Hi-Tech Pharmacal reports higher sales for fiscal 1996 ended April 30, 1996.AMITYVILLE, N.Y.--(BUSINESS WIRE)--July 23, 1996--Hi-Tech Pharmacal Co., Inc. reported sales and income for its fiscal year ended April 30, 1996. The company reported sales of $19,140,000 vs. $16,406,000 for the same period ended April 30, 1995. Net income was $1,335,000, or $0.29 per share vs. $1,731,000, or $0.38 per share for the same period last year on more shares outstanding. The fourth quarter ended April 30, 1996 showed net sales Net Sales The amount a seller receives from the buyer after costs associated with the sale are deducted. Notes: This amount is calculated by subtracting the following items from gross sales: merchandise returned for credit, allowances for damaged or missing goods, freight of $4,795,000 vs. $4,613,000 for the same period ended April 30, 1995. The company showed a net loss of $193,000 for the quarter ended April 30, 1996 vs. net income of $571,000 for the same period ended April 30, 1995. At year end the company's total assets grew 10% to $20,234,000 and working capital grew 22% to $5,164,000. In reporting these earnings the company attributes the lower net income to expenses being incurred in operating its newly validated sterile sterile /ster·ile/ (ster´il) 1. unable to produce offspring. 2. aseptic. ster·ile adj. 1. Not producing or incapable of producing offspring. 2. manufacturing facility which began production in the quarter ended April 30, 1996. The company also attributes the lower net income to increased advertising costs at its Health Care Products Division to introduce new products and expand distribution, and higher R&D costs as a percentage of sales. In addition, the company noted a very mild flu season
In commenting on the earnings, Bernard Seltzer, president and CEO (1) (Chief Executive Officer) The highest individual in command of an organization. Typically the president of the company, the CEO reports to the Chairman of the Board. said, "Although our net income was lower than last year, we feel that we have made excellent overall progress as a company in fiscal 1996. While we are seeing increased operating expenses Operating expenses The amount paid for asset maintenance or the cost of doing business, excluding depreciation. Earnings are distributed after operating expenses are deducted. from our brand new state-of-the-art sterile manufacturing facility, we believe it will play a key role in the continued future success of Hi-Tech Pharmacal. Our increase in R&D spending will fuel future growth from new product introductions. This year we received 6 approvals from the FDA FDA abbr. Food and Drug Administration FDA, n.pr See Food and Drug Administration. FDA, n.pr the abbreviation for the Food and Drug Administration. , with 19 ANDAs currently on file. We are very confident that we will continue to have good results from our R&D programs, and we are especially excited about several projects which we are currently developing in our sterile facility." Seltzer also commented, "We are extremely pleased with results at our Health Care Products Division. Sales increased to $2,600,000, an increase of $672,000, or 42%. While we incurred increased advertising expenses, we were successful in launching DiabetiDerm Cream(R) and DiabetiDerm Lotion lotion /lo·tion/ (lo´shun) a liquid suspension, solution, or emulsion for external application to the body. lo·tion n. 1. (R), and gaining distribution on our entire line. Diabetic Tussin(R) was ranked among the 10 fastest growing products in its category. We are taking the necessary steps to build a solid foundation from which to grow and we are confident that Hi-Tech is positioned for solid growth for the future." In addition, Seltzer also stated that the company had engaged EGS EGS European Geophysical Society EGS European Graduate School EGS El Goonish Shive (webcomic) EGS Environmental Goods and Services EGS Employment Guarantee Scheme (UK) EGS EOS Ground System Securities Corp. as its investment banker Investment Banker A person representing a financial institution that is in the business of raising capital for corporations and municipalities. Notes: An investment banker may not accept deposits or make commercial loans. for financial and investment banking services. Hi-Tech Pharmacal Co., Inc. manufactures more than 100 prescription and over-the-counter generic and branded pharmaceuticals in liquid and semi-solid (creams, ointments ointments, n.pl semisolid, non–water-based treatments that are not water-soluble and that create protective films to prevent dehydration of the skin. , suppositories suppositories, n.pl solid capsules made of materials that melt at body temperature and are used to deliver medicinal substances into the rectum. and gels) dosage forms A dosage form is the physical form of a dose of medication, such as a capsule or injection. The route of administration is dependent on the dosage form of a given drug. , primarily for the private label market. The company also manufactures and markets its own products under the name of H-T as well as Sooth-It, Diabetic Tussin, DiabetiDerm and DiabetiSweet brand products through its Health Care Products Division. -0-
Hi-Tech Pharmacal Co., Inc.
Three months ended Fiscal Year ended
April 30, April 30,
1996 1995 1996 1995
Net sales 4,795,000 4,613,000 19,140,000 16,406,000 Cost of goods sold 3,382,000 2,658,000 11,785,000 9,691,000 Gross profit 1,413,000 1,955,000 7,355,000 6,715,000 Selling, general and administrative expense 1,393,000 1,012,000 4,601,000 3,419,000 Research and product development costs 488,000 117,000 933,000 711,000 Contract research income (224,000) (132,000) (467,000) (293,000) Interest expense 88,000 85,000 149,000 157,000 Interest income (13,000) (35,000) (67,000) (82,000) Total 1,732,000 1,047,000 5,149,000 3,912,000 Income before income taxes (319,000) 908,000 2,206,000 2,803,000 Provision for income taxes (126,000) 337,000 871,000 1,072,000 Net income (193,000) 571,000 1,335,000 1,731,000 Net income per common share (0.04) 0.13 0.29 0.38 Weighted average number of shares outstanding 4,605,000 4,563,000 4,664,000 4,579,000 CONTACT: Hi-Tech Pharmacal Co. David Seltzer David Seltzer, born 1940 into a conservative Jewish[1] family in Highland Park, Illinois, is an American screenwriter, producer, and director who is perhaps best known for having written The Omen. Arthur Goldberg 516/789-8228 |
|
||||||||||||||
Printer friendly
Cite/link
Email
Feedback
Reader Opinion