LARGO, Fla., Feb. 11, 2009 (GLOBE NEWSWIRE) -- GeoPharma, Inc. (Nasdaq:GORX) (the "Company") announced its fiscal year 2009 third quarter results for the period ended December 31, 2008, reporting revenues of $13,112,972 for the quarter representing a decrease of approximately 28% versus the same period a year ago. Revenues for the nine month period ended December 31, 2008 were $49,178,027 representing an increase of 58% as compared to the nine month period ended December 31, 2007.
Commenting on the quarter, GeoPharma CEO Mihir Taneja stated, "Although many challenges in our business have persisted through the first nine months of our fiscal year, several restructuring initiatives, the addition of new manufacturing contracts and the emergence of our pharmaceutical business lend us confidence we will end the 2009 fiscal year on a high note."
Q3 Financial Summary
-- Total revenues for the third quarter ended December 31, 2008 were
$13,112,972.
-- Total revenues for the nine months ended December 31, 2008 were
$49,178,027, an increase of 58% over the nine months ended
December 31, 2007.
-- Distribution revenues for the nine months ended December 31, 2008
were $33,116,852, an increase of 129% over the nine months ended
December 31, 2007.
-- Pharmaceutical revenues for the nine months ended December 31,
2008 were $1,162,405, an increase of 2722% over the nine months
ended December 31, 2007.
-- Gross profits for the nine months ended December 31, 2008 were
$8,725,857, an increase of 38% when compared to gross profits for
the nine months ended December 31, 2007.
-- Net loss for the three months ended December 31, 2008 was
($4,446,388) or ($.26) per share.
-- Selling, general and administrative expenses, exclusive of
depreciation and amortization, were $5,612,315 for the quarter
ended December 31, 2008.
-- Research and development ("R&D") expenditures for the three
months ended December 31, 2008 totaled $307,638, all of which was
charged as an expense to operations as compared to $309,850 of
R&D expense for the three months ended December 2007.
GeoPharma Sr. VP/CFO Carol Dore-Falcone, commenting on the results, stated, "The Company is excited about the future, the newest rounds of cost cuts coupled with the money received for a percentage of our ovarian cancer unit as well as the firm belief we will be producing more products in our Pharma segment shortly gives us great optimism. It is our hope to achieve break even on a cash basis in the final quarter of the 2009 fiscal year ending March 31, 2009 and to see continued improvements in our financial results thereafter."
GeoPharma will host a conference call to discuss the results on Wednesday, February 11, 2009 at 4:35 p.m. (ET). The conference call will be hosted by GeoPharma, Inc. CEO Mihir Taneja and Sr. VP/CFO Carol Dore-Falcone. Participants may dial in before the call to register. The dial in number for participants is 1-877-718-5095 and 1-719-325-4815 for international callers. The Conference Confirmation code is 6546406.
Interested parties may also listen via the internet at: http://gorx.client.shareholder.com/
Replay of the call will be available from 7:35 p.m. ET on the night of February 11th until Midnight, Wednesday, February 25th. The Replay of the call may be heard by dialing 1-888-203-1112 or 1-719-457-0820 for international callers. The Replay Pass Code is 6546406.
ABOUT GEOPHARMA, INC.:
GeoPharma, Inc. is a rapidly growing Bio/Pharma company with a diversified business model participating in 3 main market segments: Specialty Pharma, Manufacturing, and Distribution. The Specialty Pharma division specializes in the formulation of generic drugs for human and veterinary usage and the development of medical devices used by oncologists and other medical professionals. The Manufacturing and Distribution divisions, manufacture, package, and distribute generic drugs, nutraceuticals, cosmetics, and functional food products for companies worldwide.
FORWARD-LOOKING STATEMENTS
This press release may contain statements, which constitute forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995, including those regarding the company and its subsidiaries' expectations, intentions, strategies and beliefs pertaining to future performance. All statements contained herein are based upon information available to the company's management as of the date hereof, and actual results may vary based upon future events, both within and without management's control. Important factors that could cause such differences are described in the company's periodic filings with the Securities and Exchange Commission.
GEOPHARMA, INC. AND SUBSIDIARIES
CONSOLIDATED STATEMENTS OF OPERATIONS
Three Months Ended Nine Months Ended
December 31, December 31,
------------------------- --------------------------
2008 2007 2008 2007
----------- ----------- ------------ -----------
(Unaudited) (Unaudited) (Unaudited) (Unaudited)
Revenues:
Distribution $ 8,527,211 $11,217,987 $ 33,116,852 $14,435,258
Manufacturing 4,081,800 7,019,351 14,898,770 16,601,874
Pharmaceutical 503,961 -- 1,162,405 41,188
----------- ----------- ------------ -----------
Total
revenues $13,112,972 $18,237,338 $ 49,178,027 $31,078,320
----------- ----------- ------------ -----------
Cost of goods
sold:
Distribution 7,050,357 9,042,503 26,856,387 10,779,944
Manufacturing
(excluding
depreciation
and
amortization
presented
below) 2,865,372 4,790,637 10,535,463 11,578,661
Pharmaceutical 946,836 828,743 3,060,320 2,402,125
----------- ----------- ------------ -----------
Total cost of
goods sold $10,862,565 $14,661,883 $ 40,452,170 $24,760,730
----------- ----------- ------------ -----------
Gross profit:
Distribution 1,476,854 2,175,484 6,260,465 3,655,314
Manufacturing 1,216,428 2,228,714 4,363,307 5,023,213
Pharmaceutical (442,875) (828,743) (1,897,915) (2,360,937)
----------- ----------- ------------ -----------
Total gross
profit $ 2,250,407 $ 3,575,455 $ 8,725,857 $ 6,317,590
----------- ----------- ------------ -----------
Selling,
general and
administrative
expenses:
Selling,
general and
administrat-
ive expenses 5,244,248 5,100,221 16,991,035 11,406,989
Stock
compensation
expense 368,067 266,658 1,042,484 687,495
Depreciation
and
amortization 728,140 487,050 2,121,152 1,306,409
----------- ----------- ------------ -----------
Total selling,
general and
administrat-
ive expenses $ 6,340,455 $ 5,853,929 $ 20,154,671 $13,400,893
----------- ----------- ------------ -----------
Operating income
(loss) before
other income
and expense,
minority
interest,
income taxes
and
discontinued
operations $(4,090,048) $(2,278,474) $(11,428,814) $(7,083,303)
Other income
(expense), net:
Interest
income
(expense),
net (537,170) (240,311) (1,516,405) (313,277)
Other income
(expense),
net 6,346 10,793 20,176 11,318
----------- ----------- ------------ -----------
Total other
income
(expense),
net $ (530,824) $ (229,518) $ (1,496,229) $ (301,959)
----------- ----------- ------------ -----------
Income (loss)
before minority
interest,
income taxes
and
discontinued
operations $(4,620,872) $(2,507,992) $(12,925,043) $(7,385,262)
Minority
interest
benefit
(expense) 153,885 202,495 524,309 644,951
Income tax
benefit
(expense) 158,300 729,951 1,776,200 2,415,353
----------- ----------- ------------ -----------
Net income
(loss) from
continuing
operations $(4,308,687) $(1,575,546) $(10,624,534) $(4,324,958)
Discontinued
operations:
Revenues: PBM $ -- $ -- $ -- $ 2,925,139
Cost of goods
sold: PBM -- -- -- 2,904,274
----------- ----------- ------------ -----------
Gross profit:
PBM $ -- $ -- $ -- $ 20,865
Selling,
general and
administrat-
ive expenses:
PBM -- -- -- 20,785
PBM segment
exit income
(expense) -- -- -- 8,300
----------- ----------- ------------ -----------
Discontinued
operations
net income
(net of
income tax) $ -- $ -- $ -- $ 8,380
----------- ----------- ------------ -----------
Net income
(loss) $(4,308,687) $(1,575,546) $(10,624,534) $(4,316,578)
Preferred stock
dividends 137,701 100,001 425,001 308,336
----------- ----------- ------------ -----------
Net income
(loss)
available to
common
shareholders $(4,446,388) $(1,675,547) $(11,049,535) $(4,624,914)
=========== =========== ============ ===========
Basic income
(loss) per
share $ (0.26) $ (0.12) $ (0.63) $ (0.39)
=========== =========== ============ ===========
Basic weighted
average number
of common
shares
outstanding 17,102,350 13,805,912 17,535,036 11,967,112
=========== =========== ============ ===========
Diluted income
(loss) per
share $ (0.26) $ (0.12) $ (0.63) $ (0.39)
=========== =========== ============ ===========
Diluted weighted
average number
of common
shares
outstanding 17,102,350 13,805,912 17,535,036 11,967,112
=========== =========== ============ ===========
Basic and
diluted
discontinued
operations
earnings per
share $ -- $ -- $ -- $ --
=========== =========== ============ ===========