JUPITER, FL / ACCESSWIRE / January 19, 2016 / GelTech Solutions, Inc. (GLTC), an innovator in the use of polymers for fire suppression and protection, announced today the highly successful 2015 wildland fire season and expects continued growth in 2016, both internally within existing accounts and externally with new accounts. FireIce brand products generated revenue of over $850k for the FireIce wildland fire division during the 2015 calendar year and wildland fire season. It is estimated that FireIce HVO-F was deployed on over 600 airtanker missions across North America last season, in addition to the product that was used by engines on the ground for suppression and structure protection.
"We are pleased to have won the trust of our customers, which is a testament to the quality and effectiveness of our FireIce brand products, as well as the reliability of our customer service team," stated Matt Struzziero, GelTech Solutions' director of sales and operations. "FireIce is now firmly entrenched as the industry-leading gel retardant brand in wildland firefighting, and we are proud to provide cost-effective and environment-friendly products to the wildland fire agencies we serve."
FireIce HVO-F, a proprietary blend designed exclusively for use in airtankers and helicopters, was procured by six wildland fire agencies, and was successfully competed in government agency bids for Oregon, North Carolina, and Minnesota. FireIce products were also procured by four wildland fire agencies for use in their ground engine programs, including a successful government agency bid in Texas. In all of the bids, FireIce products were submitted in an open process and competed against other companies that sell fire retardant, foam and gel.
Michael Reger, President of GelTech Solutions, commented, "We expect that 2016 will be the most successful year our company has ever had, and we are confident that gross revenue for the division will at least double with our definitive growth strategy in place. Though the FireIce wildland fire division's revenue is seasonal and unpredictable, following the pattern of wildland fire across North America, we already saw a significant increase in orders in January 2016 over January 2015 as agencies prepare for the upcoming season.
"The successes of the FireIce wildland fire division last season marked an important inflection point for us in the development of our sales efforts, and validates our work over the last seven years in the development of our company. For the 2016 season, we expect to have 12 agency customers using or evaluating FireIce brand products, including agreements with a major western state in Oregon and a large Canadian Province. These agreements require us to provide as much product as necessary and to deliver within a very short timeframe. Our operations team has had tremendous execution in manufacturing and pre-staging FireIce products in warehouses across the country, so we are confident that we have the capacity to fill these requests.
"Our sales and marketing program continues to expand, as we are working with additional state, federal, and Canadian wildland fire agencies for new evaluations and agreements. As these agencies become more experienced using FireIce brand products, we expect that the sales cycle from introduction to evaluation to procurement will continue to condense. With the continued progress in our FireIce wildland fire division, along with our other products, we expect 2016 to be a break out year with significant increase in orders and revenues. It is my intention to keep our shareholders fully informed as the year progresses."
With increasingly widespread use of FireIce HVO-F in airtankers across a variety of geographies, fuel types, and fire behavior, the sales cycle for agencies evaluating and procuring has been compressed by nearly half, from over three years to fewer than two years. In addition, the Company's sales conversion rate from evaluation to successfully winning a bid has been 100% over the previous two years:
- January 2015: four agency customers with one formal agreement in place.
- January 2016: 12 U.S. and Canadian agency customers with six agreements in place, as well as a number of additional agencies showing firm interest in formal evaluations over the fire season.
Looking forward to the 2016 wildland fire season, the FireIce wildland fire division anticipates strong continued growth in the number of agencies utilizing the product as well as growth in gross revenue generated.
FireIce is an advanced, non-toxic, non-corrosive polymer that when hydrated produces a water-based fire retardant and suppressant. The eco-friendly properties of FireIce are especially important in sensitive and protected ecosystems, including that of the Sage Grouse. FireIce weighs significantly less than other commonly used chemicals, which enhances the safety of pilots and their aircraft. It is also packaged as a one-part orange colorant, providing excellent visibility for both pilots in the air and firefighters on the ground. As a result of its demonstrated superior suppression performance, and with its versatility as a retardant to create a fire break and protect property, FireIce has quickly become the fire chemical of choice in many regions of the country.
For more information on FireIce Wildland Products, please visit: www.fireice.com
About GelTech Solutions, Inc.
Founded by inventor and chief technology officer Peter Cordani, GelTech Solutions is a leading provider of innovative, environmentally friendly and cost-effective products that help government agencies, industry, agriculture and the public achieve goals such as water conservation and protecting lives, homes and property from fires. GelTech's products include FireIce, an extremely effective and versatile product used both as a suppressant to extinguish fires and a fire retardant to protect assets and property; Soil2O Dust Control and Soil Cap, products that reduce airborne particulate matter with minimal environmental impact; and GT-W14, an advanced absorbency technology to control fluid spills of all sizes, turning liquids into solid waste for easier and safer disposal.
For more information on GelTech, please visit www.geltechsolutions.com
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Cautionary Note Regarding Forward Looking Statements
This press release contains forward-looking statements including expectations regarding growth in revenue and orders, and the number of agency companies using our products in 2016. Forward-looking statements can also be identified by words such as "targets," "expects," "believes," "anticipates," "intends," "may," "will," "plan," "continue," "forecast," "remains," "would," "should," and similar expressions. Forward-looking statements are based on current expectations, are not guarantees of future performance and involve assumptions, risks, and uncertainties. Actual performance and results may differ materially from those contemplated by the forward-looking statements. We caution you therefore against relying on any of these forward-looking statements. They are neither statements of historical fact nor guarantees or assurances of future performance. Important factors that could cause actual results to differ materially from those in the forward-looking statements include the effectiveness of our products during evaluations, a slow fire season, the natural reluctance to changes in the industry, unanticipated failure to fill orders promptly, and changes in environmental regulations that affect the use of our products.
Further information on our risk factors is contained in our filings with the Securities and Exchange Commission, including the Form S-1 dated October 5, 2015. Any forward-looking statement made by us in this press release speaks only as of the date on which it is made. Factors or events that could cause our actual results to differ may emerge from time to time, and it is not possible for us to predict all of them. We undertake no obligation to publicly update any forward-looking statement, whether as a result of new information, future developments or otherwise.
SOURCE: GelTech Solutions, Inc.