Salt Lake City, Utah, Dec 16, 2008 - Schiff Nutrition International, Inc., today announced results for the fiscal 2009 second quarter and six months ended November 30, 2008.
For the second quarter, Schiff Nutrition’s net sales were $47.3 million, compared to $39.5 million for the same period in fiscal 2008. For its fiscal 2009 second quarter, Schiff Nutrition reported net income of $2.9 million, or $0.10 per diluted share.
This compares to fiscal 2008 second quarter net income of $2.8 million, or $0.10 per diluted share, which included an unusual pre‐tax compensation charge of $657,000 associated with the declaration of a special dividend. For the six months ended November 30, 2008, Schiff Nutrition’s net sales were $95.1 million, compared to $80.3 million for the same period in fiscal 2008. For the first six months of fiscal 2009, Schiff Nutrition reported net income of $6.2 million, or $0.22 per diluted share. This compares to $4.5 million, or $0.16 per diluted share, for the same period a year ago, which included an unusual pre‐tax compensation charge of $3.7 million for the special dividend.
Bruce Wood, President and Chief Executive Officer, stated “We experienced a 19.6% increase in net sales in the second quarter, versus the year ago period. This increase was driven by a substantial increase in our private label business, primarily resulting from the incremental new business acquired during the fiscal 2008 fourth quarter. Our branded business also registered an increase during the quarter. At the same time, gross profit and operating income increased modestly in absolute dollars versus the year ago quarter. As expected however, the respective percentage margins decreased due to higher private label sales mix, marketing eenses and raw material costs.”
Wood added, “We continued to expand the distribution of our Schiff MegaRed® Krill Oil new product during the quarter and remained encouraged with MegaRed’s positive performance in our initial test customer. Even in the tough general economic conditions, we remain profitable and financially strong. We believe we have the resources capitalize upon new growth opportunities that could enhance long term shareholder value, and we are ptimistic about our prospects.”