SOURCE: Epolin, Inc.

October 16, 2009 13:29 ET

Epolin, Inc. Announces Results for the Second Quarter of Fiscal 2010

NEWARK, NJ--(Marketwire - October 16, 2009) - EPOLIN, INC. (the "Company") (OTCBB: EPLN) (www.epolin.com) today announced results for the three and six months ended August 31, 2009.

For the three months ended August 31, 2009, sales were $709,000 as compared to $852,000 for the three months ended August 31, 2008, a decrease of $143,000 or 16.8%. Sales decreased to $1,435,000 for the six months ended August 31, 2009 from $1,765,000 for the six months ended August 31, 2008, a decrease of $330,000 or 18.7%. Gross profit, defined as sales less cost of sales, was $358,000 or 50.5% of sales for the three months ended August 31, 2009 compared to $475,000 or 55.8% of sales the three months ended August 31, 2008. For the six months ended August 31, 2009, gross profit was $829,000 or 57.8% of sales compared to $998,000 or 56.6% of sales for the six months ended August 31, 2008.

Cost of sales was $351,000 for the three months ended August 31, 2009 which represented 49.5% of sales compared to $376,000 for the three months ended August 31, 2008 which represented 44.2% of sales. For the six months ended August 31, 2009, cost of sales was $606,000 which represented 42.2% of sales, compared to $767,000 which represented 43.4% of sales for the six months ended August 31, 2008.

Operating income, in terms of absolute dollars, decreased to $65,000 for the three months ended August 31, 2009 from $145,000 for the three months ended August 31, 2008, a decrease of $80,000, while operating income decreased to $276,000 for the six months ended August 31, 2009 from $374,000 for the six months ended August 31, 2008, a decrease of $98,000. Net income after taxes was $47,000 or $0.00 per share for the three months ended August 31, 2009 as compared to net income after taxes of $107,000 or $0.01 per share for the three months ended August 31, 2008. For the six months ended August 31, 2009, net income after taxes was $187,000 or $0.02 per share as compared to net income after taxes of $256,000 or $0.02 per share for the six months ended August 31, 2008.

About Epolin

Epolin, Inc. is a specialized chemical company primarily engaged in the manufacturing, marketing, research and development of infrared dyes, laser absorbing dyes and infrared dye formulations. The Company's business is heavily weighted towards the development, manufacture and sale of near infrared dyes. Applications for these dyes cover several markets that include laser protection, welding, sunglasses, optical filters, glazing and imaging and security inks and tagants. The Company also manufactures specialty chemicals for certain chemical manufacturers.

Statements contained herein that are not based upon current or historical fact are forward-looking in nature. Such forward-looking statements reflect the Company's expectations about its future operating results, performance and opportunities that involve substantial risks and uncertainties. When used herein, the words "anticipate", "believe", "estimate", "plan", "intend" and "expect" and similar expressions, as they relate to Epolin, Inc., or its management, are intended to identify such forward-looking statements. These forward-looking statements are based on information currently available to the Company and are subject to a number of risks, uncertainties, and other factors that could cause the Company's actual results, performance, prospects, and opportunities to differ materially from those expressed in, or implied by, these forward-looking statements. Factors that could cause or contribute to such differences include, but are not limited to, such factors discussed in reports and documents filed from time to time by the Company with the Securities and Exchange Commission. Except as required by the Federal Securities law, the Company does not undertake any obligation to release publicly any revisions to any forward-looking statements to reflect events or circumstances after the date hereof or for any other reason.

                            EPOLIN, INC. AND SUBSIDIARY
                  CONSOLIDATED STATEMENTS OF INCOME (UNAUDITED)
                    SIX MONTHS ENDED AUGUST 31, 2009 AND 2008

                                                  2009            2008
                                              -----------     -----------
SALES                                         $ 1,434,747       1,764,471
                                              -----------     -----------
COST OF SALES AND EXPENSES:
  Cost of sales                                   606,193         766,507
  Selling, general and administrative             552,256         624,065
                                              -----------     -----------
     Total                                      1,158,449       1,390,572
                                              -----------     -----------
OPERATING INCOME                                  276,298         373,899
                                              -----------     -----------
OTHER INCOME:
   Rental income                                    4,500           9,000
   Interest                                        14,624          31,009
                                              -----------     -----------
     Total                                         19,124          40,009
                                              -----------     -----------
INCOME BEFORE TAXES                               295,422         413,908

INCOME TAXES                                      108,076         158,069
                                              -----------     -----------
NET INCOME                                    $   187,346         255,839
                                              ===========     ===========
PER SHARE DATA:
   Basic earnings per common share            $      0.02            0.02
                                              ===========     ===========
   Fully diluted earnings per common share    $      0.02            0.02
                                              ===========     ===========
   Weighted average number of common shares
    outstanding                                12,066,355      11,966,355
                                              ===========     ===========
   Fully diluted number of common shares
    outstanding                                12,069,235      12,006,791
                                              ===========     ===========




                           EPOLIN, INC. AND SUBSIDIARY
                  CONSOLIDATED STATEMENTS OF INCOME (UNAUDITED)
                   THREE MONTHS ENDED AUGUST 31, 2009 AND 2008

                                                  2009            2008
                                              -----------     -----------
SALES                                         $   708,578         851,680
                                              -----------     -----------
COST OF SALES AND EXPENSES:
  Cost of sales                                   350,538         376,445
  Selling, general and administrative             293,191         330,418
                                              -----------     -----------
     Total                                        643,729         706,863
                                              -----------     -----------
OPERATING INCOME
                                                   64,849         144,817
                                              -----------     -----------
OTHER INCOME:
   Rental income                                        -           4,500
   Interest                                         6,757          18,504
                                              -----------     -----------
     Total                                          6,757          23,004
                                              -----------     -----------
INCOME BEFORE TAXES                                71,606         167,821

INCOME TAXES                                       24,126          61,134
                                              -----------     -----------
NET INCOME                                    $    47,480         106,687
                                              ===========     ===========
PER SHARE DATA:
   Basic earnings per common share            $         -            0.01
                                              ===========     ===========
   Fully diluted earnings per common share    $         -            0.01
                                              ===========     ===========
   Weighted average number of common shares
    outstanding                                12,066,355      11,966,355
                                              ===========     ===========
   Fully diluted number of common shares
    outstanding                                12,069,235      12,006,791
                                              ===========     ===========

Contact Information

  • For more detailed information, please contact:
    Murray S. Cohen
    Chairman of the Board
    James Ivchenko
    President
    Greg Amato
    Chief Executive Officer
    (973) 465-9495