ORIGINCLEAR, INC. (OCLN)·Q1 2021 Earnings Summary

Executive Summary

• OriginClear did not publish a Q1 2021 Item 2.02 earnings press release or hold an earnings call; disclosures in the period focused on FY 2020 annual results, preferred stock exchanges/conversions, and the Water On Demand strategy .
• FY 2020 revenue increased 14% to $4.10M; gross profit rose 65% to $0.61M, while operating loss widened 21% to $(4.71)M, reflecting non-GAAP/derivative impacts driving full-year net income due to fair value changes .
• Prior trend data available: Q3 2020 revenue was $0.92M (-2% YoY), with a gross loss and wider operating loss; management cited ~$450k of jobs in progress not yet recognized, and strengthening order momentum in late Q3 .
• Corporate actions in Q1 2021 included multiple preferred share conversions/exchanges (Series J/L/O/P/Q/R/S) and new preferred designations (Series U/W), highlighting ongoing financing and capitalization strategy .
• Wall Street consensus (S&P Global) for Q1 2021 EPS/revenue was unavailable via our data feed; estimates context is limited and should be treated as unavailable.

What Went Well and What Went Wrong

• What Went Well

  • FY 2020: Revenue +14% YoY to $4.10M; gross profit +65% to $0.61M, despite pandemic disruptions; CEO highlighted resilience of the Dallas team .
  • Order momentum: Late Q3 2020 saw a boost in booked orders (~$450k of jobs in progress), supporting pipeline strength .
  • Strategic evolution: Formalized Water On Demand program, filed provisional patent for blockchain-based $H2O incentives/payments; indicates innovation around pay-per-gallon outsourced water service models .

• What Went Wrong

  • Profitability/margins: FY 2020 operating loss widened 21% to $(4.71)M; Q3 2020 showed a gross loss and wider operating loss, indicating pressure on near-term margin structure .
  • Disclosure gap: No Q1 2021 Item 2.02 earnings press release or earnings call transcript; investors have limited visibility into quarterly KPIs and trajectory .
  • Financing/dilution: Significant preferred share exchanges/conversions and consultant share issuances during Q1 2021 and into June underscore ongoing dilution risk and reliance on external capital .

Financial Results

Note: The company did not furnish a Q1 2021 earnings press release under Item 2.02 nor an earnings call. Available quantitative disclosures are shown below.

Segment and KPIs

Guidance Changes

No formal quantitative guidance (revenue, margins, OpEx, OI&E, tax rate, dividends) was provided in the reviewed Q1 2021 period filings or press releases.

Earnings Call Themes & Trends

No Q1 2021 earnings call transcript was found.

Management Commentary

• “I’m proud of our Dallas-based team for increasing both revenues and gross profits despite the challenge of a full month of COVID shutdown.” – T. Riggs Eckelberry, CEO, on FY 2020 performance .
• “Thanks to the hard work of our Texas-based team, we are continuing to outpace 2019…we saw a boost in booked orders late in the third quarter, including approximately $450,000 in jobs in progress which have not yet been recognized.” – T. Riggs Eckelberry, CEO (Q3 2020 press) .
• “I’m pleased with the pace of new business on Progressive Water Treatment and Modular Water Systems. Our team efforts are paying off.” – Tom Marchesello, COO (Q3 2020 press) .
• Water On Demand strategic direction formalized; seeking DBOO pay-per-gallon model and $H2O blockchain payment streamlining; caution that commercialization depends on capital and operational O&M capability build-out .

Q&A Highlights

No Q1 2021 earnings call; therefore, no analyst Q&A to report [ListDocuments earnings-call-transcript returned none].

Estimates Context

• Wall Street consensus via S&P Global for Q1 2021 EPS and revenue was unavailable through our feed at the time of request. Treat estimates as unavailable for comparison to actuals.

Key Takeaways for Investors

• Disclosure gap: With no Q1 2021 Item 2.02 press release or call, visibility into quarterly trends is limited; monitor subsequent 10-Qs and any Item 2.02 filings for updates .
• Strategy pivot: Water On Demand and $H2O indicate a move toward recurring, service-based revenue models; watch for first DBOO contract and O&M capability build-out as catalysts .
• Capital structure/dilution: Extensive preferred exchanges/conversions and consultant share issuances underline financing reliance; expect continued dilution risk until operating cash flows strengthen .
• Margin/profitability: FY 2020 showed improved gross profit but persistent operating losses; Q3 2020 quarterly metrics were weak; assess whether pipeline momentum translates to margin recovery in subsequent periods .
• Governance/controls: New CFO appointed in June 2021; internal control weaknesses noted in FY 2020 10-K with plans to add resources—execution on controls could improve reporting cadence/quality .
• Trading implications: Near-term moves likely driven by news on Water On Demand contracts, financing structures, and any revenue recognitions; lack of quarterly detail raises event risk around filings.
• Medium-term thesis: If DBOO/pay-per-gallon model scales across small modular systems, it could diversify revenue and improve unit economics; yet success depends on capital access, O&M capability, and regulatory/payment system execution .

Sources

• 8-K (June 1, 2021) and Exhibit 99.1 – FY 2020 press release
• 8-K (December 3, 2020) and Exhibit 99.1 – Q3 2020 press release
• 10-K FY 2020 – Strategy, financial results, risk factors
• 8-Ks (February–June 2021) – Preferred exchanges/conversions; Series U/W designations; consultant issuances; CFO appointment