Opt Sciences Corp (OTC:OPST)

EXECUTIVE SUMMARY from 9/11/2012 10Q

Opt-Sciences Corporation, through its wholly owned subsidiary, O & S Research, Inc., both New Jersey corporations, manufactures anti-glare and transparent conductive optical coatings which are deposited on glass used primarily to cover instrument panels in aircraft cockpits. The Company's business is highly dependent on a robust commercial, business, regional and military aircraft market. Market projections for commercial aircraft are improving and this trend should be positive for the Company.

• We recognized third quarter sales of $1,779,154 and net income of $300,975. Sales are up 9% or $242,408 from the second quarter of Fiscal Year 2012. Compared to the third quarter of Fiscal Year 2011, sales are up 26%.
•  During the third quarter of 2012, the Company booked $1,197,000 in new orders compared to $1,949,000 in new orders booked for the second quarter of 2012 and $1,190,000 in new orders booked during the third quarter of 2011.
• Our backlog of unshipped orders was approximately $2,538,000 at the end of third quarter, down approximately 18% from $3,103,000 at the end of the second quarter of 2012 and up 64% from the $1,545,000 backlog at the end of the third quarter of 2011.
• We currently expect fourth quarter sales to be approximately $1,600,000.
  
  Based on their needs, which change from time to time, our customers may accelerate or defer delivery dates; and we typically try to accommodate their needs if we have available manufacturing capacity and access to the required raw materials. We generally have a four to twelve week delivery cycle depending on product complexity, plant capacity and lead time for raw materials, such as polarizers or filter glass. Our sales tend to fluctuate from quarter to quarter, because all orders are custom manufactured and customer orders are generally scheduled for delivery based on our customer's need date and not based on our ability to make shipments. Since the Company has two customers that together represent over 68% of sales, any significant change in the requirements of either of those customers has a direct impact on our revenue for the quarter.