Full Press Release Details
ChromaDex Reports Third Quarter 2016 Financial
Reports Revenue of $21.2 million for first 9 months 2016 and is on
track for another record revenue year
-Company Reports Revenue of $5.0 million for Q3
-Accelerating trend of peer-reviewed
research validating NR continued during
IRVINE, Calif., November 10, 2016
ChromaDex Corp. (NASDAQ: CDXC), an innovator of proprietary
health, wellness and nutritional ingredients, that creates
science-based solutions for dietary supplement, food and beverage,
skin care, sports nutrition, and pharmaceutical products, announced
today financial results for the third quarter ended October 1,
Frank Jaksch, Jr., CEO and
co-founder of ChromaDex, commented, We continued to make
great progress during the third quarter with new published
research, as well as clinical data, further demonstrating the
importance of Nicotinamide Riboside ( NR ) in
maintaining human health. ChromaDex has the exclusive, worldwide
rights to manufacture and sell NR as an ingredient under the trade
our early stage of market development for NIAGEN , and our
current high concentration of sales to a small number of
early-adopting customers, some fluctuation in quarterly sales of
expected. We anticipate that these fluctuations will smooth out
over time. Exclusive of this quarterly variability, sales trends
remained consistent across the remainder of our business during the
quarter. Revenue for the 9 months ended October 1, 2016 was
$21,169,000, and we are tracking towards another record revenue
year. For fiscal year 2015, total revenue was
Jaksch continued, We
continue to be extremely excited about the accelerating level of
peer-reviewed published research validating NR as a highly
effective NAD+ precursor, which is critical for healthy aging. The
first NR human data was published in the esteemed journal Nature
Communications. The progress on our 2nd human trial and
several supportive pre-clinical findings published during the third
quarter. All of these publications reflect our highly effective
R&D efforts and the strong interest in the global scientific
community to study NR. Additionally, we continued to build our
proprietary ingredient portfolio with the launch of
Results of operations for the three months ended October 1,
For the three months ended October
1, 2016 ( Q3 2016 ), ChromaDex reported net sales of
$5.0 million, a decrease of 20% as compared to $6.3 million for the
three months ended October 3, 2015 ( Q3 2015 ). This
decrease was largely due to sales fluctuation in its ingredients
business segment during Q3 2016. The ingredients segment generated
net sales of $2.7 million for Q3 2016, a decrease of 36%, compared
to $4.1 million for Q3 2015.
The core standards and services
segment posted sales of $2.1 million for Q3 2016, an increase of 9%
as compared to $1.9 million for Q3 2015. Net sales for the
scientific and regulatory consulting segment were $292,000, an
increase of 10% as compared to $265,000 for Q3 2015. The scientific
and regulatory consulting segment was able to complete more
consulting projects for customers during the
Operating loss for Q3 2016 was
$947,000, as the Company incurred $773,000 in research and
development expenses for Q3 2016, an increase of 310%, compared to
$189,000 for Q3 2015. This R&D increase in Q3 2016 compared to
Q3 2015 was a planned part of our short-term and long-term
strategy. Included in this increase are human clinical trial fees
and new ingredient development costs. Subject to available
financial resources, the Company plans to continue to increase
research and development efforts, with a focus on the ingredients
segment. As a result, net loss attributable to common stock holders
for Q3 2016 was ($954,000) or ($0.03) per share as compared to a
net loss of ($4,000) or ($0.00) per share for Q3
Adjusted EBITDA a non-GAAP measure,
was ($575,000) for Q3 2016, compared to adjusted EBITDA of $695,000
for Q3 2015. ChromaDex defines Adjusted EBITDA as net income (loss)
adjusted for income tax, interest, depreciation, amortization and
non-cash stock compensation costs. The Basic and Diluted Adjusted
EBITDA per share for Q3 2016 was ($0.02) versus $0.02 for Q3
Recent Company and research
July 2016, the Company announced that its human clinical trial of
underway having achieved 50% enrollment of its 140 total
participants. Completion is expected late in 2016. In addition, the
Company announced that an additional 8 human studies on NR are
ongoing and another 5 human studies are being designed by various
research institutions.
October 2016, the Company announced that published studies in
humans and mice reveal how a superior vitamin B3 may play an
important role in helping humans enjoy longer, healthier lives.
Results from three studies, including its first human clinical
trial, have been collectively published in the prestigious journal,
Nature Communications.
October 2016, the Company announced that an additional study
recently published in the prestigious journal, Nature
Communications, explains why NAD+ precursors (boosters), NR and
nicotinamide mononucleotide (NMN) demonstrate similar metabolic
benefits in mammals. The study conducted by a team including
leading NAD+ researcher, Dr. Charles Brenner, found that effective
supplementation with NMN depends on conversion to
August 2016, the Company announced that FDA has issued a generally
recognized as safe (GRAS) No Objection Letter, in response to the
filing, Notice No. GRN 000635.
August 2016, the Company announced that scientists found an
important clue to restoring muscle function that is lost as we age.
Results of a recent mouse study were published as the cover story
of Cell Metabolism. The researchers describe how NR helps to