ADM Tronics Reports Second Quarter Financial Results


NORTHVALE, N.J., Nov. 19, 2008 (GLOBE NEWSWIRE) -- ADM Tronics Unlimited, Inc. (OTCBB:ADMT), a technology-based developer and manufacturer of unique, environmentally-safe, health and life-enhancing technologies, today announced financial results for the six months ended September 30, 2008.

ADMT reported a net loss of $4,407,174, or $.08 net loss per share, and $7,628,702, or $.14 net loss per share, for the three and six months ended September 30, 2008, respectively, an increase of $3,725,826 and $6,374,705 compared to a net loss of $681,348, or $.01 net loss per share, and $1,253,997, or $.02 net loss per share, for the three and six months ended September 30, 2007, respectively. This increase was primarily the result of decreases in the fair market value of our investment in Ivivi Technologies Inc. (Ivivi) of $4,517,500 and $9,815,000 for the three and six months ended September 30, 2008, respectively, which were offset by recognized deferred tax credits of $277,612 and $2,147,576 for the three and six months ended September 30, 2008, respectively. Revenues for the three months ended September 30, 2008 were $389,589, as compared to $399,847 for the three months ended September 30, 2007, a decrease of $10,258, or 3%. Revenues were $990,530 for the six months ended September 30, 2008, as compared to $692,933 for the six months ended September 30, 2007, an increase of $297,597, or 43%. This increase was mainly the result of greater sales in contract manufacturing for Ivivi. To date, we have not received any additional orders from Ivivi.

Andre' DiMino, President of ADMT, stated, "Our results show continued growth for our year-over-year periods. We expect to see continued growth and acceptance of our water-based chemical products through expanded sales and marketing activities."



             ADM TRONICS UNLIMITED, INC. AND SUBSIDIARIES
            CONDENSED CONSOLIDATED STATEMENT OF OPERATIONS
    FOR THE THREE AND SIX MONTHS ENDED SEPTEMBER 30, 2008 AND 2007
                              (Unaudited)

                       Three Months Ended        Six Months Ended
                          September 30,            September 30,

                       2008          2007        2008          2007
                    -----------  -----------  -----------  -----------
 Revenues           $   389,589  $   399,847  $   990,530  $   692,933
                    -----------  -----------  -----------  -----------

 Costs and expenses:
   Cost of sales        258,269      249,170      657,480      419,229
   Research and
    development              --        1,057           --        3,550
   Selling, general
    and adminis-
    trative             311,913      245,798      600,581      494,517
                    -----------  -----------  -----------  -----------

 Total operating
  expenses              570,182      496,025    1,258,061      917,296
                    -----------  -----------  -----------  -----------

 Operating loss        (180,593)     (96,178)    (267,531)    (224,363)

 Interest income,
  net                    13,307       25,647       28,641       50,790

 Change in fair
  value of
  investment in
  Ivivi              (4,517,500)          --   (9,815,000)          --

 Equity in net loss
  of Ivivi                   --     (610,817)          --   (1,080,424)
                    -----------  -----------  -----------  -----------
 Net loss before
  income taxes
  (credit)           (4,684,786)    (681,348) (10,053,890)  (1,253,997)

 Income taxes
  (credit)             (277,612)          --   (2,425,188)          --
                    -----------  -----------  -----------  -----------

 Net loss           $(4,407,174) $  (681,348) $(7,628,702) $(1,253,997)
                    ===========  ===========  ===========  ===========

 Net loss per share,
  basic and diluted $     (0.08) $     (0.01) $     (0.14) $     (0.02)
                    ===========  ===========  ===========  ===========

 Weighted average
  shares
  outstanding, basic
  and diluted        53,939,537   53,882,037   53,939,537   53,882,037




             ADM TRONICS UNLIMITED, INC. AND SUBSIDIARIES
                 CONDENSED CONSOLIDATED BALANCE SHEETS

                                 SEPTEMBER 30, 2008     MARCH 31, 2008
                                     (Unaudited)

 ASSETS

 Current assets:
   Cash and cash equivalents         $  1,518,042        $  2,072,325
   Accounts receivable, net of
    allowance for doubtful
    accounts of $1,088 and
    $1,088, respectively                   83,747             101,270
   Inventories                            365,745             469,403
   Prepaid expenses and other
    current assets                          8,592              83,731
   Restricted cash                        225,000                  --
                                     ------------        ------------

 Total current assets                   2,201,126           2,726,729

 Property and equipment, net of
  accumulated depreciation of
  $21,576 and $17,873,
  respectively                             66,473              55,288

 Inventory - long term portion             84,543              78,416
 Investment in Ivivi                    1,560,000           2,154,517
 Advances to related parties               65,655              74,299
 Other assets                             236,144              28,486
                                     ------------        ------------

 Total assets                        $  4,213,941        $  5,117,735
                                     ============        ============


 LIABILITIES AND STOCKHOLDERS'
  EQUITY

 Current liabilities:
   Accounts payable                  $    139,349        $    237,331
   Note payable - Bank                    200,000                  --
   Accrued expenses and other
    current liabilities                    48,165              87,439
   Customer deposits - Ivivi              108,697             241,828
                                     ------------        ------------

 Total current liabilities                496,211             566,598
                                     ------------        ------------

 Stockholders' equity:
   Preferred stock, $.01 par
    value; 5,000,000 shares
    authorized, no shares issued
    and outstanding                            --                  --
   Common stock, $.0005 par
    value; 150,000,000 shares
    authorized, 53,939,537 shares
    issued and outstanding at
    September 30, 2008 and
    March 31, 2008                         26,970              26,970
   Additional paid-in capital          32,153,597          32,153,597
   Accumulated deficit                (28,462,838)        (27,629,430)
                                     ------------        ------------

 Total stockholders' equity             3,717,730           4,551,137
                                     ------------        ------------

 Total liabilities and
  stockholders' equity               $  4,213,941        $  5,117,735
                                     ============        ============

About ADMT

ADMT is a technology based developer and manufacturer of unique, environmentally safe, health and life enhancing technologies and products. Its core competency is its ability to conceptualize a technology, bring it through development into manufacturing and commercialization, all in-house. Its diversified product technology areas are environmentally friendly, water based industrial chemicals; therapeutic, non invasive electronic medical devices; and innovative personal care and topical dermatological products.

Forward-Looking Statements

This press release contains statements, which may constitute "forward-looking statements" made pursuant to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995 under Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. Forward-looking statements reflect management's current knowledge, assumptions, judgment and expectations regarding future performance or events. Although management believes that the expectations reflected in such statements are reasonable, they give no assurance that such expectations will prove to be correct and you should be aware that actual results could differ materially from those contained in the forward-looking statements. Forward-looking statements are subject to a number of risks and uncertainties, including, those risks detailed from time to time in the Company's filings with the Securities and Exchange Commission, including the Company's Annual Report on Form 10-KSB for the fiscal year ended March 31, 2008. The Company assumes no obligation to update the information contained in this press release.



            

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