GGG:CC - G6 Materials Reports 2022 Annual Financial Results

(TheNewswire)

Gross Profit Increased by 16% forYear Ended May 31, 2021, Which Offset a Decrease in Revenue for theSame Period

Ronkonkoma, New York, USA - TheNewswire – October 26, 2022 - G6 Materials Corp. (“G6”or the “Company”) (TSXV:GGG ) , ( OTC:GPHBF), a high-tech company with expertisein advanced materials and developing innovative composites for a widerange of industrial uses, is pleased to announcethat it has filed its audited financial results for the fiscal yearending May 31, 2022, the highlights of which are included in this newsrelease. The full set of Consolidated Financial Statements andManagement Discussion and Analysis can be viewed by visiting G6’swebsite at www.g6-materials.com or itsprofile page on SEDAR at www.sedar.com .

Financial Highlights (all amounts expressed in US dollars unless otherwisenoted)

• Revenue for the year ended May 31, 2022 was $1,357,799,from the $1,939,663 reported for the same period of the prior year,which was primarily due to restructuring a change in sales mix byshifting the Company’s focus to the launch of its own brand of airpurifiers.

• Gross profit for the year ended May 31, 2022 was$602,570, an improvement from the $517,393 reported for the sameperiod of the prior year, due to improved management on the inventoryand cost allocation, yet partial offset by the increase in theshipping costs as a result of the pandemic effect.

• Total expenses for the year ended May 31, 2022 was$2,561,926, from the $1,950,509 reported for the same period of theprior year, due to an increase in general and administrative expensesrelated to establishing a reinforced accounting department tofacilitate the business’ expansion as well as additional marketingexpenses associated with the launch of the Company’s proprietaryline of Breathe+ products.

• Comprehensive loss for the year ended May 31, 2022 was$4,938,532, as compared to a comprehensive loss of $938,601 reportedfor the same period of the prior year, which was primarily due to the$2,776,756 write-down of the value of its investment in GXTechnologies due to the asset being deemed to be not ready for usebased on accounting principles, lower sales of air purificationproducts, as well as the increase in general and administrativeexpenses, marketing and investor relations expenses.

• Total assets for the year ended May 31, 2022 was$3,761,922, from the $5,912,649 reported for the same period of theprior year.

Management Commentary

“The Company’s improvement in gross profit from the2021 to the 2022 fiscal year was a notable highlight, despite thedecrease in revenue from the previous fiscal year. We expect revenuesto increase in the near future as more of our air purification unitsbecame available for purchase by consumers through third-partywebsites and they have begun selling at a faster pace,” said DanielStolyarov, President & CEO of G6 Materials Corp. “G6 continuesto operate without any non-current financial liabilities, which is atrend that we are proud to continue based on our conservativedeployment of capital,” added Mr. Stolyarov.

Summary of Key FinancialMeasures

(all amounts expressed in US dollars unless otherwisenoted)

Commercial Highlights Subsequent tothe 2022 Fiscal Year

• Launch of Breathe+ Pro AdvancedAntimicrobial Graphene Air Filtration System: OnJuly 12, 2022, the Company announced the launch and immediateavailability of the Breathe+ Pro Advanced Antimicrobial Graphene AirFiltration System at www.breatheplus.tech and onAmazon (NASDAQ: AMZN). The Breathe+ Pro Air Purifier utilizesinnovative air filters that contain activated carbon with grapheneoxide coating developed by G6’s research team.

Outlook

Subsequent to the 2022 fiscal year, the Company isfocused on increasing its sales of air purification products with thegoal of achieving improved financial results in the 2023 fiscal yearand continuing the early trend of positive customer reviews of itsproducts. Advancing other strategic initiatives and assessing theirresults, including but not limited to battery-related research, isalso a key goal for the next fiscal year. Additionally, the Company isfocused on evolving certain commercial relationships andresearch-based partnerships in its effort to expand its network as apioneer in developing graphene-enhanced solutions.

About G6 Materials Corp.

G6 Materials Corp. is a high-tech company withexpertise in advanced materials that creates value developinginnovative composites for a wide range of industrial uses. GrapheneLaboratories Inc., a wholly owned subsidiary of G6, sells a range ofgraphene-based products and other materials, including but not limitedto conductive epoxies, high-performance composites, and R&Dmaterials, with numerous customers from among the Fortune 500 list ofcompanies, as well as NASA and leading universities. GrapheneLaboratories Inc. has entered the global air filtration market withBreathe+, a line of medical grade HEPA air filtration productsenhanced with advanced performance graphene material.

G6 has identified new graphene-based applications toaccelerate growth into the future. Accordingly, the Company has avaluable IP portfolio currently comprising five granted patents. TheCompany’s management team and employees have a deep understanding ofgraphene technology based on decades of aggregate academic andcommercial experience. Graphene Laboratories Inc., a wholly ownedsubsidiary of G6 located in Ronkonkoma, New York, has established itspremium research laboratory and scalable production facility isequipped with advanced analytical and material processingequipment.

The Company’s e-commerce websites are listedbelow:

• Breathe : Medical grade HEPA airfiltration enhanced with advanced performance graphene material, formore information, visit www.breatheplus.tech

• Conductive Epoxies: Adhesive materials distributedunder the G6-Epoxy TM trade name and can be purchasedat www.g6-epoxy.com

• D Materials: Graphene Laboratories Inc. currentlyoffers over 100 graphene and related products available at www.graphene-supermarket.com

Forward-Looking Information

This news release contains forward-looking statementswithin the meaning of the applicable securities legislation that isbased on expectations, estimates and projections as at the date ofthis news release. By their nature, forward-looking statements involveknown and unknown risks, uncertainties and other factors which maycause actual results, performance or achievements, or other futureevents, to be materially different from any future results,performance or achievements expressed or implied by suchforward-looking statements. “Forward-looking information” in thisnews release includes but is not limited to information about thegraphene-enhanced air purifier (including efficacy, potentialcommercialization and patent pending thereof); information about thepotential for the Company’s long-term growth; the business goals andobjectives of the Company, and other forward-looking informationconcerning the intentions, plans and future actions of the parties tothe transactions described herein and the terms thereon.

The forward-looking information in this news releasereflects the current expectations, assumptions and/or beliefs of theCompany based on information currently available to the Company.Although the Company believes that the assumptions inherent in theforward-looking information are reasonable, forward-lookinginformation is not a guarantee of future performance and accordinglyundue reliance should not be put on such information due to theinherent uncertainty therein.

Risk factors that could cause actual results to differmaterially include, but are not limited to, the risk that actualresults in commercial applications of the graphene-enhanced airpurifier may differ significantly from the Test Results; the TestResults may not be accepted by applicable regulatory agencies requiredto approve commercialization of the graphene-enhanced air purifier;the Company may not receive required approvals from regulatoryagencies to commercialize the graphene-enhanced air purifier; theCompany may not achieve further stages of commercialization of thegraphene-enhanced air purifier as anticipated, or at all; the Companypatent pending (US20210346831A1) may not be granted; the Company maynot achieve anticipated commercial gains or profitability from thesale of Breathe+ Pro Advanced Antimicrobial Graphene Air FiltrationSystem as currently anticipated, or at all; risks associated withadoption by industries of graphene-based products health andenvironmental factors affecting adoption of these technologies; thecompany may fail to obtain appropriate government approvals oraccreditation related to the business’ operations and technologicalprocesses; the market conditions and demand for its product as well asthe market prices of such products being developed by the company maychange over time; reliance on key personnel; the potential forconflicts of interest among certain officers, directors or promoterswith certain other projects; competition; dilution; and the volatilityof our common share price and volume.

The Company undertakes no obligation to revise orupdate any forward-looking information other than as required by law.

Neither TSX Venture Exchange nor itsRegulation Services Provider (as that term is defined in the policiesof the TSX Venture Exchange) accepts responsibility for the adequacyor accuracy of this release.

Commercial Inquiries

Daniel Stolyarov, President & Co-CEO

Telephone: (631) 405-5113

Email: info@g6-materials.com

Investor Inquiries

Nick Kuzyk, Investor Relations

Telephone: 1-(866)-324-4244

Email: investors@g6-materials.com

ON BEHALF OF THE BOARD:  Daniel Stolyarov, President& CEO

For more information on G6 Materials Corp., pleasevisit www.G6-Materials.com or its profile page on SEDAR at www.sedar.com .

SOURCE: G6 Materials Corp.

Copyright (c) 2022 TheNewswire - All rights reserved.