Bonal International : 2022 Annual Report - OTC Disclosure

Annual Report

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OTC Pink Basic Disclosure

B O N A L I N T E R N A T I O N A L, I N C.

Annual Report

financial highlights

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letter from chairman

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independent accountants' review report

consolidated balance sheets

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consolidated statements of	6
operations

consolidated statements of stockholders' equity

consolidated statements	8
of cash flows
	notes to consolidated	9
	financial statements
				corporate information

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B O N A L I N T E R N A T I O N A L, I N C.

Bonal International, Inc. and Subsidiary

Bonal International, Inc. (traded under the symbol "BONL"), through its wholly‐owned subsidiary Bonal Technologies, Inc., is the world's leading provider of sub‐harmonic vibratory metal stress relief technology and the manufacturer of Meta‐Lax® stress relieving Black Magic Distortion Control, and Pulse Puddle Arc Welding equipment. Headquartered in Royal Oak, Michigan, Bonal also provides a complete variety of consulting, training, program design, and metal stress relief service to several industries including: automotive, aerospace, shipbuilding, machine tool, plastic molding, and die casting, to mention a few. Bonal's patented products and services are sold throughout the U.S. and in 64 foreign countries.

Financial Highlights

Year Ending March 31	2022	2021	2020
Total Revenues	$1,724,800	$1,330,691	$1,481,162
Gross Profit	1,313,804	970,213	968,146
Net Earnings	186,207	89,294	(49,950)
Total Assets	1,870,293	1,701,457	1,556,348
Working Capital	1,640,744	1,531,574	1,451,895
Earnings per Share	0.11	0.05	(0.03)
Stockholders' Equity	1,666,893	1,568,082	1,478,788
Trading Activity Hi/Low	2.05 / 1.42	2.06 / 1.30	2.15 / 1.28
Dividend Paid per share	0.05	0.00	0.05

Fiscal 2022 Quarters Ended

Total Revenues	June 30	September 30	December 30	March 31, 2022
411,116	553,355	361,594	398,735
Gross Profit	297,448	376,394	291,352	348,610
Net Earnings	36,335	76,638	12,221	61,013

Fiscal 2021 Quarters Ended

Total Revenues	June 30	September 30	December 30	March 31, 2021
281,237	372,869	379,621	296,964
Gross Profit	207,196	281,379	280,375	201,263
Net Earnings	(8,273)	63,799	46,131	(12,363)

Sales Breakdown for Fiscal Year 2022

Equipment and	Rental
Service Revenue	Revenue
$1,504,580	$220,220

B O N A L I N T E R N A T I O N A L, I N C.

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Bonal International, Inc. and Subsidiary

Letter from the Chairman

March 31, 2022

Dear Shareholders,

Fiscal year 2022 was another good year for Bonal International, Inc. with a dramatic increase in net income and revenue. This enabled the board of directors to issue our 24th dividend over the last 17 fiscal years.

Despite world‐wide challenges that included the pandemic, record inflation, and more recently the Ukraine‐Russia war, Bonal improved its financial position, retained all its employees, and remained debt free. Our revenue increased 29.6 percent to $1,724,800 and net income more than doubled to $186,207. Fiscal year 2022 was also the first year in four years where we posted a profit in all four quarters.

• Bonal Increased Revenue 29.6%;
• Bonal Doubled Net Income;
• Bonal was Profitable in all 4 quarters; and
• Bonal Issued the 24th Dividend in 17 Fiscal Years.

Sales were led by our state‐of‐the‐art Meta‐Lax stress relief system, Model 2800. During fiscal year 2022, this model accounted for an impressive 67 percent of our sales by volume, up from an already strong 53 percent last year. The metalworking industry continues to take advantage of the effectiveness and ease of operation that our industry‐ leading computerized stress relief equipment provides.

Bonal's customers and their referrals accounted for 52 percent of our sales by volume. Each time a customer orders additional Meta‐Lax equipment, they are indicating an appreciation of the outstanding value Meta‐Lax equipment brings them. Well‐known companies acquiring equipment from Bonal this year included Lockheed‐Martin, Toshiba, and Fairbanks‐Morse.

During 2022, Bonal conducted a webinar titled "15 Different Ways You Can Expand Stress Relief Capabilities." A link to this webinar is on the front page of our website (www.Bonal.com). We had a good response, sold equipment as a direct result, and gained valuable insight for future webinar possibilities. The webinar coordinators, Society of Manufacturing Engineers, were impressed that Bonal had one of the best "viewer retention" rates (at over 90 percent) they had ever seen.

B O N A L I N T E R N A T I O N A L, I N C.

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