- Published: 14 June 2016
- Written by Editor
Leading Brands, Inc. Announces Q1 Results
Non-GAAP Net Income (Loss) before SBC is determined as follows:
| Q1 2016 | Q1 2015 | |||||
| Net Income (Loss) | $ | 295,000 | $ | (411,000 | ) | |
| Add Back SBC | - | - | ||||
| Net income (loss) before SBC | $ | 295,000 | $ | (411,000 | ) |
Non-GAAP Net Income (Loss) per share before SBC is determined as follows:
| Q1 2016 | Q1 2015 | |||||
| Net Income (Loss) | $ | 0.10 | $ | (0.15 | ) | |
| Add Back SBC | - | - | ||||
| Net income (loss) before SBC - Basic | $ | 0.10 | $ | (0.15 | ) |
Pro-forma results for EBITDAS, as defined below, are determined as follows:
| Q1 2016 | Q1 2015 | |||||
| Net Income (Loss) | $ | 295,000 | $ | (411,000 | ) | |
| Add Back: | ||||||
| Interest, net | - | (2,000 | ) | |||
| Depreciation and amortization | 170,000 | 170,000 | ||||
| Non-cash stock based compensation | - | - | ||||
| Non-cash income tax expense | 27,000 | (65,000 | ) | |||
| Total Add Backs | 197,000 | (103,000 | ) | |||
| EBITDAS | $ | 492,000 | $ | (308,000 | ) |
EBITDAS per share reconciles to earnings per share as follows:
| Q1 2016 | Q1 2015 | |||||
| Net Income (Loss) | $ | 0.10 | $ | (0.15 | ) | |
| Add Back: | ||||||
| Interest, net | - | - | ||||
| Depreciation and amortization | 0.06 | 0.06 | ||||
| Non-cash stock based compensation | - | - | ||||
| Non-cash income tax expense | 0.01 | (0.02 | ) | |||
| Total Add Backs | 0.07 | 0.04 | ||||
| EBITDAS | $ | 0.17 | $ | 0.11 | ||
Gross profit margin for the quarter was 38.7%, up from 31.1% in the same quarter last year. Gross revenue for Q1 2016 was $3,034,000, versus $3,183,000 in the comparative period of last year.
Discounts, rebates and slotting fees were $180,000 in Q1 2016, an increase of $93,000 compared to the same period of the prior year as a result of new listing fees for Happy Water®. Selling, General and Administrative Expenses (“SG&A”) were $945,000 in Q1 of fiscal 2016, versus $1,232,000 in Q1 of the previous year.
As at May 31, 2016 the Company had outstanding 2,855,947 common shares.
About Leading Brands, Inc.
Leading Brands, Inc. (LBIX) is North America’s only fully integrated healthy beverage company. Leading Brands creates, designs, bottles, distributes and markets its own proprietary premium beverage brands via its unique Integrated Distribution System (IDS)™ which involves the Company finding the best and most cost-effective route to market.
Non-GAAP Measures
Any non-GAAP financial measures referenced in this release do not have any standardized meaning prescribed by GAAP and are therefore unlikely to be comparable to similar measures presented by other issuers.
EBITDAS is a non-GAAP financial measure. EBITDAS is defined as net income (loss) before income taxes, interest expense, depreciation and amortization and stock-based compensation. EBITDAS should not be construed as a substitute for net income (as determined in accordance with GAAP) for the purpose of analyzing operating performance, as EBITDAS is not defined by GAAP. However, the Company regards EBITDAS as a complement to net income and income before taxes.
Forward Looking Statements
Certain information contained in this press release includes forward-looking statements. Words such as “believe”, “expect,” “will,” or comparable terms, are intended to identify forward-looking statements concerning the Company’s expectations, beliefs, intentions, plans, objectives, future events or performance and other developments. All forward-looking statements included in this press release are based on information available to the Company on the date hereof. Such statements speak only as of the date hereof. Important factors that could cause actual results to differ materially from the Company’s estimations and projections are disclosed in the Company’s securities filings and include, but are not limited to, the following: general economic conditions, weather conditions, changing beverage consumption trends, pricing, availability of raw materials, economic uncertainties (including currency exchange rates), government regulation, managing and maintaining growth, the effect of adverse publicity, litigation, competition and other risk factors described from time to time in securities reports filed by Leading Brands, Inc. For all such forward-looking statements, we claim the safe harbor for forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995.
©2016 Leading Brands, Inc.
This news release is available at www.LBIX.com
(table follows)
| LEADING BRANDS, INC. | ||||||||
| CONDENSED CONSOLIDATED INTERIM STATEMENTS OF INCOME (LOSS) | ||||||||
| (UNAUDITED) | ||||||||
| (EXPRESSED IN CANADIAN DOLLARS) | ||||||||
| Three months ended | ||||||||
| May 31, 2016 | May 31, 2015 | |||||||
| Gross Revenue | $ | 3,033,722 | $ | 3,182,785 | ||||
| Less: Discount, rebates and slotting fees | (180,012 | ) | (87,055 | ) | ||||
| Net Revenue | 2,853,710 | 3,095,730 | ||||||
| Cost of sales | 1,748,980 | 2,132,710 | ||||||
| Operations, selling, general & administration expenses | 945,259 | 1,231,785 | ||||||
| Depreciation of property, plant and equipment | 170,253 | 170,469 | ||||||
| Interest, net | 0 | (2,465 | ) | |||||
| Change in fair value of derivative liability | (26,042 | ) | 38,941 | |||||
| Gain on disposal of assets | (306,774 | ) | 0 | |||||
| 2,531,676 | 3,571,440 | |||||||
| Net income (loss) before taxes | 322,034 | (475,710 | ) | |||||
| Income tax expense | 27,159 | (64,939 | ) | |||||
| Net and comprehensive income (loss) | $ | 294,875 | $ | (410,771 | ) | |||
| Earnings per share | ||||||||
| Basic income (loss) per share | $ | 0.10 | $ | (0.15 | ) | |||
| Weighted average number of shares outstanding – basic | 2,859,697 | 2,896,886 | ||||||
| Fully diluted income (loss) per share | $ | 0.10 | $ | (0.15 | ) | |||
| Weighted average number of shares outstanding – diluted | 2,859,697 | 3,103,164 | ||||||
Leading Brands, Inc.
Tel: (604) 685-5200
Email: This email address is being protected from spambots. You need JavaScript enabled to view it.
