re: Amex: ALU (Allou Healthcare) Earnings out
Allou Healthcare, Inc., Announces Nine Month and Third Quarter Financial Results for the Period Ended December 31, 2002
BRENTWOOD, N.Y., Feb. 11 -- Allou Healthcare, Inc. (Amex: ALU - News), today announced that for the nine months ended December 31, 2002, the Company posted revenues of $471.0 million, representing a gain of 11.5 percent over revenues in the comparable period a year earlier. The increase in revenues resulted in net income of $6,561,619 or $.77 cents per diluted share. In the comparable period in the prior year, the Company recorded revenues of $422.5 million and net income of $4,501,698 or $.64 cents per diluted share.
Revenues for the third quarter ended December 31, 2002 were $156.8 million, resulting in net income of $1,320,964, or $.16 cents per diluted share, versus revenues of $163.3 million and net income of $1,991,522, or $.28 cents per diluted share in the comparable period in the prior year. Earnings per share for the three months ended December 31, 2002 includes non-operating income of approximately $.11 cents per share attributable to changes in the value of outstanding warrants to purchase Allou's common A stock. In the same period of the prior year the changes in the value of these warrants reduced net income by approximately $.01 cents per share. Third quarter results were negatively impacted by expenses and other factors related to the previously announced warehouse fire that occurred on September 25-26, 2002.
David Shamilzadeh, president and chief financial officer of Allou, stated, "Despite the impressive gain in our revenues, our gross profits were squeezed as a result of changes in our business practices which we made as a consequence of the Brooklyn, NY warehouse fire and the failure to date by the insurance companies to make prompt payment of our insurance claim."
He added, "What is particularly gratifying is the continued growth experienced by our manufacturing subsidiary, Stanford Personal Care Manufacturing, which enjoys gross profit margins exceeding 50 percent. The growth in this area necessitated our leasing a 125,000 sq.ft. facility located in Simi Valley, CA to replace our present 85,000 sq.ft. leased manufacturing facility. Stanford's manufacturing of private label high-end hair and skin care products for leading contractors, merchandisers and marketing companies continues to gain market share. Stanford is recognized for its commitment to quality and punctual service and for continuously improving its technology and manufacturing abilities, resulting in increased market competitiveness. In addition, Stanford professionals assist in creating greater brand identity by their unique packaging designs."
Allou Healthcare will conduct a conference call regarding this subject on Tuesday, February 11, 2003 at 4:15 P.M., EST. At that time additional information will be available. Hosting the conference call will be David Shamilzadeh, president and chief financial officer. Call in number for conference is 1 (800) 915-4836. Webcast: (accessible for 60 days). firstcallevents.com
Founded in 1962, Allou Healthcare, Inc. is the premier distributor of over 22,000 nationally advertised health and beauty aid products, branded and generic prescription pharmaceuticals, prestige designer fragrances, cosmetics and branded non-perishable foods. Through its wholly owned subsidiary Stanford Personal Care Corporation, the Company manufactures upscale hair care and skin care products. Allou's account base consists of 4,200 independent drug and convenience stores and the leading national chain stores.
This release may include forward-looking statements concerning Allou's intent, belief or current expectations with respect to, among other things, trends affecting its financial condition or results of operations and its business and growth strategies. Such forward-looking statements are not guarantees of future performance and involve risks and uncertainties that may cause actual results to differ materially from those projected, expressed or implied. Allou does not undertake any obligations to update or revise any forward-looking statements.
FINANCIAL HIGHLIGHTS
Allou Healthcare, Inc.
(consolidated)
Three Months Ended December 31 2002 2001
Revenues $156,776,174 $163,306,563
Gross Profit 15,003,708 15,474,069
Earnings Before Interest and Taxes 4,189,197 7,011,849
Interest Expense 1,988,233 3,787,327
Net Income $1,320,964 $1,991,522
Per Share Net Income Basic $0.17 $0.29
Per Share Net Income Diluted $0.16 $0.28
Shares Outstanding Basic 7,935,269 6,958,435
Shares Outstanding Diluted
Including Common Stock Equivalents 8,080,393 7,228,959
Nine Months Ended December 31 2002 2001
Revenues $471,052,985 $422,518,954
Gross Profit 51,494,257 45,896,942
Earnings Before Interest and Taxes 20,308,816 20,241,934
Interest Expense 9,374,197 12,982,236
Net Income 6,561,619 $4,501,698
Per Share Net Income Basic $0.85 $0.65
Per Share Net Income Diluted $0.77 $0.64
Shares Outstanding Basic 7,691,879 6,909,655
Shares Outstanding Diluted
Including Common Stock Equivalents 8,479,742 6,988,536
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Source: Allou Healthcare, Inc. |
