CNO California Nanotechnologies Corp

• Q3 Positive Cash Flow of over $65,000 US
• Q3 Earnings of over $33,000 US
• Nine Month Revenues up 10% year on year

TSX VENTURE: CNO

CERRITOS, CA, Feb. 25, 2016 /CNW/ - California Nanotechnologies Corp. ("Cal Nano" or the "Company") is pleased to report financial results for the first nine months of fiscal 2016 which ended November 30, 2015. In the March to November period, revenues on a US basis, increased by 10% to $330,216 US, compared to $299,179 US during the same period last year.

Cal Nano's net loss for the first nine months was $90,718 US, a significant improvement from a loss of $205,180 US in the same period last year. Overall operating expenses of $360,631 US were lower by 34% when compared to the prior period. 

SUMMARY OF NINE MONTH FINANCIAL HIGHLIGHTS (US $)

All figures in US dollars

⁽¹⁾ Cash flow from operations is a non-GAAP term requested by the oil and gas investment community that represents net earnings adjusted for non-cash items including depreciation, depletion and amortization, future income taxes, non-recurring items, asset write-downs and gains (losses) on sale of assets, if any.

SUMMARY OF THREE MONTH FINANCIAL HIGHLIGHTS (US $)

All figures in US dollars

"The positive cash flow of $65,837 US and the net income of $33,309 US are significant milestones for the Company," stated Christopher Melnyk, CEO.  "These results were driven by a 94% gain in revenues in the R and D division, due to significant orders from a major aerospace customer.  Overall in the third quarter revenues were up 78% from the prior year."

The Company is also pleased to announce that it has received new contracts worth approximately $53,000 US since November 3, 2015.  Of these orders 64% are in the Spark Plasma Sintering ("SPS") division, 31% are in the Research and Development division and 5% are in the Sports and Recreational division.  This brings the new orders announced since May 13, 2015 to approximately $646,000 US. At the US to CAD conversion rate of February 24, 2016 this would be approximately $891,000 CAD.

Except for historical information contained herein this document contains forward-looking statements. These statements contain known and unknown risk and uncertainties that may cause the company's actual results or outcomes to be materially different from those anticipated and discussed herein.

NEITHER TSX VENTURE EXCHANGE NOR ITS REGULATION SERVICES PROVIDER (AS THAT TERM IS DEFINED IN POLICIES OF THE TSX VENTURE EXCHANGE) ACCEPTS RESPONSIBILITY FOR THE ADEQUACY OR ACCURACY OF THIS RELEASE.

SOURCE California Nanotechnologies Corp.