Natural Alternatives International, Inc. ("NAI") (Nasdaq: NAII), a
leading formulator, manufacturer, and marketer of customized
nutritional supplements, today announced a net loss of $1.6
million, or ($0.27) per diluted share, on net sales of $25.1
million for the third quarter of fiscal year 2024 compared to a net
loss of $2.4 million, or ($0.41) per diluted share, in the third
quarter of the prior fiscal year.
Net sales during the three months ended March
31, 2024, decreased $7.6 million, or 23%, to $25.1 million as
compared to $32.7 million recorded in the comparable prior year
period. During the same period, private-label contract
manufacturing sales decreased 26% to $22.4 million. Private-label
contract manufacturing sales decreased primarily due to reduced
orders from several of our larger customers associated with their
efforts to reduce excess on-hand inventories, partially offset by
increased shipments from other existing customers and shipments to
new customers.
CarnoSyn® beta-alanine royalty, licensing and raw material sales
revenue increased 13% to $2.7 million during the third quarter of
fiscal year 2024, as compared to $2.3 million for the third quarter
of fiscal year 2023. The increase in CarnoSyn® beta-alanine
royalty, licensing, and raw material sales revenue during the third
quarter of fiscal 2024 was primarily due to increased royalty
income and favorable volume rebate activity. The increase during
the nine months ended March 31, 2024, was primarily due to an
increase in orders from existing customers and increased
royalty income.
Our net loss for the nine months ended March 31,
2024, was $5.3 million, or ($0.91) per diluted share, compared to
net income of $0.5 million, or $0.08 per diluted share, for the
nine months ended March 31, 2023.
Net sales during the nine months ended March 31,
2024, decreased $33.8 million, or 29%, to $84.3 million as compared
to $118.1 million recorded in the comparable prior year period.
During the nine months ended March 31, 2024, private-label contract
manufacturing sales decreased 31% to $77.7 million, as compared to
$113.0 million in the comparable prior period. CarnoSyn®
beta-alanine royalty, licensing and raw material sales revenue
increased 28% to $6.6 million during the first nine months of
fiscal 2024, as compared to $5.2 million for the first nine months
of fiscal 2023.
We experienced a loss from operations during the
three and nine months ended March 31, 2024. This was primarily
due to a slowdown in sales across our private-label contract
manufacturing segment. On August 16, 2023, we announced the
temporary closure of our high-speed powder processing facility in
Carlsbad, California due to excess inventory on hand at one of our
largest customers and their efforts to rebalance supply and demand.
On April 2, 2024, we announced we will be reopening this
facility in May 2024.
Based on our current overall sales forecast, we
anticipate we will experience a net loss in the fourth
quarter of fiscal 2024 and an overall net loss for fiscal
2024.
As of March 31, 2024, we had cash of $12.4
million and working capital of $40.7 million, compared to $13.6
million and $41.1 million respectively, as of June 30, 2023. As of
March 31, 2024, we had zero outstanding on our credit facility.
Mark A. Le Doux, Chairman and Chief Executive Officer of NAI
stated, “Our efforts to re-open our Carlsbad powder facility are
progressing as planned and we expect to resume commercial product
production later this month. We believe the industry has worked
through a substantial portion of its excess inventory positions,
and with a healthy pipeline of new business opportunities, we are
optimistic of our future sales growth and return to profitability.”
An updated investor presentation will be posted to the investor
relations page on our website later today
(https://www.nai-online.com/our-company/investors/).
NAI, headquartered in Carlsbad, California, is a leading
formulator, manufacturer and marketer of nutritional supplements
and provides strategic partnering services to its customers. Our
comprehensive partnership approach offers a wide range of
innovative nutritional products and services to our clients
including scientific research, clinical studies, proprietary
ingredients, customer-specific nutritional product formulation,
product testing and evaluation, marketing management and support,
packaging, and delivery system design, regulatory review, and
international product registration assistance. For more information
about NAI, please see our website at http://www.nai-online.com.
This press release contains forward-looking statements within
the meaning of Section 21E of the Securities Exchange Act of 1934
that are not historical facts and information. These statements
represent our intentions, expectations and beliefs concerning
future events, including, among other things, our ability to
develop, maintain or increase sales to new and existing customers,
our ability to re-open our Carlsbad powder facility, our future
revenue profits and financial condition, as well as current and
future economic conditions and the impact of such conditions on our
business. We wish to caution readers these statements involve risks
and uncertainties that could cause actual results and outcomes for
future periods to differ materially from any forward-looking
statement or views expressed herein. NAI's financial performance
and the forward-looking statements contained herein are further
qualified by other risks, including those set forth from time to
time in the documents filed by us with the Securities and Exchange
Commission, including our most recent Annual Report on Form
10-K.
SOURCE - Natural Alternatives International, Inc.
CONTACT – Michael Fortin, Chief Financial Officer, Natural
Alternatives International, Inc., at 760-736-7700 or
investor@nai-online.com.
Web site: http://www.nai-online.com
NATURAL
ALTERNATIVES INTERNATIONAL, INC. |
CONDENSED
CONSOLIDATED STATEMENTS OF OPERATIONS |
(In thousands,
except per share data) |
|
|
|
|
|
|
|
|
|
(Unaudited) |
|
|
|
(Unaudited) |
|
|
|
Three Months
Ended |
|
|
|
Nine Months
Ended |
|
|
|
March 31, |
|
|
|
March 31, |
|
|
|
|
2024 |
|
|
|
|
|
2023 |
|
|
|
|
|
2024 |
|
|
|
|
|
2023 |
|
|
|
NET SALES |
$ |
25,136 |
|
|
100.0 |
% |
|
$ |
32,699 |
|
|
100.0 |
% |
|
$ |
84,307 |
|
|
100.0 |
% |
|
$ |
118,121 |
|
|
100.0 |
% |
Cost of
goods sold |
|
23,214 |
|
|
92.4 |
% |
|
|
31,323 |
|
|
95.8 |
% |
|
|
78,861 |
|
|
93.5 |
% |
|
|
105,160 |
|
|
89.0 |
% |
Gross
profit |
|
1,922 |
|
|
7.6 |
% |
|
|
1,376 |
|
|
4.2 |
% |
|
|
5,446 |
|
|
6.5 |
% |
|
|
12,961 |
|
|
11.0 |
% |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Selling,
general & administrative expenses |
|
3,874 |
|
|
15.4 |
% |
|
|
3,864 |
|
|
11.8 |
% |
|
|
11,455 |
|
|
13.6 |
% |
|
|
11,422 |
|
|
9.7 |
% |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
(LOSS) INCOME FROM OPERATIONS |
|
(1,952 |
) |
|
-7.8 |
% |
|
|
(2,488 |
) |
|
-7.6 |
% |
|
|
(6,009 |
) |
|
-7.1 |
% |
|
|
1,539 |
|
|
1.3 |
% |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Other
expense, net |
|
(16 |
) |
|
-0.1 |
% |
|
|
(300 |
) |
|
-0.9 |
% |
|
|
(674 |
) |
|
-0.8 |
% |
|
|
(723 |
) |
|
-0.6 |
% |
(LOSS) INCOME BEFORE TAXES |
|
(1,968 |
) |
|
-7.8 |
% |
|
|
(2,788 |
) |
|
-8.5 |
% |
|
|
(6,683 |
) |
|
-7.9 |
% |
|
|
816 |
|
|
0.7 |
% |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Income tax
(benefit) expense |
|
(390 |
) |
|
|
|
|
(407 |
) |
|
|
|
|
(1,340 |
) |
|
|
|
|
331 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
NET
(LOSS) INCOME |
$ |
(1,578 |
) |
|
|
|
$ |
(2,381 |
) |
|
|
|
$ |
(5,343 |
) |
|
|
|
$ |
485 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
NET
(LOSS) INCOME PER COMMON SHARE: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Basic: |
($ |
0.27 |
) |
|
|
|
($ |
0.41 |
) |
|
|
|
($ |
0.91 |
) |
|
|
|
$ |
0.08 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Diluted: |
($ |
0.27 |
) |
|
|
|
($ |
0.41 |
) |
|
|
|
($ |
0.91 |
) |
|
|
|
$ |
0.08 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
WEIGHTED
AVERAGE COMMON SHARES OUTSTANDING: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Basic |
|
5,868 |
|
|
|
|
|
5,816 |
|
|
|
|
|
5,856 |
|
|
|
|
|
5,867 |
|
|
|
Diluted |
|
5,868 |
|
|
|
|
|
5,816 |
|
|
|
|
|
5,856 |
|
|
|
|
|
5,885 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
NATURAL
ALTERNATIVES INTERNATIONAL, INC. |
CONDENSED
CONSOLIDATED BALANCE SHEETS |
(In thousands) |
|
|
|
|
|
(unaudited) |
|
|
|
March
31, |
|
June
30, |
|
2024 |
|
2023 |
|
|
|
|
ASSETS |
|
|
|
Cash and cash equivalents |
$ |
12,407 |
|
$ |
13,604 |
Accounts
receivable, net |
|
11,221 |
|
|
7,022 |
Inventories,
net |
|
21,071 |
|
|
29,694 |
Other
current assets |
|
9,662 |
|
|
6,690 |
Total current assets |
|
54,361 |
|
|
57,010 |
Property and
equipment, net |
|
52,384 |
|
|
53,841 |
Operating
lease right-of-use assets |
|
44,032 |
|
|
20,369 |
Other
noncurrent assets, net |
|
2,434 |
|
|
2,932 |
Total Assets |
$ |
153,211 |
|
$ |
134,152 |
|
|
|
|
LIABILITIES AND STOCKHOLDERS’ EQUITY |
|
|
|
Accounts
payable and accrued liabilities |
|
13,254 |
|
|
14,450 |
Line of
Credit |
|
- |
|
|
- |
Mortgage
note payable |
|
9,301 |
|
|
9,517 |
Operating
lease liability |
|
46,557 |
|
|
21,413 |
Total Liabilities |
|
69,112 |
|
|
45,380 |
Stockholders’ Equity |
|
84,099 |
|
|
88,772 |
Total Liabilities and Stockholders’
Equity |
$ |
153,211 |
|
$ |
134,152 |
|
|
|
|
Natural Alternatives (NASDAQ:NAII)
Gráfica de Acción Histórica
De Oct 2024 a Nov 2024
Natural Alternatives (NASDAQ:NAII)
Gráfica de Acción Histórica
De Nov 2023 a Nov 2024