Reports Record Quarterly Sales of over $25 million
OWINGS MILLS, Md., May 12 /PRNewswire-FirstCall/ -- Medifast, Inc.
(NYSE: MED) announced today first quarter financial results for the period
ended March 31, 2008.
Financial highlights included:
-- First quarter revenues increased 25%;
-- Gross margins increased to 75.8% vs. 74.8%
-- The direct sales segment of Take Shape for Life experienced sales
increase of 63% year-over-year;
-- Medifast Weight Control Centers quarterly revenues increased 75%;
For the first quarter Medifast reported revenue of $25.2 million, a 25% increase from $20.1 million in the first quarter of 2007. The Company reported net income of $1.4 million or $0.10 per basic and diluted share compared with $1.4 million, or $0.11 per basic share - $0.10 per diluted share in the first quarter of 2007.
The Company's balance sheet remains strong with stockholders' equity of $38.6 million and working capital of $9.8 million as of March 31, 2008. The current ratio was 2.3 to 1.
"We are pleased with the results of the quarter," commented Michael S.
McDevitt, chief executive officer of Medifast, Inc. "Our multi-channel
distribution model continues to gain traction, with virtually all of our
channels achieving solid double-digit growth for the quarter. The Take
Shape for Life division grew 63% year-over-year; and now represents
approximately 39% of overall revenues for the first quarter. This growth
can largely be attributed to the investments made during 2007 in the tools
and training to promote growth in the recruiting of health coaches. In that
regard, the number of active health coaches grew to 2,200 at the end of the
first quarter of 2008 as
|SOURCE Medifast, Inc.|
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