- Published: 16 October 2017
- Written by Editor
Leading Brands, Inc. Announces Q2 Results
Non-GAAP Net Income (Loss) before SBC is determined as follows:
| Q2 2017 | Q2 2016 | YTD 2017 | YTD 2016 | |||||||||
| Net Income (Loss) from continuing operations | $ | (710,000 | ) | $ | (949,000 | ) | $ | (1,488,000 | ) | $ | (1,499,000 | ) |
| Add Back SBC | - | - | - | - | ||||||||
| Net income (loss) before SBC | $ | (710,000 | ) | $ | (949,000 | ) | $ | (1,488,000 | ) | $ | (1,499,000 | ) |
Non-GAAP Net Income (Loss) per share before SBC is determined as follows:
| Q2 2017 | Q2 2016 | YTD 2017 | YTD 2016 | |||||||||
| Net Income (Loss) from continuing operations | $ | (0.25 | ) | $ | (0.33 | ) | $ | (0.53 | ) | $ | (0.52 | ) |
| Add Back SBC | - | - | - | - | ||||||||
| Net income (loss) before SBC | $ | (0.25 | ) | $ | (0.33 | ) | $ | (0.53 | ) | $ | (0.52 | ) |
Pro-forma results for EBITDAS, as defined below, are determined as follows:
| Q2 2017 | Q2 2016 | YTD 2017 | YTD 2016 | |||||||||
| Net Income (Loss) from continuing operations | $ | (710,000 | ) | $ | (949,000 | ) | $ | (1,488,000 | ) | $ | (1,499,000 | ) |
| Add Back: | ||||||||||||
| Interest, net | (7,000 | ) | - | (17,000 | ) | - | ||||||
| Depreciation and amortization | 32,000 | 58,000 | 63,000 | 113,000 | ||||||||
| Non-cash stock based compensation | - | - | - | - | ||||||||
| Non-cash income tax expense | - | - | - | - | ||||||||
| Total Add Backs | 25,000 | 58,000 | 46,000 | 113,000 | ||||||||
| EBITDAS | $ | (685,000 | ) | $ | (891,000 | ) | $ | (1,442,000 | ) | $ | (1,386,000 | ) |
EBITDAS per share reconciles to earnings per share as follows:
| Q2 2017 | Q2 2016 | YTD 2017 | YTD 2016 | |||||||||
| Net Income (Loss) from continuing operations | $ | (0.25 | ) | $ | (0.33 | ) | $ | (0.53 | ) | $ | (0.52 | ) |
| Add Back: | ||||||||||||
| Interest, net | - | - | (0.01 | ) | - | |||||||
| Depreciation and amortization | 0.01 | 0.02 | 0.02 | 0.04 | ||||||||
| Non-cash stock based compensation | - | - | - | - | ||||||||
| Non-cash income tax expense | - | - | - | - | ||||||||
| Total Add Backs | 0.01 | 0.02 | 0.01 | 0.04 | ||||||||
| EBITDAS | $ | (0.24 | ) | $ | (0.31 | ) | $ | (0.52 | ) | $ | (0.48 | ) |
As at August 31, 2017 the Company had 2,802,412 outstanding common shares.
About Leading Brands, Inc.
Leading Brands, Inc. (NASDAQ:LBIX) and its subsidiaries are involved in the development, marketing, and distribution of the Company’s branded beverage products.
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.
©2017 Leading Brands, Inc.
(table follows)
| LEADING BRANDS, INC. | |||||||||||||
| CONDENSED CONSOLIDATED INTERIM STATEMENT OF INCOME (LOSS) | |||||||||||||
| (UNAUDITED) | |||||||||||||
| (EXPRESSED IN CANADIAN DOLLARS) | |||||||||||||
| Three months ended | Six months ended | ||||||||||||
| August 31, 2017 | August 31, 2016 | August 31, 2017 | August 31, 2016 | ||||||||||
| Gross Revenue | $ | 509,901 | $ | 568,118 | $ | 949,145 | $ | 994,671 | |||||
| Less: Discount, rebates and slotting fees | (156,441 | ) | (182,746 | ) | (250,052 | ) | (330,330 | ) | |||||
| Net Revenue | 353,460 | 385,372 | 699,093 | 664,341 | |||||||||
| Cost of sales | 350,835 | 420,251 | 704,967 | 742,811 | |||||||||
|
Operations, selling, general & administration expenses |
713,281 | 818,319 | 1,461,689 | 1,600,953 | |||||||||
|
Depreciation of property, plant and equipment |
31,735 | 57,516 | 63,351 | 113,454 | |||||||||
| Interest, net | (7,166 | ) | - | (16,543 | ) | - | |||||||
| Change in fair value of derivative liability | (25,661 | ) | 38,715 | (27,868 | ) | 12,673 | |||||||
| Gain on disposal of assets | - | - | 1,065 | (306,774 | ) | ||||||||
| 1,063,024 | 1,334,801 | 2,186,661 | 2,163,118 | ||||||||||
| Net income (loss) before taxes from continuing operations | (709,564 | ) | (949,429 | ) | (1,487,568 | ) | (1,498,777 | ) | |||||
| Income tax expense | - | - | - | - | |||||||||
|
Net income (loss) from continuing operations |
(709,564 | ) | (949,429 | ) | (1,487,568 | ) | (1,498,777 | ) | |||||
|
Net income (loss) from discontinued operations |
$ | (22,162 | ) | $ | 801,505 | $ | (76,936 | ) | $ | 1,645,728 | |||
|
Net income (loss) |
$ |
(731,726 |
) |
$ |
(147,924 |
) |
$ |
(1,564,504 | ) |
$ |
146,951 | ||
| Basic earnings (loss) per common share | |||||||||||||
| Continuing operations | $ | (0.25 | ) | $ | (0.33 | ) | $ | (0.53 | ) | $ | (0.52 | ) | |
| Discontinued operations | (0.01 | ) | 0.28 | (0.03 | ) | 0.57 | |||||||
|
Net basic earnings (loss) per common share |
$ | (0.26 | ) | $ | (0.05 | ) | $ | (0.56 | ) | $ | 0.05 | ||
|
Diluted earnings (loss) per common share |
|||||||||||||
| Continuing operations | $ | (0.25 | ) | $ | (0.33 | ) | $ | (0.53 | ) | $ | (0.52 | ) | |
| Discontinued operations | (0.01 | ) | 0.28 | (0.03 | ) | 0.57 | |||||||
|
Net diluted earnings (loss) per common share |
$ | (0.26 | ) | $ | (0.05 | ) | $ | (0.56 | ) | $ | 0.05 | ||
|
Weighted average common shares outstanding |
|||||||||||||
| Basic | 2,802,412 | 2,817,471 | 2,802,412 | 2,838,584 | |||||||||
| Diluted | 2,802,412 | 2,817,471 | 2,802,412 | 2,838,584 | |||||||||
CONTACT:
Leading Brands, Inc.
Tel: (604) 685-5200
Email: This email address is being protected from spambots. You need JavaScript enabled to view it.
