Exhibit 99.1
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|
BIOHITECH GLOBAL, Inc.
80 Red Schoolhouse Road, Suite 101
Chestnut Ridge, NY 10977
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BIOHITECH GLOBAL REPORTS FIRST
QUARTER 2021
FINANCIAL RESULTS AND PROVIDES
CORPORATE UPDATE
Conference Call to be held Monday, May 17,
2021 at 4:30pm
CHESTNUT RIDGE, NY – May 17, 2021
– BioHiTech Global, Inc. (“BioHiTech” or the “Company”) (NASDAQ: BHTG), a sustainable technology and services
company, today announces financial results for its fiscal first quarter ending March 31, 2021.
Q1 2020 Financial Highlights
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•
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Total Revenues of $3.0 million increased 124% over the first
quarter of 2020 and 21% over the fourth quarter of 2020. Q1 2021 revenues mark a new quarterly high since the Company went public in
2015.
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•
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Revenues from equipment sales of $2.3 million increased 602%
over the first quarter of 2020 and 37% over the fourth quarter of 2020.
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Corporate Highlights Q1 2021
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•
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March 2021 - BioHiTech received approximately $1.8 million
in new food waste digester orders from Carnival Corporation extending into new brands and geographies, including UK-based Cunard and
Italy-based Costa Group.
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•
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January 2021 - BioHiTech receives approximately $2.0 million
in new food waste digester orders for ships from Carnival Cruise Lines and Princess Cruises.
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Tony Fuller, BioHiTech’s CEO commented:
“We have maintained the momentum from 2020 and continue to drive our efforts to grow revenue, and reduce expenses across both of
our complementary waste solutions. Our first quarter revenue of over $3 million marked a new quarterly record high since BioHiTech became
public in 2015. This growth was largely driven by digester purchases by Carnival Corporation.
“The value proposition of our Revolution
Series Digesters to the diverse array of clients we serve and industries we are targeting can result in a substantial reduction in costs
by eliminating the transportation and logistics expenses associated with food waste disposal. The greenhouse gases associated with food
waste transportation and decomposition in landfills that have been linked to climate change are reduced. Our digester data analytics
platform also provides real-time waste transparency which attacks the problem of food waste at its inception. This can provide even greater
savings opportunities through up-stream changes in purchasing, handling, and food preparation, reducing food waste at its source.
“Our clients continue to realize the strong
value that our products and services offer. We are confident that our efforts to expand into additional industries are on track to yield
results in the coming quarters.
“We continue to be encouraged by our growing
presence within in the cruise industry with Carnival Corp., the world’s largest cruise company, whom we consider to be an environmental
leader. We are actively pursuing others in the maritime industry and beyond, companies whom we believe have the same goals to reduce
food waste and responsibly dispose of the food that ends up in waste streams.
“Finally, we continue to pursue avenues
for growth at our renewable energy plant in Martinsburg, West Virginia. Our proprietary High Efficiency Biological Treatment technology
remains a key driver of BioHiTech’s future growth and we are excited at the prospects for future additional plants. Our efforts
to innovate the development of alternative uses for our solid recovered fuel (SRF) continue and remain a key element of our growth strategies
in 2021. We are exploring the development of further uses for our SRF such as fuel for gasification and as a feedstock for bioplastics.
Our prospects for growth remain strong and we look forward to reporting on further developments in the coming quarters,” concluded
Mr. Fuller.
Financial Results for the Quarter ended March
31, 2021
The Company continued its revenue growth in the
quarter ended March 31, 2021 with total revenues of $3.0 million increasing 21% over the fourth quarter of 2020 and 124% over the comparative
first quarter of 2020.
The overall contribution rate (revenues, less
direct costs) increased to 29% in the first quarter of 2021, as compared to 20% in the fourth quarter of 2020 and 10% in the comparative
first quarter of 2020. Selling, general and administrative expenses as a percentage of revenues decreased to 54% in the first quarter
of 2021, as compared to 115% in the fourth quarter of 2020 and 141% in the comparative first quarter of 2020. The loss from operations
as a percentage of revenue decreased to 42% in in the first quarter of 2021, as compared to 120% in the fourth quarter of 2020 and 176%
in the comparative first quarter of 2020.
The Company continues to achieve growth in the
Digester and Corporate line of business that has most recently been driven by sales to Carnival Cruise Lines such that the first quarter
the operating loss was driven down to $184,000 from $1.0 million during the fourth quarter of 2020 and $1.3 million during the comparative
first quarter of 2020.
During the first quarter of 2021 revenues at
the HEBiot facility were $353,000, a decrease of $138,000, which was offset by a $135,000 decrease in direct costs, as compared to the
comparative first quarter in 2020; as compared to the fourth quarter of 2020, the decrease in revenues of $142,000 was partially offset
by a decrease of $116,000 in direct costs. The Company has been hindered in growth at the HEBioT plant in Martinsburg West Virginia resulting
from mechanical challenges during 2020 and constraints on our primary solid recovered fuel (“SRF”) customer’s ability
to accept SRF due to its closures resulting from COVID-19 and subsequent refiring difficulties at their kiln that have only recently
been partially resolved. In each of the current, sequential and comparative quarters there was a negative contribution, which when combined
with the other operating expenses resulted in an operating loss of $1.1 million, $2.0 million and $1.1 million during the first quarter
of 2021, fourth quarter of 2020 and first quarter of 2020.
For the three months ended March 31, 2021, the
Company had a consolidated net loss of $2.3 million, incurred a consolidated loss from operations of $1.3 million and used net cash in
consolidated operating activities of $1.9 million.
At March 31, 2021, unrestricted cash was $7.3
million.
Conference Call to be held Monday, May 17,
2021 at 4:30 PM ET
Mr. Tony Fuller, Chief Executive Officer
of BioHiTech, will host a conference call on Monday, May 17, 2021 at 4:30 p.m. EDT to discuss the Company's financial
results for the first quarter ended March 31, 2021. Also joining Mr. Fuller on the call from management will be Brian Essman,
Chief Financial Officer. Following management’s formal remarks, there will be a live question-and-answer session.
Participants are asked to pre-register for the
call via the following link:
https://dpregister.com/sreg/10156542/e88cc827b8
Please note that registered participants will
receive their dial-in number upon registration and will dial directly into the call without delay. Those without Internet access or who
are unable to pre-register may dial in by calling 1-866-652-5200 (domestic) or 1-412-317-6060 (international). All callers should dial
in approximately 10 minutes prior to the scheduled start time and ask to be joined into the BioHiTech Global call.
The conference call will be available through
a live webcast found here:
A webcast replay of the call will be available
approximately one hour after the end of the call through August 17, 2021. The webcast replay can be accessed through the above links
or by calling 1-877-344-7529 (domestic) or 1-412-317-0088 (international) and using access code 10153619. A telephonic replay of the
call will be available through May 31, 2021.
About BioHiTech Global
BioHiTech Global, Inc. (NASDAQ: BHTG), is a technology
services company focused on providing cost-effective solutions that improve environmental outcomes. Our technologies for waste management
include the patented processing of municipal solid waste into a valuable renewable fuel, biological disposal of food waste on-site, and
proprietary real-time data analytics tools to reduce food waste generation. When used individually or in combination, our solutions lower
the carbon footprint associated with waste transportation and can reduce or virtually eliminate landfill usage. In addition, we distribute
a patented technology that achieves high-level disinfection of spaces such as classrooms, hotel or hospital rooms and other enclosed
areas to combat the spread of viruses and bacteria without the use of harsh chemicals. Our unique solutions enable businesses, educational
institutions and municipalities of all sizes to solve everyday problems in a smarter and more cost-effective way while reducing their
impact on the environment. For more information, please visit www.biohitech.com.
Forward Looking Statements
Statements in this document contain certain forward-looking
statements within the meaning of Section 27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934, as
amended. These statements, including statements about the estimated contract value, additional purchase orders or deliveries, and the
ability of the Company’s products to improve environmental outcomes and achieve corporate sustainability goals, are based on many
assumptions and estimates and are not guarantees of future performance. These statements may involve known and unknown risks, uncertainties
and other factors which may cause the actual results, performance or achievements of BioHiTech Global, Inc. to be materially different
from future results, performance or achievements expressed or implied by such forward-looking statements. BioHiTech Global, Inc. assumes
no obligation to publicly update or revise these forward-looking statements for any reason, or to update the reasons actual results could
differ materially from those anticipated in these forward-looking statements, even if new information becomes available in the future.
Our actual results may differ materially from the results anticipated in these forward-looking statements due to a variety of factors,
including, without limitation those set forth as "Risk Factors" in our filings with the Securities and Exchange Commission
("SEC"). There may be other factors not mentioned above or included in the BioHiTech's SEC filings that may cause actual results
to differ materially from those projected in any forward-looking statement. BioHiTech Global, Inc. assumes no obligation to update any
forward-looking statements as a result of new information, future events or developments, except as required by securities laws.
Company Contact:
BioHiTech Global, Inc.
Lisa Giovannielli
VP, Corporate Communications
O: 888.876.9300
E: lgiovannielli@biohitech.com
Investors:
ir@biohitech.com
Financial Tables Follow
BioHiTech Global, Inc. and Subsidiaries
Condensed Consolidated Statements of
Operations and Comprehensive Loss (Unaudited)
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Three Months Ended
March 31,
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2021
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2020
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Revenue
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|
|
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Equipment sales
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$
|
2,266,513
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|
$
|
323,116
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Rental, service and maintenance
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421,229
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471,093
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HEBioT
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352,548
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490,132
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Management advisory and other fees (related entity)
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-
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75,000
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Total revenue
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3,040,290
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1,359,341
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Operating expenses
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|
|
|
|
|
|
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Equipment sales
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1,236,016
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|
|
|
146,404
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Rental, service and maintenance
|
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255,709
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|
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260,835
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HEBioT processing
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677,277
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|
|
812,427
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Selling, general and administrative
|
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1,645,957
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|
|
|
1,918,423
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Depreciation and amortization
|
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501,833
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|
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|
615,202
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|
Total operating expenses
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|
4,316,792
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|
|
|
3,753,291
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|
Loss from operations
|
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|
(1,276,502
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)
|
|
|
(2,393,950
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)
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|
Other (income) expenses
|
|
|
|
|
|
|
|
|
|
Interest income
|
|
|
(187
|
)
|
|
|
(12,267
|
)
|
|
Interest expense
|
|
|
1,028,405
|
|
|
|
1,012,291
|
|
|
Loss from unconsolidated entity
|
|
|
30,003
|
|
|
|
-
|
|
|
Total other (income) expenses
|
|
|
1,058,221
|
|
|
|
1,000,024
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|
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Net loss
|
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|
(2,334,723
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)
|
|
|
(3,393,974
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)
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|
Net loss attributable to non-controlling interests
|
|
|
(700,510
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)
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|
|
(822,677
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)
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|
Net loss attributable to Parent
|
|
|
(1,634,213
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)
|
|
|
(2,571,297
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)
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|
Other comprehensive income (loss)
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Foreign currency translation adjustment
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(10,675
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)
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|
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(28,699
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)
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|
Comprehensive loss
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|
$
|
(1,644,888
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)
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|
$
|
(2,599,996
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)
|
|
|
|
|
|
|
|
|
|
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|
Net loss attributable to Parent
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|
$
|
(1,634,213
|
)
|
|
$
|
(2,571,297
|
)
|
|
Preferred stock dividends
|
|
|
(182,855
|
)
|
|
|
(177,373
|
)
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|
Net loss attributable to common shareholders
|
|
|
(1,817,068
|
)
|
|
|
(2,748,670
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)
|
|
Net loss per common share - basic and diluted
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$
|
(0.07
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)
|
|
$
|
(0.16
|
)
|
|
Weighted average number of common shares outstanding - basic and diluted
|
|
|
24,320,618
|
|
|
|
17,376,507
|
|
BioHiTech Global, Inc. and Subsidiaries
Condensed Consolidated Balance Sheets
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March 31,
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2021
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|
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December 31,
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(Unaudited)
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2020
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Assets
|
|
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Current Assets
|
|
|
|
|
|
|
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Cash
|
|
$
|
7,314,056
|
|
|
$
|
2,403,859
|
|
|
Restricted cash
|
|
|
1,884,813
|
|
|
|
1,884,691
|
|
|
Accounts receivable, net of allowance for doubtful accounts of $166,535 and $151,459 as of March 31, 2021 and December 31, 2020, respectively
|
|
|
1,677,354
|
|
|
|
1,574,047
|
|
|
Inventory
|
|
|
1,193,463
|
|
|
|
695,110
|
|
|
Prepaid expenses and other current assets
|
|
|
324,779
|
|
|
|
184,274
|
|
|
Total Current Assets
|
|
|
12,394,465
|
|
|
|
6,741,981
|
|
|
Restricted cash
|
|
|
2,608,009
|
|
|
|
2,607,945
|
|
|
Equipment on operating leases, net
|
|
|
1,191,984
|
|
|
|
1,311,755
|
|
|
HEBioT facility, equipment, fixtures and vehicles, net
|
|
|
35,514,942
|
|
|
|
35,946,225
|
|
|
License and capitalized MBT facility development costs
|
|
|
8,067,116
|
|
|
|
8,072,471
|
|
|
Other assets
|
|
|
1,950,121
|
|
|
|
2,006,048
|
|
|
Total Assets
|
|
$
|
61,726,637
|
|
|
$
|
56,686,425
|
|
|
|
|
|
|
|
|
|
|
|
|
Liabilities and Stockholders' Equity
|
|
|
|
|
|
|
|
|
|
Current Liabilities
|
|
|
|
|
|
|
|
|
|
Accounts payable
|
|
$
|
2,835,138
|
|
|
$
|
2,492,606
|
|
|
Accrued expenses and liabilities
|
|
|
2,052,102
|
|
|
|
2,515,724
|
|
|
Accrued interest payable
|
|
|
692,783
|
|
|
|
1,279,018
|
|
|
Customer deposits
|
|
|
2,581,184
|
|
|
|
1,802,725
|
|
|
Current and current portion of notes, bonds, debts and borrowings
|
|
|
11,155,926
|
|
|
|
10,120,457
|
|
|
Deferred revenue
|
|
|
131,095
|
|
|
|
138,961
|
|
|
Total Current Liabilities
|
|
|
19,448,228
|
|
|
|
18,349,491
|
|
|
Noncurrent and noncurrent portion of notes, bonds, debts and borrowings
|
|
|
28,749,479
|
|
|
|
29,645,227
|
|
|
Accrued interest (related party)
|
|
|
1,814,264
|
|
|
|
1,807,857
|
|
|
Non-current lease liabilities
|
|
|
1,174,385
|
|
|
|
1,216,861
|
|
|
Liabilities to non-controlling interests to be settled in subsidiary membership units
|
|
|
-
|
|
|
|
1,585,812
|
|
|
Total Liabilities
|
|
|
51,186,356
|
|
|
|
52,605,248
|
|
|
Series A redeemable convertible preferred stock, 333,401 shares designated and issued, and 95,312 and 125,312 outstanding as of March 31, 2021 and December 31, 2020, respectively
|
|
|
476,560
|
|
|
|
626,553
|
|
|
Commitments and Contingencies
|
|
|
|
|
|
|
|
|
|
Stockholders' Equity
|
|
|
|
|
|
|
|
|
|
Preferred stock, $0.0001 par value; 10,000,000 shares authorized; 3,209,210 designated; 1,936,214 issued; 807,192 and 848,292 outstanding as of March 31, 2021 and December 31, 2020, respectively:
|
|
|
5,756,272
|
|
|
|
6,621,576
|
|
|
Common stock, $0.0001 par value, 50,000,000 shares authorized, 28,057,379 and 23,354,130 shares issued and outstanding as of March 31, 2021 and December 31, 2020, respectively
|
|
|
2,806
|
|
|
|
2,334
|
|
|
Additional paid in capital
|
|
|
68,897,016
|
|
|
|
60,253,664
|
|
|
Accumulated deficit
|
|
|
(66,463,851
|
)
|
|
|
(64,419,802
|
)
|
|
Accumulated other comprehensive (loss)
|
|
|
(154,489
|
)
|
|
|
(143,814
|
)
|
|
Stockholders’ equity attributable to Parent
|
|
|
8,037,754
|
|
|
|
2,313,958
|
|
|
Stockholders’ equity attributable to non-controlling interests
|
|
|
2,025,967
|
|
|
|
1,140,666
|
|
|
Total Stockholders’ Equity
|
|
|
10,063,721
|
|
|
|
3,454,624
|
|
|
Total Liabilities and Stockholders’ Equity
|
|
$
|
61,726,637
|
|
|
$
|
56,686,425
|
|
BioHiTech Global, Inc. and Subsidiaries
Condensed Consolidated Statements of Cash Flows
(Unaudited)
|
|
|
Three Months Ended March 31,
|
|
|
|
|
2021
|
|
|
2020
|
|
|
Cash flows from operating activities:
|
|
|
|
|
|
|
|
|
|
Net loss
|
|
$
|
(2,334,723
|
)
|
|
$
|
(3,393,974
|
)
|
|
Adjustments to reconcile net loss to net cash used in operations:
|
|
|
|
|
|
|
|
|
|
Depreciation and amortization
|
|
|
501,833
|
|
|
|
615,202
|
|
|
Amortization of operating lease right of use assets
|
|
|
19,190
|
|
|
|
26,462
|
|
|
Provision for bad debts
|
|
|
15,000
|
|
|
|
31,119
|
|
|
Share based employee and vendor compensation
|
|
|
257,989
|
|
|
|
280,205
|
|
|
Interest resulting from amortization of financing costs and discounts
|
|
|
97,244
|
|
|
|
133,355
|
|
|
Loss from unconsolidated entity
|
|
|
30,003
|
|
|
|
-
|
|
|
Changes in operating assets and liabilities
|
|
|
(526,057
|
)
|
|
|
(207,843
|
)
|
|
Net cash used in operating activities
|
|
|
(1,939,521
|
)
|
|
|
(2,515,474
|
)
|
|
Cash flow from investing activities:
|
|
|
|
|
|
|
|
|
|
Purchases of facility, equipment, fixtures and vehicles
|
|
|
(18,402
|
)
|
|
|
(20,849
|
)
|
|
MBT facility development costs incurred
|
|
|
(26,145
|
)
|
|
|
(24,509
|
)
|
|
Net cash used in investing activities
|
|
|
(44,547
|
)
|
|
|
(45,358
|
)
|
|
Cash flows from financing activities:
|
|
|
|
|
|
|
|
|
|
Proceeds from the sales of common stock
|
|
|
6,895,618
|
|
|
|
-
|
|
|
Proceeds from the sale of Series F convertible preferred stock units
|
|
|
-
|
|
|
|
1,495,450
|
|
|
Repayments of long-term debt
|
|
|
(1,075
|
)
|
|
|
(1,460
|
)
|
|
Related party advances (repayments), net
|
|
|
-
|
|
|
|
1,200,000
|
|
|
Net cash provided by financing activities
|
|
|
6,894,543
|
|
|
|
2,693,990
|
|
|
Effect of exchange rate on cash (restricted and unrestricted)
|
|
|
(92
|
)
|
|
|
(33,572
|
)
|
|
Net change in cash (restricted and unrestricted)
|
|
|
4,910,383
|
|
|
|
99,586
|
|
|
Cash - beginning of period (restricted and unrestricted)
|
|
|
6,896,495
|
|
|
|
5,536,952
|
|
|
Cash - end of period (restricted and unrestricted)
|
|
$
|
11,806,878
|
|
|
$
|
5,636,538
|
|
