Seychelle Reports Q2 Earnings Gapped up 2 ½ Times for Period
Ended August 31, 2015 vs. Prior Year
Anticipated Guidance for Q3 is for Sales to increase to the $2.8 to
$3.0 Million Range
SAN JUAN CAPISTRANO, Calif. -- (BUSINESS WIRE) –
October 12, 2015 –Seychelle
Water Filtration Products, a DBA of Seychelle Environmental
Technologies, Inc. (Seychelle) (OTCQB: SYEV), a worldwide leader in
the development, assembly and sale of proprietary portable water
filtration bottles made several announcements today relating to its
most recent fiscal quarter's end and issued forward guidance for
For Q2 ended August 31, 2015, Revenue was $2,724,829 compared to
$767,216 in the prior year, an increase of $1,957,611 (+255%). In
addition, Net Income after taxes of $515,077 was an increase of
$857,665 (+250%) compared to the prior year's Net Loss after taxes
of $342,588. This is more than 2
1/2 times the Net Income vs. prior year.
In addition, the Company reported that sales revenue for the first
six months of the fiscal year ended August 31, 2015 was $5,072,012
compared to $1,874,514 in the prior year, up $3,197,498 (+171%).
Net Income after income taxes was $987,585 for the same period and
was up $1,392,901 (+344%) vs. the prior year Net Loss of $405,316.
This is almost 3 ½ times the Net Income vs. prior year.
The increase in Q2 sales to $2.7 million (up $0.4 million over Q1)
is primarily due to continued increases in the demand for private
label products; targeted sales toward the emergency & disaster
preparedness market, the success of which we attribute to increased
worldwide awareness of the importance of preparedness due to
highly-publicized natural disasters during the year; and the launch
of our pH20 product line which increases the alkalinity of tap
water to between 8.0 and 9.5 pH. Our current
anticipated guidance for Q3 is for sales to increase to the $2.8 to
$3.0 Million range.
Gross margins improved significantly from 46% to 53%.due to
implementing pricing structures that require minimum order
quantities as well as higher margins on our newer product
lines. We introduced a
Minimum Advertised Pricing policy during Q1 that has allowed us to
also increase our margins. The Company expects the gross
margin percentages to remain at approximately 50% in the
Net income (19% of Sales) was up 250% for the three-month period
ended August 31, 2015. This was primarily due to an
increase of approximately $866,000 in sales. We remain focused on
the primary factors affecting our bottom line and look to continue
to improve the Company's profitability in fiscal 2016.
"Dedicated to improving the quality of life through the quality of
our drinking water."
This press release may contain certain forward-looking information
about the Seychelle's business prospects/projections. These
are based upon good-faith current expectations of Seychelle's
management. Seychelle makes no representation or warranty as to the
attainability of such assumptions/projections. Investors are
expected to conduct their own investigation with regard to
Seychelle. Seychelle assumes no obligation to update the
information in this press release. For more information, please
or call (949) 234-1999.