SAN MARCOS, Calif., Oct. 27 /PRNewswire-FirstCall/ -- Natural Alternatives
International ("NAI"), Inc. (Nasdaq: NAII), a leading formulator and
manufacturer of customized nutritional supplements, reported net income of
$567,000 or $0.09 per diluted share on revenue of $16.7 million for the three
months ended September 30, 2003.
First quarter revenue increased 27% to $16.7 million from $13.1 million
for the comparable quarter last year. The revenue growth resulted from a 30%
increase in private label contract manufacturing sales and a 15% increase in
Direct-to-Consumer ("DTC") sales. Income from operations increased
$227,000 to $630,000 from $403,000 for the same period of the prior fiscal
year. Excluding the effects of litigation settlement proceeds of $225,000 in
the prior fiscal year, net income increased $255,000 to $567,000 or $0.09 per
diluted share from $312,000 or $0.05 per diluted share for the same period of
the prior fiscal year. Net income as reported increased $30,000 from
$537,000 or $0.09 per diluted share for the comparable quarter last year.
As of September 30, 2003, NAI had cash and working capital of
approximately $3.2 million and $13.1 million, respectively, compared to
$5.5 million and $12.3 million, respectively, at June 30, 2003.
Chairman and CEO Mark LeDoux commented, "We begin fiscal 2004 building
upon the groundwork established in fiscal 2003. Our focus on serving the
needs of our valued primary customers continues to produce significant private
label contract manufacturing sales growth. Additionally, our investment in
marketing the Dr. Cherry Pathway to Healing(TM) brand combined with new
product introductions resulted in record quarterly DTC revenues of $3 million
for the first quarter of fiscal 2004. Looking forward we anticipate moderate
revenue growth for the second quarter of fiscal 2004 from incremental
production for existing customers and continued growth of our DTC marketing
program."
President Randell Weaver commented that, "We are encouraged that while we
continue to invest in quality assurance, regulatory compliance and strategies
to provide long-term revenue growth, our income from operations still improved
to $630,000. We anticipate strengthening our investment in NAI's long-term
growth and improving operational efficiency while maintaining current
profitability levels in the near term. Additionally, we continue to evaluate
expansion opportunities that could increase product lines, enhance our
manufacturing capabilities or reduce risks associated with reliance on a
limited number of customers."
NAI, headquartered in San Marcos, California, is a leading formulator and
manufacturer of nutritional supplements that provides strategic partnering
services to its customers. The Company's comprehensive partnership approach
offers a wide range of innovative nutritional products and services to the
client including: scientific research, clinical studies, proprietary
ingredients, customer-specific nutritional product formulation, product
testing and evaluation, marketing management and support, packaging and
delivery system design, regulatory review and international product
registration assistance. For more information about NAI, please see our
website at http://www.nai-online.com .
This press release contains forward-looking statements within the meaning
of Section 21E of the Securities Exchange Act of 1934 that are not historical
facts and information. These statements represent the Company's intentions,
expectations and beliefs concerning future events, including, among other
things, expectations and beliefs with respect to future financial and
operating results and the ability to sustain profitability, maintain adequate
financing, improve liquidity, maintain revenue growth, and implement its
strategic plan. The Company wishes to caution readers that these statements
involve risks and uncertainties that could cause actual results and outcomes
for future periods to differ materially from any forward-looking statement or
views expressed herein. The Company's financial performance and the
forward-looking statements contained herein are further qualified by other
risks including those set forth from time to time in the documents filed by
the Company with the Securities and Exchange Commission, including NAI's most
recent Annual Report on Form 10-K.
For more information, please contact John R. Reaves, Chief Financial
Officer of Natural Alternatives International, Inc., +1-760-744-7340 or
info@nai-online.com .
NATURAL ALTERNATIVES INTERNATIONAL, INC.
CONDENSED CONSOLIDATED BALANCE SHEETS
(In thousands)
September 30, June 30,
2003 2003
------------- ----------
(Unaudited)
ASSETS
Cash and cash equivalents $3,179 $5,482
Accounts receivable, net 6,150 5,668
Inventories, net 10,443 7,845
Other current assets 1,356 766
---------- ---------
Total current assets 21,128 19,761
Property and equipment, net 10,541 10,820
Other assets 134 143
---------- ---------
Total Assets $31,803 $30,724
========== =========
LIABILITIES AND STOCKHOLDERS' EQUITY
Current liabilities $8,029 $7,440
Long-term debt, less current installments 2,243 2,386
Long-term pension liability 156 121
---------- ---------
Total Liabilities 10,428 9,947
---------- ---------
Stockholders' Equity 21,375 20,777
---------- ---------
Total Liabilities and Stockholders'
Equity $31,803 $30,724
========== =========
CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS
(In thousands, except share and per share data)
Three months ended
September 30,
-------------------------
2003 2002
----------- ----------
(Unaudited)
NET SALES $16,721 $13,136
Cost of goods sold 12,575 9,941
---------- ---------
Gross profit 4,146 3,195
Selling, general & administrative
expenses 3,516 2,792
---------- ---------
INCOME FROM OPERATIONS 630 403
Other income (expense) (41) 142
---------- ---------
INCOME BEFORE INCOME TAXES 589 545
Provision for income taxes 22 8
---------- ---------
NET INCOME $567 $537
========== =========
NET INCOME PER COMMON SHARE:
Basic $0.10 $0.09
========== =========
Diluted $0.09 $0.09
========== =========
WEIGHTED AVERAGE COMMON SHARES
OUTSTANDING:
Basic shares 5,820,709 5,804,267
========== ===========
Diluted shares 6,106,834 5,928,884
========== ===========
SOURCE Natural Alternatives International, Inc.
 back to top
Related links:
http://www.nai-online.com
CONTACT:
John R. Reaves, Chief Financial Officer of
Natural Alternatives International, Inc., +1-760-744-7340 or
info@nai-online.com
|
