International Absorbents Announces First Quarter Results
June 12 2009 - 2:23PM
PR Newswire (US)
FERNDALE, Wash., June 12 /PRNewswire-FirstCall/ -- International
Absorbents Inc. (NYSE:IAX), a leading developer and producer of
environmentally-friendly pet care and industrial products, today
reported financial results for the first quarter ended April 30,
2009. Sales for the first quarter of fiscal year 2010 were
$8,480,000 versus $8,461,000 for the first quarter of fiscal year
2009. Gross profit for the first quarter of fiscal year 2010 was
$3,116,000 compared to $2,510,000 for the comparable quarter in
fiscal year 2009, an increase of 24%. Net income for the first
quarter of fiscal year 2010 was $516,000, an improvement of 50%
versus a net income of $343,000 for in the first quarter of fiscal
year 2009. Gordon L. Ellis, Chairman of International Absorbents
Inc. commented on the quarter, "The key driver of net income growth
was improved gross margins. These were achieved through continued
efficiencies thanks to the hard work of all our employees combined
with reduced raw materials and energy costs. We expect to face
ongoing pressures on these margins throughout the year from, among
other things, potential increases in raw materials, utility and
transportation costs. While sales were flat year-over-year for the
first quarter on lower product volumes, we continue to be creative
in the development of new revenue streams. Accordingly, we are
introducing a line of small animal foods to capitalize on the
success of the CareFRESH(R) brand name. The new product, called
CareFRESH(R) Complete(TM), will be on store shelves during the
second quarter." International Absorbents Inc. develops,
manufactures and markets patented and proprietary, cost effective
consumer and commercial products derived from recycled, renewable
materials. These environmentally safe products outperform
conventional products used in a broad range of consumer and
industrial applications, including retail/commercial pet bedding
and litter, oil and hazardous liquid spill cleanup and control,
oil/water filtration, and packaging. Further information is
available at http://www.internationalabsorbents.com/. FINANCIAL
HIGHLIGHTS 3 Months Ended Apr. 30, 2009 2008 ---- ---- Sales, net
$8,480,000 $8,461,000 Gross profit 3,116,000 2,510,000 Net income
before taxes 847,000 637,000 Net income 516,000 343,000 Basic
earnings per share 0.08 0.05 Weighted average shares (basic)
6,410,000 6,410,000 As at Apr. 30, As at Jan. 31, 2009 2009 ----
---- Total assets $31,863,000 $31,281,000 Stockholders' equity
21,021,000 20,386,000 Contact: Charles (Chuck) Tait International
Absorbents Inc. Toll Free: 866-514-6559 or 604-681-6181 A number of
the matters and subject areas discussed in this press release that
are not historical or current facts deal with potential future
circumstances and developments, including without limitation,
statements referring to the potential impact on the Company of the
recession; the Company's ability to reduce costs, increase
efficiencies, enter into new markets, introduce new products, gain
market share, improve profitability and execute on its future
growth strategies; potential financial results; the capacity of the
Company's manufacturing facilities; forecasted benefits from
infrastructure improvements; and the Company's competitiveness and
profitability as a result of new sales and marketing programs, are
forward-looking statements. The words "believe," "expect,"
"intend," "estimate," "assume" and "anticipate," variations of such
words and similar expressions identify forward-looking statements,
but their absence does not mean that a statement is not
forward-looking. The discussion of such matters and subject areas
is qualified by the inherent risks and uncertainties surrounding
future expectations generally, and it is important to note that the
Company's actual results could differ materially from those
projected, due to various risk factors. Those risks include, but
are not limited to, the effect on the Company of the ongoing global
economic downturn, any potential decrease or change in consumer
spending, the potential impact on the Company of any increases in
energy and transportation costs; the performance of the Company's
manufacturing facilities, competitor reactions and their ability to
market and price their products, and the availability of sources of
raw materials to meet demand rates necessary to sustain growth.
Additional information concerning factors that could cause actual
results to differ materially from those in the forward-looking
statements is contained from time to time in the Company's reports
filed with the SEC, including, but not limited to, the Company's
annual report on Form 10-K for the fiscal year ended January 31,
2009 and its quarterly filings on Form 10-Q. This press release
speaks only as of its date, and the Company disclaims any duty to
update the information herein. DATASOURCE: International Absorbents
Inc. CONTACT: Charles (Chuck) Tait of International Absorbents
Inc., 1-866-514-6559, or 604-681-6181, Web Site:
http://www.internationalabsorbents.com/
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