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Celsius Holdings Reports Increased Revenue 2nd Quarter Revenue Increased 166%
Date:8/11/2008

DELRAY BEACH, Fla., Aug. 11 /PRNewswire-FirstCall/ -- Celsius Holdings, Inc. (OTC Bulletin Board: CSUH.OB) reported net sales today for the three month period ending June 30, 2008 of $1.0 million -- a substantial increase as compared to $376,000 for the three month period ending June 30, 2007. The company also reported a net loss of $916,000 (or $0.01 per basic and diluted share) for the three months ending June 30, 2007. This compares with net loss of $726,000 (or $0.01 per basic and diluted share) for the three months ending June 30, 2007.

Mr. Stephen C. Haley, Chairman and CEO of Celsius Holdings, Inc., commented, "We are pleased with the increase in net sales, which mainly resulted from a large international export order. We did see US growth from additional points of distribution as well as increased reorders from our established retailers.

"Operationally," Mr. Haley continued, "we focused on increasing our shelf presence within some key retail partners, and we were able to gain additional important retailers in our target areas. We increased our footprint in several Walgreens' districts and added a few Florida divisions of CVS in the drug channel. We added key grocers, including HEB in Texas as well as Bloom in North Carolina. As we gained enough account distribution in focus geographies, we were able to begin local marketing efforts through media such as radio."

Mr. Haley continued by stating: "Gross Margins were impacted in several ways compared to the first quarter of this year. Our cost of raw materials and the high percentage of international revenue forced margins lower. This was offset to a lesser extent by a higher mix of cans versus bottles. Predicting international revenue is still difficult as we are not in total control of each country's regulatory approval timeline. Where we launch in an international region with localized packaging, the orders will be sizable and can have material impact on top line revenue as well as
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SOURCE Celsius Holdings, Inc.
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