Washington, D.C. 20549






Pursuant to Section 13 or 15(d) of the Securities Exchange Act of 1934


Date of Report (Date of earliest event reported): September 3, 2014



(Exact name of registrant as specified in its charter)


Delaware   47-1598792

(State or other jurisdiction

of incorporation or organization)


(I.R.S. Employer

Identification No.)


431 Fairway Drive, Suite 200, Deerfield Beach, FL 33441

(Address of principal executive offices) (Zip Code)



(Registrant’s telephone number, including area code)



Former name or former address, if changed since last report:


Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions:


[  ] Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425)
[  ] Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12)
[  ] Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b))
[  ] Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c))






Item 7.01 Regulation FD Disclosure


On November 17, 2014, we issued a press release reporting our results for the third quarter and announcing that we will host an investor call Tuesday, November 25 at 10 a.m. ET to discuss third quarter results, provide a business update. A copy of that press release is attached hereto as Exhibit 99.1 and is incorporated herein by reference.


The information contained in the press release attached hereto is being furnished and shall not be deemed filed for purposes of Section 18 of the Securities Exchange Act of 1934, as amended (the “Exchange Act”), or otherwise subject to the liability of that Section, and shall not be incorporated by reference into any registration statement or other document filed under the Securities Act of 1933, as amended, or the Exchange Act, except as shall be expressly set forth by specific reference in such filing.


Item 9.01. Financial Statements and Exhibits


(d) Exhibits.


99.1   PEN Inc. press release dated November 17, 2014






Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized.


  PEN Inc.
Date: November 17, 2014 By: /s/ Jeanne M Rickert
    Jeanne M Rickert







PEN Inc. Announces Third Quarter Financial Results


Investor Conference Call and Business Update Set for November 25, 10 am ET


DEERFIELD BEACH, FL--(Marketwired - November 17, 2014) - PEN Inc. (OTCQB: PENC) (PEN) reported Friday the financial results for the quarter ended September 30, 2014.


Scott Rickert, PEN’s Chairman and CEO, said, “The historical business of PEN, primarily the sales of our eye care glass cleaning and defogging business, remains strong. We have restructured the contract research business to make it a break-even business going forward and thus PEN overall is profitable. This result after only one month of combined operations for the quarter reflects the hard work and dedication of the entire PEN team. Our focus is on continuing the growth of our historical businesses and the coming roll-out of new products. Our goal remains to create strong growth via new nanotechnology-enhanced products.”


For the three quarters ended September 30, PEN profits were $41,073 versus a net loss for the same period of 2013 of $168,950. Excluding one-time costs of approximately $235,000 associated with the Combination of Applied Nanotech and Nanofilm, PEN had pro forma net income for the nine month period of approximately $329,000.


For the quarter ended September 30, 2014, the Company reported a net loss of $448,887 versus a profit of $26,321 for the same period of 2013. The results reflect the merger acquisition costs, as well as the losses from the research and development segment. Since the combination, PEN has made efforts to cut costs and plans to achieve positive or break-even cash flow from operations in that segment by the end of 2014. For the nine month period, sales increased by $890,101 or 13.3% as compared to the same period in 2013.


Substantially all of PEN’s results of operations for the third quarter and year to date relate to the Nanofilm product segment since Nanofilm was the acquiror for accounting purposes, and the results of operations related to the research and development segment based in the Applied Nanotech Inc. subsidiary acquired in the combination are included in the results of operations only for the period from August 27, 2014, (the effective date of the combination) to September 30, 2014.


The entire Form 10Q and related financial statements are available at, or the company’s website,


Investor call and business update: Tuesday, November 25, 2014. At 10 a.m.


PEN will host an investor call Tuesday, November 25 at 10 a.m. ET to discuss third quarter results, provide a business update and take questions from investors. Participants can register for the webcast at this address:


The live event can also be followed on Twitter with the hashtag #PENRickert. Questions for the event may be submitted in advance to Lynn Lilly, Director of Communication, at, or by tweeting them via direct Twitter message to @PENRickert or with the hashtag #PENRickert.








   September 30, 2014   December 31, 2013 
Cash  $254,429   $100,367 
Accounts receivable, net   1,089,697    1,524,303 
Accounts receivable - related party   9,112    17,224 
Inventory   1,255,890    1,484,456 
Prepaid expenses and other current assets   426,588    107,718 
Total Current Assets   3,035,716    3,234,068 
OTHER ASSETS:          
Property, plant and equipment, net   803,276    672,704 
Intangible assets, net   2,387,198    - 
Other assets   37,197    73,504 
Total Other Assets   3,227,671    746,208 
TOTAL ASSETS  $6,263,387   $3,980,276 
Bank revolving line of credit  $-   $199,919 
Current portion of bank term loan   -    60,000 
Convertible notes payable, net   66,666    - 
Convertible notes payable - related parties, net   80,001    - 
Accounts payable   1,424,102    721,860 
Accrued expenses   1,077,572    344,271 
Income taxes payable   50,000    - 
Deferred revenue   120,871    - 
Total Current Liabilities   2,819,212    1,326,050 
Bank term loan, net of current portion   -    515,000 
Other long-term liabilities   -    127,914 
Total Long-term Liabilities   -    642,914 
Total Liabilities   2,819,212    1,968,964 
Preferred stock, $.0001 par value, 20,000,000 shares authorized; No shares issued and outstanding   -    - 
Class A common stock: $.0001 par value, 1,300,000,000 shares authorized; 232,316,856 and 27,670,187 issued and outstanding at September 30, 2014 and December 31, 2013, respectively   23,232    2,767 
Class B common stock: $.0001 par value, 400,000,000 shares authorized; 250,731,549 and 250,698,105 issued and outstanding at September 30, 2014 and December 31, 2013, respectively   25,073    25,070 
Class Z common stock: $.0001 par value, 100,000,000 shares authorized; 47,273,470 and 47,273,470 issued and outstanding at September 30, 2014 and December 31, 2013, respectively   4,727    4,727 
Additional paid-in capital   4,454,735    3,083,413 
Accumulated deficit   (1,063,592)   (1,104,665)
Total Stockholders’ Equity   3,444,175    2,011,312 
Total Liabilities and Stockholders’ Equity  $6,263,387   $3,980,276 


See 10Q for accompanying notes to unaudited consolidated financial statements.








   For the Three Months Ended    For the Nine Months Ended 
   September 30,    September 30, 
   2014   2013   2014    2013 
   (Unaudited)    (Unaudited)    (Unaudited)    (Unaudited) 
Third parties  $1,913,911   $2,391,073   $7,446,232   $6,529,367 
Related party   40,810    44,353    147,862    174,626 
Total Sales   1,954,721    2,435,426    7,594,094    6,703,993 
COST OF SALES   1,340,759    1,524,087    4,172,427    4,148,487 
GROSS PROFIT   613,962    911,339    3,421,667    2,555,506 
OPERATING EXPENSES:                    
Selling and marketing expenses   42,033    57,878    186,062    201,108 
Salaries, wages and contract labor   574,213    313,733    1,448,933    961,106 
Research and development   131,371    267,135    426,740    727,021 
Professional fees   249,503    81,998    568,225    272,511 
General and administrative expenses   265,563    175,094    622,085    557,064 
Total Operating Expenses   1,262,683    895,838    3,252,045    2,718,810 
INCOME (LOSS) FROM OPERATIONS   (648,721)   15,501    169,622    (163,304)
OTHER INCOME (EXPENSES):                    
Interest income   -    6    -    35 
Interest expenses   (1,806)   (15,521)   (19,230)   (72,051)
Other income, net   12,124    30,813    -    37,678 
Total Other Income/(Expense)   10,318    15,298    (19,230)   (34,338)
Income (loss) before income taxes   (638,403)   30,799    150,392    (197,642)
Income tax benefit (expense)   159,726    -    (55,901)   - 
NET INCOME (LOSS)   (478,677)   30,799    94,491    (197,642)
Net (income) loss attributable to former non-controlling interest   29,790    (4,478)   (53,418)   28,692 
NET INCOME (LOSS) ATTRIBUTABLE TO PEN, INC.  $(448,887)  $26,321   $41,073   $(168,950)
NET INCOME (LOSS) PER COMMON SHARE:                    
Basic  $(0.00)  $0.00   $0.00   $(0.00)
Diluted  $(0.00)  $0.00   $0.00   $(0.00)
Basic   401,181,389    325,641,762    351,098,340    325,641,762 
Diluted   401,181,389    325,641,762    351,098,340    325,641,762 


See 10Q for accompanying notes to unaudited consolidated financial statements.





About PEN Inc. (OTCQB: PENC)


PEN Inc. (PENC) is a global leader in developing, commercializing and marketing enhanced-performance products enabled by nanotechnology. The company focuses on innovative and advanced product solutions in safety, health and sustainability. For more information about PEN Inc., visit


Safe Harbor Statement


This press release contains forward-looking statements that involve risks and uncertainties concerning our business, products, and financial results. Actual results may differ materially from the results predicted. More information about potential risk factors that could affect our business, products, and financial results are included in our annual report on Form 10-K for the fiscal year ended December 31, 2013, and in reports subsequently filed by us with the Securities and Exchange Commission (“SEC”). All documents are available through the SEC’s Electronic Data Gathering Analysis and Retrieval System (EDGAR) at or from our website listed above. We hereby disclaim any obligation to publicly update the information provided above, including forward-looking statements, to reflect subsequent events or circumstances.