DayStar Technologies: 2012 First Quarter Financial Results
Union City, California - DayStar Technologies, Inc., announced financial results for its first quarter ended March 31, 2012.
Net loss for the first quarter of 2012 was $0.9 million or $0.66 per share, compared with a net loss of $0.4 million or $0.34 per share in the first quarter of 2011. The per share losses were calculated on the weighted average common shares outstanding of 1.4 and 1.1 million for the first quarter ended March 31, 2012 and 2011, respectively. The average shares outstanding and loss per share for the quarter ended March 31, 2012 and 2011 reflect the 1-for-7 reverse stock split implemented by DayStar on April 5, 2012. DayStar's common stock began trading on the NASDAQ Capital Market on a split adjusted basis on April 9, 2012.
Research and development expenses for the quarter ended March 31, 2012 were $0.2 million compared with $0.6 million for the quarter ended March 31, 2011. Selling, general and administrative expenses for the quarter ended March 31, 2012 were $0.3 million compared with $1.2 million for the quarter ended March 31, 2011. Research and development expenses and selling, general and administrative expenses reflect the cost savings measures implemented by the Company as well as lower share based compensation expenses. Additionally, the net loss for the quarter ended March 31, 2011 included $0.9 million of non-cash restructuring charges and $0.7 million for amortization of the discount on outstanding convertible notes. During the first quarter of 2011, the Company recorded a gain on derivative liabilities of $3.7 million related to the reduction in the conversion feature liability on the Company's balance sheet, which significantly reduced the net loss for the quarter.
About DayStar Technologies, Inc.
DayStar Technologies, Inc. is engaged in the development of solar photovoltaic products based upon CIGS thin film deposition technology and is currently embarked on a strategy in which it is seeking strategic partnerships to advance its technology and enter new markets within the global renewal energy industry. For more information, visit the DayStar website at http://www.daystartech.com.
This press release contains forward-looking statements within the meaning of the U.S. Private Securities Litigation Reform Act of 1995. Any statements in this release regarding our business that are not historical facts may be considered "forward-looking statements." The forward-looking statements in this press release are based on information available at the time the statements are made and management's belief as of that time with respect to future events and involve substantial risks and uncertainties that could cause actual results and outcomes to be materially different. Such forwardlooking statements include statements regarding the expected benefits of restructuring measures and prospective fundraising and potential strategic partnership efforts. Forward-looking statements are based on management's current preliminary expectations and are subject to risks and uncertainties, which may cause our results to differ materially and adversely from the statements contained herein. Some of the potential risks and uncertainties include our ability to raise substantial additional capital in the short term, our ability to achieve favorable outcomes in pending litigation, our ability to continue our business as a going concern, our ability to execute our business plan, our ability to continue our debt reduction programs, and such other risks and uncertainties detailed in our annual report on Form 10-K for the year ended December 31, 2011, our quarterly reports on Form 10-Q, and other filings made with the Securities and Exchange Commission. Undue reliance should not be placed on forward-looking statements, which speak only as of the date they are made. We undertake no obligation to update any forward-looking statements to reflect new information, events or circumstances after the date they are made, or to reflect the occurrence of unanticipated events.
DayStar Technologies, Inc.
Christopher T. Lail
Chief Financial Officer