NEW CASTLE, Penn., Aug. 16, 2011 /PRNewswire/ -- Axion Power International, Inc. (OTC Bulletin Board: AXPW), the developer of advanced lead-carbon PbC® batteries and energy storage systems, today announced results for its second quarter ended June 30, 2011.
Net sales for the second quarter of 2011 were $ 2.1 million, compared to $0.5 million during the second quarter of 2010. The increase was primarily due to greater product sales from the production and shipment of a series of orders for flooded lead-acid batteries, with the purchaser carrying the cost of inventory and providing the raw materials required for that production. The Company reported a net loss of $ 1.3 million, or $0.02 per share, for the second quarter of 2011, as compared to a net loss of $1.9 million, or $0.02 per share, for the second quarter of 2010. The decrease in net loss of $0.6 million was the result of the increase in net sales and lower operating costs.
At June 30, 2011, cash, net of debt, was $6.5 million. Total assets were $21.4 million and total stockholders' equity was $15.1 million.
Chairman and CEO Thomas Granville commented, "In the second quarter of 2011, we continued to make significant progress on the planned initiatives we began in 2010 and have continued in 2011:
Granville continued, "We believe that 2011 will see our first significant PbC commercial order, and that is likely to be from Norfolk Southern if we and they adhere to the timeline they have communicated to us. We see three major markets for our PbC batteries and our PbC technology going forward: (1) transportation including hybrid vehicles that incorporate stop/start, regenerative braking and beyond; and battery-driven locomotives both in the new and conversion markets; (2) off-grid power storage and supply, such as for oil rigs, and for storing renewable energy at the source; and (3) the myriad types of energy storage tasks that will help electric utilities make better use of their current generating facilities and will allow them to better service "peak demand." We are working in partnership with an integrator to bring our PowerCube online, as a grid-connected energy storage unit, and believe that our first such application will be completed in 2011."
Granville concluded, "We believe Axion Power's PbC technology will be the low-cost leader in advanced batteries for transportation and electric utilities both on- and off-grid. Our components are inexpensive, re-cycleable and not sourced from politically unstable areas around the world. Our manufacturing processes are straightforward and are easily adaptable to existing lead-acid manufacturing facilities worldwide. Our PbC total life cycle cost structure is a fraction of what is required to build other advanced battery chemistries. PbC is a better mousetrap, and we will be tireless in taking it to market."
Conference Call / Webcast
Today at 11:00 am ET (8 a.m. Pacific) a conference call will be held to review the AXPW results. Interested parties should call 877-317-6789 (domestic) or 412-317-6789 (international), to access the call. You may also access this call via the Internet by visiting the company's website at www.axionpower.com and clicking on the Investors link. Access to the webcast will be available for 90 days.
For those who are unavailable to listen to the live broadcast, a replay will be available for 7 days and can be accessed by dialing 877-344-7529 (domestic) and 412-317-0088 (international) and using conference number 10002770.
About Axion Power International, Inc.
Axion has developed and patented a next generation energy storage device that won the prestigious Frost & Sullivan Technology Award for North America in the field of lead-acid batteries. According to Frost & Sullivan, Axion's new PbC batteries have "the potential to revitalize the lead-acid battery industry by breathing new life into an established technology that is not well suited to the requirements of important new applications like hybrid electric vehicles and renewable power."
Axion Power International, Inc. is the industry leader in the field of lead-acid-carbon energy storage technologies. Axion believes this new battery technology is the only class of advanced battery that can be assembled on existing lead-acid battery production lines throughout the world utilizing Axion's proprietary carbon electrodes. Axion's future goal, after filling their plant's lead-carbon battery production capacity, is to become the leading supplier of carbon electrode assemblies for the global lead-acid battery industry.
For more information, visit www.axionpower.com
Certain statements in this Press Release are "forward-looking statements" within the meaning of the Private Securities Litigation Act of 1995. These forward-looking statements are based on our current expectations and beliefs and are subject to a number of risk factors and uncertainties that could cause actual results to differ materially from those described in the forward-looking statements. Such risks and uncertainties include the risk for the Company to complete its development work, as well as the risks inherent in commercializing a new product (including technology risks, market risks, financial risks and implementation risks, and other risks and uncertainties affecting the Company), as well as other risks that have been included in filings with the Securities and Exchange Commission, all of which are available at www.sec.gov. We disclaim any intention or obligation to revise any forward-looking statements, including, without limitation, financial estimates, whether as a result of new information, future events, or otherwise.
Axion Power International, Inc.
Charles Trego, CFO
Allen & Caron Inc
Rudy Barrio (Investors)
Len Hall (Media)
�FINANCIAL TABLES FOLLOW�
AXION POWER INTERNATIONAL, INC.
CONSOLIDATED BALANCE SHEETS
(A Development Stage Company)
June 30, 2011
December 31, 2010
Cash and cash equivalents
Total current assets
Property & equipment, net
LIABILITIES AND STOCKHOLDERS' EQUITY
Other current liabilities
Total current liabilities
Convertible preferred stock-12,500,000 shares authorized
Common stock-125,000,000 shares authorized $0.0001 par value
85,503,302 shares issued & outstanding (85,453,302 in 2010)
Additional paid in capital
Deficit accumulated during development stage
Cumulative foreign currency translation adjustment
Total stockholders' equity
TOTAL LIABILITIES & STOCKHOLDERS' EQUITY
AXION POWER INTERNATIONAL, INC.
CONSOLIDATED STATEMENTS OF OPERATIONS
(A Development Stage Company)
Three Months Ended
Six Months Ended
Costs and expenses
Research & development
Selling, general &
Interest expense - related
Impairment of assets
Mega C Trust share
Interest & other income
Loss before income taxes
Less preferred stock dividends
Net loss applicable to
Basic and diluted net loss per