SECURITIES AND EXCHANGE COMMISSION
WASHINGTON D. C. 20549
FORM 10-Q
Quarterly Report Under Section 13 or 15 (d)
Of the Securities Exchange Act of 1934
For the Quarter ended March 31, 2000
Commission File Number 0-10125
Radiant Technology Corporation
------------------------------
(Exact name of registrant as specified in its charter)
California 95-2800355
---------- ----------
(State or other jurisdiction of (I.R.S Employer
incorporation or organization) identification number)
1335 South Acacia Avenue, Fullerton, CA 92831
---------------------------------------------
(Address of principal executive offices)(Zip Code)
(714) 991 - 0200
----------------
(Registrant's Telephone number, including area code)
Inapplicable
------------
(Former name, former address and former fiscal year, if changed
since last report)
Indicate by check mark whether the registrant (1) has filed all reports
required to be filed by section 13 or 15 (d) of the Securities Exchange Act of
1934 during the preceding 12 months (or for such shorter period that the
registrant was required to file such reports), and (2) has been subject to such
filing requirements for the past 90 days.
Yes X No
--- ---
Indicate the number of shares outstanding of each of the issuer's classes of
common stock, as of the latest practicable date.
Common Stock, no par value 1,905,678
- -------------------------- ------------------------------------
(Class) (Outstanding at March 31, 2000)
1
<PAGE>
RADIANT TECHNOLOGY CORPORATION
INDEX
Part I Financial Information:...........................................Page No.
Condensed Balance Sheets- March 31, 2000
and September 30, 1999 (unaudited)..............................3
Condensed Statement of Operations - Three Months
Ended March 31, 2000 and 1999 (unaudited).......................4
Condensed Statement of Operations - Six Months
Ended March 31, 2000 and 1999 (unaudited).......................4
Condensed Statement of Cash Flows - Three Months
Ended March 31, 2000 and 1999 (unaudited).......................5
Condensed Statement of Cash Flows - Six Months
Ended March 31, 2000 and 1999 (unaudited).......................6
Notes to Condensed Financial Statements (unaudited)...............7
Management's Discussion and Analysis of Financial
Condition and Results of Operation..............................7
Part II Other Information
Legal Proceedings and Exhibits....................................7
Signature Page................................................... 8
2
<PAGE>
<TABLE>
RADIANT TECHNOLOGY CORPORATION
PART I FINANCIAL INFORMATION
CONDENSED BALANCE SHEETS
(UNAUDITED)
<CAPTION>
ASSETS
------
March 31, September 30,
2000 1999
-------------- --------------
<S> <C> <C>
Current Assets:
Cash $ 691,663 $ 2,384,902
Accounts Receivables - Net 1,175,379 591,306
Inventories 564,200 433,906
Deferred Income Taxes 170,000 170,000
-------------- --------------
Total Current Assets 2,601,242 3,580,114
Machinery and Equipment - Net 358,286 421,801
Other Assets 27,722 59,164
-------------- --------------
Total Assets $ 2,987,250 $ 4,061,079
============== ==============
LIABILITIES AND STOCKHOLDERS' EQUITY
------------------------------------
Current Liabilities:
Notes Payable - 1,500,000
Accounts Payable 128,320 176,123
Accrued Expenses 234,216 236,041
Customer Deposits 437,537 18,747
-------------- --------------
Total Liabilities 800,073 1,930,911
-------------- --------------
Stockholders' Equity
Common Stock, no par value 1,153,733 1,153,108
Retained Earnings 1,033,444 977,060
-------------- --------------
Total Stockholders' Equity 2,187,177 2,130,168
-------------- --------------
Total Liabilities and Stockholders' Equity $ 2,987,250 $ 4,061,079
============== ==============
</TABLE>
3
<PAGE>
<TABLE>
RADIANT TECHNOLOGY CORPORATION
PART I FINANCIAL INFORMATION-CONTINUED
CONDENSED STATEMENTS OF OPERATIONS
(UNAUDITED)
<CAPTION>
THREE MONTHS ENDED SIX MONTHS ENDED
MARCH 31, MARCH 31,
------------------------------ ------------------------------
2000 1999 2000 1999
-------------- -------------- -------------- --------------
<S> <C> <C> <C> <C>
NET SALES $ 991,211 $ 834,374 $ 1,857,389 $ 1,531,227
COST OF SALES 668,037 508,703 1,172,944 879,961
-------------- -------------- -------------- --------------
GROSS PROFIT 323,174 325,671 684,445 651,266
OPERATING EXPENSES 312,585 333,714 644,272 662,326
-------------- -------------- -------------- --------------
OPERATING INCOME/(LOSS) 10,589 (8,043) 40,173 (11,060)
OTHER INCOME - INTEREST 7,260 12,656 16,211 28,862
-------------- -------------- -------------- --------------
INCOME BEFORE PROVISION
FOR TAXES 17,849 4,613 56,384 17,802
PROVISION FOR TAXES - - - 1,215
-------------- -------------- -------------- --------------
NET INCOME $ 17,849 4,613 $ 56,384 $ 16,587
============== ============== ============== ==============
EARNINGS PER SHARE:
BASIC EARNINGS PER SHARE $ 0.01 $ 0.00 $ 0.03 $ 0.01
DILUTED EARNINGS PER SHARE $ 0.01 $ 0.00 $ 0.02 $ 0.01
WEIGHTED AVERAGE
NUMBER OF SHARES
OUTSTANDING BASIC: 1,905,678 1,895,678 1,905,678 1,895,678
OUTSTANDING DILUTED: 2,328,012 1,895,678 2,328,012 1,895,678
</TABLE>
4
<PAGE>
<TABLE>
RADIANT TECHNOLOGY CORPORATION
PART I FINANCIAL INFORMATION-CONTINUED
CONDENSED STATEMENT OF CASH FLOWS
(UNAUDITED)
<CAPTION>
THREE MONTHS ENDED
March 31,
------------------------------
2000 1999
-------------- --------------
<S> <C> <C>
Cash Flows From Operating Activities:
Net Income $ 17,849 4,613
Adjustments To Reconcile Income To Net
Cash Used In Operating Activities:
Depreciation And Amortization 30,328 5,620
Changes In Assets And Liabilities:
Accounts Receivable (13,378) (199,020)
Inventories (129,230) (127,366)
Prepaid Expenses 0 11,248
Other Assets 24,595 51,860
Accounts Payable 54,588 (36,942)
Accrued Expenses 28,906 (25,257)
Customer Deposits 290,958 13,625
Income Tax Payable 0 (11,000)
-------------- --------------
Net Cash Provided By (Used In) Operating Activities 304,616 (312,619)
-------------- --------------
Cash Flows From Investing Activities:
Purchase Of Property And Equipment 0 (6,215)
-------------- --------------
Cash Flows From Financing Activities:
Borrowing On Line Of Credit 0 100,000
Stock Issued For Cash 625 0
-------------- --------------
Net Cash Provided By Financing Activities 625 100,000
Net Increase (Decrease) In Cash 305,241 (218,834)
Cash At Beginning Of Period 386,422 2,272,112
-------------- --------------
Cash At End Of Period $ 691,663 $ 2,053,278
============== ==============
</TABLE>
5
<PAGE>
<TABLE>
RADIANT TECHNOLOGY CORPORATION
PART I FINANCIAL INFORMATION-CONTINUED
CONDENSED STATEMENT OF CASH FLOWS
(UNAUDITED)
<CAPTION>
SIX MONTHS ENDED
March 31,
------------------------------
2000 1999
-------------- --------------
<S> <C> <C>
Cash Flows From Operating Activities:
Net Income $ 56,384 $ 16,587
Adjustments To Reconcile Income To Net
Cash Used In Operating Activities:
Depreciation And Amortization 72,858 102,208
Changes In Assets And Liabilities:
Accounts Receivable (584,073) (260,302)
Inventories (130,294) (160,921)
Prepaid Expenses - (66,761)
Other Assets 31,442 53,331
Accounts Payable (47,803) 30,930
Accrued Expenses (1,825) (48,545)
Customer Deposits 418,790 (72,881)
Tax Payable - (9,785)
-------------- --------------
Net Cash Provided By (Used In) Operating Activities (184,521) (416,139)
-------------- --------------
Cash Flows From Investing Activities:
Purchase Of Property And Equipment (9,343) (58,508)
-------------- --------------
Cash Flows From Financing Activities:
Borrowing On Line Of Credit - 200,000
Stock Issued For Cash 625 -
Repayment Of Line Of Credit (1,500,000) -
-------------- --------------
Net Cash Provided By Financing Activities 1,499,375 200,000
-------------- --------------
Net Increase (Decrease) In Cash (1,693,239) (274,647)
Cash At Beginning Of Period 2,384,902 2,327,925
-------------- --------------
Cash At End Of Period $ 691,663 $ 2,053,278
============== ==============
</TABLE>
6
<PAGE>
RADIANT TECHNOLOGY CORPORATION
PART I FINANCIAL INFORMATION - CONTINUED
NOTES TO CONDENSED FINANCIAL STATEMENTS
MARCH 31, 2000
(UNAUDITED)
ITEM 1 - NOTES
1. Use of Estimates
----------------
The preparation of consolidated financial statements in conformity with general
accepted accounting principles requires management to make estimates and
assumptions that affect the reported amounts of assets and liabilities and
disclosure of contingent assets and liabilities at the date of the financial
statements and the reported amounts of revenues and expenses during the
reporting period.
2. Interim Financial Information
-----------------------------
The accompanying unaudited consolidated financial statements have been prepared
in accordance with generally accepted accounting principles for interim
financial information and with the instructions to Form 10-Q. Accordingly, they
do not include all of the information and footnotes required by generally
accepted accounting principles for complete financial statements. In the opinion
of management, all adjustment (consisting of normal recurring items) considered
necessary for a fair presentation have been included. Operating results for the
interim period are not necessarily indicative of the results that may be
expected for the fiscal year. For further information, refer to the consolidated
financial statements and footnotes thereto included in the Company's annual
report on Form 10-K.
ITEM 2 - MANAGEMENT'S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND RESULTS
OF OPERATION
All statements, other than statements of historical fact, included in this Form
10-Q are, or may be deemed to be, "forward-looking statements" within the
meaning of Section 27A of the Securities Act of 1933, as amended, and Section
21E of the Securities Exchange Act of 1934. Such forward-looking statements
involve assumptions, known and unknown risks, uncertainties and other factors
which may cause the actual results, performance or achievements of the Company
to be materially different from any future results, performance or achievements
expressed or implied by such forward-looking statements contained in this Form
10-Q.
(1) Material changes in financial condition:
At the quarter ended March 31, 2000 the Company continued to demonstrate an
improvement in its financial condition from its year ending September 30, 1999.
Earnings for the recent six month period were $56,384 vs. $16,587 in the prior
years first six month period. Total Stockholders' Equity stood at $2,187,177 on
March 31, 2000 vs. $2,130,168. on September 31, 1999.
7
<PAGE>
RADIANT TECHNOLOGY CORPORATION
PART I FINANCIAL INFORMATION - CONTINUED
NOTES TO CONDENSED FINANCIAL STATEMENTS
MARCH 31, 2000
(UNAUDITED)
ITEM 2 - MANAGEMENT'S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND RESULTS
OF OPERATION (CONTINUED)
(2) Material changes in results of operations:
For the three months ending March 31, 2000 the Company reported Net Sales of
$991,211 vs. Net Sales of $834,374 during the same period in 1999. Management
attributes the increase sales to efforts expended in the latter part of Fiscal
1999 and early Fiscal 2000. In addition the Company is experiencing a generally
better world wide increase in demand for computer related manufacturing tools.
(3) It is hoped that the burden of new product development costs that the
Company experienced in its last fiscal year and the present one will result in
substantial demand for its new products.
ITEM 3 - QUANTITATIVE AND QUALITATIVE DISCLOSURES ABOUT MARKET RISK
N/A
PART II - OTHER INFORMATION
ITEM 1. LEGAL PROCEEDINGS
None.
ITEM 2. CHANGES IN SECURITIES AND USE OF PROCEEDS
None.
ITEM 3. DEFAULTS UPON SENIOR SECURITIES
None.
ITEM 4. SUBMISSION OF MATTERS TO A VOTE OF SECURITY HOLDERS
None.
ITEM 5. OTHER INFORMATION
None.
ITEM 6. REPORTS ON 8-K
None.
8
<PAGE>
SIGNATURES
Pursuant to the requirements of the Securities Exchange Act of 1934, the
registrant has duly caused this report to be signed on its behalf by the
undersigned thereunto duly authorized.
RADIANT TECHNOLOGY CORPORATION
------------------------------
(Registrant)
Dated: May 12, 2000 /s/ L. R. McNamee
------------------------------
Lawrence R. McNamee
Chairman of the Board,
Chief Operating Officer,
Chief Executive Officer
9
<TABLE> <S> <C>
<ARTICLE> 5
<MULTIPLIER> 1
<S> <C>
<PERIOD-TYPE> 6-MOS
<FISCAL-YEAR-END> SEP-30-2000
<PERIOD-START> OCT-01-1999
<PERIOD-END> MAR-31-2000
<CASH> 691,663
<SECURITIES> 0
<RECEIVABLES> 1,175,379
<ALLOWANCES> 0
<INVENTORY> 564,200
<CURRENT-ASSETS> 2,601,242
<PP&E> 358,286
<DEPRECIATION> 0
<TOTAL-ASSETS> 2,987,250
<CURRENT-LIABILITIES> 800,073
<BONDS> 0
0
0
<COMMON> 1,153,733
<OTHER-SE> 1,033,444
<TOTAL-LIABILITY-AND-EQUITY> 2,987,250
<SALES> 1,857,389
<TOTAL-REVENUES> 1,857,389
<CGS> 1,172,944
<TOTAL-COSTS> 1,817,216
<OTHER-EXPENSES> 0
<LOSS-PROVISION> 0
<INTEREST-EXPENSE> 0
<INCOME-PRETAX> 56,384
<INCOME-TAX> 0
<INCOME-CONTINUING> 56,384
<DISCONTINUED> 0
<EXTRAORDINARY> 0
<CHANGES> 0
<NET-INCOME> 56,384
<EPS-BASIC> .03
<EPS-DILUTED> .02
</TABLE>
