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Hudson Technologies Reports Record First Quarter 2022 Results

WOODCLIFF LAKE, NJ – MAY 4, 2022 – Hudson Technologies, Inc. (NASDAQ: HDSN) announced results for the first quarter ended March 31, 2022.

For the quarter ended March 31, 2022, Hudson reported revenues of $84.3 million, an increase of 149% compared to revenues of $33.8 million in the comparable 2021 period. First quarter revenue growth was driven by increases in volumes and selling prices for certain refrigerants during the period. Gross margin in the first quarter of 2022 increased to 54%, compared to 27% in the first quarter of 2021, mainly due to the significant increase in selling price without a material appreciation in the cost basis of certain refrigerants sold. Hudson reported operating income of $38.3 million in the first quarter of 2022, compared to operating income of $1.7 million in the prior year period.

The Company recorded net income of $29.6 million or $0.66 per basic and $0.63 per diluted share in the first quarter of 2022, compared to a net loss of $1.1 million or ($0.02) per basic and diluted share in the same period of 2021. Net income during the first quarter of 2022 included $4.6 million of one-time interest expense associated with the refinancing of the Company’s term loan. As previously announced, during the first quarter the Company entered into a new $85 million term loan agreement with TCW Asset Management, LLC and has amended its existing asset-based lending facility to increase the overall facility to $90 million.

Brian F. Coleman, President and Chief Executive Officer of Hudson Technologies commented, “Our 2022 selling season is off to a strong start, with record first quarter revenues and a path towards another record full year. The first quarter demonstrated substantially improved gross margin and significantly enhanced profitability as compared to last year’s first quarter. Our first quarter performance reflected the continued upward trend in average pricing for certain refrigerants and also benefitted from increased sales volume as we continue to focus on strategic customers who value our sustainability offerings. We previously communicated longer term targets for 2023 through 2024 with annualized revenue and operating income of $350 million and $72 million, respectively. With our visibility today, assuming the first quarter pricing trend continues, we believe we are on a path to reach those longer term targets at a faster rate than originally expected, as we begin to experience the initial impact of the AIM Act and its regulations. While our first quarter gross margin was particularly strong, we believe margin performance for the full year will moderate to levels similar to that of last year. In addition, based on current pricing trends we should see revenues in excess of $270 million in 2022.

“With the start of 2022, our industry must now comply with the AIM Act, which mandates a 10% stepdown in production and consumption allowances for virgin HFCs in both 2022 and 2023. Beginning in 2024, with the 40% reduction in the baseline, we expect to experience a significant inflection point for our business model and sustainable offerings. HFCs are currently the most commonly used refrigerants and as a leading reclaimer, we are uniquely positioned to fill the anticipated HFC supply gap as virgin production is phased out. With our reclamation capabilities and robust distribution network, Hudson is poised to continue to lead the industry’s orderly transition to greener, more environmentally-friendly refrigerants, and we welcome this opportunity to promote the circular economy of refrigerants and the transition to cleaner, more efficient next generation cooling equipment and gases. We’re energized by the opportunities we’re seeing to expand our market share and leadership role in the refrigerant marketplace throughout 2022 and for decades to come,” Mr. Coleman concluded.


Hudson Technologies to Host Conference Call to Discuss First Quarter 2022 Results

Woodcliff Lake, NJ – April 21, 2022 – Hudson Technologies, Inc. (NASDAQ: HDSN) will host a conference call and webcast on Wednesday, May 4, 2022 at 5:00 p.m. Eastern Time to discuss the Company’s first quarter 2022 results.

Click here to access the live webcast.

To participate in the call by phone, dial (877) 545-0320 approximately five minutes prior to the scheduled start time. International callers please dial (973) 528-0002. Callers should use entry code: 859979.

A replay of the teleconference will be available until June 3, 2022 and may be accessed by dialing (877) 481-4010. International callers may dial (919) 882-2331. Callers should use conference ID: 45325.

Hudson Technologies Reports Record Fourth Quarter and Year End 2021 Results

WOODCLIFF LAKE, NJ – MARCH 8, 2022 – Hudson Technologies, Inc. (NASDAQ: HDSN) announced results for the fourth quarter and year ended December 31, 2021.

For the quarter ended December 31, 2021, Hudson reported revenues of $37.8 million, an increase of 71% compared to revenues of $22.1 million in the comparable 2020 period. Fourth quarter revenue growth was driven by increased selling prices for certain refrigerants during the period. Gross margin in the fourth quarter of 2021 was 45%, compared to 25% in the fourth quarter of 2020, mainly due to the aforementioned increase in selling price of certain refrigerants. Hudson reported operating income of $9.3 million in the fourth quarter of 2021, compared to an operating loss of $1.7 million in the prior year period. The Company recorded net income of $6.2 million or $0.14 per basic and $0.13 per diluted share in the fourth quarter of 2021, compared to a net loss of $4.7 million or ($0.11) per basic and diluted share in the same period of 2020.

For the year ended December 31, 2021, Hudson reported revenues of $192.7 million, an increase of 31% compared to revenues of $147.6 million for full year 2020. The revenue growth was driven by increased selling prices for certain refrigerants during the period. Gross margin during for the year ended December 31, 2021 was 37%, compared to 24% for full year 2020, mainly due to the aforementioned increase in selling price of certain refrigerants. Hudson reported operating income of $42.3 million for full year 2021 compared to operating income of $5.9 million in the prior year. The Company recorded net income of $32.3 million or $0.74 per basic and $0.69 per diluted share in fiscal 2021, compared to a net loss of $5.2 million or ($0.12) per basic and diluted share in fiscal 2020.

Subsequent to the close of the fourth quarter, the Company announced it has entered into a new $85 million term loan agreement with TCW Asset Management, LLC and has amended its existing asset-based lending facility to increase the overall facility to $90 million. In conjunction with entering into the new term loan facility and amended revolving credit facility, the Company’s existing term loan was repaid in full and terminated.

Brian F. Coleman, President and Chief Executive Officer of Hudson Technologies commented,
“We’re pleased to have closed 2021 with record fourth quarter and full year results, reflecting significant revenue growth, enhanced margins and improved profitability. Our fourth quarter has historically been our weakest, as it falls outside of our traditional nine-month selling season from January to September. However, following the close of the 2021 selling season, the industry saw continued strength in the average selling prices of certain refrigerants. Assuming this pricing trend continues for the 2022 selling season, we could see revenues exceeding $270 million in 2022. As we begin moving through 2022, we are focused on maintaining effective inventory management so that we are well positioned to meet customer demand as virgin HFCs begin to become scarce.

“As we’ve previously discussed, the AIM Act has introduced a mandated 10% stepdown in production and consumption allowances for virgin HFCs in 2022 from the original baseline. This presents an opportunity for Hudson, since the installed base of HFC equipment continues to expand, and as virgin supply tightens, we expect the demand for HFCs will drive accelerated reclamation activity to fill the anticipated supply gap. With our industry-leading reclamation capabilities, longstanding customer relationships and efficient distribution network, we are positioned to enable the transition to greener refrigerants. Since our Company’s inception, we have been committed to providing a sustainable alternative to virgin refrigerant production, and our technology is capable of reclaiming all types of refrigerant, including next generation HFO gases. As we move through 2022, we believe we have a tremendous opportunity to continue our support of the industry transition to greener refrigerants and to grow our market position as both a supplier and a reclaimer servicing the evolving refrigerant landscape.

“We are pleased to have completed the refinancing of our debt, which we believe will provide enhanced financial flexibility for the continued growth of our business. With the new debt structure, our cost of capital and interest expense will improve meaningfully, with an approximate 3% reduction in the overall effective interest rate. We appreciate the support of our new and existing lending partners and look forward to driving long-term growth and cash flows as our reclamation services play an increasingly important role in the transition to more environmentally friendly refrigerants,” Mr. Coleman concluded.

Hudson Technologies Reports Third Quarter 2021 Results

PEARL RIVER, NY – NOVEMBER 3, 2021 – Hudson Technologies, Inc. (NASDAQ: HDSN) announced results for the third quarter and nine months ended September 30, 2021.

For the quarter ended September 30, 2021, Hudson reported revenues of $60.6 million, an increase of 46% compared to revenues of $41.5 million in the comparable 2020 period. Third quarter revenue growth was driven by increased selling prices of certain refrigerants during the period. Gross margin in the third quarter of 2021 was 39%, compared to 22% in the third quarter of 2020, mainly due to the aforementioned increase in selling price of certain refrigerants. Hudson reported operating income of $16.9 million in the third quarter of 2021, compared to operating income of $2.1 million in the prior year period. The Company recorded net income of $15.9 million or $0.36 per basic and $0.34 per diluted share in the third quarter of 2021, compared to net income of $39 thousand or $0.00 per basic and diluted share in the same period of 2020.

For the nine months ended September 30, 2021, Hudson reported revenues of $155.0 million, an increase of 24% compared to revenues of $125.5 million in the first nine months of 2020. The revenue growth was driven by increased selling prices for certain refrigerants during the period. Gross margin during the nine months ended September 30, 2021 was 35%, compared to 24% in the first nine months of 2020, mainly due to the aforementioned increase in selling price of certain refrigerants. Hudson reported operating income of $33.0 million for the first nine months of 2021 compared to operating income of $7.7 million in the prior year period. The Company recorded net income of $26.1 million or $0.60 per basic and $0.56 per diluted share in the first nine months of 2021, compared to a net loss of $0.5 million or ($0.01) per basic and diluted share in the same period of 2020.

At September 30, 2021, the Company had approximately $53 million of total availability, consisting of cash and cash equivalents plus revolving loan availability.

Brian F. Coleman, President and Chief Executive Officer of Hudson Technologies commented,
“The close of the third quarter represents a strong finish to our traditional nine month selling season. We’re pleased to have delivered substantial revenue growth, increased margins and enhanced profitability in the quarter and for the 2021 selling season. Our improved performance was primarily related to significantly increased average selling prices of certain refrigerants, partially offset by reduced demand volume due to both a greater focus on higher margin customers as we have realigned our sales strategy, and a slower than expected reopening of businesses. In addition, there has been a far greater disruption in the supply chain, both with product availability and transportation, which has impacted our entire industry, as well as the overall economy. We’re focused on proactively managing our inventory so that we will be well positioned to continue to serve our customer base throughout the 2022 cooling season.

“In September, the EPA published the final rule allocating allowances for the production and consumption of HFCs, as mandated by the AIM Act, introducing a stepdown of 10% in 2022 from baseline levels. As we expected, Hudson received an allocation allowance for calendar year 2022 equal to approximately 3 million Metric Tons Exchange Value Equivalents, or 1% of the total HFC consumption allocation, with allowances for 2023 and beyond to be determined at a later date. Notably, subsequent allowances must establish a 40% reduction in virgin production and importation from the current baseline, in 2024. We expect the reduction in virgin HFC supply will help accelerate reclamation activity in the near term and with the final HFC allowances in place, we believe we are competitively positioned through both our reclamation capabilities and our robust distribution network, to capture market share as both a supplier and a reclaimer, serving the large and growing installed base of HFC equipment. Please remember that our technology has the ability to service and reclaim any refrigerant, including next generation HFOs, well into the future. We support the global efforts to transition our industry to more environmentally friendly gases, and believe we have a unique opportunity to provide a sustainable alternative to virgin refrigerants as the HFC supply tightens,” Mr. Coleman concluded.

Hudson Technologies Reports Record Second Quarter 2021 Revenues

For the quarter ended June 30, 2021, Hudson reported revenues of $60.5 million, an increase of 27% compared to revenues of $47.7 million in the comparable 2020 period. Second quarter revenue growth was driven by increased demand as well as increased selling prices for certain refrigerants during the period. Gross margin in the second quarter of 2021 was 36%, compared to 27% in the second quarter of 2020, mainly due to the aforementioned increase in selling price of certain refrigerants. Hudson reported operating income of $14.4 million in the second quarter of 2021 compared to operating income of $5.2 million in the prior year period. The Company recorded net income of $11.3 million or $0.26 per basic and $0.24 per diluted share in the second quarter of 2021, compared to net income of $2.4 million or $0.06 per basic and diluted share in the same period of 2020.

For the six months ended June 30, 2021 Hudson reported revenues of $94.3 million, an increase of 12% compared to revenues of $84.0 million in the first six months of 2020. The revenue growth was driven by increased demand as well as increased selling prices for certain refrigerants during the period. Gross margin in the first half of 2021 was 33%, compared to 25% in the first half of 2020, mainly due to the aforementioned increase in selling price of certain refrigerants. Hudson reported operating income of $16.1 million for the first six months of 2021 compared to operating income of $5.6 million in the prior year period. The Company recorded net income of $10.2 million or $0.23 per basic and $0.22 per diluted share in the first half of 2021, compared to a net loss of $0.5 million or ($0.01) per basic and diluted share in the same period of 2020.

At June 30, 2021, the Company had approximately $41 million of total availability, consisting of cash and cash equivalents plus revolving loan availability.

Brian F. Coleman, President and Chief Executive Officer of Hudson Technologies commented,
“We are pleased to have delivered strong second quarter results as demonstrated by substantial revenue growth and significantly improved profitability. Our performance was driven by increased demand as well as favorable pricing trends across our portfolio of refrigerants. We view the selling season as a nine-month period, and the second quarter has historically been a strong quarter for us as it typically coincides with warmer weather in the North and Northeast resulting in the start-up of cooling systems. During the second quarter, our business also benefitted from the favorable impact of the U.S. economy reopening. As we move through the balance of our selling season, we’re optimistic about the activity and interest we’re seeing for our products in the marketplace.

“Additionally, from a regulatory perspective, we’re looking forward to the anticipated publication of HFC allocations in September as the allocation portion of the AIM Act goes into effect. When the allocations become public, we’ll have more visibility around how the industry will be positioned to supply the large and growing installed base of HFC systems as virgin production begins it phasedown starting in 2022. The AIM Act establishes a cumulative 40% reduction in the baseline by 2024 and we anticipate that reclamation will be critical to maintaining necessary supply during this HFC phasedown period. Given our reclamation capabilities and robust distribution network, Hudson is uniquely positioned as both a supplier and a reclaimer, to meet potential supply shortfalls as virgin HFC production is phased down to 15% in the year 2036. We believe the upcoming HFC phasedown represents a tremendous long-term growth opportunity and will create a favorable environment for us to capture additional business with our sustainable, reclaimed refrigerant offerings,” Mr. Coleman concluded.

Hudson Technologies to Participate at 18th Annual Craig-Hallum Institutional Investor Conference

PEARL RIVER, NY – MAY 25, 2021 – Hudson Technologies, Inc. (NASDAQ: HDSN) announced today that Brian F. Coleman, Chief Executive Officer, and Nat Krishnamurti, Chief Financial Officer, will participate in the 18th Annual Craig-Hallum Institutional Investor Conference, to be held virtually on Wednesday June 2, 2021. Messrs. Coleman and Krishnamurti will be available from 8:00 a.m.–6:00 p.m. ET, for one-on-one and small group meetings via teleconference.

Hudson Technologies Reports First Quarter 2021 Results

PEARL RIVER, NY – MAY 5, 2021 – Hudson Technologies, Inc. (NASDAQ: HDSN) announced results for the first quarter ended March 31, 2021.

For the quarter ended March 31, 2021, Hudson reported revenues of $33.8 million, a decrease of 7% compared to revenues of $36.4 million in the comparable 2020 period. The decrease in revenue was primarily due to decreased volume, as the COVID pandemic shutdowns did not have as great an impact to the first quarter of 2020 as compared to 2021. The demand decline was partially offset by an increase in selling price of certain refrigerants. Gross margin in the first quarter of 2021 was 27%, compared to 23% in the first quarter of 2020, mainly due to the aforementioned increase in selling price of certain refrigerants. Hudson reported operating income of $1.7 million in the first quarter of 2021 compared to operating income of $0.4 million in the prior year period. The Company recorded a net loss of $1.1 million or ($0.02) per basic and diluted share in the first quarter of 2021, compared to a net loss of $2.9 million or ($0.07) per basic and diluted share in the same period of 2020. At March 31, 2021, the Company had approximately $32 million of total availability, consisting of the cash balance plus revolving loan availability.

Brian F. Coleman, President and Chief Executive Officer of Hudson Technologies commented,
“As we kick off the 2021 selling season, we are optimistic that we’ll begin to see a broader reopening of the economy, and specifically a return to facilities such as schools, office buildings and other venues that represent the end markets for many of our customers. With that in mind, we are prepared to meet potential demand as the nine-month cooling season continues, particularly as cooling systems come back online with the gradual return to ‘business as usual’ and we move into the warmer late spring and summer weather.

“Looking at the regulatory landscape, we are encouraged by the progress made with the passing of the AIM Act in December 2020. As a leading source of all refrigerants, Hudson is keenly focused on our role as environmental and sustainability legislation is adopted. Our capabilities as a reclaimer uniquely position us to support the phase down of HFC refrigerants, as we can reclaim and recycle these refrigerants, positioning us as an effective resource in the circular economy of the refrigerant industry. The AIM Act requires the phasedown of HFC production over the next 15 years, with a cumulative 40% reduction in the baseline scheduled to take place in just 2 ½ years. The installed base of HFC systems is large and growing, so reclamation will be a key component to maintaining necessary supply during an orderly phasedown, and this presents a significant long-term opportunity for Hudson to become an HFC supplier, while also supporting the transition away from production of virgin HFCs. We’re excited by the opportunities we’re seeing not only to grow our business, but also to provide our services to benefit the environment,” Mr. Coleman concluded.


Hudson Technologies to Participate at Roth Virtual Conference

PEARL RIVER, NY – MARCH 9, 2021 – Hudson Technologies, Inc. (NASDAQ: HDSN) announced today that Brian F. Coleman, Chief Executive Officer and Nat Krishnamurti, Chief Financial Officer, will participate in the ROTH Virtual Conference on Monday & Tuesday, March 15 & 16, 2021. Messrs. Coleman and Krishnamurti will be available from 9:00 a.m.–6:00 p.m. ET both days, for one-on-one and small group meetings via teleconference.

Hudson Technologies Reports Fourth Quarter 2020 Results

PEARL RIVER, NY – MARCH 3, 2021 – Hudson Technologies, Inc. (NASDAQ: HDSN) announced results for the fourth quarter and year ended December 31, 2020.

For the quarter ended December 31, 2020, Hudson reported revenues of $22.1 million, a decrease of 14% compared to revenues of $25.8 million in the comparable 2019 period. The decrease in revenue was primarily due to decreased volume, as the COVID-19 pandemic and the associated closures of public venues such as commercial and recreational facilities, schools and universities across the U.S. negatively impacted the Company’s end markets and overall demand for refrigerants for much of the year, partially offset by an increase in selling price of certain refrigerants. Gross margin in the fourth quarter of 2020 was 25%, compared to 19% in the fourth quarter of 2019, mainly due to the aforementioned increase in selling price of certain refrigerants. Hudson reported an operating loss of $1.7 million in the fourth quarter of 2020 compared to an operating loss of $4.8 million in the prior year period. The Company recorded a net loss of $4.7 million or ($0.11) per basic and diluted share in the fourth quarter of 2020, compared to a net loss of $10.8 million or ($0.25) per basic and diluted share in the same period of 2019.

For the year ended December 31, 2020, Hudson reported revenues of $147.6 million, a decrease of 9% compared to $162.1 million in 2019. The decrease in revenue was primarily due to decreased volume, related to the pandemic-driven closures described above. Gross margin for full year 2020 improved to 24% compared to gross margin of 11% for the full year 2019. The Company reported operating income of $5.9 million for 2020 compared to an operating loss of $15.8 million in 2019. The Company’s net loss for 2020 was $5.2 million, or ($0.12) per basic and diluted share, compared to a net loss of $25.9 million, or ($0.61) per basic and diluted share in 2019, which included a $9.2 million non-cash inventory adjustment mainly due to declines in selling prices of certain refrigerants during that time period.

Brian F. Coleman, President and Chief Executive Officer of Hudson Technologies commented, “2020 was a challenging year for our industry, characterized by the public health and economic uncertainties caused by the global COVID-19 pandemic. As we begin 2021, we are optimistic that the widespread closures related to the virus will begin to subside and enable the broader re-opening of our economy. With that in mind, we are planning and preparing for the 2021 selling season so that we are ready to meet potential demand as more cooling systems return to operation and we look forward to fully re-engaging with our customers as they continue to come back online.”

Hudson Technologies Reports Third Quarter 2020 Results

PEARL RIVER, NY – NOVEMBER 5, 2020 – Hudson Technologies, Inc. (NASDAQ: HDSN) announced results for the third quarter and nine months ended September 30, 2020.

For the quarter ended September 30, 2020, Hudson reported revenues of $41.5 million, a decrease of 9% compared to revenues of $45.6 million in the comparable 2019 period. The decrease is primarily due to a decline in volume, as the continued COVID-19 pandemic and the associated closures of public venues such as office buildings, gyms, schools and universities across the U.S. negatively impacted the Company’s end markets and overall demand for refrigerants. Gross margin in the third quarter of 2020 was 22%, compared to 17% in the third quarter of 2019. The Company reported operating income of $2.1 million for the third quarter of 2020 compared to an operating loss of $1.2 million in the third quarter of 2019. The Company recorded net income of $39,000 or $0.00 per basic and diluted share in the third quarter of 2020, compared to net income of $2.7 million or $0.06 per basic and diluted share in the same period of 2019. During the third quarter of 2019, the Company received $8.9 million in proceeds from the working capital settlement arising from the acquisition of Aspen Refrigerants, Inc. (“ARI”), which led to the net profit in that quarter. Hudson recorded non-GAAP Adjusted EBITDA of $4.6 million in the third quarter of 2020 compared to Adjusted EBITDA of $3.9 million in the third quarter of 2019. (Adjusted EBITDA is a non-GAAP financial measure – see the description of Adjusted EBITDA and tabular Reconciliation of Net Income (Loss) to Adjusted EBITDA in the supplemental table included at the end of this release).

For the nine months ended September 30, 2020, Hudson reported revenues of $125.5 million, a decrease of 8% compared to $136.3 million in the first nine months of 2019. The decrease in revenue was primarily due to decreased volume, related to the pandemic-driven closures described above. Gross margin for the first nine months of 2020 improved to 24% compared to gross margin of 9% for the same period in 2019. The Company reported operating income of $7.7 million for the first nine months of 2020 compared to an operating loss of $11.0 million in the first nine months of 2019. The Company’s net loss for the first nine months of 2020 was $0.5 million, or ($0.01) per basic and diluted share, compared to a net loss of $15.2 million, or ($0.36) per basic and diluted share, in the first nine months of 2019, which included a $9.2 million non-cash inventory adjustment offset by the $8.9 settlement proceeds described above. For the first nine months of 2020, Hudson recorded non-GAAP Adjusted EBITDA of $15.7 million compared to Adjusted EBITDA of $9.9 million in the first nine months of 2019. For the trailing twelve months ended September 30, 2020, Hudson recorded non-GAAP Adjusted EBITDA of $14.9 million, a 75% increase from the $8.5 million of Adjusted EBITDA recorded during the trailing twelve months ended September 30, 2019. (Adjusted EBITDA is a non-GAAP financial measure – see the description of Adjusted EBITDA and tabular Reconciliation of Net Income (Loss) to Adjusted EBITDA in the supplemental table included at the end of this release).

Brian F. Coleman, President and Chief Executive Officer of Hudson Technologies commented, “Our third quarter performance was largely consistent with our expectations as we, and the rest of our industry, continued to contend with demand declines associated with the ongoing closure of many public venues across the U.S. Given the selling environment, we’re pleased to have achieved improved gross margin, increased operating income and breakeven profitability in the third quarter. Moreover, we repaid $16.5 million of debt during the third quarter of 2020, and as of September 30, 2020, we have fully paid down our revolver, while increasing our cash balance to $9.2 million. As of September 30, 2020, our overall availability, which includes our cash balance and revolver availability, was $41.7 million, which will provide financial flexibility for the fourth quarter and beyond.

“As we move through the final months of 2020, we remain focused on continuing to navigate the uncertainties of this pandemic. Historically, the fourth quarter is typically our quietest quarter, one in which we plan our operational strategy to anticipate and meet the needs of our customers for the following year’s cooling season. We are optimistic that 2021 will bring more consistent re-openings for businesses and schools and we are planning accordingly so that Hudson is well positioned to help meet potential demand as more cooling systems are turned back on. We remain committed to protecting the health and safety of our employees while also maintaining our product supply for our customers across all channels.”

Hudson Technologies Reports Second Quarter 2020 Net Income of $2.4 Million or $0.06 Per Share

PEARL RIVER, NY – AUGUST 5, 2020 – Hudson Technologies, Inc. (NASDAQ: HDSN) announced results for the second quarter and six months ended June 30, 2020.

For the quarter ended June 30, 2020, Hudson reported revenues of $47.7 million, a decrease of 14.8% compared to revenues of $56.0 million in the comparable 2019 period. The decrease is primarily due to a decline in volume, partially offset by an increase in selling price, of certain refrigerants sold during the second quarter of 2020, compared to the second quarter of 2019. Gross margin in the second quarter of 2020 was 26.6%, compared to negative gross margin in the second quarter of 2019. The Company reported operating income of $5.2 million for the second quarter of 2020 compared to an operating loss of $10.0 million in the second quarter of 2019. During the second quarter of 2019 the Company recorded a lower of cost or net realizable value adjustment to its inventory of $9.2 million, mainly due to declines in selling prices of certain refrigerants at that time. The Company recorded net income of $2.4 million or $0.06 per basic and diluted share in the second quarter of 2020, compared to a net loss of $13.8 million or ($0.32) per basic and diluted share in the same period of 2019.

For the six months ended June 30, 2020, Hudson reported revenues of $84.0 million, a decrease of 7.4% compared to $90.7 million in the first six months of 2019. The decrease in revenue was primarily due to decreased volume, partially offset by increased pricing of certain refrigerants. Gross margin for the first six months of 2020 improved to 25.0% compared to gross margin of 5.1% in the first half of 2019. The Company reported operating income of $5.6 million for the first six months of 2020 compared to an operating loss of $9.7 million in the same period of 2019. The Company’s net loss for the first six months of 2020 was $0.5 million, or ($0.01) per basic and diluted share, compared to a net loss of $17.8 million, or ($0.42) per basic and diluted share, in the first half of 2019, which included the above mentioned $9.2 million non-cash inventory adjustment.

Brian F. Coleman, President and Chief Executive Officer of Hudson Technologies commented, “We were pleased to deliver solid second quarter results, particularly as we continue to navigate the challenging landscape associated with the COVID-19 virus and the associated impact to our economy. During the quarter, the closures to public venues, such as office buildings, recreation centers, schools and universities across the U.S. impacted end markets and demand for refrigerants. While pricing remained consistent in the quarter, volume declines adversely impacted our overall revenues. Nonetheless, we delivered improved gross margin for the quarter, achieved solid operating income and returned to profitability.

“There are still many uncertainties associated with this pandemic and we remain focused on the elements of our business that we can control: protecting the health and safety of our employees and keeping our products in supply to best serve our customers across all channels. We’ve been in this business for more than thirty years, and our ability to adapt to changing economic and industry landscapes while executing our operational strategy is a strength we continue to rely upon. Despite the challenging market environment, Hudson generated over $6 million of operating cash flow during the second quarter of 2020. The Company’s financial position and liquidity remain strong, with total liquidity at June 30, 2020 of approximately $39 million, which includes cash and revolver availability. Finally, as announced in an 8-K this past Monday, we’ve met certain performance targets set forth in our Credit Agreement, and as a result of this achievement, we have terminated the services of our Chief Restructuring Officer.

“As you know, in late June, our Company suffered the unexpected loss of our founder Kevin J. Zugibe, P.E. He was an industry pioneer who brought remarkable passion, expertise and energy to Hudson, and he is greatly missed. In his years building the Company, Kevin recognized the importance of establishing a strong management team to drive and support Hudson’s growth. All of our employees are committed to continuing to grow and execute on Kevin’s legacy, and as one of Kevin’s longstanding partners for over 20 years, I can assure you that we are focused on our Company’s success as we move through the coming months and years,” Mr. Coleman concluded.

Hudson Technologies Reports First Quarter 2020 Revenues of $36.4 Million, Gross Margin of 23% and Liquidity of $27 Million

Pearl River, NY – May 6, 2020 – Hudson Technologies, Inc. (NASDAQ: HDSN) announced results for the first quarter ended March 31, 2020.

For the quarter ended March 31, 2020, Hudson reported revenues of $36.4 million, a 5% increase compared to $34.7 million in the comparable 2019 period, primarily due to an increase in the volume of refrigerants sold. Gross margin was 23% for the first quarter of 2020 compared to 20% for the first quarter of 2019. The Company reported operating income of $0.4 million for the first quarter of 2020 compared to operating income of $0.2 million for the first quarter of 2019. Net loss for the first quarter of 2020 was $2.9 million, or ($0.07) per basic and diluted share, compared to a net loss of $4.0 million or ($0.09) per basic and diluted share in the first quarter of 2019.

Kevin J. Zugibe, Chairman and Chief Executive Officer of Hudson Technologies commented, “First let me say that the novel coronavirus disease, COVID-19, has had a dramatic impact on every person, business and industry, and Hudson is no exception. However, Hudson operates in a ‘critical infrastructure industry’ and is an essential business as defined by the U.S. government. We have kept our plants operating and have been effectively running our operations, while following all state and federal guidelines to keep our employees safe and healthy. Our priorities throughout this pandemic have been, and will continue to be, to ensure the health and safety of our employees; to keep our products in supply and to maintain the quality and safety of our products; to best serve our customers across all channels as they adapt to the crisis; and, to position ourselves to emerge strong when the crisis ends.

“As we look back on the first quarter, we saw an increase in volume over the same period last year, building on the increased volume we saw in 2019, and we are seeing some strengthening in the pricing of R-22. We are a few weeks away from the prime selling season so it is still early in the 2020 season to know how pricing will develop, and it also remains to be seen as to what effect the weather and the economic impact of COVID-19 will have on the price and demand for refrigerants. Additionally, during the first quarter, we improved our gross margins in 2020 over 2019 and believe we have the opportunity to further drive improved margins in 2020 as we replace higher priced inventory with lower priced product. We believe that customer inventories are low and, with the elimination of R-22 production and importation in 2020, we expect to see a tightening in the supply of virgin R-22. Finally, the Company’s financial position and liquidity remain strong, with total liquidity at March 31, 2020 of approximately $27 million, which includes cash and revolver availability.

“As we proceed through 2020, we are concerned that the economic factors resulting from the various governmental restrictions that have been put in place could have a negative impact on the demand for refrigerants. We continue to focus on implementing various strategies to grow our leadership position in the refrigerant industry, and on leveraging our strong reclamation abilities and our presence at key points in the supply chain.”

Hudson Technologies to Present at 15th Annual Craig-Hallum Institutional Investor Conference

PEARL RIVER, NY, May 14, 2018 – Hudson Technologies, Inc. (NASDAQ: HDSN), today announced that Brian Coleman, President and Chief Operating Officer, will attend Craig-Hallum’s 15th Annual Institutional Investor Conference, to be held at The Depot Renaissance Minneapolis Hotel on Wednesday, May 30, 2018. Mr. Coleman will be available for one-on-one meetings throughout the day.

Hudson Technologies to Present at Oppenheimer Emerging Growth Conference

PEARL RIVER, NY, May 3, 2018 – Hudson Technologies, Inc. (NASDAQ: HDSN), today announced that Kevin Zugibe, Chairman & Chief Executive Officer and Brian Coleman, President and Chief Operating Officer, will attend the Oppenheimer Emerging Growth Conference, to be held at the InterContinental New York Barclay Hotel on Tuesday, May 15, 2018. Messrs. Zugibe and Coleman will be available for one-on-one meetings throughout the day.

Hudson Technologies to Present at 30th Annual ROTH Conference

PEARL RIVER, NY, March 6, 2018 – Hudson Technologies, Inc. (NASDAQ: HDSN), today announced that Brian Coleman, President and Chief Operating Officer, will present at the 30th Annual ROTH Conference, to be held at the Ritz-Carlton in Dana Point, California. The presentation will take place on Monday, March 12, 2018 at 3:00 p.m. PT in Salon 1. Mr. Coleman will be available for one-on-one meetings throughout the day.

Hudson Technologies to Attend 5th Annual ROTH Industrial Growth and Cleantech Conference

PEARL RIVER, NY, December 5, 2017 – Hudson Technologies, Inc. (NASDAQ: HDSN), today announced that Kevin Zugibe, Chairman & Chief Executive Officer and Brian Coleman, President and Chief Operating Officer, will attend the 5th Annual ROTH Industrial and Cleantech 1×1 Conference, to be held at the Lotte New York Palace Hotel on Tuesday, December 12, 2017. Messrs. Zugibe and Coleman will be available for one-on-one meetings throughout the day.

Hudson Technologies to Present at 8th Annual Craig-Hallum Alpha Select Conference

PEARL RIVER, NY, November 10, 2017 – Hudson Technologies, Inc. (NASDAQ: HDSN), today announced that Kevin Zugibe, Chairman & Chief Executive Officer and Brian Coleman, President and Chief Operating Officer, will be presenting at the 8th Annual Craig-Hallum Alpha Select Conference, to be held at the Sheraton New York Times Square Hotel. The presentation will take place on Thursday, November 16, 2017 at 8:40 a.m. Eastern Time in the Liberty 1 & 2 Suite. Messrs. Zugibe and Coleman will be available for one-on-one meetings throughout the day.