OREANDA-NEWS. Superconductor Technologies Inc. reported financial results for the quarter ended July 2, 2016.

“In the second quarter, we made significant progress in our efforts to improve our Conductus wire’s mechanical strength,” stated Jeff Quiram, STI’s president and chief executive officer. “After enhancing our HTS wire template process, we achieved target mechanical properties in testing. Our plan is to implement these architecture enhancements on our existing production equipment by utilizing our design that prioritizes the ability to scale quickly and economically. Our current efforts are focused on reestablishing our standard critical current using the new template architecture. We expect to have the system modifications operational in the fourth quarter of 2016 and ship wire to key customers shortly thereafter to complete existing qualification orders.

“In June, STI and our commercial partner, an industry leading manufacturer of generators and motors, and renown academic partners submitted a proposal for the US Department of Energy’s (DOE) Funding Opportunity entitled ‘Enabling Technologies for Next Generation Machines.’ The project’s stated goals are to maximize energy efficiency and increase power density for a wide variety of critical energy applications. Our project addresses the DOE topic ‘Superconducting Wire Manufacturing,’ which is in line with our customers’ need for increased infield magnetic performance and lower cost / higher performance wire. The DOE’s Office of Energy Efficiency and Renewable Energy stated it plans to announce the winning proposals next month,” Quiram concluded. 

Also in the second quarter, STI was awarded U.S. Patent No. 9,362,025, entitled “Coated Conductor High Temperature Superconductor Carrying High Critical Current Under Magnetic Field By Intrinsic Pinning Centers, And Methods Of Manufacture Of Same” from the U.S. Patent and Trademark Office (USPTO). This patent further protects the company’s unique capabilities utilized to improve the performance of its Conductus® superconducting wire in applications that operate in the presence of a high magnetic field.

STI’s second quarter 2016 net revenues were $11,000 compared to $89,000 in the first quarter of 2016 and $71,000 in the second quarter of 2015. Revenue for all periods was primarily from legacy wireless products. Net loss for the second quarter 2016 was $3.1 million, or a loss of $1.14 per basic and diluted share, compared to a net loss of $2.6 million, or a loss of $1.00 per basic and diluted share, in the first quarter of 2016, and a net loss of $2.4 million, or a loss of $2.11 per basic and diluted share, in the second quarter of 2015.

For the six-month period ending July 2, 2016, total net revenues were $100,000, compared to $126,000 for the first half of 2015. The net loss for the first half of 2016 was $5.7 million, or $2.14 per share, compared to $3.8 million, or $3.71 per share. 

Please note: share and per share data for both periods is adjusted for the 1-for-15 reverse stock split effective on July 18, 2016.

As of July 2, 2016, STI had $3.4 million in cash and cash equivalents. On August 2, 2016, STI closed a registered direct offering with gross proceeds of $2.2 million.

About Superconductor Technologies Inc. (STI)
Superconductor Technologies Inc. is a global leader in superconducting innovation. Its Conductus® superconducting wire platform offers high performance, cost-effective and scalable superconducting wire. With 100 times the current carrying capacity of conventional copper and aluminum, superconducting wire offers zero resistance with extreme high current density. This provides a significant benefit for electric power transmission and also enables much smaller or more powerful magnets for motors, generators, energy storage and medical equipment. Since 1987, STI has led innovation in HTS materials, developing more than 100 patents as well as proprietary trade secrets and manufacturing expertise. For more than 20 years STI utilized its unique HTS manufacturing process for solutions to maximize capacity utilization and coverage for Tier 1 telecommunications operators. Headquartered in Austin, TX, Superconductor Technologies Inc.'s common stock is listed on the NASDAQ Capital Market under the ticker symbol “SCON.”