IGC Announces Financial Results For Quarter Ended September 30, 2016

BETHESDA, Md., Nov. 21, 2016 (GLOBE NEWSWIRE) -- India Globalization Capital, Inc. (NYSE MKT:IGC) announces financial results for the quarter ended September 30, 2016.

Total revenue was $162,163 for the three months ended September 30, 2016, as compared to $2,055,585 for the three months ended September 30, 2015.  For the three months ended September 30, 2016, the revenue was primarily generated from the renting of heavy equipment and from managing the ongoing construction of the hotel in Genting. The decrease in revenue is attributable to the planned curtailment of the electronic trading business.

Selling, general and administrative expenses were $339,585 for the quarter ended September 30, 2016 as compared to $525,353 for the quarter ended September 30, 2015. Most of these expenses were public company related costs.

The Company reported a consolidated GAAP net income loss of $583,871 and a GAAP EPS loss of $0.02 for the three months ended September 30, 2016 compared to a GAAP net income loss of $623,373 and a GAAP EPS loss of $0.04 for the three months ended September 30, 2015.

For the quarter ended September 30, 2016, our non-GAAP cash burn was approximately $252,325 after adjusting for $97,842 of depreciation, $40,075 of non-cash interest and $193,629 of certain one-time charges.

At the end of September 30, 2016, our cash and cash equivalents along with restricted cash was $939,285 with working capital of $60,236.

"We are pleased with our progress in our specialty IP unit as we strive to develop phytocannabinoid-based therapies in major market indications. In the coming quarters, we will further delineate the pathways to assess our compounds with the goal of commencing pre-clinical trials as appropriate.  Internationally, our acquisition of Cabaran Ultima has provided real estate management expertise to drive the development of high-end luxury complexes as exemplified by our 10% stake in the $262 MM Genting Highlands project," stated Ram Mukunda, CEO.

About IGC

In the United States, we develop phytocannabinoid-based therapies. We have several patent filings for the indications of Pain, Medical Refractory Epilepsy and Cachexia using phytocannabinoids. In addition, we engage in leasing, trading, developing and managing infrastructure, and real estate projects. We are based in Bethesda, Maryland.

Our website: www.igcinc.us. Twitter @IGCIR Facebook.com/IGCIR/

Forward-looking Statements

Some of the statements contained in this press release that are not historical facts constitute forward-looking statements under the federal securities laws. Forward-looking statements can be identified by the use of the words "may," "will," "should," "could," "expects," "plans," "anticipates," "believes," "estimates," "predicts," "intends," "potential," "proposed" or the negative of those terms. These statements are not a guarantee of future developments and are subject to risks, uncertainties, and other factors, some of which are beyond IGC's control and are difficult to predict. Consequently, actual results may differ materially from information contained in the forward-looking statements as a result of future changes or developments in IGC's business and acquisition and diversification strategy, competitive environment, infrastructure demands, and governmental, regulatory, political, economic, legal and social conditions in, among other places, China and India. Except as required by federal securities laws, IGC undertakes no obligation to publicly update any forward-looking statements, whether as a result of new information or future events, or otherwise. Other factors and risks that could cause or contribute to actual results differing materially from such forward-looking statements have been discussed in greater detail in IGC's Form 10-K for fiscal year ended March 31, 2016, and in subsequent reports filed with the U.S. Securities and Exchange Commission.

Financials to Follow
       
INDIA GLOBALIZATION CAPITAL, INC. AND SUBSIDIARIES CONSOLIDATED BALANCE SHEETS  
       
    All amounts in USD exceptshare data  
    As of  
    30-September - 16     31-March - 16  
    (unaudited)     (audited)  
ASSETS            
Current assets:            
Cash and cash equivalents   $ 939,285     $ 1,490,693  
Accounts receivable, net of allowances     653,959       962,658  
Inventories     58,647       162,091  
Prepaid expenses and other current assets     1,272,426       1,226,507  
Total current assets   $ 2,924,317     $ 3,841,949  
Goodwill     198,170       1,180,951  
Intangible Assets     113,321       113,321  
Property, plant and equipment, net     6,929,982       7,074,437  
Investments in affiliates     2,603,411       609,148  
Investments-others     5,230,264       5,175,392  
Deferred Income taxes     356,619       356,684  
Other non-current assets     504,065       507,300  
Total long-term assets   $ 15,935,832     $ 15,017,233  
Total assets   $ 18,860,149     $ 18,859,182  
LIABILITIES AND STOCKHOLDERS' EQUITY                
Current liabilities:                
Short -term borrowings $   -     $ 27,762  
Trade payables     456,783       330,631  
Accrued expenses     90,045       300,111  
Loans - others     -       189,680  
Notes payable     1,800,000       1,800,000  
Other current liabilities     517,253       550,877  
Total current liabilities   $ 2,864,081     $ 3,199,061  
Long - term borrowings     653,753       801,467  
Loans - others     366,669       -  
Other non-current liabilities     150,751       910,583  
    $ 1,171,173     $ 1,712,050  
Total liabilities   $ 4,035,254     $ 4,911,111  
Stockholders' equity:                
Common stock — $.0001 par value; 150,000,000 shares authorized; 23,265,531 issued and outstanding as of March 31, 2016 and 23,957,827 issued and outstanding as of September 30, 2016.   $ 2,396     $ 2,327  
Additional paid-in capital     67,820,860       65,885,243  
Accumulated other comprehensive income/(loss)     (2,307,769 )     (2,269,357 )
Retained earnings (Deficit)     (51,111,225 )     (50,142,199 )
Total equity attributable to Parent   $ 14,404,262     $ 13,476,014  
 Non-controlling interest   $ 420,633     $ 472,057  
Total stockholders' equity   $ 14,824,895     $ 13,948,071  
Total liabilities and stockholders' equity   $ 18,860,149     $ 18,859,182  

These interim financial statements should be read in conjunction with the financial statements and notes included in the Company's Quarterly Report on Form 10-Q for the quarter ended September 30, 2016 and Annual Report on Form 10-K for the fiscal year ended March 31, 2016. Quarterly financial results may not be indicative of the financial results for the entire fiscal year.

             
INDIA GLOBALIZATION CAPITAL, INC. AND SUBSIDIARIES CONSOLIDATED STATEMENTS OF OPERATIONS (Unaudited)  
             
    All amounts in USD exceptshare data     All amounts in USD exceptshare data  
    Three months endedSeptember 30,     Six months endedSeptember 30,  
  2016     2015     2016     2015  
                         
Revenues   $ 162,163     $ 2,055,585     $ 237,563     $ 3,914,394  
Cost of revenues (excluding depreciation)     (90,534 )     (1,889,598 )     (154,589 )     (3,544,367 )
Selling, general and administrative expenses     (339,585 )     (525,353 )     (636,802 )     (830,756 )
Depreciation     (97,842 )     (148,855 )     (195,514 )     (304,829 )
Loss on investments / associates /joint ventures     (183,835 )     -       (183,835 )     -  
Operating income (loss)   $ (549,633 )   $ (508,221 )   $ (933,177 )   $ (765,558 )
Interest expense     (51,410 )     (67,460 )     (89,956 )     (128,682 )
Interest income     114       -       114       2  
Other income, net (loss)     11,985       (64,671 )     13,740       (99,728 )
Income before income taxes and minority interest attributable to non-controlling interest   $ (588,944 )   $ (640,352 )   $ (1,009,279 )   $ (993,966 )
Income taxes benefit/ (expense)     -       -       -       -  
Net income/(loss)   $ (588,944 )   $ (640,352 )   $ (1,009,279 )   $ (993,966 )
                                 
Non-controlling interests in earnings of subsidiaries     (5,073 )     (16,979 )     (11,239 )     12,106  
Net income / (loss) attributable to common stockholders   $ (583,871 )   $ (623,373 )   $ (998,040 )   $ (1,006,072 )
Earnings/(loss) per share attributable to common stockholders:                                
Basic   $ (0.02 )   $ (0.04 )   $ (0.04 )   $ (0.07 )
Diluted   $ (0.02 )   $ (0.04 )   $ (0.04 )   $ (0.07 )
Weighted-average number of shares used in computing earnings per share amounts:                                
Basic     23,636,403       14,995,130       23,636,403       14,995,130  
Diluted     23,636,403       14,995,130       23,636,403       14,995,130  

These interim financial statements should be read in conjunction with the financial statements and notes included in the Company's Quarterly Report on Form 10-Q for the quarter ended September 30, 2016 and Annual Report on Form 10-K for the fiscal year ended March 31, 2016. Quarterly financial results may not be indicative of the financial results for the entire fiscal year.

 

Contact Information:Claudia Grimaldi301-983-0998

Primary Logo

If you liked this article you might like

3 Stocks Pushing The Metals & Mining Industry Lower

3 Stocks Pushing The Metals & Mining Industry Lower

3 Stocks Pushing The Basic Materials Sector Lower

3 Stocks Pushing The Basic Materials Sector Lower

3 Stocks Pushing The Materials & Construction Industry Lower

3 Stocks Pushing The Materials & Construction Industry Lower

3 Stocks Pushing The Industrial Goods Sector Lower

3 Stocks Pushing The Industrial Goods Sector Lower

3 Stocks Pushing The Industrial Goods Sector Lower

3 Stocks Pushing The Industrial Goods Sector Lower