CCA Industries reports Q1 net loss of US$1.2M on revenue of US$7.8M, compared to year-ago loss of US$1M on revenue of US$11.8M
EAST RUTHERFORD, New Jersey
April 15, 2014
– CCA Industries, Inc. (NYSE MKT: "CAW") announced today its results for the first quarter ended February 28, 2014.
The Company reported total revenues for the first quarter ended February 28, 2014 of $7,750,252 and a net (loss) of $(1,239,565). Total revenues for the first quarter ended February 28, 2013 were $11,799,649 and the net (loss) was $(1,015,390). Basic and fully diluted losses per share for the quarter were $(0.18) as compared to $(0.14) for the same quarter last year.
"We are moving rapidly to leverage our new association with the Emerson Group to help increase our brand distribution base. This largely reflects the power of scale The Emerson Group brings to our company by managing over $1.7 billion in annual consumer sales against a variety of niche consumer product brands very similar to ours with the retailers in all classes of trade," stated Richard Kornhauser, Chief Executive Officer and President. "Moreover, and concurrently with the outsourcing effort, we have taken significant action to drive consumers to the shelves to purchase our brands by redeploying much of the cost savings achieved into added media and new harder working advertising that moves product. We have already seen a very positive response to our efforts in March as our renewed and enhanced marketing efforts reinforce our brand connection to the consumer. While the accelerated shift to outsourcing—achieved 30-days quicker than originally anticipated— is highly beneficial and delivers substantial cost savings to us through the year—it did lead to some logistical early challenges that impeded our business results in the First Quarter of 2014. These issues are principally corrected. Importantly, we believe that the benefits of our efforts in totality will dramatically help drive brand awareness, enhance our distribution base, and improve in-store merchandising which we believe will prove highly positive starting in the second quarter and throughout fiscal 2014 and beyond," concluded Mr. 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 diet supplements, " "Bikini Zone" medicated topical and shave gels, "Nutra Nail" nail care, " "Scar Zone" scar treatment products, "Sudden Change" anti-aging skin care products, "Solar Sense" sun protection products, and "Pain Bust RII" an analgesic product.