY BROOK, NY -- (Marketwire) -- 12/20/12 -- Applied DNA Sciences, Inc. (OTCBB: APDN) announced its financial results for the year ending September 30, 2012, generating annual revenues of $1.85 million. This is the company's highest recorded annual revenues, and represents a ninety-one percent (91%) year-over-year increase.
For the years ending September 30, 2012 and 2011, the company generated $1,854,694 and $968,848 in revenues from operations, respectively. The 91% increase in revenues was substantially generated from sales of our SigNature® DNA and BioMaterial Genotyping as a result of an increase in our customer base.
Our top two and three customers were responsible for approximately 54% and 53% of our revenues for the years ended September 30, 2012 and 2011, respectively. In addition, two and four customers accounted for approximately 54% and 77% of total accounts receivable at September 30, 2012 and 2011, respectively.
Selling, general and administrative expenses for the twelve months ended September 30, 2012 decreased 9.2% to $7,615,734 from $8,388,873 in the same period in 2011. Included within the selling, general and administrative expenses for the year ended September 30, 2012 was a noncash charge to operations of $2,012,082 for the fair value of vested options issued to officers and employees and other stock based compensation compared to $3,668,460 in 2011.
Research and development expenses increased by $163,793 for the twelve months ended September 30, 2012 compared to the same period in 2011 from $268,876 to $432,669, primarily due to an increase in research and development activities to support our increased customer demand.
Total operating expenses decreased to $8,362,343 for the twelve months ended September 30, 2012 from $9,025,305 in the same period of 2011, or a decrease of $662,962, primarily due to decrease in stock based compensation expenses net with the increase in research and development compared to the same period last year.
Net loss for the twelve months ended September 30, 2012 was $7,150,712 compared to $10,515,124 in the same period of 2011, a net change of $3,364,412 as a result of the combination of factors described above.
Key 2012 achievements include: We filed a number of new patents and trademarks this year, continuing to build upon our already strong intellectual property portfolio. We will continue to build our patent and trademark portfolio and we will vigorously defend our IP position and prosecute others attempting to infringe on our IP.
Working with Safe Solution, we continue to expand in Sweden. In addition to using our technology to protect jewelry stores, our DNA markers are now being used to protect armored vehicles in Stockholm and to protect copper assets located in Energy stations throughout that country.
On August 3, 2012, the Defense Logistics Agency (DLA) posted notice on its DLA Internet Bid Board System (DIBBS) that effective November 15, 2012, it will require the use of SigNature® DNA marking on microcircuits. This mandate specifically requires SigNature DNA marking for procurements of items falling within Federal Supply Class 5962, Electronic Microcircuits. We expect this to have a positive impact on the Company this coming fiscal year.
As announced earlier today, we received a grant from New York State Empire Development Corporation in the amount of $229,957. These funds will be used to purchase new laboratory equipment to enhance the company's DNA formulation capabilities especially in defense and law enforcement applications.
Throughout fiscal 2012, we continued to hire employees in all areas of operations and we have expanded our physical footprint to accommodate the increasing demand for our products and technology. We anticipate additional hiring and physical expansion in 2013.
We presented and exhibited at the Industrial Fabrics Association International (IFAI) Expo Americas 2012 conference in Boston in November 2012. Over 7,000 companies and individuals participated in the three day conference and expo to celebrate IFAI's 100th Anniversary. Applied DNA Sciences was awarded the IFAI 2012 ShowStoppers award (http://www.ifai.com/posts/274) for the best of the best new products at the expo.
"The Company continues to improve quarter over quarter as compared with the same quarter in the previous year," said Dr. James A. Hayward, President and CEO of Applied DNA Sciences. "The continued expansion of our customer base and product offerings have sustained that momentum and contributed to the growth in our revenues this fiscal year. Fiscal 2012 has been a year of firsts for the Company: this was the first time we generated revenues of over $1m, in fact revenues increased 91% from fiscal year 2011 and this was our first mandate from the DLA; to name a few of the most exciting ones."
Dr. Hayward commented further: "We are pleased with the ongoing success of our partnerships, expanding the breadth and depth of our product offerings introducing digitalDNA and expanding the use of smartDNA and DNANet this year. Our relationships continue to flourish and grow as we add new partners and customers. We continue to grow our revenues while managing our expenses closely."
The annual report on Form 10-K, which includes Applied DNA Sciences consolidated financial statements, is available for viewing and downloading, free of charge, through the Investor Relations section of APDN's Web site at www.adnas.com, or through the SEC's electronic data system at www.sec.gov.
About APDN APDN is a provider of botanical-DNA based security and authentication solutions that can help protect products, brands and intellectual property of companies, governments and consumers from theft, counterfeiting, fraud and diversion. SigNature® DNA and BioMaterial Genotyping, our principal anti-counterfeiting and product authentication solutions that essentially cannot be copied, provide a forensic chain of evidence and can be used to prosecute perpetrators.
The statements made by APDN may be forward-looking in nature. Forward-looking statements describe APDN's future plans, projections, strategies and expectations, and are based on assumptions and involve a number of risks and uncertainties, many of which are beyond the control of APDN. Actual results could differ materially from those projected due to our short operating history, limited financial resources, limited market acceptance, market competition and various other factors detailed from time to time in APDN's SEC reports and filings, including our Annual Report on Form 10-K, filed on December 20, 2012 and our subsequent quarterly reports on Form 10-Q. APDN undertakes no obligation to update publicly any forward-looking statements to reflect new information, events or circumstances after the date hereof to reflect the occurrence of unanticipated events.