Reflect Scientific Inc Announces Year-End Financial Results for 2022

Reflect Scientific Inc, a provider of ultra-low temperature freezers and chillers for the biotech, pharmaceutical, and cannabis industries, announced its financial results for the year ended December 31, 2022.

OREM, Utah, March 31, 2023 (GLOBE NEWSWIRE) -- Reflect Scientific Inc (OTCQB: RSCF), a provider of ultra-low temperature freezers and chillers for the biotech, pharmaceutical, and cannabis industries, today announced its financial results for the year ended December 31, 2022.

Revenue for the year decreased by 27.5% to $2,041,297, compared to $2,814,670 in 2021, primarily due to a significant decrease in freezer and chiller sales during the third quarter and ongoing supply chain delays with manufacturers. However, the cost of goods sold decreased by 7.0% to $822,147, resulting in a gross profit margin of 59.7% for the year, compared to 68.6% in 2021.

Reflect Scientific’s net income for the year was $89,396, compared to $939,065 in 2021. Management is actively seeking opportunities to increase sales, improve gross margins and control ongoing operating expenses.

Reflect Scientific’s liquidity and capital resources remain strong, with current assets exceeding current liabilities by $2,179,237 and cash and cash equivalents totaling $1,381,927.

“We are pleased with the resilience of our business during these challenging times, and remain committed to expanding our product offerings and strengthening our position in the ultra-low temperature market,” said Kim Boyce, CEO of Reflect Scientific. “Despite the ongoing supply chain issues, we have made significant progress in enhancing our ultra-cold freezer product line and believe this will provide a solid foundation for future growth.”

Reflect Scientific remains focused on providing innovative solutions for the biotech, pharmaceutical, and cannabis industries, and continues to invest in research and development to support this goal.

Reflect Scientific’s audited financial statements for the calendar year ended December 31, 2022, are included in its Form 10 Registration Statement, and all financial highlights contained in this press release are modified in their entirety by reference to such financial statements. Additional information about Reflect Scientific’s business and operations may also be found in the Form 10. A link to the Form 10 as filed with the SEC is also available on the “SEC Documents” link on the “Corporate Profile” dropdown menu of Reflect Scientific’s website at www.reflectscientific.com.

*Numbers may be rounded.

REFLECT SCIENTIFIC, INC.
CONSOLIDATED STATEMENTS OF INCOME
Years Ended
December 31,
2022 2021
Revenues $ 2,041,297 $ 2,814,670
Cost of goods sold 822,147 884,066
Gross profit 1,219,150 1,930,604
Operating Expenses
Salaries and wages 636,038 608,065
General and administrative 419,589 436,399
Research and development 73,425 58,340
Total Operating Expenses 1,129,052 1,102,804
INCOME FROM OPERATIONS 90,098 827,800
Other Income
Gain on forgiveness of debt - 111,265
Total Other Income - 111,265
NET INCOME BEFORE INCOME TAXES 90,098 939,065
INCOME TAX EXPENSE (702 ) -
NET INCOME $ 89,396 $ 939,065
Earnings per common share
Basic $ 0.00 $ 0.01
Diluted $ 0.00 $ 0.01
Weighted average shares outstanding
Basic 84,990,935 84,739,770
Diluted 85,440,935 85,489,770
REFLECT SCIENTIFIC, INC.
CONSOLIDATED BALANCE SHEETS
December 31, 2022 December 31, 2021
ASSETS
Current Assets
Cash and cash equivalents $ 1,381,927 $ 1,473,924
Accounts receivable, net 129,329 175,649
Inventories, net 797,352 624,486
Prepaid expenses and other current assets 20,221 31,306
Total Current Assets 2,328,829 2,305,365
Operating lease right-of-use assets 54,265 110,483
Goodwill 60,000 60,000
Other long-term assets 3,100 3,100
TOTAL ASSETS $ 2,446,194 $ 2,478,948
LIABILITIES AND STOCKHOLDERS’ EQUITY
Current Liabilities
Accounts payable and accrued expenses $ 78,969 $ 66,837
Customer deposits 13,230 118,566
Current portion of operating lease liabilities 57,393 56,446
Total Current Liabilities 149,592 241,849
Operating lease liabilities, net of current portion - 57,393
TOTAL LIABILITIES 149,592 299,242
Stockholders’ Equity
Preferred Stock, $0.01 par value, 5,000,000 shares authorized; none issued and outstanding - -
Common stock, $0.01 par value, 100,000,000 shares authorized; 85,214,086 and 84,989,086 shares issued and outstanding as of December 31, 2022 and 2021, respectively 852,140 849,890
Additional paid-in capital 20,252,181 20,226,931
Accumulated deficit (18,807,719 ) (18,897,115 )
TOTAL STOCKHOLDERS’ EQUITY 2,296,602 2,179,706
TOTAL LIABILITIES AND STOCKHOLDERS’ EQUITY $ 2,446,194 $ 2,478,948

About Reflect Scientific, Inc.

Reflect Scientific, Inc., based in Orem, Utah, develops and markets innovative, proprietary technologies in cryogenic cooling for the biotechnology, pharmaceutical, medical, and transportation markets. Among Reflect Scientific’s products are low-temperature freezers and refrigerated systems for laboratory, transportation, and computer server room uses. Visit www.reflectscientific.com for more information. See us on Twitter @ReflectSci and LinkedIn www.linkedin.com/company/reflect-scientific.

Forward-Looking Statements
This press release contains forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. Forward-looking statements are not a guarantee of future performance or results, and will not necessarily be accurate indications of the times at, or by, which such performance or results will be achieved. Forward-looking statements are based on information available at the time the statements are made and involve known and unknown risks, uncertainties and other factors that may cause our results, levels of activity, performance or achievements to be materially different from the information expressed or implied by the forward-looking statements in this press release. This press release should be considered in light of the disclosures contained in the filings of the Company that are contained in the OTC Markets Group, LLC under the trading symbol “RSCF” and related prior filings by the Company that are referenced therein and contained in the EDGAR Archives of the Securities and Exchange Commission under the heading “Disclosure,” including those identified in such filings as “forward-looking statements.”


Contact Thomas Tait 801-607-1039 investor_relations@reflectscientific.com

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