Puradyn Filter Technologies Incorporated (OTCMKTS:PFTI) was one of the biggest gainers in Tuesday’s session without any news. Recently, the company announced its financial results for the second quarter of 2019.
Q2 2019 Revenue Results
The company reported a 59% decrease in net sales from around $1.15 million in Q2 2018 to around $468,525. Equally net sales in the first half of the year declined 53% from $around $2.04 million last year to $951, 518. The decline in sales was mainly attributed to some delays in customer orders because of the rapid decline in market certainty. The drop is also a result of the volatility of oil prices in the market especially in the gas and oil segment which began late last year and continued to the just-ended quarter.
Puradyn reported a net loss of $361,528 or $0.01 per share in the quarter relative to net income of $8,872 or $0.00 per share in Q2 2018.
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The CEO of Puradyn, Ed Vittoria, indicated the Q2 results were hit by delays of expected orders from current and prospective customers in the pressure pumping and drilling segments. He added that the segments are facing volatility and uncertainty which led to delays in capital expenditures. The CEO indicated that the company has made progress in other segments such as power generation, midstream, and marine which will enhance the diversification of the company’s business.
Revenues continued to be affected negatively because of delays in orders from customers in the Gas &Oil category because of downward market trends. The company has indicated that although they are optimistic that the orders will finally be received it is still hard to predict when that will happen.
Puradyn has indicated that it is almost completing trials by two leading customers in the midstream segment. This will lead to company receiving orders towards the end of the year. It could also open the company’s product viability throughout the segment. The company secured a major inland marine customer who will begin equipping the whole fleet in Q3. Puradyn also succeeded in securing a leading government contractor responsible for maintenance of generators at US military operations