Business
LiqTech International Announces First Quarter 2022 Financial Results
BALLERUP, Denmark, May 12, 2022 /PRNewswire/ -- LiqTech International, Inc. (NASDAQ: LIQT) ("LiqTech"), a clean technology company that manufactures and
About this update from Liqtech International, Inc.
[{"type":"text","content":"BALLERUP, Denmark, May 12, 2022 /PRNewswire/ -- LiqTech International, Inc. (NASDAQ: LIQT) (\"LiqTech\"), a clean technology company that manufactures and markets highly specialized filtration technologies, today announced its financial results for the first quarter of 2022.\n\n \n \n \n \n \n \n\n \nQ1 2022 Highlights\nQ1 2022 revenue of $3.6 million, a decrease of 9% from Q1 2021.Gross margin of 6.8% compared to 2.9% in Q1 2021.Net loss of $(3.7) million.Ending cash balance of $11.2 million.Highlights Subsequent to Q1 2022\nRetained Heidrick & Struggles to assist search for new CEO.Delivered systems to Baker Hughes in Middle East through local partner in May 2022.Commissioning first acid filtration system for U.S. market.Implemented aggressive program to preserve capital by reducing and suspending planned investments.Re-aligned corporate management structure involving significant reduction in headcount and labor costs.Management Commentary\nAlex Buehler, Interim CEO, stated, \"In the past few weeks we have made considerable progress to re-establish commercial traction in key end markets, initiate a leadership transition, reorganize the business for future success, and reduce costs and investments. We successfully delivered our first oil & gas systems of commercial scale in the Middle East through Baker Hughes and are actively commissioning our first acid filtration system for this new market in the U.S. Specific to operations, we implemented measures to significantly reduce our fixed cost structure and suspended certain capital investments, which together will substantially decrease our quarterly revenue breakeven point to approximately $7 million to $8 million while maintaining our ability to effectively service our customers and pursue growth opportunities. Beyond such actions related to fixed costs, we are also in the process of optimizing price and mix to drive margin accretion. Overall, we believe that these measures will make LiqTech a far stronger and more resilient business, poised to capture the growth opportunities facing the business.\"\nQ1 2022 Financial Results\nRevenue for the first quarter of 2022 was $3.6 million compared to $4.0 million in the first quarter of 2021, representing a decrease of 9%. Results for the first quarter continue to reflect the impact of decreased sales of liquid filters and wash water fi...