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Alpha Pro Tech LTD. ALPHA PRO TECH, LTD. ANNOUNCES FINANCIAL RESULTS FOR THE SECOND QUARTER AND SIX MONTHS ENDED JUNE 30, 2010 Second Quarter 2010 Building Supply Segment Sales Increased 29.4% from the same period of 200

Key Takeaway: TECH, LTD. ANNOUNCES FINANCIAL RESULTS FOR THE SECOND QUARTER AND SIX MONTHS ENDED JUNE 30, 2010 Second Quarter 2010 Building Supply Segment Sales Increased 29.4% from the same period of 2009 Company Contact : Investor Relations Contact : Alpha Pro Tech, Ltd. Hayden IR Al M

Full Press Release Details

TECH, LTD. ANNOUNCES FINANCIAL RESULTS FOR THE SECOND QUARTER
AND SIX MONTHS ENDED JUNE 30, 2010
Second Quarter 2010 Building Supply Segment Sales Increased 29.4% from
the same period of 2009
Company Contact : Investor Relations Contact :
Alpha Pro Tech, Ltd. Hayden IR
Al Millar/Donna Millar Cameron Donahue
905-479-0654 651-653-1854
e-mail: ir@alphaprotech.com e-mail: cameron@haydenir.com
quarter 2010 consolidated revenue decreased 22.9%, to $11.2 million, from $14.5
million in the second quarter of 2009, primarily due to a decrease in demand
for N-95 respirator masks relating to the H1N1 Influenza A pandemic in 2009.
Supply segment sales for the second quarter of 2010 increased 29.4%, to $4.9
million, from $3.8 million in the same quarter of 2009. The Company added to Building Supply segment
sales staff in anticipation of significant growth opportunities.
increased by $4.8 million, or 36.4%, to $17.9 million as of June 30, 2010,
from $13.1 million as of December 31, 2009. The increase was primarily due to an increase
in inventory for the Disposable Protective Apparel segment to strengthen our
position in the marketplace, an increase in inventory in the Infection Control
segment due to a stockpiling of N-95 particulate respirator masks and an
increase in inventory in the Building Supply segment due to increased sales.
continues to broaden and diversify the distribution network for its Disposable
Protective Apparel segment as it shifts its Critical Cover product line from
its previous exclusive distributor relationship.
Company currently plans to launch a new breathable housewrap in the third
Nogales, Arizona August 10, 2010, Alpha Pro Tech, Ltd.
(NYSE Amex: APT), a leading manufacturer of products designed to
protect people, products and environments, including disposable protective
apparel, infection control and building supply products, today announced financial results for the three and six months ended June 30, 2010.
sales for the second quarter of 2010 decreased by $3.3 million, or 22.9%, to
$11.2 million, from $14.5 million in the second quarter of 2009. Sales for the Disposable Protective Apparel
segment for the three months ended June 30, 2010 decreased by $1.2
million, or 20.3%, to $4.8 million, compared to $6.1 million for the same
period of 2009. Building Supply segment
sales for the three months ended June 30, 2010 increased by $1.1 million,
or 29.4%, to $4.9 million, compared to $3.8 million for the same period of
2009. Building Supply segment sales were the second
highest on record exceeded only by sales in the third quarter of 2009. The increase in Building Supply segment sales
was primarily due to a 24.0% increase in sales of REX SynFelt synthetic roof
underlayment and a 45.9% increase in sales of REX Wrap housewrap, as compared
to the second quarter of 2009. The sales
mix of the Building Supply segment for the three months ended June 30,
2010 was 68% for synthetic roof underlayment and 32% for housewrap. This compared to 71% for synthetic roof
underlayment and 29% for housewrap for the second quarter of 2009. Infection Control segment sales for the three
months ended June 30, 2010 decreased by $3.2 million, or 67.9%, to $1.5
million, compared to $4.7 million for the same period of 2009. Mask sales were down by 69.5%, to $1.1
million, and shield sales were down by 72.6%, to $0.3 million.
Millar, President of Alpha Pro Tech, commented, The decrease in sales in the
Disposable Protective Apparel segment was partially due to a decline in sales
of disposable shoecovers to our former largest distributor. We have and continue to expect to sell our
apparel line to this distributor, excluding shoe and bootcovers. This decrease was partially offset by
increased sales to a broad base of our distribution network and, in particular,
to a major national distributor. Sales
to this national distributor increased over two and a half times in the second
quarter of 2010, as compared to the same period of 2009.
continued, During the second quarter, we increased our Building Supply segment
sales team in anticipation of significant growth in the coming periods. Discussions with potential and existing
distributors have been very encouraging.
In addition to growth opportunities with existing products, we are also
excited about the launch of a breathable housewrap in the third quarter of 2010
that should increase our potential market share. We are very optimistic about the future of
concluded, The decrease in mask sales was primarily attributable to a decrease
in demand for our N-95 respirator mask sales relating to the global H1N1
Influenza A pandemic in 2009. Shield
sales were down in the second quarter of 2010, primarily due to the final
shipments of a $1.7 million non-recurring shield order received in the fourth
quarter of 2008. That order was shipped
out over a period of three quarters and commenced shipping in the fourth
quarter of 2008. General shield sales
also decreased in the second quarter of 2010, partially related to the H1N1
Influenza A pandemic of 2009.
sales for the six months ended June 30, 2010 decreased by $1.0 million, or
4.3%, to $22.9 million, from $23.9 million for the six months ended June 30,
2009. This decrease resulted from decreased sales of Infection Control and
Disposable Protective Apparel products, offset by increased sales of Building
Supply products. Sales for the
Disposable Protective Apparel segment for the six months ended June 30,
2010 decreased by $1.0 million, or 9.0%, to $9.9 million, compared to $10.9
million for the same period of 2009. The decrease was primarily due to
decreased sales of disposable shoecovers to the Company s former largest
distributor, partially offset by increased sales of our Disposable Protective
Apparel products to a broader based distribution network and, in particular, to
the major national distributor mentioned above.
Building Supply segment sales for the six months ended June 30,
2010 increased by $3.6 million, or 59.4%, to $9.6 million, compared to $6.0
million for the same period of 2009. The
segment increase was primarily due to a 62.8% increase in sales of REX SynFelt
synthetic roof underlayment and a 58.1% increase in sales of REX Wrap
housewrap, compared to the same period of 2009.
The sales mix of the Building Supply segment for the six months ended June 30,
2010 was 69% for synthetic roof underlayment and 31% for housewrap. This compared to 68% for synthetic roof
underlayment and 32% for housewrap for the six months ended June 30,
2009. Infection Control segment sales
for the six months ended June 30, 2010 decreased by $3.6 million, or
52.0%, to $3.3 million, compared to $6.9 million for the same period of
2009. Mask sales were down by $2.3
million, or 48.7%, to $2.4 million, primarily due to the surge in N-95
respirator mask sales in 2009 in relation to the H1N1 Influenza A
pandemic. Shield sales were down by $1.4
million, or 67.0%, to $0.7 million, due to the $1.7 million non-recurring order
profit for the three months ended June 30, 2010 decreased by 38.6%, to
$4.2 million, for the second quarter of 2010, or a 37.6% gross profit margin,
from $6.9 million, or a 47.2% gross profit margin, for the same period of
2009. Gross profit for the six months
Last updated: Aug 10, 2010