First Quarter Highlights:
- 37% Revenue Increase
- 85% Gross Profit Increase
- $1,040,892 "Bottom line" improvement over Prior Year
CHICAGO, Feb. 13 /PRNewswire-FirstCall/ -- The Female Health Company (Amex: FHC), which manufactures and markets the FC and FC2 Female Condoms(R), today reported its operating results for the first quarter of FY2008.
For the three months ended December 31, 2007, the Company's net revenues increased 37% to approximately $5.7 million, compared with approximately $4.2 million in the three months ended December 31, 2006. The Company's net income attributable to common shareholders increased to a record $813,968, or $0.03 per diluted share, during the first quarter of FY2008, compared with a net loss of ($226,924), or ($0.01) per share, in the corresponding period of the previous fiscal year.
Gross profit increased 85% to $2.4 million (41.3% of revenue) in the most recent quarter, compared with $1.3 million (30.4% of revenue) in the first quarter of FY2007. Operating income improved to $729,645 in the three months ended December 31, 2007, compared with an operating loss of ($218,406) in the quarter ended December 31, 2006.
The Company expects significant quarter-to-quarter variations in its operating results, due to the timing of large order receipts, production scheduling, and shipping of products.
"We are very pleased to report strong revenue growth, a record number of female condoms sold and the highest quarterly profit in the Company's history for the three months ended December 31, 2007," noted O.B. Parrish, Chief Executive Officer of The Female Health Company. "The 37% revenue increase reflects the growing role that our female condoms are playing in the global battle against HIV/AIDS. Acceptance of our second-generation FC2 Female Condom(R) has been excellent."
"In December, 2007, we completed the expansion of FC2 production capacity in Malaysia to four lines with an annual capacity of 30 million units in addition to FC production facility in London. A fifth end-stage FC2 production line, located in Cochin, India, with an annual capacity of 7.5 million units, began producing condoms in December 2007, under the auspices of our business partnership with Hindustan Latex Limited."
"We ended the first quarter with the strongest balance sheet in our history, with no debt outstanding, approximately $1.8 million of cash in the bank, and a current ratio of 3.5-to-1.0. Based upon information currently available to the Company, we believe Fiscal 2008 will be another record year in terms of revenues and earnings."
As previously announced, the Female Health Company will host an investor conference call at 11:00 a.m. EST today, February 13, 2008. Shareholders and other interested parties may participate in the conference call by dialing 888-603-6873 (international participants dial 973-582-2706 and referencing the conference code 32404579, a few minutes before 11:00 a.m. EST on February 13, 2008. A replay of the call will be available through February 27, 2008 by dialing 800-642-1687 (international callers dial 706-645-9291) and referencing the conference code 32404579.
About The Female Health Company
The Female Health Company, based in Chicago, Illinois, manufactures and markets the FC Female Condom(R), which is primarily distributed by public health organizations and donor groups in over 90 developing countries around the world. World-wide, the Female Condom is available in various programs in 116 countries. The Company owns certain worldwide rights to the FC Female Condom(R), including patents that have been issued in the United States, United Kingdom, Japan, France, Italy, Germany, Spain, the European Patent Convention, the People's Republic of China, Canada, South Korea and Australia. FC Female Condom(R) is the only available FDA-approved product controlled by a woman that offers dual protection against sexually transmitted diseases, including HIV/AIDS, and unintended pregnancy.
"Safe Harbor" statement under the Private Securities Litigation Reform Action of 1995: The statements in this release which are not historical fact are forward-looking statements based upon the Company's current plans and strategies, and reflect the Company's current assessment of the risks and uncertainties related to its business, including such things as product demand and market acceptance; the economic and business environment and the impact of government pressures; currency risks; capacity; efficiency and supply constraints; and other risks detailed in the Company's press releases, shareholder communications and Securities and Exchange Commission filings. Actual events affecting the Company and the impact of such events on the Company's operations may vary from those currently anticipated.
If you would like to be added to an e-mail alert list, please send an
e-mail to FHCInvestor@femalehealthcompany.com
The Female Health Company
Unaudited Condensed Consolidated Balance Sheet
December 31, December 31,
Cash $1,604,306 $1,197,639
Restricted cash 236,138 236,782
Accounts receivable, net 6,007,114 3,694,012
Inventory 1,785,430 1,361,487
Prepaid and other current assets 328,516 376,465
Deferred income taxes 825,000 -
Total current assets 10,786,504 6,866,385
Other non-current assets 246,853 191,482
Net property, plant & equipment 1,477,667 978,174
Total assets $12,511,024 $8,036,041
Accounts payable $1,129,725 $889,779
Accrued expenses 1,877,679 983,812
Preferred dividends payable 48,643 6,834
Total current liabilities 3,056,047 1,880,425
Deferred gain on sale of facilities 1,017,317 1,115,687
Deferred grant income 247,567 -
Total liabilities 4,320,931 2,996,112
Total stockholders' equity 8,190,093 5,039,929
Total liabilities and stockholders' equity $12,511,024 $8,036,041
The Female Health Company
Unaudited Condensed Consolidated Income Statements
Three Months Ended
Net revenues $5,734,751 $4,198,879
Gross profit 2,366,116 1,278,398
Advertising and promotion 41,518 59,038
Selling, general and administrative 1,493,824 1,373,062
Research and development 101,129 64,704
Total operating expenses 1,636,471 1,496,804
Operating income (loss) 729,645 (218,406)
Interest, net and other income (9,608) (13,553)
Foreign currency transaction gain (115,358) (18,572)
Income (loss) before income taxes 854,611 (186,281)
Income tax benefit - -
Net income (loss) 854,611 (186,281)
Preferred dividends 40,643 40,643
Net income (loss) attributable to common
stockholders $813,968 $(226,924)
Net income (loss) per basic common share
outstanding $0.03 $(0.01)
Basic weighted average common shares
outstanding 26,121,460 23,952,040
Net income (loss) per diluted common share
outstanding $0.03 $(0.01)
Diluted weighted average common shares
outstanding 28,688,345 26,444,924
|SOURCE The Female Health Company|
Copyright©2008 PR Newswire.
All rights reserved