Vancouver, British Columbia--(Newsfile Corp. - August 27, 2019) - good natured Products Inc. (TSXV: GDNP) (the "Company" or "good natured®"), today announced its financial results for the three months ("Q2 FY19") and six months ended June 30, 2019 ("YTD").
- Revenues for three months ended June 30, 2019 increased 120% to $2,337,411 compared to $1,064,589 for the three months ended June 30, 2018. Revenues for the 6 months ended June 30, 2019 increased 101% to $4,393,425 compared to $2,183,076 for the six months ended June 30, 2018.
- Gross profit for the three and six months ended June 30, 2019 was $826,018 and $1,598,563 compared to $361,343 and $732,176 for the three and six months ended June 30, 2018. As a percentage of sales, gross profit for the three and six months ended June 30, 2019 increased to 35.3% and 36.4% versus 33.9% and 33.5% for the three and six months ended June 30, 2018.
- SG&A for the three and six months ended June 30, 2019 was $1,090,054 and $2,085,237 compared to $772,464 and $1,551,414 for the three and six months ended June 30, 2018, representing a YTD increase of 34% compared to the six months ended June 30, 2018. SG&A expenditures, minus variable outsourced supply chain and fulfillment costs, increased 2% and 6% compared to the three and six months ended June 30, 2018.
- The Company's net losses in the three and six months ended June 30, 2019 before interest, depreciation, stock compensation and deferred income tax were $366,855 and $709,751 compared to $490,676 and $977,678 for the three and six months ended June 30, 2018, an improvement of 25% and 27% respectively.
- In the three months ended June 30, 2019, the Company incurred a net loss of $821,328 compared to $877,911 for the three months ended June 30, 2018, an improvement of 6%. For the six months ended June 30, 2019, net loss was $1,541,689 compared to $1,642,403 for the six months ended June 30, 2018, also an improvement of 6%.
- The Company had cash on hand of $7,634,909 for organic growth, $654,500 of unused operating line and $6,545,000 of available credit for acquisition opportunities as of June 30, 2019, compared to a total of cash and credit of $2,903,466 on December 30, 2018.
"We've seen the momentum from Q1 continue into Q2 to deliver our second quarter of over $2 million in revenue," said Paul Antoniadis, CEO of good natured®. "Demand for both our plant-based food packaging and consumer products is strong, and we anticipate this trend continuing through Q3." Paul added: "Of particular note is the Q2 improvement in gross margins even while cost of goods sold increased. This is a strong testament to maintaining solid, operational controls and processes while continuing to generate strong top line growth."
The Company's interim financial statements and Management's Discussion and Analysis are available on SEDAR at: www.sedar.com.
The good natured® corporate profile can be found at: www.goodnatured.ca/investor-relations
About good natured Products Inc.
With over 100 plant-based food packaging applications, 10 grades of bioplastic rollstock sheets, 30 home & business organizational products and a world class team of scientists, business builders and retailers, good natured® is producing and distributing one of North America's widest assortments of consumer products and packaging made from the highest possible percentage of renewable, plant-based materials and no BPAs, phthalates or other chemicals of concern.
Committed to doing what's right for the planet and right for business, good natured® is creating better everyday products® that combine cutting-edge bioplastic technology and the latest sustainable design features that not only look good, but maximize shelf space, drive incremental sales, enhance logistics and boost environmental benefits, all bundled up in a fresh and friendly brand.
For more information: goodnatured.ca
On behalf of the Company:
Paul Antoniadis - Executive Chair & CEO
Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibilities for the adequacy or accuracy of this release.
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