Dec 18 2009
Liberator Medical Holdings, Inc. (OTCBB: LBMH)
announced net revenues for fiscal year 2009 of $25,818,000, representing an
increase of $16,268,000, or 170.3%, compared with fiscal year 2008. The
increase in sales occurred in the mail order segment of its business. The
increase was due to a substantial direct-response advertising campaign to
obtain new mail order customers.
The Company reported gross profit for fiscal year 2009 of $16,768,000,
representing an increase of $10,657,000, or 174.4%, compared with fiscal
year 2008. As a percentage of sales, gross profit improved by 0.9% to
64.9% of sales for fiscal year 2009 compared to 64.0% of sales for fiscal
year 2008. The increase in profit margins is primarily the result of
vendor price reductions and/or discounts due to increased sales volumes.
The Company reported net income of $2,222,000 ($0.07 per share) for the
fiscal year ended September 30, 2009, an increase of $3,531,000 compared to
a net loss of $1,309,000 for the fiscal year ended September 30, 2008.
During fiscal year 2009, cash provided by operating activities was
$1,712,000.
For the fourth fiscal quarter 2009, the Company reported net revenues of
$7,698,511, representing an increase of $3,447,670, or 81%, over fourth
fiscal quarter 2008 net revenues of $4,250,841. During the fiscal fourth
quarter, the Company reported net income of $1.087 million ($0.03 per
share), compared to net income of $133,000 ($0.01 per share) for the fiscal
fourth quarter 2008, an increase of $954,000, or 717%.
The Company invested $4,191,000 in direct-response advertising during
fiscal year 2009, representing an increase of $2,624,000, or 167.5%,
compared with fiscal year 2008. The Company believes that this investment
in advertising was the driving force that helped catapult its
year-over-year net revenue growth.
As of September 30, 2009, the Company had cash of $3,798,000, an increase
of $2,625,000 compared to cash of $1,173,000 at September 30, 2008. This
increase in cash in 2009 is primarily due to net proceeds of $2,177,000
from a long-term convertible debt offering in October 2008 and $1,712,000
generated from operating activities during fiscal year 2009, partially
offset by cash used to purchase a $500,000 certificate of deposit as
security for a new credit line, $441,000 for purchases of property and
equipment, and payments of $316,000 on debt and capital lease obligations.
Mr. Libratore, CEO, stated: "The Company has experienced tremendous growth
over the past two years and, as a result, five consecutive profitable
quarters while generating positive operating cash flows during fiscal year
2009. We believe we have built an infrastructure and business model that
it is capable of generating a substantially higher sales volume at reduced
levels of incremental cost. In an effort to continue our growth, we plan
on accelerating our advertising efforts over the next twelve months to
attract new customers and expand our operations to service our new and
existing customers. The outlook for demand for our products and services is
favorable, as there should be an increase in newly-diagnosed patients
requiring the medical supplies that we provide. We expect our revenues to
increase significantly over the next twelve months due to our advertising
and marketing programs."
SOURCE: Liberator Medical Holdings, Inc.