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Matrixx Initiatives, Inc. Reports Third-Quarter Net Sales Increased 26% to $38.7 Million, Net Income Increased to $4.8 Million, or $0.50 Earnings Per Share
Date:1/26/2009

-- Nine Month Net Sales Increased 19% to $80.8 Million and EPS Increased to $1.12

-- Board of Directors Authorizes New Stock Repurchase Program for up to One Million Shares

SCOTTSDALE , Ariz., Jan. 26 /PRNewswire-FirstCall/ -- Matrixx Initiatives, Inc. (Nasdaq: MTXX), a healthcare company that develops and markets over-the-counter products that provide consumers with "Better Ways to Get Better(R)," today announced financial results for its fiscal 2009 third quarter and nine months ended December 31, 2008. Third quarter revenue increased 26% to $38.7 million, compared to $30.8 million for the comparable quarter in the prior year. The Company reported net income for the quarter of $4.8 million, or $0.50 earnings per diluted share, compared to a net loss of $635,000, or $(0.07) loss per diluted share, for the quarter ended December 31, 2007.

For the nine months ended December 31, 2008, the Company reported net sales of $80.8 million, compared to net sales of $68.0 million for the comparable nine month period in the prior year. For the nine months ended December 31, 2008, the Company reported net income of $10.7 million, or $1.12 earnings per diluted share, versus $4.7 million, or $0.47 earnings per diluted share earned for the nine months ended December 31, 2007.

Bill Hemelt, Acting President and Chief Operating Officer, said, "The 26% increase in fiscal third quarter sales was driven by higher sales of Cold Remedy swabs and our new Allergy swab product, price increases implemented prior to the start of the current cold season and lower product return charges incurred compared to last year. We are particularly pleased that the $7.9 million increase in quarterly net sales translated into an almost equal increase in gross profit due to cost reductions achieved on several of our products and a shift in
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SOURCE Matrixx Initiatives, Inc.
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