Omnitek Engineering Reports Third Quarter and Nine-Month Results

VISTA, Calif., Nov. 10, 2016 (GLOBE NEWSWIRE) -- Omnitek Engineering Corp. (OTCQB:OMTK) today announced results for its third quarter and nine months ended September 30, 2016 - reflecting an order backlog of approximately $226,000 and the commencement of a development contract for a 450hp EURO 6 13-liter natural gas engine for Class 8 trucks after the quarter end. 

Net revenues for the third quarter were $355,050 compared with $438,178 from a year earlier - reflecting the timing of shipments and product mix on a year-over-year basis.  For the same period, the company reported a net loss of $217,909, or $0.01 per share, compared with a net loss of $271,972, or $0.01 per share, a year earlier.

Net revenues for the nine-month period were $946,948 compared with $1.48 million a year ago -- reflecting the timing of shipments and product mix on a year-over-year basis.  For the same period, the company reported a net loss of $707,592, or $0.04 per share, compared with a net loss of $677,414, or $0.03 per share, a year earlier.

Gross margin for the quarter ended September 30, 2016 was 43 percent compared with 44 percent a year earlier. Gross margin for the nine months was 45 percent compared with 48 percent a year earlier, both within the company's normalized target range of 40 to 50 percent.

"We remain confident that the domestic shift to natural gas will continue as large domestic trucking fleet operators focus on the environment, the availability of our natural gas "drop-in" engines and the company's extensive lineup of EPA-approved conversion kits.  Equally important, our business in Mexico, Europe and Asia is continuing its expansion - supported by a global focus on environmental and economic considerations," said Werner Funk, president and chief executive officer of Omnitek Engineering Corp.

The company's previously announced evaluation programs for two large North American fleet customers are proceeding as planned.  "We remain optimistic that the programs will be enlarged to address a larger portion of the fleet vehicles, and we look forward to announcing further details and developments in cooperation and with the approval of our customers," Funk said.