Modular Water Systems contributed 58% of total revenue, meeting forecast
Clearwater, FL – May 25, 2023 – OriginClear Inc. (OTC Pink: OCLN), the Clean Water Innovation Hub™ (the Company), announces that in its 10-Q Quarterly Filing for the 1st Quarter of 2023, Revenue for the three months ended March 31, 2023 was 163% of revenue in the same quarter last year, increasing from $1,234,105 to $2,006,394.
While last year’s first quarter showed an overall gross loss of $224,750, the first quarter of 2023 achieved a Gross Profit of $131,075, an overall increase of $355,825.
Meanwhile, Cost of Sales for Q1 2023 was $1,875,319 compared to $1,458,855 for the same period in the prior year.
Loss from operations slightly widened to $(1,779,746) compared to $(1,761,927) for the same period in prior year, reflecting continued aggressive investment in operations and in the Company’s Water On Demand subsidiary.
Modular Water Systems (MWS), which at the time was still a division of the Company, contributed 58% of total revenue, or $1,155,803. This exceeded the publicly disclosed forecast for the division. MWS gross profit was $314,713, close to the forecast of $336,500, with a gross margin of 27%.
In April and subsequent to this Quarter, the Company transferred MWS to its subsidiary, Water On Demand. The forecasted figures start at slide 32 of the Water On Demand presentation, posted at https://www.waterondemand.net/wod-presentation/.
“We are very pleased with the dedication of the team led by Chief Operating Officer Tom Marchesello, and Dan Early's leadership in continuing to grow Modular Water Systems,” said Riggs Eckelberry, OriginClear CEO. “The entire team is doing an outstanding job of managing costs and cash flow.”
About OriginClear Inc.
Once a government monopoly, clean water is going private. Local industries and communities are now treating and recycling their own water, helping to reduce the burden on municipal systems and save on fast-rising water rates while also responding to the challenge of climate change. That’s good for business and good for sustainability, and now the innovative fintech, Water On Demand™, is fueling this movement. For the first time, Clean Water is becoming an investable asset, open to Main Street investors, with the potential for generational royalties. OriginClear® is the Clean Water Innovation Hub™ for both Water On Demand™ and Modular Water Systems™ – a leader in onsite, prefabricated systems made with sophisticated materials that can last decades. Get live weekly updates every Thursday by signing up at www.originclear.com/ceo.
OriginClear Safe Harbor Statement:
Matters discussed in this release contain forward-looking statements. When used in this release, the words "anticipate," "believe," "estimate," "may," "intend," "expect," “plans” and similar expressions identify such forward-looking statements. Actual results, performance or achievements could differ materially from those contemplated, expressed or implied by the forward-looking statements contained herein.
These forward-looking statements are based largely on the expectations of the Company and are subject to a number of risks and uncertainties. These include, but are not limited to, risks and uncertainties associated with our history of losses and our need to raise additional financing, the acceptance of our products and technology in the marketplace, our ability to demonstrate the commercial viability of our products and technology and our need to increase the size of our organization, and if or when the Company will receive and/or fulfill its obligations under any purchaser orders. Further information on the Company's risk factors is contained in the Company's quarterly and annual reports as filed with the Securities and Exchange Commission. The Company undertakes no obligation to revise or update publicly any forward-looking statements for any reason except as may be required under applicable law