Capstone Companies Inc (CAPC)

[StockpickerCAPC]

Capstone Companies Reports Third Quarter 2021 Performance.

source
https://finance.yahoo.com/news/capstone-companies-reports-third-quarter-181700230.html

Tue, November 16, 2021, 7:17 PM

Capstone Companies, Inc. (OTC: CAPC), a designer, manufacturer and marketer of consumer inspired products that simplify daily living through technology reported its third quarter 2021 financial results on Monday, November 15, 2021. As a direct result of ongoing delays of certification and testing, the Company’s planned product launch for Q3 2021 was delayed and no revenues were generated in the third quarter accordingly.

The Company’s plan to produce an estimated 3,000 mirrors in 2021 remains intact. The remarkable increase in costs and limited availability of transport as widely reported in daily news coverage will impact the stateside availability dates for the second production run of 2,000 mirrors. The cost mitigation plan implemented in 2020 and the $1.5 million private equity placement in April 2021 has enabled the Company to sustain operations during these unprecedented times.

Stewart Wallach, Capstone’s Chairman & Chief Executive Officer, commented, "While the outbreaks of COVID have minimally effected the workforce in China and Thai factories in Q3, the certifications and testing, specifically FCC EMC, remain pending precluding the Company from shipping mirrors in Q3 as anticipated."
He added,
"Management continues to exhaust every effort in addressing the delays which frankly are inexplicable. We have confirmed (as per my October 11th PR) that the FCC EMC product testing was completed and that the certification is forthcoming. We are aggressively following up daily to bring this matter to a close. In the thirty-five years that your management team has been creating and bringing new consumer products to market, we have never experienced anything like this before."

Wallach further commented,
"On a positive note, to avoid any further delays, we have pre-paid an estimated $700 thousand for components and production for the first 1,000 mirrors are scheduled at the factory pending the publication of the FCC certification. We are standing ready for initial product release. The insiders and directors remain resolute, and have continued to support the Company with an additional $1 million in inventory funding made available on October 18th. In addition to the funding, the largest insider shareholders have not sold any shares. I realize the shareholder community is anxious as communications have been limited since mid-October and accordingly, I will be scheduling a webcast prior to Thanksgiving to share material updates on the Smart Mirror program."

About Capstone Companies, Inc.
Capstone Companies, Inc. is a public holding company that engages, through its wholly owned subsidiaries, Capstone Industries, Inc., Capstone Lighting Technologies, LLC, and Capstone International HK, Ltd., in the development, manufacturing and marketing of consumer products to retail channels throughout North America and certain international markets.
Visit our websites;
https://capstonecompaniesinc.com/
for more information about the Company and
https://capstoneconnected.com/
for information on our current product offerings. Contents of referenced URL’s are not incorporated herein.

FINANCIAL TABLES FOLLOW. - Please read at:
https://finance.yahoo.com/news/capstone-companies-reports-third-quarter-181700230.html