Hi-Tech Pharmacal Reports Sales and Net Earnings for the Fiscal Year Ended April 30, 2000
AMITYVILLE, N.Y., Jul 20, 2000 (BUSINESS WIRE) -- Hi-Tech Pharmacal Co., Inc. (NASDAQ: HITK chart, msgs) today reported record sales for the fiscal year ended April 30, 2000 of $26,414,000, a 13% increase from $23,266,000 reported for fiscal 1999. Net income was $1,692,000 or $0.38 per share compared to $1,878,000, or $0.42 per share for the same period last year.
For the fourth quarter ended April 30, 2000, the sales increased by 19% to $7,489,000 vs. $6,281,000 for the same period last year. Net income was $701,000, or $0.16 per share vs. $649,000 or $0.15 per share for the same 1999 period.
David Seltzer, President & CEO of Hi-Tech commented on the year-end results: "We are very pleased with our financial results for fiscal 2000. The Company continues to show strong gross profit margins while solidifying our position for accelerated growth ahead. We are especially pleased with the fourth quarter sales that grew by almost 20%. We believe that this increase is due to our aggressive advertising budget for our branded products.
The sales for our Health Care Products Division grew more than 40% demonstrating tremendous market acceptance of the branded product line dedicated to the special needs of people with diabetes. The line, led by Diabetic Tussin(R), has been complemented by a number of products, including DiabetesSweet(R), as aspartame free and sugar free sweetener that has been showing increasing consumer acceptance. With more than 16,000,000 diabetes sufferers in the United States alone, we are very confident in the growth potential of this division.
While our net sales numbers increased for fiscal 2000, our net earning number is slightly lower reflecting our increased advertising and R&D spending. Hi-Tech is committed to rapid growth and it is strategically important to invest in R&D spending to add new competitive products to our current pipeline. In addition to increasing the R&D budget, we have also strengthened our development team by appointing Ms. Pudpong Poolsuk Senior Director of Science. As a former employee of American Home Products and Barr Laboratories, she brings to Hi-Tech over twenty-five years of experience in generic and proprietary drug development. The products that are currently under development at Hi-Tech belong to various therapeutic categories and represent a large market potential for the company.
Hi-Tech is a specialty pharmaceuticals manufacturer and marketer of branded and generic prescription and OTC products for the general health industry. A specialist in liquid and semi-solid dosage form production, Hi-Tech markets a broad line of generic products under its own labels and also serves as a contract manufacturer to the industry. The company's Health Care Products subsidiary is a leading manufacturer and marketer of branded OTC products for the diabetes marketplace.
Forward-looking statements (statements which are not historical facts) in this release are made pursuant to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. Investors are cautioned that all forward-looking statements involve risks and uncertainties, including those risks and uncertainties detailed in the Company's filings with the Securities and Exchange Commission, copies of which are available from the Company. "Safe Harbor" statement under the Private Securities Litigation Reform Act of 1995: This release contains forward looking statements that are subject to risk and uncertainties, including but not limited to the impact of competitive products and pricing, product demand and market acceptance, new product development, reliance on key strategic alliances, availability of raw materials, the regulatory environment, fluctuations in operating results and other risks detailed from time to time in the Company's filings with the Securities and Exchange Commission.
Hi-Tech Pharmacal Co., Inc.
Three months ended April 30, Fiscal Year ended Apirl 30,
----------------------- ----------------------------
2000 1999 2000 1999
----------- ----------- -------------- ------------
Net Sales $ 7,489,000 $ 6,281,000 $ 26,414,000 $ 23,266,000
=========== =========== ============== ============
Income before
income taxes 1,106,000 967,000 2,712,000 2,996,000
Income taxes 405,000 318,000 1,020,000 1,118,000
----------- ----------- -------------- ------------
Net earnings $ 701,000 $ 649,000 $ 1,692,000 $ 1,878,000
=========== =========== ============== ============
Basic and diluted
income per
share (1) $ 0.16 $ 0.15 $ 0.38 $ 0.42
=========== =========== ============== ============
Weighted average common
shares outstanding -
basic income per
share 4,384,000 4,458,000 4,401,000 4,487,000
Effect of potential
common shares 81,000 7,000 57,000 32,000
----------- ---------- -------------- ------------
Weighted average common
shares outstanding -
diluted income per
share 4,465,000 4,465,000 4,458,000 4,519,000
=========== =========== ============== ============
(1) Net income per share amounts for each quarter are required to be
computed independently and may not equal the amount for the year to
date period.
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Contact:
Hi-Tech Pharmacal Co., Inc.
David Seltzer, President & CEO
Arthur Goldberg, CFO
Tel. (631) 789-8228
Fax (631) 789-8429
www.hitechpharm.com
www.diabeticproducts.com |
