GlobeNewswire Inc | Nov 10, 2021 09:00AM EST

November 10, 2021

HAUPPAUGE, N.Y., Nov. 10, 2021 (GLOBE NEWSWIRE) -- United-Guardian, Inc. (NASDAQ:UG) reported today that net income for the third quarter of 2021 increased by 42% over the same quarter in 2020, increasing from $717,532 ($0.16 per share) in 2020 to $1,016,506 ($0.22 per share) in this years third quarter. Net sales for the quarter increased by 36% from $2,336,360 in 2020 to $3,179,746 this year. For the first nine months 2021, net income increased from $2,694,450 ($0.59 per share) in 2020 to $3,542,232 ($0.77 per share) this year, an increase of 31%, while net sales increased from $8,613,918 in 2020 to $10,268,592 in 2021, an increase of 19%.

Ken Globus, President of United-Guardian, stated, As we had anticipated, sales of our cosmetic ingredients in this years third quarter increased substantially over the third quarter of 2020, which was when the impact of the global coronavirus pandemic was most severe. Sales of our cosmetic ingredients in this years third quarter increased by 187% over the comparable quarter last year, with sales to our marketing partner in Asia, Ashland Specialty Ingredients, increasing by over 300%, and sales to our four other marketing partners in Europe all increasing compared with last year. While we expect to continue to be impacted to some extent by the global pandemic, we anticipate that the impact will relate primarily to supply chain and shipping issues, increasing some lead times and raw material costs. As the impact of the global pandemic continues to lessen, and as we continue to introduce new products into both the cosmetic and medical markets, we are hopeful that our sales will continue to increase into 2022. We are confident that despite the lingering effects of the pandemic, we will end the year with financial results that will be significantly better than in 2020.

United-Guardian is a manufacturer of cosmetic ingredients, personal and health care products, pharmaceuticals, and specialty industrial products.

Contact: Ken Globus Investor Relations(631) 273-0900

NOTE: This press release contains both historical and "forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. These statements about the companys expectations or beliefs concerning future events, such as financial performance, business prospects, and similar matters, are being made in reliance upon the safe harbor provisions of that Act. Such statements are subject to a variety of factors that could cause our actual results or performance to differ materially from the anticipated results or performance expressed or implied by such forward-looking statements. For further information about the risks and uncertainties that may affect the companys business please refer to the company's reports and filings with the Securities and Exchange Commission.

STATEMENTS OF INCOME FOR THE THREE AND NINE MONTHS ENDED SEPTEMBER 30, 2021 and 2020*(UNAUDITED)

THREE MONTHS ENDED NINE MONTHS ENDED SEPTEMBER 30, SEPTEMBER 30, 2021 2020 2021 2020 Net Sales $ 3,179,746 $ 2,336,360 $ 10,268,592 $ 8,613,918 Costs and expenses: Cost of sales 1,320,509 974,763 4,180,912 3,634,528Operating expenses 458,582 493,204 1,428,721 1,520,114Research and development 130,742 114,836 349,053 331,134Total costs and expenses 1,909,833 1,582,803 5,958,686 5,485,776Income from operations 1,269,913 753,557 4,309,906 3,128,142 Other Income: Investment income 38,747 38,932 124,147 131,318Net (loss) gain on (25,108) 113,248 40,419 143,832marketable securitiesTotal other income 13,639 152,180 164,566 275,150Income before provision 1,283,552 905,737 4,474,472 3,403,292for income taxes Provision for income 267,046 188,205 932,240 708,842taxesNet Income $ 1,016,506 $ 717,532 $ 3,542,232 $ 2,694,450 Earnings per commonshare $ 0.22 $ 0.16 $ 0.77 $ 0.59(Basic and Diluted) Weighted average shares? basic 4,594,319 4,594,319 4,594,319 4,594,319 and diluted

* Additional financial information can be found at the companys web site at www.u-g.com.