Business
Flame Seal Products, Inc. Releases March 31, 2018 Results
Flame Seal Products, Inc. Releases March 31, 2018 Results.
About this update from Flame Seal Products Inc
[{"type":"text","content":"\nFlame Seal Products, Inc. Releases March 31, 2018 First Quarter Results and Corporate Update\n HOUSTON, TX, May 21, 2018 (GLOBE NEWSWIRE) -- FLAME SEAL PRODUCTS, INC. (OTC PINK: FLMP), a leading provider of Specialty Chemicals for the Passive Fire Protection Market, today issues the following update to its Stockholders. From: Craig Keyser, CEO Subject: March 31, 2018 First Quarter Results and Corporate Update  First Quarter Results for 2018 Flame Seal 2018 revenues for the first quarter of 2018 were $668,593, an increase of $68,713 or 11% more than 2017 resulting in a profit of $36,182. Accounting Change In the first quarter of 2018, the Board of Directors (BOD) initiated an accounting review, specifically related to treatment of the ongoing, extensive research and development costs, product testing and certifications. Flame Seal Products, Inc. (FSP) has routinely been expensing most of these costs, negatively distorting the actual operating performance. In accordance with generally accepted accounting principles (GAAP), most of these costs should have been capitalized as R & D (research and development) investment and categorized as assets reported on the balance sheet. These assets will be amortized over the projected useful life of the investment. The BOD adopted GAAP standards as reflected in the March 31, 2018 results. FSP will, also, restate and report financials from 2015 through 2017 to accurately reflect GAAP standards on OTC Markets – www.otcmarkets.com. The BOD is committed to accurately reflect FSP’s financial condition and operating performance. Balance Sheet Update FSP's current ratio of assets to liabilities remains strong at 3.5. Receivables remained healthy and current. Flame Seal has no outstanding litigation issues as of December 31, 2017. As of March 31, 2018, FSP had 71,192,396 shares outstanding, a 7,294,243 share or 11.4% increase over 12/31/17. The increase reflects the conversion of $725,000 of FSP debt to equity by a member of the Board of Directors who with his prior investments now owns 16,273,127 shares or 22.86% of the outstanding shares. Craig Keyser adds “As stated in our 2017 yearend update, FSP’s balance sheet was materially improved by a major investment of a BOD member. This BOD member formed a separate wild fire marketing company to distribute FSP&...