Envirogen Reports Improved First Quarter

Apr 24, 2001, 01:00 ET from Envirogen, Inc.

    LAWRENCEVILLE, N.J., April 24 /PRNewswire Interactive News Release/ --
 Envirogen, Inc. (Nasdaq:   ENVG) announced revenues increased to $4,823,000 for
 the three months ended March 31, 2001 as compared to revenues of $4,431,000 in
 the first quarter of 2000.  Net Loss for the current period was reduced to
 $166,000 as compared to a Net Loss of $542,000 in the prior year first
 quarter.  Net Loss per share was $.04 in the current period and $.14 in the
 first quarter of 2000.
     Robert S. Hillas, President and CEO, stated, "Envirogen made progress
 across the board in the first quarter.  Each of the Commercial operations
 performed above budget on the bottom line and all, except Wisconsin, also
 compared favorably to the first quarter of 2000.  On a combined basis,
 revenues from Commercial operations improved 19% to $4,555,000 in the first
 quarter of 2001 as compared to $3,823,000 in the first quarter of 2000.  Gross
 profit from Commercial operations rose 40% to $947,000 in the first quarter of
 2001 from $677,000 in the first quarter of 2000."
     "Envirogen announced at the beginning of the quarter, that it had been
 awarded a contract to supply the U.S. Army with a fluidized bed reactor to
 treat water contaminated by ammonium perchlorate.  I'm pleased to report that
 field assembly of the system began in late January and was completed in mid-
 February.  By mid-March, the system was treating all available water and more
 than meeting required contaminant destruction levels.  This performance
 further buttresses our claim that Envirogen offers the most cost effective,
 field proven treatment technology for groundwater contaminated by ammonium
 perchlorate."
     "While revenue from Research and Development services declined to $268,000
 in the first quarter of 2001 from $609,000 reported in the first quarter of
 2000, it has been stable for the last two quarters.  For the balance of 2001,
 quarterly revenues attributable to Research and Development services are
 expected to rise modestly, and losses should decline accordingly.  The
 reduction in Research and Development revenue in the first quarter of 2001
 resulted in a corresponding $182,000 decrease in gross profit from this
 activity for the current quarter as compared to the first quarter of 2000."
     Envirogen reported a Net Loss before Taxes of $377,000 for the current
 quarter, 30% lower than the $542,000 Net Loss before Taxes reported in the
 first quarter of 2000.  The sale of a portion of the accumulated state tax
 operating loss carryforwards reduced the Net Loss for the current period to
 $166,000, a 69% reduction of the $542,000 Net Loss reported in the first
 quarter of 2000.
     Results for the quarter will be discussed on Wednesday April 25, 2001 at
 10 a.m. EDT.  Anyone wishing to participate in the conference call may dial
 (800) 860-2442 and reference Envirogen/Robert Hillas.  Replay of the
 conference call will be available after 1 p.m. EDT on April 25 until
 11:30 p.m. EDT on May 2, 2001 by calling Chorus Call at 1-877-344-7529 and
 entering 943 for the account number and 231915 for the conference number.
 
     Envirogen is a broad-based environmental systems and services company
 providing its customers with the maximum benefit per dollar spent for
 environmental protection.  Through the application of its industry leading
 technologies, Envirogen provides cost-effective means to remove pollution from
 the air, water and soil.
 
     Statements made in this press release related to future revenues and
 prospects for Envirogen are forward-looking and are made pursuant to the safe
 harbor provisions of the Securities Litigation Reform Act of 1995.  Such
 statements involve risks and uncertainties that may cause results to differ
 materially from those set forth in these statements.  Additional economic,
 competitive, governmental, technological, marketing and other factors
 identified in Envirogen's filings with the Securities and Exchange Commission
 could affect such results.
 
      For further information, contact:
 
          Mark J. Maten                  Envirogen, Inc.
          Chief Financial Officer        Princeton Research Center
          609-936-9300                   4100 Quakerbridge Road
          www.envirogen.com              Lawrenceville, NJ 08648
 
 
                                ENVIROGEN, INC.
                     CONSOLIDATED STATEMENTS OF OPERATIONS
                                  (Unaudited)
 
                                                Three Months Ended
                                                     March 31,
                                          2001                     2000
 
       Revenues:
        Commercial operations          $4,554,511               $3,822,630
        Research and development
         services                         268,285                  608,815
 
           Total revenues               4,822,796                4,431,445
 
       Cost of commercial operations    3,607,034                3,145,802
       Research and development
        costs                             448,428                  606,743
       Marketing, general and
        administrative expenses         1,182,939                1,264,179
 
           Total costs and
            expenses                    5,238,401                5,016,724
 
       Other income (expense):
        Interest income                    40,294                   46,580
        Interest expense                   (1,539)                  (3,263)
        Other, net                                                      66
 
           Other income, net               38,755                   43,383
 
       Loss before income taxes          (376,850)                (541,896)
 
       Benefit from income tax            210,790
 
       Net loss                         ($166,060)               ($541,896)
 
 
       Basic and diluted net loss
        per share                          ($0.04)                  ($0.14)
 
       Weighted average number of
        shares of Common Stock used in
        computing basic and diluted net
        loss per share                   3,982,013                3,966,390
 
 
                                   ENVIROGEN, INC.
                             CONSOLIDATED BALANCE SHEETS
 
                                                  March 31,        December 31,
                                                    2001              2000
                                                 (Unaudited)        (Audited)
       ASSETS
       Current assets:
            Cash and cash equivalents             $2,653,585        $3,826,006
            Accounts receivable, net               4,604,664         4,058,523
            Unbilled revenue                       2,012,201         2,170,510
            Prepaid expenses and other
             current assets                          345,564           300,908
                 Total current assets              9,616,014        10,355,947
 
       Property and equipment, net                   898,883           957,335
       Intangible assets, net                        726,567           768,141
       Other assets                                  177,730           184,873
 
                 Total assets                    $11,419,194       $12,266,296
 
       LIABILITIES
       Current liabilities:
            Accounts payable                      $2,013,429        $2,508,738
            Accrued expenses and other
             liabilities                             850,875         1,064,653
            Reserve for claim adjustments
             and warranties                        3,125,007         3,210,622
            Deferred revenue                         452,034           354,222
            Current portion of long-term
             note payable                              5,100             5,038
                 Total current liabilities         6,446,445         7,143,273
 
       Long-term note payable, net of
        current portion                               10,086            11,800
                 Total liabilities                 6,456,531         7,155,073
 
       Commitments and contingencies
 
       STOCKHOLDERS' EQUITY
       Common stock, $.01 par value
        (50,000,000 shares
           authorized; 3,995,122 and
            3,982,353 issued at
           March 31, 2001 and December 31,
            2000, respectively)                       39,951            39,824
       Additional paid-in capital                 59,813,491        59,796,118
       Accumulated deficit                       (54,884,829)      (54,718,769)
       Less:  Treasury stock, at cost
        (9,917 shares at
           March 31, 2001 and December 31,
            2000)                                     (5,950)           (5,950)
                 Total stockholders' equity        4,962,663         5,111,223
 
                 Total liabilities and
                  stockholders' equity           $11,419,194       $12,266,296
 
                     MAKE YOUR OPINION COUNT -  Click Here
                http://tbutton.prnewswire.com/prn/11690X42767323
 
 

SOURCE Envirogen, Inc.
    LAWRENCEVILLE, N.J., April 24 /PRNewswire Interactive News Release/ --
 Envirogen, Inc. (Nasdaq:   ENVG) announced revenues increased to $4,823,000 for
 the three months ended March 31, 2001 as compared to revenues of $4,431,000 in
 the first quarter of 2000.  Net Loss for the current period was reduced to
 $166,000 as compared to a Net Loss of $542,000 in the prior year first
 quarter.  Net Loss per share was $.04 in the current period and $.14 in the
 first quarter of 2000.
     Robert S. Hillas, President and CEO, stated, "Envirogen made progress
 across the board in the first quarter.  Each of the Commercial operations
 performed above budget on the bottom line and all, except Wisconsin, also
 compared favorably to the first quarter of 2000.  On a combined basis,
 revenues from Commercial operations improved 19% to $4,555,000 in the first
 quarter of 2001 as compared to $3,823,000 in the first quarter of 2000.  Gross
 profit from Commercial operations rose 40% to $947,000 in the first quarter of
 2001 from $677,000 in the first quarter of 2000."
     "Envirogen announced at the beginning of the quarter, that it had been
 awarded a contract to supply the U.S. Army with a fluidized bed reactor to
 treat water contaminated by ammonium perchlorate.  I'm pleased to report that
 field assembly of the system began in late January and was completed in mid-
 February.  By mid-March, the system was treating all available water and more
 than meeting required contaminant destruction levels.  This performance
 further buttresses our claim that Envirogen offers the most cost effective,
 field proven treatment technology for groundwater contaminated by ammonium
 perchlorate."
     "While revenue from Research and Development services declined to $268,000
 in the first quarter of 2001 from $609,000 reported in the first quarter of
 2000, it has been stable for the last two quarters.  For the balance of 2001,
 quarterly revenues attributable to Research and Development services are
 expected to rise modestly, and losses should decline accordingly.  The
 reduction in Research and Development revenue in the first quarter of 2001
 resulted in a corresponding $182,000 decrease in gross profit from this
 activity for the current quarter as compared to the first quarter of 2000."
     Envirogen reported a Net Loss before Taxes of $377,000 for the current
 quarter, 30% lower than the $542,000 Net Loss before Taxes reported in the
 first quarter of 2000.  The sale of a portion of the accumulated state tax
 operating loss carryforwards reduced the Net Loss for the current period to
 $166,000, a 69% reduction of the $542,000 Net Loss reported in the first
 quarter of 2000.
     Results for the quarter will be discussed on Wednesday April 25, 2001 at
 10 a.m. EDT.  Anyone wishing to participate in the conference call may dial
 (800) 860-2442 and reference Envirogen/Robert Hillas.  Replay of the
 conference call will be available after 1 p.m. EDT on April 25 until
 11:30 p.m. EDT on May 2, 2001 by calling Chorus Call at 1-877-344-7529 and
 entering 943 for the account number and 231915 for the conference number.
 
     Envirogen is a broad-based environmental systems and services company
 providing its customers with the maximum benefit per dollar spent for
 environmental protection.  Through the application of its industry leading
 technologies, Envirogen provides cost-effective means to remove pollution from
 the air, water and soil.
 
     Statements made in this press release related to future revenues and
 prospects for Envirogen are forward-looking and are made pursuant to the safe
 harbor provisions of the Securities Litigation Reform Act of 1995.  Such
 statements involve risks and uncertainties that may cause results to differ
 materially from those set forth in these statements.  Additional economic,
 competitive, governmental, technological, marketing and other factors
 identified in Envirogen's filings with the Securities and Exchange Commission
 could affect such results.
 
      For further information, contact:
 
          Mark J. Maten                  Envirogen, Inc.
          Chief Financial Officer        Princeton Research Center
          609-936-9300                   4100 Quakerbridge Road
          www.envirogen.com              Lawrenceville, NJ 08648
 
 
                                ENVIROGEN, INC.
                     CONSOLIDATED STATEMENTS OF OPERATIONS
                                  (Unaudited)
 
                                                Three Months Ended
                                                     March 31,
                                          2001                     2000
 
       Revenues:
        Commercial operations          $4,554,511               $3,822,630
        Research and development
         services                         268,285                  608,815
 
           Total revenues               4,822,796                4,431,445
 
       Cost of commercial operations    3,607,034                3,145,802
       Research and development
        costs                             448,428                  606,743
       Marketing, general and
        administrative expenses         1,182,939                1,264,179
 
           Total costs and
            expenses                    5,238,401                5,016,724
 
       Other income (expense):
        Interest income                    40,294                   46,580
        Interest expense                   (1,539)                  (3,263)
        Other, net                                                      66
 
           Other income, net               38,755                   43,383
 
       Loss before income taxes          (376,850)                (541,896)
 
       Benefit from income tax            210,790
 
       Net loss                         ($166,060)               ($541,896)
 
 
       Basic and diluted net loss
        per share                          ($0.04)                  ($0.14)
 
       Weighted average number of
        shares of Common Stock used in
        computing basic and diluted net
        loss per share                   3,982,013                3,966,390
 
 
                                   ENVIROGEN, INC.
                             CONSOLIDATED BALANCE SHEETS
 
                                                  March 31,        December 31,
                                                    2001              2000
                                                 (Unaudited)        (Audited)
       ASSETS
       Current assets:
            Cash and cash equivalents             $2,653,585        $3,826,006
            Accounts receivable, net               4,604,664         4,058,523
            Unbilled revenue                       2,012,201         2,170,510
            Prepaid expenses and other
             current assets                          345,564           300,908
                 Total current assets              9,616,014        10,355,947
 
       Property and equipment, net                   898,883           957,335
       Intangible assets, net                        726,567           768,141
       Other assets                                  177,730           184,873
 
                 Total assets                    $11,419,194       $12,266,296
 
       LIABILITIES
       Current liabilities:
            Accounts payable                      $2,013,429        $2,508,738
            Accrued expenses and other
             liabilities                             850,875         1,064,653
            Reserve for claim adjustments
             and warranties                        3,125,007         3,210,622
            Deferred revenue                         452,034           354,222
            Current portion of long-term
             note payable                              5,100             5,038
                 Total current liabilities         6,446,445         7,143,273
 
       Long-term note payable, net of
        current portion                               10,086            11,800
                 Total liabilities                 6,456,531         7,155,073
 
       Commitments and contingencies
 
       STOCKHOLDERS' EQUITY
       Common stock, $.01 par value
        (50,000,000 shares
           authorized; 3,995,122 and
            3,982,353 issued at
           March 31, 2001 and December 31,
            2000, respectively)                       39,951            39,824
       Additional paid-in capital                 59,813,491        59,796,118
       Accumulated deficit                       (54,884,829)      (54,718,769)
       Less:  Treasury stock, at cost
        (9,917 shares at
           March 31, 2001 and December 31,
            2000)                                     (5,950)           (5,950)
                 Total stockholders' equity        4,962,663         5,111,223
 
                 Total liabilities and
                  stockholders' equity           $11,419,194       $12,266,296
 
                     MAKE YOUR OPINION COUNT -  Click Here
                http://tbutton.prnewswire.com/prn/11690X42767323
 
 SOURCE  Envirogen, Inc.