Business
Flame Seal Products, Inc. Releases September 30, 2018 Results and Corporate Update
Flame Seal Products, Inc. Releases September 30, 2018 Results and Corporate Update.
About this update from Flame Seal Products Inc
[{"type":"text","content":"\nHOUSTON, TX, Nov. 14, 2018 (GLOBE NEWSWIRE) -- via NEWMEDIAWIRE - 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.\n From: Craig Keyser, CEOSubject: September 30, 2018 Third Quarter Results and Corporate Update  Revenues for the quarter ended September 30, 2018 were $564,017, a $183,553 or 25% decrease compared to the September 30, 2017 quarter and a sequential $22,587 decrease or 4% less than the June 30, 2018 quarter.  Craig Keyser comments, \"Flame Seal’s (FSP) sales remain sluggish. Testing for a new technologically advanced product addressing the spray foam insulation market has been frustratingly unsatisfactory. That project remains active, though right now, is not being emphasized.  “In the past several months FSP has shifted more of its research and development focus to other construction-related, flame retardant coatings with meaningful and encouraging results. Specifically, we’ve developed and successfully tested a new Class A paint product which we are preparing for additional certification testing and commercialization. We’re also developing other earlier R & D stage products with positive results thus far. While 2018 looks to be sub par for FSP, our initiatives as well as other business opportunities are anticipated to renew growth in 2019 and beyond.”    Operating Results For the quarter ending September 30, 2018 FSP’s net profit was $7,588. FSP reiterates that the small profit was a result of capitalizing a greater portion of FSP’s ongoing costs of development and testing of new products. The critical nature of these investments in FSP’s future dictate our total focus on making FSP a financial success for our shareholders. Operations During the third quarter FSP maintained strong gross operating margins. Operations continue to be reported near break even on disappointing sales, but because of a higher capitalization rate of R & D costs, FSP will remain cash constrained until revenues resume growing and cash flow improves.    Balance Sheet Status FSP’s current ratio of 2.7 is a decline from prior reporting periods as receivables and cash have been reduced. Receivables are c...