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Release Archives: 11/17/2008
Itronics
Reports 2008 Nine Months Results
RENO, NV--(MARKET WIRE)--Nov 17, 2008 -- Itronics
Inc. (OTC BB:ITRO.OB - News) (Frankfurt:ITG.F - News) (Berlin:ITG.BE
- News) on Friday filed its third quarter 2008 report on Form 10Q,
and it is now available on the SEC web site at www.sec.gov.
Highlights
of achievements in the first nine months include:
--
Itronics named Green Company of the Year for Northern Nevada.
--
Silver produced by Itronics is recognized as "environmentally
Green."
--
Recycling used photographic liquids into pure silver and GOLD'n
GRO fertilizers is now recognized as a superior "Green Photography"
option for consumer photo processors that use silver halide chemistry
and photopaper to make photographs and prints.
-- GOLD'n GRO Guardian Deer Repellent is registered for sale in
10 states.
-- Received a United States Environmental Protection Agency amendment
to the GOLD'n GRO Guardian label that permits use with GOLD'n GRO
8-8-8+4%S fertilizer, making the product systemic while fertilizing
the plants and safely repelling deer.
-- Made first sales of GOLD'n GRO Guardian spray kits to landscape
maintenance companies for evaluation.
-- Established photochemical recycling services agreements with
two national environmental services companies, providing access
to adequate supplies of used photo liquids to meet the requirements
of expanding GOLD'n GRO fertilizer sales.
-- Continued to achieve strong growth in sales and gross profit
while reducing operational losses.
-- Began implementation of the Company's three year funding plan
which includes acquiring new funding to improve liquidity, replacing
high cost debt with lower cost equity and debt, and restructuring
the balance sheet.
Nine month 2008 sales were $2.4 million compared
to $1.9 million in the same period in 2007, up 26 percent. The 2008
nine month results compare to 2007 full year sales of $2.3 million,
indicating a substantial improvement in 2008.
For the nine month period ended September
30, gross profit was $421,000 compared to gross profit of $139,000
for the prior period, an increase of 202 percent. The 2008 third
quarter produced a gross operating loss of $5,000 compared to a
$15,000 gross operating profit in the 2007 third quarter, a decline
of $20,000.
Both the 2008 nine months and 3rd quarter
sales were affected by a timing difference in the sale of a Photochemical
Silver Concentrator. In 2008 a Photochemical Silver Concentrator
was delivered shortly after the close of the quarter. If the Photochemical
Silver Concentrator had been booked in the 2008 third quarter, nine
month sales would have increased by approximately 34 percent and
3rd quarter sales would have increased by approximately 21 percent.
On November 11 Itronics announced plans to
increase silver refining capacity by 100 times in two stages. The
Company continues to significantly expand GOLD'n GRO fertilizer
sales, which were up 50 percent in the hird quarter, 37 percent
for the first nine months. Receipt of silver in photoliquids has
been exceeding the company's recovery capacity this year causing
unprocessed silver inventories to expand, and creating an immediate
need for the Stage 1 expansion. Ongoing expansion of receipts of
silver bearing photographic waste materials to support GOLD'n GRO
fertilizer sales growth is expected to continue and to be expanded
in the future so that the Stage 1 capacity will be quickly utilized
after it is installed and Stage 2 capacity will be needed within
the indicated time frame.
Demand for the Itronics environmentally beneficial
recycling services is rapidly increasing as restrictions on alternative
methods of liquid photochemical disposal continue to tighten throughout
the United States. The Company has established two additional waste
photochemical processing agreements with large national service
companies that are now providing expanding quantities of photoliquids
which are large enough to support expected GOLD'n GRO liquid fertlizer
and GOLD'n GRO Guardian deer repellent fertilizer sales growth in
2008 and beyond. The Company believes that these new agreements
will make it possible to reach throughout the nation to obtain new
photochemical supplies when needed. They also make Itronics newly
available "Green Consumer Photography" option more accessible
to consumer photo processors nationwide.
Mining Technical Services sales increased
by 162 percent in the third quarter and 629 percent for the first
nine months of 2008 compared to 2007. This division continues to
advance its web based InsideMetals.com Gold Producer Stocks information
portal: www.insidemetals.com. Visitor traffic on the InsideMetals.com
web page is continuing to increase and the site is continuing to
generate subscription income. The Company plans to reactivate marketing
of paid advertising programs on the web site to Junior Gold &
Minerals Exploration Companies in the fourth quarter.
Third quarter 2008 consolidated operating
loss was $874,000, compared to $875,000 in the 2007 third quarter,
a nominal reduction. Excluding non-recurring, non-cash option compensation
expanse of $322,000, the consolidated operating loss would be $552,000,
a 37 percent improvement.
The nine month 2008 consolidated operating
loss was $1,610,000 compared to $2,171,000 for the prior year, a
decrease in operating loss of $562,000, a 26 percent improvement.
Excluding the non-recurring, non-cash option compensation expense
of $322,000 the operating loss would be $1,288,000, an improvement
of $883,000 or 41 percent.
The net income (loss) fluctuates widely from
quarter to quarter due to non-cash adjustments to derivative instruments
and is explained in detail in the Itronics third quarter form 10Q.
"The projects we have underway are converting
Itronics into an expanding clean technology company with strong
growth and profit potential," said Dr. John Whitney Itronics
President. "One of the largest challenges we are now facing
is to acquire funding to improve liquidity, to replace costly long
term debt financing, and to restructure the Itronics balance sheet.
We have a five year business plan being successfully implemented
and a three year funding plan that we are now aggressively implementing."
Results for the third quarter ended September
30, 2008, together with comparative figures for 2007 are summarized
below:
111708.pdf
About Itronics
Headquartered in Reno, Nevada, Itronics Inc.
is a "Creative Clean Technology" company. Itronics, through
its subsidiary, Itronics Metallurgical, Inc. is the only company
with a fully permitted "Beneficial Use Photochemical, Silver,
and Water Recycling" plant in the United States that converts
used photoliquids into pure silver and GOLD'n GRO liquid fertilizers.
The Company also provides environmentally compatible mining technology
development, project planning, and technical services to the gold
mining industry and operates the popular InsideMetals.com web site,
http://www.insidemetals.com. which provides a value-added WORLD
VIEW of Gold Producer Stocks, Mineral Producer Stocks, Junior Gold
Stocks, and Junior Mineral Stocks. Itronics has received numerous
domestic and international awards that recognize its ability to
successfully create and implement new environmentally compatible
recycling and fertilizer technologies.
The Company's environmentally friendly GOLD'n
GRO liquid fertilizers, which are extensively used in agriculture,
can be used for lawns and houseplants, and are available, along
with liquid fertilizer injectors, at the Company's "e-store"
catalog at http://goldngro.com. The popular Silver Nevada Miner
bars are available at the Company's "e-store" catalog
at http://www.itromet.com.
VISIT OUR WEB SITE: http://www.itronics.com
("Safe Harbor" Statement under the
Private Securities Litigation Reform Act of 1995: This press release
contains or may contain forward-looking statements such as statements
regarding the Company's growth and profitability, growth strategy,
liquidity and access to public markets, operating expense reduction,
and trends in the industry in which the Company operates. The forward-looking
statements contained in this press release are also subject to other
risks and uncertainties, including those more fully described in
the Company's filings with the Securities and Exchange Commission.
The Company assumes no obligation to update these forward-looking
statements to reflect actual results, changes in risks, uncertainties
or assumptions underlying or affecting such statements, or for prospective
events that may have a retroactive effect.)
Contact:
Paul Knopick
888-795-6336
Source: Itronics Inc. |
