CCA Industries reports Q4 net loss of US$4.2M, compared to year-ago loss of US$352,929, as revenues fall 46.5% to US$6.1M
EAST RUTHERFORD, New Jersey
March 6, 2014
– CCA Industries, Inc. (NYSE MKT: "CAW"), a manufacturer and marketer of health and beauty aids, announced today its results for the fiscal year ended November 30, 2013. The Company had total revenues for fiscal 2013 of $38,853,387, and a net loss of $6,193,248 as compared to total revenues of $53,775,675 and a net income of $465,452 for fiscal 2012. Basic and fully diluted losses per share were $0.88 for fiscal 2013 as compared to earnings per share of $0.07 for fiscal 2012. Total revenues for the fourth quarter of 2013 were $6,056,615, as compared to $11,373,749 for the fourth quarter of 2012. The net loss for the fourth quarter of 2013 was $4,228,130 as compared to a loss of $352,929 for the fourth quarter of 2012. Basic and fully diluted losses per share were $0.60 for the fourth quarter of 2013 as compared to a loss of $0.05 in the fourth quarter of fiscal 2012. The large loss in the fourth quarter of fiscal 2013 was due to lower sales of the Company's nail color brand and diet brand, combined with higher reserves for returns and inventory related to the nail color brand.
"As previously reported, we do not anticipate those substantial losses continuing in fiscal 2014," stated Richard Kornhauser, President and Chief Executive Officer. "We believe CCA is well positioned for fiscal 2014 due to the outsourcing agreement with the Emerson Group, which significantly lowered our costs. The Company is investing some of this savings into a more robust media advertising campaign for fiscal 2014 which should promote the growth of our brands. We expect to start realizing the savings from the outsourcing agreement beginning in the second quarter of fiscal 2014," continued Richard Kornhauser.
CCA Industries Inc. manufactures and markets health and beauty aids, each under its individual brand name. The products include, principally, "Plus+White" toothpastes and teeth whiteners, "Mega-T" Green Tea dietary supplements, "Mega-T" Green Tea gum and mint products, "Bikini Zone" medicated topical and shave gels, "Nutra Nail" nail care treatments, "Gel Perfect" UV free gel color, "Scar Zone" scar treatment products, "Sudden Change" anti-aging skin care products, "Cherry Vanilla" fragrances, "Solar Sense" sun protection products, "Hair Off" hair removal and depilatory products, "Wash 'N Curl" shampoos and conditioners, "Pain Bust RII" topical analgesic product, "Lobe Wonder" earring support patches and "Eyeboutique" Shadow Shields make up shields.
Statements contained in the news release that are not historical facts are forward looking statements as that term is defined in the Private Securities Litigation Reform Act of 1995. Such forward-looking statements are subject to risks and uncertainties, which would cause actual results to differ materially from estimated results. Such risks and uncertainties are detailed in the Company's filings with the Securities and Exchange Commission. No assurance can be given that the results in any forward-looking statement will be achieved and actual results could be affected by one or more factors, which could cause them to differ materially. For these statements, we claim the protection of the safe harbor for forward-looking statements contained in the Private Securities Litigation Reform Act.
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