Westminster, CA – March 31, 2022 – BioLargo, Inc. (OTCQB:BLGO), a developer of sustainable cleantech technologies and full-service environmental engineering company, filed its Annual Report on Form 10-K with the SEC today for the year ended December 31, 2021 (www.biolargo.com/sec-filings). Here, the company has provided highlights of its financial, commercial, and developmental advancements throughout the past year.
BioLargo will hold an investor webcast on Monday, April 4,
2022, at 1:30 pm Pacific / 4:30 pm Eastern, at the following link, open to the
public: https://www.webcaster4.com/Webcast/Page/2448/44944
“The past year was pivotal for BioLargo,” said the company’s
CEO, Dennis P. Calvert. “The credibility we have built as cleantech innovators,
solution providers, and engineering project integrators has resulted in a
steady increase in organic growth and enabled us to secure remarkable channel
partners like Garratt-Callahan and Ikigai Marketing Works to promote
accelerated growth. Our engineering division broke revenue records in both the
third and fourth quarters of last year. And notably, our balance sheet
continued to improve throughout 2021 while we continued to invest in the development
and launch of our innovative technologies.”
He continued, “We are also working with a number of new
industry champions and distributors that are just getting started representing
our products and services and look forward to sharing more information about
their progress in the future. We expect to make a big splash in the immediate
future with our Aqueous Electrostatic Concentrator (AEC) PFAS treatment system,
including with new channel partnerships, and we soon expect to secure our first
commercial accounts with our Advanced Oxidation System (AOS) energy-efficient
water treatment technology.”
Company management provides highlights of the annual report
below, but encourages investors to review the full report to get the most
complete information about BioLargo and its growing cleantech business.
Key financial highlights:
·
Consolidated revenue for the year ended December
31, 2021, was $2,531,000, which was a 4% increase over 2020. Revenue in the fourth
quarter of 2021 was $784,000, a 10% quarter-over-quarter increase, and a
decrease of 14% as compared with the fourth quarter of 2020.
·
The company continued its trend of reducing debt
from its balance sheet. The company’s total debt, including that of its
partially owned subsidiary Clyra Medical Technologies, was reduced from $2.9
million as of December 31, 2020, to $681,000 as of December 31, 2021, with the
balance composed of obligations with favorable terms, including low-interest government
loans.
·
The total net loss for the year was reduced by
29%, from $9.7 million to $6.9 million. This figure includes non-cash compensation
expense related to options of $1.9 million and a non-cash impairment charge of
$342,000. The company’s R&D investments continued and totalled $1.4 million
for the year as it continued to advance and expand its technology portfolio.
·
Total liabilities were reduced by over $3
million, from $5.2 million to $2.1 million.
·
Expenses related to interest and extinguishment
of debt were reduced by $2.2 million.
·
The company ended the year with $1.8 million in
current assets, which included cash, accounts receivable, inventories and
pre-paid expenses.
Key commercial and developmental highlights:
·
PFAS treatment technology: The BioLargo Aqueous
Electrostatic Concentrator (AEC) was advanced significantly toward commercial readiness
during 2021.The technology was used to treat PFAS-contaminated water provided
by two prospective customers: a large municipality in Southern California, and
a federal government agency. In both cases, the AEC was shown to eliminate (to a
level of ‘non-detect’) a variety of PFAS compounds from the water, even in the
presence of high salinity, which can often be a barrier for water treatment
technologies. BioLargo management is confident that the results of these
in-house studies will lead to in-field demonstration pilots, commercial trials,
and commercial sales.
·
Garratt-Callahan partnership: BioLargo
engineered and manufactured a commercial prototype of the “minimal liquid
discharge” (MLD) water treatment system invented by North America’s largest
privately held water treatment company, Garratt-Callahan. The MLD system passed
its factory acceptance testing and was proven to remove over 98% of target
contaminants from real wastewater provided by Garratt-Callahan customers. A
commercial trailer-mounted unit is now being constructed and will be used for
on-site demonstration with a Garratt-Callahan customer.
·
Ikigai partnership: BioLargo established a
partnership with Ikigai Marketing Works, LLC to support the roll-out of a new
pet odor control product based on BioLargo’s proprietary technology, ultimately
aimed at adoption by big-box retailers. Ikigai completed a test-marketing phase
to assess the likelihood that the new brand would be a commercial success and
subsequently made orders for product (manufactured by BioLargo) that exceed
both partners’ initial projections. BioLargo also earns a royalty on each
bottle sold and would receive 20% of any eventual sale of the product line. Ikigai’s
sales are growing.
·
ONM Environmental: ONM Environmental continues
to focus on sales and develop channel partners to help sell its odor and VOC
control product, air quality control systems, and associated services. The
company has made headway with successful commercial trials and new accounts including
in pulp and paper, wastewater, oil and gas, construction, and auto
manufacturing. This business unit is expected to report record sales in Q1 2022
and a number of new distributors and industry segments are showing good
prospects for growth.
·
Clyra Medical Technologies: Clyra introduced its
new product, Bioclynse, to the market, secured its first two hospital customers
for the product, established a robust quality control system for FDA
compliance, recruited a national director of sales, and is negotiating with
three separate channel partners to form a commercial alliance.
·
Municipal wastewater AOS pilot results: The commercial-scale
demonstration pilot for the AOS waste treatment system at a municipal
wastewater treatment plant near Montreal, Quebec, produced data that cements
its value proposition as an energy-efficient treatment solution that tackles
hard-to-treat contaminants. The pilot showed the AOS operates faster and uses
less electricity than existing technologies while also disinfecting the
wastewater, making it an efficient and uniquely flexible treatment option for hard-to-treat
contaminants like pharmaceutical by-products. Recently,
an NSERC grant has extended the project to allow for use of a higher flow-rate
AOS system, as well as removal of PFAS chemicals through the installation of a
pilot AEC system.
Mr. Calvert added, “There are a number of substantial new commercial
projects in various stages of negotiation that have the potential to dwarf our
existing project backlog. If these move forward as expected, we believe we will
experience dramatic growth as these projects continue to advance to formal
contracts, our channel partnerships continue to find market traction, and our
reputation for quality work continues to expand.”
About BioLargo, Inc.
BioLargo, Inc. (OTCQB:BLGO) invents, develops, and
commercializes innovative platform technologies to solve challenging
environmental problems like PFAS contamination, advanced water and wastewater
treatment, industrial odor and VOC control, air quality control, and infection
control. With over 13 years of extensive R&D, BioLargo holds a wide array
of issued patents, maintains a robust pipeline of products, and provides full-service
environmental engineering. Our peer-reviewed scientific approach allows us to
invent or acquire novel technologies and develop them to maturity through our
operating subsidiaries. With a keen emphasis on collaborations with academic,
municipal, and commercial organizations and associations, BioLargo has proven
itself with over 80 awarded grants and numerous pilot projects. We monetize
through direct sales, recurring service contracts, licensing agreements,
strategic joint venture formation and/or the sale of the IP. See our website at
www.BioLargo.com.
Contact Information
Dennis P. Calvert
President and CEO, BioLargo, Inc.
888-400-2863
Safe Harbor Act
This press release contains forward-looking statements
within the meaning of the Private Securities Litigation Reform Act of 1995.
These forward-looking statements include without limitation those about
BioLargo’s (the “Company”) expectations regarding the impact of the COVID-19
pandemic; anticipated revenue; and plans for future operations. These
statements involve risks and uncertainties, and actual results may differ
materially from any future results expressed or implied by the forward-looking
statements. Risks and uncertainties include without limitation: the effect of
the COVID-19 pandemic on the Company’s business, results of operations,
financial condition, and stock price; the effect of regional economic
conditions on the Company’s business, including effects on purchasing decisions
by consumers and businesses; the ability of the Company to compete in markets
that are highly competitive and subject to rapid technological change; the
ability of the Company to manage frequent introductions and transitions of
products and services, including delivering to the marketplace, and stimulating
customer demand for, new products, services, and technological innovations on a
timely basis; the dependency of the Company on the performance of distributors
of the Company’s products. More information on these risks and other potential
factors that could affect the Company’s business and financial results is
included in the Company’s filings with the SEC, including in the “Risk Factors”
and “Management’s Discussion and Analysis of Financial Condition and Results of
Operations” sections of the Company’s most recently filed periodic reports on
Form 10-K and Form 10-Q and subsequent filings. The Company assumes no
obligation to update any forward-looking statements or information, which speak
as of their respective dates.
