Cyanotech Corporation (Nasdaq Capital Market: CYAN), a world leader in microalgae-based, high-value nutrition and health products, today announced financial results for the first quarter of fiscal year 2014, ended June 30, 2013.
“First quarter results keep us on track to achieve our full year objectives.”
First Quarter 2014
For the first quarter of fiscal 2014 compared to the first quarter of fiscal 2013, net sales were $6,909,000 compared to $6,506,000, an increase of 6%. Gross profit was $2,852,000, with gross profit margin of 41.3%, compared to gross profit of $2,574,000 and gross profit margin of 39.6%. Net income was $30,000 or $0.01 per diluted share, compared to net income of $493,000 or $0.08 per diluted share.
After having recognized a $2,021,000 tax benefit during the quarter ended March 31, 2013 from the release of a valuation allowance against deferred tax assets, the Company now recognizes a provision for income taxes. As a result, the Company's effective tax rate increased during the quarter ended June 30, 2013. Pretax income for the first quarter was $136,000 compared to $503,000 for the first quarter of fiscal 2013.
Regarding the first quarter of fiscal 2014 results (changes shown versus the first quarter of fiscal 2013), Brent Bailey, President and CEO, stated, "First quarter results keep us on track to achieve our full year objectives.
"Total company net sales growth in the first quarter was a modest +6%. However, our consumer products business (Nutrex) grew +44% and accounted for 55% of net sales in the quarter: