2010-04-01 09:15 ET - News Release
Higher Revenues and Lower Operating Expenses Narrow Losses
Negotiations Continue Toward Closing Acquisition
IRVINE, Calif., April 1 /PRNewswire-FirstCall/ -- VIASPACE Inc. (OTC Bulletin Board: VSPC), a clean energy company providing products and technology for renewable and alternative energy, announced financial results for the fourth quarter and year ended December 31, 2009.
Total revenue for 2009 was $4.4 million, including $3.6 million from Inter-Pacific Arts (IPA) and $701,000 from government contracts for security products, compared to total revenue of $1.2 million in 2008, including $866,000 from the late-2008 acquisition of IPA and $225,000 from government contracts for security products. Gross profit for 2009 was $1.7 million, including $1.6 million from IPA, compared to gross profit of $665,000 in 2008, which included $617,000 from IPA. 2008 financial contributions from IPA, which was acquired on October 21, 2008, reflect partial-period accounting.
Total operating expenses for the year were $4.4 million, including $1,721,000 of stock-based compensation expense. Total operating expenses for 2008 were $9.3 million and included $3,045,000 in stock-based compensation expense. Operating loss in 2009 was $2.7 million, compared to an operating loss of $8.6 million in 2008.
For 2009, other expense was $194,000 compared to other income of $224,000 in 2008.
Net loss for 2009 was $2.9 million, including a $12,000 gain from discontinued operations, compared to a net loss in 2008 of $9.8 million, which included a $1.4 million loss from discontinued operations and a $42,000 loss from noncontrolling interests. Net loss per share for 2009 was less than $(0.01), compared to a net loss per share of $(0.02) in 2008.
Consolidated cash and cash equivalents were $1.1 million on December 31, 2009.
VIASPACE Chief Executive Dr. Carl Kukkonen commented: "2009 results reflect the impact of the acquisition of IPA on revenues, compared to a year ago. We have also substantially reduced our operating expenses. This has led to a substantially narrower loss compared to 2008. Negotiations toward closing the acquisition of IPA are nearing completion with draft documents being exchanged."
Total revenues for the fourth quarter were $851,000, including $683,000 from IPA, compared to total revenues of $1,042,000, which included $866,000 from IPA, in fourth-quarter 2008. Gross profit for the quarter was $310,000, including $306,000 from IPA, compared to gross profit of $630,000, including $617,000 from IPA, for fourth-quarter 2008.
Total operating expenses for the fourth quarter were $1.1 million, including $283,000 of stock-based compensation expense. Total operating expenses for fourth-quarter 2008 were $2.8 million and included $497,000 of stock-based compensation expense. Operating loss for the quarter was $758,000, compared to an operating loss of $2.2 million in fourth-quarter 2008.
For the quarter, other expense was $79,000 compared to other income of $10,000 in fourth-quarter 2008.
Net loss for the quarter was $839,000, or less than $(0.01) per share, compared to a net loss of $2.1 million, or less than $(0.01) per share for fourth-quarter 2008.
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