CTD Holdings, Inc. (OTCQB: CTDH) reported record product sales of $1,693,335 for
the fiscal year ended December 31, 2013, a 71% increase over 2012 product sales.
This revenue growth was driven by sales of Trappsol products to existing and new
customers. The Company reported net income of $205,000 for 2013, a 176% increase
over 2012.
Fiscal 2013 Highlights:
-- Sales of the Company's orphan drug designated product Trappsol® Cyclo™
were $875,000 for the year, as compared to $263,000 for 2012,
representing an increase of $612,000, or 233%.
-- Sales of Trappsol® HPB were $413,000 in 2013, compared to $410,000 in
2012.
-- Sales of other Trappsol® branded products were $384,000, an increase of
76% over 2012 sales.
-- Cash flows from operations for 2013 were $557,000, compared to $59,000
for 2012.
-- In July 2013, the Company refinanced all of its approximately $875,000
long-term debt reducing the effective interest rate by more than 2% to
3.99% and extending the terms of the loans.
-- Cash increased to $269,000 as of December 31, 2013, from $23,000 on the
same date in 2012.
-- On February 19, 2014, the Company received a $500,000 equity investment
and issued 10 million shares of common stock in a private placement.
-- In February 2014, two new members were added to the Board of Directors,
N. Scott Fine and Markus W. Sieger. Board committees for Audit,
Governance and Compensation were formed.
"In 2013 we achieved traction for sales of our branded products, took advantage
of historically low interest rates to refinance debt, and invested in our market
channels to increase sales," said Dr. Jeffrey Tate, President of CTD Holdings.
"With the addition of two key international investors to our Board in February,
we are poised for accelerated growth."
About the Company:
The CTD Holdings, Inc. Family of Companies manufactures and markets the
trademarked Trappsol® and Aquaplex® cyclodextrins, cyclodextrin derivatives,
and cyclodextrin complexes for research, nutrition, cosmetic and medical
markets. NanoSonic Products, Inc. operates the world's only cGMP pulse drying
facility for the production of ultra-pure cyclodextrin derivatives and
pharmaceutical grade Aquaplex® cyclodextrin complexes. The companies offer a
wide variety of cyclodextrin related manufacturing services to worldwide
customers, including custom formulation, manufacturing, and commercial scale
supply of pharmaceutical grade cyclodextrin complexes. Sphingo Biotechnology,
Inc. is developing a designated orphan drug for the treatment of Niemann-Pick
Type C disease, a fatal genetic disorder for young children. For additional
information, visit the Company's websites: www.ctd-holdings.com and
www.cyclodex.com
Safe Harbor Statement:
This press release contains "forward-looking statements" about the Company's
current expectations about future results, performance, prospects and
opportunities. Statements that are not historical facts, such as "anticipates,"
"believes" and "expects" or similar expressions, are forward-looking statements.
These statements are subject to a number of risks, uncertainties and other
factors that could cause actual results in future periods to differ materially
from what is expressed in, or implied by, these statements. The factors which
may influence the Company's future performance include the Company's ability to
obtain additional capital to expand operations as planned, success in attracting
additional customers and profitable contracts, and regulatory risks associated
with producing food and pharmaceutical grade products. These and other risk
factors are described from time to time in the Company's filings with the
Securities and Exchange Commission, including, but not limited to, the Company's
reports on Forms 10-K and 10-Q. Unless required by law, the Company assumes no
obligation to update or revise any forward-looking statements as a result of new
information or future events.
CTD Holdings, Inc.
CONSOLIDATED BALANCE SHEET
ASSETS
2013 2012
-------------- --------------
CURRENT ASSETS
Cash and cash equivalents $ 268,516.00 $ 22,839.00
Accounts receivable, net 99,282 65,271
Inventory 241,005 205,155
Other current assets 10,056 10,945
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Total current assets 618,859 304,210
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PROPERTY AND EQUIPMENT, NET 1,627,254 1,608,283
OTHER ASSETS
Property held for sale 400,000 495,456
Deferred tax asset 120,000 200,000
Deferred costs, net of accumulated
amortization of $14,802 and $15,716,
respectively 23,354 10,288
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Total other assets 543,354 705,744
-------------- --------------
TOTAL ASSETS $ 2,789,467.00 $ 2,618,237.00
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LIABILITIES AND STOCKHOLDERS' EQUITY
CURRENT LIABILITIES
Accounts payable and accrued expenses $ 142,607.00 $ 83,502.00
Line of credit - 94,487
Current portion of long-term debt 56,318 140,797
-------------- --------------
Total current liabilities 198,925 318,786
-------------- --------------
LONG-TERM LIABILITIES
Long-term debt, less current portion 795,457 750,776
STOCKHOLDERS' EQUITY
Common stock, par value $.0001 per share,
100,000,000 shares authorized, 37,455,882
and 36,889,535 shares issued and
outstanding, respectively 3,745 3,688
Preferred stock, par value $.0001 per
share, 5,000,000 shares authorized;
Series A, 1 share issued and outstanding - -
Additional paid-in capital 3,923,049 3,881,605
Accumulated deficit (2,131,709.00) (2,336,618.00)
-------------- --------------
Total stockholders' equity 1,795,085.00 1,548,675.00
-------------- --------------
TOTAL LIABILITIES AND STOCKHOLDERS' EQUITY $ 2,789,467.00 $ 2,618,237.00
============== ==============
CTD HOLDINGS, INC.
CONSOLIDATED STATEMENT OF OPERATIONS
Year Ended
December 31,
------------------------------
2013 2012
-------------- --------------
REVENUES
Product sales $ 1,693,335.00 $ 988,011.00
Drying services - 56,930
-------------- --------------
1,693,335 1,044,941
EXPENSES
Personnel 364,227 319,784
Cost of products sold (exclusive of
depreciation and amortization, shown
separately below) 426,022 139,676
Repairs and maintenance 40,723 17,286
Professional fees 142,860 144,788
Office and other 132,449 95,599
Amortization and depreciation 148,041 142,642
Freight and shipping 8,913 10,813
Loss (gain) on disposal of equipment (2,000) 16,863
Impairment on assets held for sale 95,455 -
-------------- --------------
1,356,690 887,451
INCOME FROM OPERATIONS 336,645 157,490
OTHER INCOME (EXPENSE)
Investment and other income 2,129 3,510
Interest expense -53865 -61797
Total other income (expense) (51,736.00) (58,287.00)
INCOME BEFORE INCOME TAXES 284,909 99,203
PROVISION FOR INCOME TAXES 80,000 25,000
-------------- --------------
NET INCOME $ 204,909.00 74,203
============== ==============
NET INCOME PER COMMON SHARE $ 0.01 $ 0.01
============== ==============
WEIGHTED AVERAGE NUMBER OF COMMON SHARES
OUTSTANDING 37,165,770 36,680,179
============== ==============
CTD HOLDINGS, INC.
CONSOLIDATED STATEMENT OF CASH FLOWS
Year Ended
December 31,
------------------------------
2013 2012
-------------- --------------
CASH FLOWS FROM OPERATING ACTIVITIES
Net income $ 204,909 $ 74,203
-------------- --------------
Adjustments to reconcile net income to net
cash provided by operating activities:
Depreciation and amortization 148,041 142,642
Loss (gain) on disposal of equipment (2,000.00) 16,863
Impairment on assets held for sale 95,456 -
Stock compensation to employees 40,000 -
Deferred income taxes 80,000 25,000
Increase or decrease in:
Accounts receivable (34,011.00) (18,906.00)
Inventory (35,850.00) (63,138.00)
Other current assets 889 -10,125
Accounts payable and accrued expenses 59,106 (108,038.00)
-------------- --------------
Total adjustments 351,631 (15,702.00)
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NET CASH PROVIDED BY OPERATING
ACTIVITIES 556,540 58,501
CASH FLOWS FROM INVESTING ACTIVITIES
Purchase of property and equipment (156,922.00) (166,172.00)
Proceeds from sale of equipment 2,000 -
-------------- --------------
NET CASH USED IN INVESTING
ACTIVITIES (154,922.00) (166,172.00)
CASH FLOWS FROM FINANCING ACTIVITIES
Proceeds from sale of stock - 50,000
Payments on long-term debt (39,798.00) (44,803.00)
Loan costs (21,656.00) -
Payments on lines of credit (94,487.00) (1,764.00)
-------------- --------------
NET CASH PROVIDED BY (USED IN)
FINANCING ACTIVITIES (155,941.00) 3,433
-------------- --------------
NET INCREASE (DECREASE) IN CASH AND CASH
EQUIVALENTS 245,677 (104,238.00)
CASH AND CASH EQUIVALENTS, beginning of
period 22,839 127,077
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CASH AND CASH EQUIVALENTS, end of period $ 268,516 $ 22,839
============== ==============
SUPPLEMENTAL DISCLOSURE OF NONCASH INVESTING
AND FINANCING ACTIVITIES
Acquisition of equipment with debt $ - $ 195,821
Common stock awards capitalized as
equipment $ 1,500 $ -
SUPPLEMENTAL DISCLOSURE OF CASH FLOW
INFORMATION
Cash paid for interest $ 53,865 $ 61,797
============== ==============
Cash paid for income taxes $ - $ -
============== ==============
FOR FURTHER INFORMATION PLEASE CONTACT:
Contact: Dr. Jeffrey Tate, CTD Holdings, Inc.: 386-418-8060; jeff@cyclodex.com