Cymat Technologies Ltd. Reports Third Quarter Results and Provides Business Update

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Symbol:TSXV: CYM

MISSISSAUGA, ON, March 22, 2021 /CNW/ - Cymat Technologies Ltd. (TSXV: CYM) (the "Company" or "Cymat"). Today Cymat Technologies reported the results of their unaudited third quarter of fiscal 2021, ending January 31, 2021.

The Company is pleased to announce revenue of over $1.1 million for the quarter, an increase of more than 400% over the same period last year. The driving force behind this explosive growth is sales of Alusion^TM, Cymat's architectural aluminum foam. Cymat also anticipates increased revenue from its SmartMetal^TM division in subsequent quarters as a number of its initiatives in the automotive and military sectors appear poised to significantly advance.

Cymat is also pleased to announce that Blair Alton, a senior auto industry executive, with over 40 years experience, has joined its business development team. Blair will draw upon his extensive contacts in the automotive manufacturing community to tout the capabilities of SmartMetal^TM to automotive producers.

Third Quarter Highlights

• Revenue for the quarter of $1.1M, lead by architectural sales, approx. a 430% increase year over year
• Year-to-date revenue (three quarters) of $2.5M, an increase of close to 90% over the same period last year
• Positive income from operations for Q3 and for the year-to-date;
• Positive cash flow generated from year-to-date operations.

	Three Months Ended January 31			Nine Months Ended January 31
	2021	2020		2021		2020
	($)	($)		($)		($)
Interim Statements of Operations
Revenue	1,125,737	212,457		2,497,050		1,329,863
Plant operating expenses	657,497	273,792		1,321,446		1,037,333
Research and material testing expense	30,525	21,010		98,043		91,416
Selling, general and administrative expenses	432,391	419,460		1,068,721		1,495,779
Income (loss) from operations	5,324	(501,805)		8,840		(1,294,665)
Net loss	(69,950)	(536,309)		(172,413)		(1,438,983)
Cash provided by (used in) operating activities	(280,244)	(393,244)		16,565		(1,161,227)

Alusion^TM

Despite the ongoing disruption caused by Covid-19, the sales pipeline for Alusion^TM remains robust. In the final quarter of fiscal 2021, which ends April 30^th, Cymat again expects to ship in excess of $1M of Alusion^TM orders.

"In the midst of the worst outbreak of modern times, Cymat is poised to report a historical best level of annual sales," said Michael Liik, CEO of Cymat, "which I believe is a testament to our many years of effort in building Alusion^TM into an internationally recognized brand."

SmartMetal^TM - Automotive Market

Cymat continues to promote its SmartMetal^TM foam in tandem with its automotive engineering partner – Tesseract Structural Innovations Inc. Tesseract has developed a patented Uniform Deceleration Unit ("UDU") that utilizes SmartMetal^TM as a key component to manage/mitigate crash energy for vehicles. The UDU design can be adapted to protect vehicle occupants and key components - such as batteries - from a large variety of collision events.

Management is strongly convinced that the unique properties of SmartMetal^TM provide an ideal option to the automotive industry searching for light-weight and cost-effective engineering solutions.

"Our recent dialogue with the auto sector indicates to us that vehicle electrification has greatly expanded the receptiveness of OEMs to engineering solutions that employ innovative materials that dramatically reduce vehicle weight," said Michael Liik. "Blair's addition to the Cymat team is particularly timely, and we are confident in his ability to leverage his industry experience to further Cymat's engagement with this important market." 

About Cymat Technologies Ltd.

Cymat Technologies Ltd. has the global rights, through patents and established know-how, to manufacture Stabilized Aluminum Foam ("SAF"), a unique, ultra-light, cellular metallic material. The proprietary production process entails the injection of gases through a molten bath of alloyed aluminum infused with ceramic particles. The result is an advanced, lightweight, recyclable material that exhibits unique characteristics including: customizable density and dimensions; mechanical energy absorption; thermal and acoustic insulation; and time, temperature and strain-rate insensitivity. A key benefit of this continuous foam production process is its scalability and resultant low cost of production. SAF is used in such industries as architectural design, military and automotive. Cymat markets its architectural SAF under the Alusion^TM brand and its automotive and military SAF under the SmartMetal^TM brand. For further information , please visit our website at https://www.cymat.com. 

Certain information set forth in this news release may contain forward-looking statements that involve substantial known and unknown risks and uncertainties. All statements other than statements of historical fact are forward-looking statements, including, without limitation, statements regarding future financial position, business strategy, use of proceeds, corporate vision, proposed acquisitions, partnerships, joint-ventures and strategic alliances and co-operations, budgets, cost and plans and objectives of or involving the Company. Such forward-looking information reflects management's current beliefs and is based on information currently available to management. Often, but not always, forward-looking statements can be identified by the use of words such as "plans", "expects", "is expected", "budget", "scheduled", "estimates", "forecasts", "predicts", "intends", "targets", "aims", "anticipates" or "believes" or variations (including negative variations) of such words and phrases or may be identified by statements to the effect that certain actions "may", "could", "should", "would", "might" or "will" be taken, occur or be achieved. A number of known and unknown risks, uncertainties and other factors may cause the actual results or performance to materially differ from any future results or performance expressed or implied by the forward-looking information. These forward-looking statements are subject to numerous risks and uncertainties, certain of which are beyond the control of the Company including, but not limited to, the impact of general economic conditions, industry conditions and dependence upon regulatory approvals. Certain material assumptions regarding such forward-looking statements may be discussed in this news release and the Company's annual and quarterly management's discussion and analysis filed at www.sedar.com. Readers are cautioned that the assumptions used in the preparation of such information, although considered reasonable at the time of preparation, may prove to be imprecise and, as such, undue reliance should not be placed on forward-looking statements. The Company does not assume any obligation to update or revise its forward-looking statements, whether as a result of new information, future events, or otherwise, except as required by securities laws.

No securities regulatory authority has either approved or disapproved of the contents of this news release. The Shares have not been, nor will they be, registered under the United States Securities Act of 1933, as amended, or any state securities laws, and may not be offered or sold in the United States, or to or for the account or benefit of any person in the United States, absent registration or an applicable exemption from the registration requirements. This press release shall not constitute an offer to sell or the solicitation of an offer to buy any common shares in the United States, or in any other jurisdiction in which such offer, solicitation or sale would be unlawful. We seek safe harbour.

Neither the Toronto Venture Exchange (TSXV) nor its Market Regulator (as that term is defined in the policies of the TSXV) accepts responsibility for the adequacy or accuracy of this news release.

SOURCE Cymat Technologies Ltd.

Company Contact: Michael Liik CEO, Email: [email protected], Telephone: [phone], Website: www.cymat.com; Investor Cubed Inc.: Neil Simon, CEO, Email: [email protected], Telephone: [phone]

Related Links

http://www.cymat.com