MCLEAN, Va., Nov. 11, 2010 (GLOBE NEWSWIRE) -- Lightbridge Corporation (Nasdaq:LTBR), the leading innovator of advanced nuclear fuel designs and provider of nuclear energy consulting services to commercial and governmental organizations, today announced earnings results for the third quarter ended September 30, 2010.
Revenue for the three months ended September 30, 2010 was $2.1 million, compared to $2.0 million in the comparable period a year ago. Operating loss for the quarter was approximately $1.7 million, a 26 percent improvement compared to an operating loss of $2.3 million in the third quarter of 2009. Excluding the impact of non-cash items, adjusted net loss for the three months ended September 30, 2010 would have been $1.0 million compared to adjusted net loss of $1.1 million for the same period a year ago (see "About Non-GAAP Financial Measures" near the end of this release).
"From a technology, business strategy and financial perspective, it was an active quarter for the Company," said Seth Grae, President and Chief Executive Officer of Lightbridge. "We completed a registered direct offering, raising about $13.7 million in additional capital, for the continued investment in our all-metal and thorium nuclear fuel technologies. Beyond the capital raise, we're continuing to make strides toward the commercialization of our nuclear fuel designs with further technological progress, and recently appointed James Malone as the Company's Chief Nuclear Fuel Development Officer. His coming on board is a strategically significant hire for us on our path toward commercialization, and reinforces our already best-in-class management and advisory council teams.
"In October, we also had the opportunity to discuss our all-metal and thorium-based seed-in-blanket nuclear fuel technologies in a closed meeting with the US Nuclear Regulatory Commission. The NRC indicated that the technologies can be approved so long as we show that the fuels comply with NRC regulations. Lightbridge is confident that information it provides to the NRC will permit the NRC to conduct a thorough review of these fuel technologies."
Mr. Grae added, "From the onset, our nuclear consulting services business has provided us needed incremental capital to help fund our nuclear fuel research and development, and, more than that, we've leveraged this business and depth of expertise to have real substantive discussions with countries around the world about their nuclear energy programs. We continue to have active discussions with governments and other institutions to explore new opportunities for our nuclear advisory services, and we anticipate that the end result will be further growth in this business over the next several months."
Currently, the Company's operating revenues are derived primarily from the Company's consulting and strategic advisory services for foreign governments planning to create or expand electricity generation capabilities using nuclear power plants and are used to help fund the continued development of the Company's nuclear fuel design technology. Revenues are primarily generated from the five-year consulting contracts in place in the United Arab Emirates ("UAE") with two separate entities, the Emirates Nuclear Energy Corporation ("ENEC") and the Federal Authority for Nuclear Regulation ("FANR").
As of September 30, 2010, the Company had approximately $3.6 million of cash and cash equivalents, $10.4 million in marketable securities and approximately $14.4 million of working capital. As of December 31, 2009, the Company had approximately $4.5 million of working capital. The increase in working capital is primarily due to the $13.7 million offered Lightbridge completed on July 28, 2010.
About Non-GAAP Financial Measures
This press release contains non-GAAP financial measures for earnings that exclude non-cash items. Net income excluding non-cash items is not a measure of performance calculated in accordance with generally accepted accounting principles in the United States ("GAAP") and has limitations as an analytical tool. The Company believes the presentation of net income excluding non-cash expense is relevant and useful by enhancing the readers' ability to understand the Company's operating performance. The Company's management utilizes net income excluding non-cash expense as a means to measure operating performance. You should not consider it in isolation or as a substitute for net income or any other measure calculated in accordance with GAAP. In addition, it should be noted that other companies may calculate adjusted net income differently and, therefore, adjusted net income as presented for the Company may not be comparable to the calculations of adjusted net income reported by other companies. The table below reconciles adjusted net income (loss) excluding non-cash expense, a non-GAAP measure, to GAAP net income (loss) for the three months ended September 30, 2010 and September 30, 2009 (Expressed in Thousands of US Dollars).
About Lightbridge Corporation
Lightbridge is a U.S. nuclear energy company based in McLean, VA. with operations in Abu Dhabi, Moscow and London. The Company develops proprietary, proliferation resistant, next generation nuclear fuel technologies for current and future nuclear reactor systems. The Company also provides comprehensive advisory services for established and emerging nuclear programs based on a philosophy of transparency, non-proliferation, safety and operational excellence. Lightbridge's breakthrough fuel technology is establishing new global standards for safe and clean nuclear power and leading the way towards a sustainable energy future. Lightbridge consultants provide integrated strategic advice and expertise across a range of disciplines including regulatory affairs, nuclear reactor procurement and deployment, reactor and fuel technology and international relations. It leverages those broad and integrated capabilities by offering their services to commercial entities and governments with a need to establish or expand nuclear industry capabilities and infrastructure.
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Forward Looking Statement
This press release contains statements that are forward-looking in nature, including statements regarding the Company's competitive position and product and service offerings. These statements are based on current expectations on the date of this press release and involve a number of risks and uncertainties, which may cause actual results to differ significantly from such estimates. The risks include, but are not limited to, the degree of market adoption of the Company's product and service offerings; market competition; dependence on strategic partners; and the Company's ability to manage its business effectively in a rapidly evolving market. Certain of these and other risks are set forth in more detail in "Item 1A. Risk Factors" in Lightbridge's Quarterly report on Form 10-Q for the fiscal quarter ended September 30, 2010. Lightbridge does not assume any obligation to update or revise any such forward-looking statements, whether as the result of new developments or otherwise.
CONTACT: Lightbridge Corporation Gerry Pascale (571) 730-1213 ir@Ltbridge.com Ogilvy Public Relations Greg Jawski 212-880-5353 greg.jawski@ogilvypr.com