SANTA MONICA, Calif., Feb. 16, 2010 (GLOBE NEWSWIRE) -- Sionix Corporation (OTCBB:SINX), a Santa Monica, CA based designer and manufacturer of "Safe Water Systems" for commercial, industrial, and public water treatment applications, today announced the filing of its Form 10-Q for its fiscal quarter ended December 31, 2009.
Sionix reported its first-ever revenues for the quarter ended December 31, 2009, recognizing $1,620,000 in revenue from its first commercial sale. Total costs associated with the sale were $1,091,500, or 67% of revenue, which represent costs associated with its first commercial sale. Sionix reported income from operations of $528,500, and due to a $4,872,994 gain on the change in the fair value of its warrant, option and beneficial conversion liabilities, posted a net income of $4,738,245 and earnings per share of $0.03.
Sionix reduced its total liabilities by $5,855,437 or 32% through the reduction of its warrant, option and beneficial conversion liabilities, and the recognition of $1,620,000 of customer deposits as revenue. Sionix has scheduled a shareholders' meeting for March 17, 2010 for the purpose of seeking shareholder approval of an amendment to its Articles of Incorporation that will increase Sionix's shares of authorized common stock. If the shareholders approve the amendment, Sionix anticipates a further reduction of the remaining $5,136,531 in liabilities related to its warrant, option, and beneficial conversion liabilities.
David R. Wells, President and CFO of Sionix said, "I am very pleased to be a part of such an important transition for Sionix. The validation of the business through the successful implementation of our product and the recognition of revenue represents a milestone for our shareholders, management, and employees. Our expectations for further growth and achievement are matched only by the challenging market opportunities opening before us. The reduction of liabilities is sizable and a noteworthy improvement of our balance sheet. Our product and business is relevant and timely, and I think that it is beneficially reflected in our financial statements."
About SIONIX
Based in Santa Monica, CA, Sionix designs innovative and advanced water treatment systems intended for use in defense, government facilities, and emergency water supplies during natural disasters, housing development projects, and various industrial processes. These systems can be used to remove salt, oil, waste, and other infectious bacteria from contaminated resources. They are also used as pre-treatment for reverse osmosis and other membrane applications. Industries involved in dairy, agribusiness, meat processing, bottling water, mining, poultry operations, and many others can benefit from a cost-effective, easily maintained, portable water treatment system provided by Sionix.
Sionix specializes in the treatment of water contaminated through the process of subterranean fracturing used by oil and gas drillers. Locating Sionix units adjacent to drilling sites eliminates expensive, unnecessary public exposure to toxic waste products by transporting contaminated wastewater to remote locales for treatment. Using our patented dissolved air flotation ("DAF") technology packaged in a mobile shipping container, we create bubbling dynamics that elevate organic contaminants to the surface where 99.95% are skimmed off.
Safe Harbor
This news announcement may contain "forward-looking statements". Such forward-looking statements involve known and unknown risks, uncertainties and other factors which may cause actual results, performance, and achievements of Sionix to be materially different from any future results, performance, or achievements expressed or implied. Sionix's recent financial results, risks and uncertainties are discussed in its Annual Report on Form 10-K for the fiscal year ended September 30, 2009 and in its quarterly and current reports filed since that date with the Securities and Exchange Commission, all of which are available for review at www.sec.gov.