POND Technologies Holdings Inc Announces First Quarter Unaudited Interim Financial Statements
Mr. Grant Smith reports
POND TECHNOLOGIES HOLDINGS INC. ANNOUNCES FILING OF 2021 FIRST QUARTER UNAUDITED INTERIM CONDENSED FINANCIAL STATEMENTS AND MD&A
Pond Technologies Holdings Inc. has released the unaudited interim condensed consolidated financial statements of the corporation for the three months ended March 31, 2021, and the related management’s discussion and analysis have been filed and are available for review on the SEDAR website or on the corporation’s website.
Q1 2021 highlights
- Fifty eight-per-cent increase in Pond Naturals revenue — Pond Naturals revenue for the three months ended March 31, 2021, was $1,487,000 (2020: $943,000). The $544,000 (58 per cent) increase is a result of increases in revenue in both the sale of ingredients and Regenurex astaxanthin products.
- Successful production of recombinant proteins — Pond completed a research contract which successfully produced recombinant proteins using Pond’s growth platform. Pond plans to begin commercial production of recombinant proteins for diagnostic applications, following final testing of a new bioreactor design.
- Positive working capital of $532,000 — Pond’s working capital balance improved from an opening deficiency of $5,093,000 at Dec. 31, 2020, to a positive working capital balance of $532,000 during Q1. The Q1 $5,625,000 improvement is primarily a result of the $3.5-million cash raised from the issuance of 10 million units, $746,000 from the exercise of 2,927,600 warrants and amendments to the Crystal Wealth term loan which included an extension of the term of the loan to June 30, 2023.
- Decrease in net loss — The Q1 net loss of $1,042,000 (2020: $1,073,000) was $31,000 lower as compared with 2020. If stock-based compensation is excluded, the net loss was lower by $257,000 ($758,000 versus $1,015,000 in 2020).
“We are extremely pleased with the progress being made across the organization as we prepare ourselves for sustained growth through 2021,” commented chief executive officer of Pont, Grant Smith. “Pond Naturals continues to experience strong tailwinds driving sales growth, with consumers searching for natural astaxanthin in their daily lives. With our recent white label order, and upcoming launch of our new powdered Astaxanthin, Pond Naturals is in excellent position to continue the growth trajectory. As for Pond Biotech, we are excited with the execution on a research contract, in which we successfully produced recombinant proteins using Pond’s growth platform. We expect the success on this contract to lead to larger commercial agreements in the near future. At Pond Tech, we continue to have meaningful negotiations with multinational companies, and hope to announce new disruptive partnerships in the food and feed sector, where algae from Pond’s technology is an ingredient with significant advantages over incumbents. Lastly, I would like to thank the entire team for the continued efforts to make Pond a leader in global sustainability.”
About Pond Technologies Holdings Inc.
Located in Markham, Ont., Pond is a technology company that provides profitable solutions to the global health and wellness challenges of climate change and nutrition. Pond’s proprietary growth platform, including patented advanced photonics, optimizes key growth inputs in order to provide a controlled environment that maximizes the growth of algae and other organisms. This enables industrial emitters to generate new revenue streams from the transformation of underutilized CO2 to valuable algae-based products, such as protein for animal feed and nutraceutical products like Chlorella, Spirulina and Astaxanthin for human consumption.