Jupiter, FL–(November 16, 2009–BUSINESS WIRE)—Dyadic International, Inc. (Pink Sheets: DYAI) (“Dyadic”) today announced financial results for the third quarter ended September 30, 2009. The financial information contained in this press release should be read in conjunction with the financial statements and footnotes for the three and nine month periods ended September 30, 2009 as well as the financial statements, footnotes and independent auditors’ report for the year ended December 31, 2008 which have been posted on the Pink Sheets website at www.pinksheets.comand on Dyadic’s website atwww.dyadic.com.
Total revenue for the third quarter ended September 30, 2009 decreased to approximately $2.1 million compared to approximately $3.2 million for the third quarter ended September 30, 2008. Total revenue for the nine months ended September 30, 2009 increased to approximately $19.0 million, compared to approximately $9.9 million, for the nine months ended September 30, 2008.
Net product related revenue for the third quarter and nine months ended September 30, 2009 decreased to approximately $1.7 million and approximately $4.9 million, respectively, compared to approximately $2.2 million and $6.9 million, respectively, for the third quarter and nine months ended September 30, 2008. This decrease was due, in part, to Dyadic’s restructuring of its industrial enzyme business to focus on higher margin products for growing segments of the industry, such as animal feed, while streamlining product lines and discontinuing some lower margin products in declining segments of the industry, such as textiles, as well as global economic conditions.
The increase in total revenue for the nine month period ended September 30, 2009, compared to the nine month period ended September 30, 2008, was due to research and development revenue recognized, as a result of achieving appropriate milestones, from the proceeds of the $10 million upfront fee received from Codexis, Inc. (“Codexis”) pursuant to the non-exclusive license agreement entered into between Codexis and Dyadic in November 2008 as well as the recognition of $3.3 million of a total $10 million in proceeds received from Abengoa Bioenergy R&D, Inc. (“Abengoa”) in October 2006 pursuant to a securities purchase agreement entered into between Dyadic and Abengoa.
Net loss for the third quarter ended September 30, 2009 decreased to approximately $654,000, or $(0.02) per basic and diluted share, compared to a net loss of approximately $2.6 million, or $(0.09) per basic and diluted share for the third quarter ended September 30, 2008. Net income for the nine months ended September 30, 2009 increased to approximately $10.2 million, or $.34 per basic share and $.31 per diluted share, respectively, compared to a net loss of approximately $10.7 million, or $(0.36) per basic and diluted share, for the nine months ended September 30, 2008.
At September 30, 2009, cash and cash equivalents were approximately $9.2 million and inventory was approximately $3.2 million. Working capital at September 30, 2009 amounted to approximately $10.8 million, and stockholders’ equity was approximately $11.8 million.
Dyadic’s Chief Executive Officer, Mark Emalfarb, said, “2009 continues to be a year of growth and rejuvenation for Dyadic as we stay focused on growing our business while keeping tight controls on operating expenses. The advancements we are making in the science behind our technologies will form the basis of new products and processes which will benefit Dyadic, its partners, customers and stockholders. As always, we are actively looking to leverage our technologies through licensing opportunities, co-development of products and enhancement of our manufacturing capabilities. In addition, we are working to identify new customers and markets, as further enabled by our recently reported GRAS notification, as well as expand our relationships with existing customers so that their businesses may benefit from the solutions provided by our technologies and our diverse enzyme products.”
Dyadic International, Inc. is an early-stage biotechnology company that uses its patented and proprietary technologies to conduct research, development and commercial activities for the discovery, development, manufacture and sale of products and solutions for the bioenergy, industrial enzyme and biopharmaceutical industries. Please visit Dyadic’s website atwww.dyadic.com.
Dyadic makes financial disclosures through the Pink OTC Markets Disclosure and News Service which offers free information on the Pink Sheets website ( www.pinksheets.com) concerning issuers listed on the Pink Sheets over-the-counter market. Investors can access and download Dyadic’s financial reports and other announcements that Dyadic makes through the Pink Sheets website. Dyadic will also continue providing updates through regular press releases as appropriate.
CAUTIONARY STATEMENT FOR FORWARD-LOOKING STATEMENTS
Certain statements contained in this press release are forward- looking statements. These forward-looking statements involve risks and uncertainties that could cause Dyadic’s actual results, performance or achievements to be materially different from any future results, performance or achievements expressed or implied by such forward-looking statements. Except as required by law, Dyadic expressly disclaims any intent or obligation to update any forward-looking statements.
Dyadic International, Inc.
Adam J. Morgan
Vice President General Counsel & Business Development