Cleantech Co. Sees Revenues Increase 108% YoY

BioLargo Inc. (BLGO:OTCQB) announced its revenues increased by 108% year-over-year from 2022 to 2023, according to its annual report filed this week.

On the strength of sales of its pet odor control product, Pooph, reported a 64% increase in revenues from the third quarter of 2023 to US$4.37 million in the fourth quarter.

"Rising odor control product sales continue to push our business forward," said BioLargo President and Chief Executive Officer Dennis P. Calvert. "We are confident that our PFAS solutions will find additional traction in 2024 and believe they will eventually contribute significantly to our overall growth trajectory. Almost cash-flow positive in the fourth quarter of 2023, we continue to focus our business on leveraging our intellectual property and partnering with great companies to scale up sales and distribution while preserving capital and human resources."

The safe and eco-friendly Pooph products are being sold through retailers like Amazon, Walmart, and Chewy. Other BioLargo subsidiaries include ONM Environmental (which spawned Pooph), BioLargo Engineering, BioLargo Water, BioLargo Energy Technologies, and Clyra Medical Technologies.

The announcement falls in line with Technical Analyst Clive Maund's comment in February that the company's revenues are "growing rapidly as sales accelerate dramatically."

The announcement falls in line with Technical Analyst Clive Maund's comment in February that the company's revenues are "growing rapidly as sales accelerate dramatically."

"The key point for investors to grasp is that these subsidiaries of BioLargo represent years of developmental work and investment by the company that is now being brought to fruition with market-ready products and services that are being rolled out and gaining widespread acclaim and uptake," Maund wrote.

Maund predicted the stock's rise because of that growth. "A major bull market in the stock is therefore expected, and it looks like it just started this January," Maund wrote just before the stock took off from about US$0.23 cents per share on February 7 to as high as US$0.45 cents on February 29. It continues to hover in the US$0.30s, but Maund has predicted it could rise even higher than a dollar in the next one or two years.

"While this may seem improbable given the number of shares in issue, the rapid growth prospects for the company's various businesses bring this well within the realms of possibility," he wrote.

The Catalyst in 2024: Forever Chemicals

BioLargo's share price jump in February came as investors closely watched a lawsuit and criminal investigation in another sector the company is finding success with, remediating dangerous per- and polyfluoroalkyl substances (PFAS), also known as "forever chemicals."

Texas Ranchers filed the federal lawsuit alleging Synagro knew it sold PFAS-contaminated sewage sludge that killed livestock, polluted water, and contaminated beef, The Guardian reported. The ranchers' county also launched a first-of-its-kind criminal investigation.

BioLargo's Aqueous Electrostatic Concentrator (AEC) technology removes more than 99% of PFAS substances from water. The process separates the compounds in an electrostatic field, forcing them across a proprietary membrane system. The company said the AEC's energy costs are as low as 30 cents per 1,000 gallons, and its waste stream is a fraction of that of traditional carbon or ion exchange systems.

Testing has shown the technology removes the chemicals to a level of "non-detection," or a level at which science can no longer detect them, the company said.

PFAS are a group of thousands of synthetic chemicals used in everything from the linings of fast-food boxes and non-stick cookware to fire-fighting foams and other purposes. High concentrations of some PFAS may lead to adverse health risks such as cancer, hormonal disruption, and reduced immune system effectiveness, although research is still being conducted. They are called "forever chemicals" because they break down very slowly.

The EPA has noted about 70 million people are exposed to PFAS in U.S. drinking water, but that testing has only checked about one-third of the nation's public water systems. The agency said it is on pace to find over 200 million people exposed, or at least 60% of Americans, not including those who use private wells. There's even a map of PFAS detections across the country.

More than 15,000 PFAS claims have been filed nationwide against DuPont and its spinoffs and 3M, major manufacturers of the substances in the U.S., Time reported. So far, settlements have totaled nearly US$11.5 billion in damages.

Other Report Highlights

BioLargo's annual report released this week said the company’s net loss for the year ended December 31, 2023, was reduced by 9% as compared with the prior year, from US$5.1 million to US$4.6 million.

More than 60% of the company’s net loss was due to non-cash expenses, including US$2.12 million of stock option compensation expenses, and US$384,000 of services paid by the issuance of its common stock.

About 21% of the company’s total operating expenses in 2023 were from research and development, up from 16% in 2022, as BioLargo built a facility to manufacture and test its first batteries.

Total assets for the company as of December 31, 2023, were US$8.2 million against total liabilities of US$4 million. BioLargo said it ended the year with a working capital of US$3.65 million.

Ownership and Share Structure

About 14.6% of BioLargo is owned by insiders and management, according to Yahoo Finance. They include Chief Science Officer Kenneth Code with 8.46%, CEO Calvert with 3.34%, and Director Jack Strommen with 1.46%, Reuters reported.

About 0.04% is held by the institution First American Trust, Reuters said.

The rest, about 85%, is retail.

Its market cap is US$86.68 million, with about 289.5 million shares outstanding and about 253.98 million free-floating. It trades in a 52-week range of US$0.45 and US$0.15.

Important Disclosures:

1. BioLargo Inc. is a billboard sponsor of Streetwise Reports and pays SWR a monthly sponsorship fee between US$4,000 and US$5,000.
2. s of the date of this article, officers and/or employees of Streetwise Reports LLC (including members of their household) own securities of BioLargo Inc.
3. Steve Sobek wrote this article for Streetwise Reports LLC and provides services to Streetwise Reports as an employee.
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