MagneGas narrows Q1 2016 net loss
Florida-based technology company MagneGas has narrowed its first quarter loss for the period ended 31 March, 2016, to $1.6 million (€1.4 million), compared to a net loss of $2.1 million a year earlier.
The firm’s quarterly revenue for the period was $665,663, compared to $545,648 for the same period last year.
Revenue from the industrial gas segment was $665,663 for the first quarter 2016 as compared to $522,315 for the same period last year. This was primarily due to an increase in MagneGas fuel sales and sales through ESSI – the company’s wholly-owned gas distribution company.
The company owns a patented process that converts various liquids and liquid wastes into hydrogen based fuels. These fuels can be used as a replacement to natural gas or for metal cutting. The company's testing has shown the fuels are faster, cleaner and more productive than other alternatives on the market.
Ermanno Santilli, CEO of MagneGas, said: "We continue to execute on our strategy to expand MagneGas2 sales and geographical footprint while increasing our revenue base.
“Revenue for the first quarter industrial gas segment increased 27% to $665,663 versus the same period last year.
“We believe that MagneGas2 is one of the few differentiated products in the industrial gas business due to its fast cutting speed, renewable source and its safety and eco-friendly attributes.
“We believe this differentiation, together with our 2014 acquisition of ESSI, has led to a significant increase in new customers and distributors. We are also focusing on expanding geographically and recently opened a third retail location in central Florida to expand our gas distribution footprint.
“Through this new location, we will be able to directly distribute MagneGas2 in areas not previously serviced and we expect this will create expanded revenue opportunities from industrial gas and welding supplies.
“In addition, we expect to be in a much better position to service our project with the sub-contractors working at NASA at the Kennedy Space Centre in Florida."