Evercel Reports First-Quarter Financial Results for 2000May 15, 2000 by Jeff Shepard
Evercel Inc. (Danbury, CT) reported that the first-quarter 2000 results reflected continued investment in development, marketing and administration activities as the company approaches commercialization. It also announced the completion of a follow-on public offering of 1,250,000 shares of its common stock, which raised $14.1 million of net proceeds.
"In the year since we became an independent company, we have been committed to positioning ourselves for the commercial roll-out of our premium nickel-zinc batteries," said Evercel President and CEO Robert Kanode. "During the first quarter, our technology and product development has moved forward while we concurrently worked on strengthening our financial position so that we have the necessary resources to properly introduce our products to our customers."
For the three months ended March 31, 2000, Evercel reported revenues of $5,000 and a net loss to common shareholders of $2,111,000, or $0.37 per basic and diluted share, compared with no sales and a net loss of $881,000, or $0.16 per basic and diluted share, during the same period in 1999. Sales and cost of sales was $5,000 in 2000, and there was an increase in administrative and selling expenses from $465,000 to $1,363,000.
Research and development increased 33 percent from $512,000 to $679,000 for the three months ended March 31, 2000. There was an interest income of $63,000 for the three months ended March 31, 2000, and an $111,000 income tax benefit in 1999. Preferred stock dividends were $132,000 in the three months ended March 31, 2000, compared to zero in the three months ended March 31, 1999.