EXHIBIT 99.1

 

 

AmpliTech Reports FY 2022 Results; Beats Revenue Guidance and Reports Record 267% YoY Annual Revenue Increase to $19.4 Million;

 

-Gross Profit Increases nearly 7-fold, Gross Margin Expands 2,150 basis points to 46.0%-

 

Hauppauge, NY, March 31, 2023 – AmpliTech Group, Inc (Nasdaq: AMPG), a designer, developer, and manufacturer of state-of-the-art signal-processing components for satellite, 5G, and other communications networks and a worldwide distributor of packages and lids for integrated circuit assembly, and designer of complete 5G/6G systems, today announced financial results for year ended December 31, 2022. The company will host an investor call on Monday, April 10th at 4:00 PM EST.

 

Investor Earnings Call Details

 

Date/Time:

Monday, April 10th at 4:00 pm EST

Dial-in Number:

1-833-630-0019 (domestic) or 1-412-317-1807 (international)

Online Replay/Transcript:

Audio file and call transcript will be posted to AmpliTech’s news page when available.

Investor Questions:

May be submitted to investors@amplitechgroup.com prior to or during the call

 

Full Year 2022 Highlights

 

·

Revenue increased 267% to $19,394,000 in FY’22 compared to $5,275,000 in FY’21.

 

 

·

FY’ 22 gross profit grew to $8,925,000, an almost 7-fold increase from FY’ 21 gross profit of $1,293,000. The gross profit margin increased by 2150 basis points to 46.0% compared to 24.5% a year ago.

 

 

·

FY’22 net loss was $677,000 compared to a FY’21 net loss of $4,759,000, a positive swing of approximately $4.1 million. The net loss includes a one-time revenue earnout of approximately $816,000 as a result of Spectrum’s beating sales expectations for the years 2021 and 2022. It is important to note that without this earnout payment, the Company would have been profitable.

 

 

·

As of December 31, 2022, cash and equivalents totaled $13,290,000 and working capital was $20,331,000, which is sufficient capital for AmpliTech to fund all of its strategic growth initiatives.

 

 

·

AmpliTech experienced great success at trade shows such as Satellite 2022, IMS 2022, the AOC 2022, and the APS March Meeting 2022 , achieving positive customer engagement and setting company records at each event for the number of meetings with new and existing customers.

 

 

·

Customers have begun to sample AGMDC’s new MMIC chip products which have received very positive praise and feedback.

  

 
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Forward-Looking Update

 

·

MMIC chips, or ICs, have been released to customers for testing and are expected to begin generating revenue in Q2 2023.

 

 

·

Management expects sustained profitability going into 2023.

 

 

·

Team is increasing sales exposure through enhanced strategic partnerships with sales representatives and distributors globally.

 

Management Commentary

 

Fawad Maqbool, Founder and CEO of AmpliTech, commented, “We are pleased to announce AmpliTech's annual results, with a remarkable 267% year-over-year increase in revenue. Our seamless integration of Spectrum Semiconductor and the successful launch of new initiatives, such as AGMDC’s industry leading LNAs in MMIC form and TGSS’s managed 5G system integration consulting service, demonstrate our unwavering commitment to innovation and growth. This is a continuation of our strategy to focus on increasing top-line revenue with high-margin products, which we are projecting will lead to increased bottom-line income later this year.

 

Additionally, our industry-leading low noise amplifiers, now available in MMIC form, boast unparalleled signal-to-noise ratios, the central metric that defines the quality of an amplifier as well as the entire receiver. Our team’s relentless drive to solve engineering challenges underscores our dedication to providing cutting-edge technology to our clients.

 

While we closely monitor the current economic situation, we are pleased to report that, at this time, we continue to have strong demand for our industry leading products. The gross profit margin’s impressive increase from 24.5% to 46.0% reflects our team’s efficiency and long-term planning strategy.

 

As we celebrate these financial and operational milestones, we remain cognizant of the challenges posed by the lack of performant communication infrastructures. At AmpliTech, our mission is to empower companies to build the communications infrastructure that will fuel the future of technology – from AR/VR platforms and high-performance Quantum computing to 5G/6G networks providing satellite internet and beyond.

 

Although there is still much work to be done across various industries - including satcom, telecom (5G), high-performance computing, defense, and aerospace - to achieve the connectivity speeds required by emerging technologies, we recognize the immense potential for innovation and are dedicated to developing solutions that address these challenges, enabling faster and more efficient communication systems. By continuously pushing the boundaries of communications technology, we aim to play a pivotal role in shaping the future of these industries and facilitating the realization of their full potential,” concluded Mr. Maqbool.

 

About AmpliTech Group

 

AmpliTech Group, Inc. designs, develops, manufactures, and distributes state-of-the-art radio frequency (RF) microwave components for global satellite communications, telecom (5G & IoT), space, defense, and quantum computing markets as well as systems and component design consulting services. In December 2021, AmpliTech completed the purchase of the assets and operations of Spectrum Semiconductor Materials Inc. a global specialty distributor of semiconductor components based in San Jose, CA. AmpliTech has a 13+ year track record of developing high performance, custom solutions to meet the unique needs of some of the largest companies in the global industries we serve. We are proud of our focused team's unique skills, experience and dedication, which enables us to deliver superior solutions, faster time to market, competitive pricing, excellent customer satisfaction and repeat business. For more information, please visit www.amplitechgroup.com.

 

 
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Safe Harbor Statement

 

This release contains statements that constitute forward-looking statements. These statements appear in several places in this release and include all statements that are not statements of historical fact regarding the intent, belief or current expectations of the Company, its directors or its officers with respect to, among other things: (i) the Company's ability to execute its business plan as anticipated; (ii) trends affecting the Company's financial condition or results of operations; (iii) the Company's growth strategy and operating strategy. The words "may" "would" "will" "expect" "estimate" "anticipate" "believe" "intend" and similar expressions and variations thereof are intended to identify forward-looking statements. Investors are cautioned that any such forward-looking statements are not guarantees of future performance and involve risks and uncertainties, many of which are beyond the Company's ability to control, and that actual results may differ materially from those projected in the forward-looking statements because of various factors. Other risks are identified and described in more detail in the “Risk Factors” section of the Company’s filings with the SEC, which are available on our website. We undertake no obligation to update, and we do not have a policy of updating or revising these forward-looking statements, except as required by applicable law.

 

Corporate Social Media

Twitter: @AmpliTechAMPG

Instagram: @AmpliTechAMPG

Facebook: AmpliTechInc

 

Investor Social Media

Twitter: @AMPG_IR

StockTwits: @AMPG_IR

 

Company Contact:

Shan Sawant, Director of Communications

AmpliTech Group, Inc.

Investors@amplitechgroup.com

 

Investor Relations Contact:

Kirin Smith, President

PCG Advisory, Inc.

ksmith@pcgadvisory.com

www.pcgadvisory.com

 

-Tables Follow-

 

 
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                  AmpliTech Group, Inc.

           Consolidated Balance Sheets

 

 

 

December 31,

 

 

December 31,

 

 

 

2022

 

 

2021

 

 

 

 

 

 

 

 

Assets

 

 

 

 

 

 

Current Assets

 

 

 

 

 

 

Cash and cash equivalents

 

$ 13,290,222

 

 

$ 18,018,874

 

Accounts receivable, net

 

 

1,801,769

 

 

 

1,659,878

 

Other Receivable

 

 

-

 

 

 

201,215

 

Inventories, net

 

 

6,632,121

 

 

 

4,192,812

 

Marketable Securities

 

 

247,450

 

 

 

-

 

Prepaid expenses

 

 

194,635

 

 

 

210,028

 

Total Current Assets

 

 

22,166,197

 

 

 

24,282,807

 

 

 

 

 

 

 

 

 

 

Property and equipment, net

 

 

2,023,687

 

 

 

1,355,288

 

Right of use operating lease assets

 

 

4,197,324

 

 

 

1,115,588

 

Intangible assets, net

 

 

3,134,108

 

 

 

3,284,082

 

Goodwill

 

 

4,696,883

 

 

 

4,817,019

 

Cost method investment

 

 

348,250

 

 

 

250,000

 

Security deposits

 

 

113,185

 

 

 

122,404

 

 

 

 

 

 

 

 

 

 

Total Assets

 

$ 36,679,634

 

 

$ 35,227,188

 

 

 

 

 

 

 

 

 

 

Liabilities and Stockholders' Equity

 

 

 

 

 

 

 

 

Current Liabilities

 

 

 

 

 

 

 

 

Accounts payable and accrued expenses

 

 

860,366

 

 

$ 3,006,334

 

Customer deposits

 

 

210,848

 

 

 

253,909

 

Current portion of financing lease obligations

 

 

33,480

 

 

 

33,688

 

Current portion of operating lease obligations

 

 

586,379

 

 

 

391,571

 

Current portion of notes payable

 

 

144,358

 

 

 

129,876

 

Total Current Liabilities

 

 

1,835,431

 

 

 

3,815,378

 

 

 

 

 

 

 

 

 

 

Long Term Liabilities

 

 

 

 

 

 

 

 

Financing lease, net of current obligations

 

 

49,336

 

 

 

17,471

 

Operating lease, net of current obligations

 

 

3,768,932

 

 

 

795,317

 

Notes payable, net of current portion

 

 

89,597

 

 

 

200,491

 

Revenue earnout

 

 

2,180,826

 

 

 

1,365,038

 

Total Liabilities

 

 

7,924,122

 

 

 

6,193,695

 

 

 

 

 

 

 

 

 

 

Commitments and Contingencies

 

 

-

 

 

 

-

 

 

 

 

 

 

 

 

 

 

Stockholders' Equity

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Series A convertible preferred stock, par value $0.001, 1,000,000 shares authorized, 0 shares issued and outstanding

 

 

-

 

 

 

-

 

Common Stock, par value $0.001, 500,000,000 shares authorized, 9,634,613 and 9,582,113 shares issued and outstanding, respectively

 

 

9,635

 

 

 

9,582

 

Additional paid-in capital

 

 

36,050,161

 

 

 

35,651,088

 

Accumulated deficit

 

 

(7,304,284 )

 

 

(6,627,177 )

 

 

 

 

 

 

 

 

 

Total Stockholders' Equity

 

 

28,755,512

 

 

 

29,033,493

 

 

 

 

 

 

 

 

 

 

Total Liabilities and

 

 

 

 

 

 

 

 

Stockholders' Equity

 

$ 36,679,634

 

 

$ 35,227,188

 

 

 
4

 

 

AmpliTech Group, Inc.

Consolidated Statements of Operations

 For the Years Ended December 31, 2022 and 2021

 

 

 

 

 

 

 

 

 

2022

 

 

2021

 

 

 

 

 

 

 

 

Revenue

 

$ 19,394,492

 

 

$ 5,275,434

 

 

 

 

 

 

 

 

 

 

Cost of goods sold

 

 

10,469,628

 

 

 

3,982,797

 

 

 

 

 

 

 

 

 

 

Gross Profit

 

 

8,924,864

 

 

 

1,292,637

 

 

 

 

 

 

 

 

 

 

Operating Expenses

 

 

 

 

 

 

 

 

Selling, general and administrative

 

 

7,631,250

 

 

 

4,564,658

 

Goodwill impairment

 

 

120,136

 

 

 

-

 

Research and development

 

 

1,024,127

 

 

 

1,833,399

 

Total operating expenses

 

 

8,775,513

 

 

 

6,398,057

 

 

 

 

 

 

 

 

 

 

Income (Loss) From Operations

 

 

149,351

 

 

 

(5,105,420 )

 

 

 

 

 

 

 

 

 

Other Income (Expenses)

 

 

 

 

 

 

 

 

Gain on extinguishment of debt

 

 

-

 

 

 

232,200

 

Other income

 

 

-

 

 

 

255,083

 

Realized loss on investments

 

 

-

 

 

 

(97,862 )

Loss on contingent revenue earnout

 

 

(815,788 )

 

 

-

 

Unrealized gain (loss) on investments

 

 

2,343

 

 

 

-

 

Interest expense, net

 

 

(13,013 )

 

 

(42,806 )

Total other income (expense)

 

 

(826,458 )

 

 

346,615

 

 

 

 

 

 

 

 

 

 

Loss Before Income Taxes

 

 

(677,107 )

 

 

(4,758,805 )

 

 

 

 

 

 

 

 

 

Provision For Income Taxes

 

 

-

 

 

 

-

 

 

 

 

 

 

 

 

 

 

Net Loss

 

$ (677,107 )

 

$ (4,758,805 )

 

 

 

 

 

 

 

 

 

Net Loss Per Share;

 

 

 

 

 

 

 

 

Basic

 

$ (0.07 )

 

$ (0.53 )

Diluted

 

$ (0.07 )

 

$ (0.53 )

 

 

 

 

 

 

 

 

 

Weighted Average Shares Outstanding;

 

 

 

 

 

 

 

 

Basic

 

 

9,609,208

 

 

 

8,900,824

 

Diluted

 

 

9,609,208

 

 

 

8,900,824

 

 

 
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