cyanotech corp (CYAN) Key Developments
Cyanotech Corporation and Nutrex Hawaii, Inc. Complete Loan Agreement with First Foundation Bank for $2,500,000 in Aggregate Credit Facilities
Aug 26 15
Cyanotech Corporation and Nutrex Hawaii Inc. completed a loan agreement with First Foundation Bank in Irvine, California providing for $2,500,000 in aggregate credit facilities pursuant to a term loan agreement dated July 30, 2015. The loan agreement is evidenced by a promissory note in the amount of $2,500,000, and was issued under provisions of a United States Department of Agriculture Rural Development Guarantee program. The proceeds of the loan will be used to acquire new processing equipment and leasehold improvements at its Kona, Hawaii facility. The net proceeds reflect a $500,000 advance from lender on April 21, 2015 which were used for the same purposes. The provisions of the loan include the payment of principal and interest in 84 equal installments of $36,522. Interest on the Loan accrues on the outstanding principal balance at an annual variable rate equal to the published Wall Street Journal prime rate plus 2.0% and is adjustable on the first day of each calendar quarter and fixed for that quarter. At no time shall the annual interest rate be less than 6.00%. The loan terms include a prepayment penalty of 5% for any prepayment made prior to the first anniversary of the date of the loan agreement, which penalty is reduced by 1% each year thereafter until the fifth anniversary of such date, after which there is no prepayment penalty. The loan provides for one-time origination and guaranty fees totaling $85,000 and an annual renewal fee payable in the amount of 0.50% of the USDA guaranteed portion of the outstanding principal balance as of December 31 of each year, beginning December 31, 2015. The USDA has unconditionally guaranteed 80% of all amounts owing under the loan. The Loan is secured by: a second Mortgage, Security Agreement and Financing Statement; Security Agreements and UCC Financing Statements each with the Company and Nutrex; an Assignment of Lessor's Interest in Leases and Rents; a Hazardous Substances Certificate and Indemnity Agreement; a Sublessor's Consent to Mortgage of Sublease K-4; Estoppel Certificate and Subordination Agreement; and the USDA guarantees; each of which is further subject to the terms of the loan agreement and the notes.
Cyanotech Corp. Reports Unaudited Consolidated Earnings Results for First Quarter Ended June 30, 2015
Aug 7 15
Cyanotech Corp. reported unaudited consolidated earnings results for first quarter ended June 30, 2015. For the quarter, the company reported net sales of $7,594,000 against $7,624,000 a year ago. Loss from operations was $195,000 against $1,048,000 a year ago. Loss before income tax was $219,000 against $1,073,000 a year ago. Net loss was $105,000 or $0.02 per share basic and diluted against $381,000 or $0.07 per share basic and diluted a year ago.
Cyanotech Corporation Reports Consolidated Earnings Results for the Fourth Quarter and Full Year Ended March 31, 2015
Jul 15 15
Cyanotech Corporation reported consolidated earnings results for the fourth quarter and full year ended March 31, 2015. For the fourth quarter of fiscal 2015 compared to the fourth quarter of fiscal 2014, net sales were $8,549,000 compared to $7,019,000, an increase of 22%. Operating loss for the quarter was $53,000 compared to an Operating loss of $797,000 for the same quarter last year. Net loss was $171,000 or $0.03 per diluted share, compared to a net loss of $520,000 or $0.09 per diluted share.
For fiscal 2015 compared to fiscal 2014, net sales were $33,809,000 compared to $28,178,000, an increase of 20%. Operating income for the year was $322,000 compared to an operating loss of $210,000 for fiscal 2014. The company recognized a net loss for the year of $24,000 or $0.00 per diluted share, compared to a net loss of $420,000 or $0.08 per diluted share. Income before income tax (expense) benefit was $229,000 against $328,000 a year ago.
Cyanotech Corp. announced delayed annual 10-K filing
Jun 29 15
On 06/29/2015, Cyanotech Corp. announced that they will be unable to file their next 10-K by the deadline required by the SEC.
Cyanotech Corporation Adds Astaxanthin Productivity Enhancement
Jun 12 15
Cyanotech Corporation reported that its new Astaxanthin extraction system has been installed at Cyanotech’s production facility at Kailua-Kona, Hawaii and is in operation. Astaxanthin is produced from microalgae cultivated and grown at Cyanotech’s facility in Kona, Hawaii. After harvest, the microalgae biomass historically has been shipped to the US mainland and New Zealand where the Astaxanthin has been extracted and readied for final product form before being shipped back to Hawaii. This process added several weeks to production time and significant costs. Cyanotech’s extraction system is a 1,000 bar (14,700 psi) supercritical carbon dioxide extraction system, custom built for the company by ThyssenKrupp Industrial Solutions. It is a extraction system with fewer than six other such systems in the world. The ultra-high pressure extraction will allow the company to extract Astaxanthin from Haematococcus biomass without the use of organic solvents in a much shorter time compared to lower pressure systems and result in higher yields. The extraction system has double the capacity of the company’s current production to allow for sales growth, and can be expanded to enable four times current production needs. The new building covers 13,000 square feet and includes the extraction equipment with separate biomass handling and oil blending rooms, a drive-in freezer storage area, and a warehouse complex.