UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
_____________________
Form 8-K
_____________________
CURRENT REPORT
Pursuant to Section 13 or 15(d) of the Securities Exchange Act of 1934
Date of Report (Date of earliest event Reported): August 8, 2018
United-Guardian, Inc.
(Exact Name of Registrant as Specified in Charter)
| Delaware | 001-10526 | 11-1719724 |
| (State or Other Jurisdiction of Incorporation) | (Commission File Number) | (I.R.S. Employer Identification Number) |
| 230 Marcus Boulevard, Hauppauge, New York 11788 |
| (Address of Principal Executive Offices) (Zip Code) |
(631) 273-0900
(Registrant's telephone number, including area code)
Not Applicable
(Former name or former address, if changed since last report)
| Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions: | ||
| [ ] | Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425) | |
| [ ] | Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12) | |
| [ ] | Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b)) | |
| [ ] | Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c)) | |
Indicate by check mark whether the registrant is an emerging growth company as defined in Rule 405 of the Securities Act of 1933 (17 CFR §230.405) or Rule 12b-2 of the Securities Exchange Act of 1934 (17 CFR §240.12b-2). Emerging growth company [ ]
If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act. [ ]
Item 2.02. Results of Operations and Financial Condition.
On August 8, 2018, the Registrant issued a press release, a copy of which is attached hereto as Exhibit 99.1 and is incorporated herein by reference.
Item 9.01. Financial Statements and Exhibits.
SIGNATURE
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 hereunto duly authorized.
| United-Guardian, Inc. | ||
| Date: August 8, 2018 | By: | /s/ Ken Globus |
| Ken Globus | ||
| President | ||
EXHIBIT 99.1
United-Guardian Reports Strong Second Quarter Sales & Earnings
HAUPPAUGE, N.Y., Aug. 08, 2018 (GLOBE NEWSWIRE) -- United-Guardian, Inc. (NASDAQ:UG) reported today that sales and earnings for the second quarter and first six months of 2018 were both very strong, with gross sales for the first six months of the year up 15% from $6,764,379 in 2017 to $7,808,346 this year, and net income up 41% from $1,738,584 ($0.38 per share) in 2017 to $2,452,524 ($0.53) this year. Second quarter sales increased by 6% from $3,891,656 in 2017 to $4,141,399 this year, and net income for the quarter increased by 26% from $1,104,149 ($0.24 per share) in 2017 to $1,392,662 ($0.30 per share) this year.
Ken Globus, President of United-Guardian, stated, “We are pleased to report that in the first six months of the year we experienced increases in all of our product lines, with the most substantial increases coming from higher sales of our cosmetic ingredients, which increased by 18%, and stronger sales of Renacidin® Irrigation, our largest pharmaceutical product, which increased by 22%. The increase in sales of our cosmetic ingredients was primarily the result of an increase in sales of our Lubrajel® products into China, which has been a growing market for us. Our ability to continue to increase our sales in China will depend partly on what happens with the tariff situation. While the financial impact of the tariffs was relatively minor for us this quarter, it is likely that they will have a more significant impact in the future if they are fully implemented. We are working closely with our marketing partner in China to minimize the potential impact of these tariffs, and remain hopeful that despite the tariff situation we will be able to continue to increase our sales in China, and, along with our new web-based marketing campaign for Renacidin, are optimistic that we will be able to continue the excellent year we have had to date.”
United-Guardian is a manufacturer of cosmetic ingredients, personal and health care products, pharmaceuticals, and specialty industrial products.
Contact:
Robert S. Rubinger
Public Relations
(631) 273-0900
NOTE: This press release contains both historical and "forward-looking statements” within the meaning of the Private Securities Litigation Reform Act of 1995. These statements about the company’s expectations or beliefs concerning future events, such as financial performance, business prospects, and similar matters, are being made in reliance upon the “safe harbor” provisions of that Act. Such statements are subject to a variety of factors that could cause our actual results or performance to differ materially from the anticipated results or performance expressed or implied by such forward-looking statements. For further information about the risks and uncertainties that may affect the company’s business please refer to the company's reports and filings with the Securities and Exchange Commission.
| RESULTS FOR THE QUARTERS ENDED JUNE 30, 2018 and JUNE 30, 2017* | ||||||||||||||||
| STATEMENTS OF INCOME (UNAUDITED) | ||||||||||||||||
| THREE MONTHS ENDED JUNE 30, | SIX MONTHS ENDED JUNE 30, | |||||||||||||||
| 2018 | 2017 | 2018 | 2017 | |||||||||||||
| Sales: | ||||||||||||||||
| Gross sales | $ | 4,141,399 | $ | 3,891,656 | $ | 7,808,346 | $ | 6,764,379 | ||||||||
| Sales allowances and returns | (182,181 | ) | (116,905 | ) | (329,616 | ) | (203,240 | ) | ||||||||
| Net Sales | 3,959,218 | 3,774,751 | 7,478,730 | 6,561,139 | ||||||||||||
| Costs and expenses: | ||||||||||||||||
| Cost of sales | 1,610,173 | 1,667,113 | 3,061,104 | 2,931,209 | ||||||||||||
| Operating expenses | 534,420 | 418,605 | 1,058,534 | 882,085 | ||||||||||||
| Research and development | 91,285 | 158,275 | 192,949 | 348,004 | ||||||||||||
| Total costs and expenses | 2,235,878 | 2,243,993 | 4,312,587 | 4,161,298 | ||||||||||||
| Income from operations | 1,723,340 | 1,530,758 | 3,166,143 | 2,399,841 | ||||||||||||
| Other income (expense): | ||||||||||||||||
| Investment income | 57,777 | 68,690 | 104,559 | 121,562 | ||||||||||||
| Unrealized gain (loss) on marketable securities | 95,020 | --- | (40,130 | ) | --- | |||||||||||
| Realized (loss) gain on marketable securities | (113,276 | ) | 4,106 | (113,276 | ) | 4,106 | ||||||||||
| Loss on trade-in of equipment | --- | --- | (12,837 | ) | --- | |||||||||||
| Total other income (expense) | 39,521 | 72,796 | (61,684 | 125,668 | ||||||||||||
| Income before provision for income taxes | 1,762,861 | 1,603,554 | 3,104,459 | 2,525,509 | ||||||||||||
| Provision for income taxes | 370,199 | 499,405 | 651,935 | 786,925 | ||||||||||||
| Net Income | $ | 1,392,662 | $ | 1,104,149 | $ | 2,452,524 | $ | 1,738,584 | ||||||||
| Earnings per common share | ||||||||||||||||
| (basic and diluted) | $ | 0.30 | $ | 0.24 | $ | 0.53 | $ | 0.38 | ||||||||
| Weighted average shares – basic and diluted | 4,594,319 | 4,594,319 | 4,594,319 | 4,594,319 | ||||||||||||
* Additional financial information can be found at the company’s web site at www.u-g.com.