Cyanotech's 90-acre facility at Natural Energy Laboratory of Hawaii Authority. (Photo courtesy of Cyanotech)

 

 

 

 

 

 

 

 

 

 

 

 

 

 

MEDIA RELEASE

 

Cyanotech Corporation, a world leader in producing high-value nutrition and health products from microalgae, has announced financial results for its third quarter and for the first nine months of its fiscal year.

Revenues for the third quarter increased 28.6 percent to $3,553,000, compared to revenues of $2,763,000 for the third quarter last year. Gross profit for the third quarter was $1,566,000, with gross profit margin of 44.1 percent, compared to a gross profit of $353,000 and gross profit margin of 12.8 percent reported for the same quarter of the prior year. 

 

Net income for the third quarter was $514,000, or 10 cents per diluted share, compared to net loss of $594,000, or (11 cents) per diluted share for the previous third quarter.

Cash and cash equivalents decreased to $276,000 as of Dec. 31 compared to the March 31 balance of $1,090,000. Working capital, however, increased to $3,772,000 at Dec. 31 compared to $3,092,000 at March 31.

“Our focus on quality, cost containment, increased productivity, and sales growth drove our positive results. The combination of management focus and operational execution delivered a 343.6 percent improvement in gross profit margin and $514,000 of net income for the third quarter,” said Andrew H. Jacobson, president and chief executive officer. “These efforts and results bring our year-to-date net income to $948,000, a $2.268-million positive swing in profit over the prior-year nine-month period,” 

Revenues for the first nine months of the fiscal year increased 32.4 percent to $10,528,000, compared to revenues of $7,950,000 for the first nine months of the previous year. Gross profit for the first nine months was $4,248,000, with gross profit margin of 40.3 percent, compared to a gross profit of $1,867,000 and gross profit margin of 23.5 percent reported for the first nine months of fiscal 2008. 

“As exciting as the third quarter and year-to-date results are, the results of our new spirulina cultivation strategy implemented earlier in the fiscal year are even more promising,” Jacobson said. “We are still in a period of lower temperatures and reduced sunlight, so we could experience seasonally reduced productivity in the fourth quarter. However, we remain focused on continued execution of our plan.” 

Cyanotech Corporation,  (Nasdaq Capital Market: CYAN) a world leader in microalgae technology, produces BioAstin® Natural Astaxanthin and Hawaiian Spirulina Pacifica®—all natural, functional nutrients that leverage experience and reputation for quality, building nutritional brands that promote health and well-being. 

Cyanotech’s spirulina products, FDA reviewed and accepted as Generally Recognized as Safe (GRAS) for use as a food ingredient, augments energy and immune response. Cyanotech produces these products from microalgae grown at its 90-acre facility in Hawaii using patented and proprietary technology and distributes them to nutritional supplement, nutraceutical and cosmeceutical makers and marketers in more than 40 countries worldwide. 

— Find out more:

Cyanotech: www.cyanotech.com