DrugMax, Inc. Announces Third Quarter Financial Results; Nine-month Revenues of $200.8 Million and EPS of $0.28
PR NEWSWIRE - February 14, 2002 19:06
LARGO, Fla., Feb 14, 2002 /PRNewswire-FirstCall via COMTEX/ -- DrugMax, Inc. (Nasdaq: DMAX) a full-line wholesale distributor of pharmaceuticals, over-the-counter products, health and beauty aids and nutritional supplements, filed its Form 10-QSB and announced financial results for the third quarter ended December 31, 2001.
Revenues were approximately $63.7 million for the third quarter ended December 31, 2001, compared to $54.7 million for the same quarter last year, a 17 percent increase. Net income was $377,010 or $0.05 per basic and diluted share for the third quarter ended December 31, 2001, compared to a net loss of ($606,204) or ($0.09) per basic and diluted share for the same quarter last year.
For the nine months ended December 31, 2001, total revenues were approximately $200.8 million, a 64 percent increase over total revenues of approximately $122.5 million for the same nine-month period last year. For the nine months ended December 31, 2001, total net income was approximately $2 million or $0.28 per basic and diluted share compared to a net loss of approximately ($2.8 million) or ($0.43) per basic and diluted share for the same nine-month period last year.
On April 1, 2001, DrugMax adopted the Financial Accounting Standards Board (FASB) Statement No. 142 and no longer amortizes goodwill associated with acquisitions. This had an effect of adding approximately $0.06 and $0.18 per basic and diluted share for the three-month and nine-month periods ended December 31, 2001, respectively. In addition, the Company's deferred tax asset, recognized in the first three quarters of fiscal year 2002, added approximately $0.21 per basic share and $0.20 per diluted share for the nine-month period ended December 31, 2001.
"DrugMax has continued to make steady financial progress in key areas," Ron Patrick, Chief Financial Officer, said. "Third quarter gross profit increased 27 percent over the previous quarter. Gross profit for the third quarter increased 30 percent to $2.1 million compared to $1.6 million for the same quarter last year. Gross profit increased nearly 43 percent to approximately $5.6 million compared to $3.9 million for the same nine-month period last year. Operating income for the third quarter increased 48 percent to $565,463 from $381,033 for the previous quarter."
"We continue to increase the returns on our investments and expand our gross profit from quarter to quarter," Bill LaGamba, President and Chief Operating Officer, said. "The company-wide commitment to adhere to strict financial management is evident in our rising gross profits, increased operating income and lower operating expenses as a percentage of revenues. As long as the wholesale pharmaceutical industry remains strong and DrugMax continues to improve on key financial elements from quarter to quarter, then we believe the Company should continue to produce positive quarterly earnings throughout the long-term." |
