Full Press Release Details
Gargiulo, Jr. 231.526.1244
Female Health Company
37% Revenue Growth and Record Profits for
February 13, 2008- The Female Health Company (AMEX: FHC
which manufactures and markets the FC and
FC2 Female Condoms , today
reported its operating results for the first quarter of FY2008.
three months ended December 31, 2007, the Company's net revenues increased 37%
to approximately $5.7 million, compared with approximately $4.2 million in
three months ended December 31, 2006. The Company's net income
attributable to common shareholders increased to a record $813,968, or $0.03
diluted share, during the first quarter of FY2008, compared with a net loss
($226,924), or ($0.01) per share, in the corresponding period of the previous
profit increased 85% to $2.4 million (41.3% of revenue) in the most recent
quarter, compared with $1.3 million (30.4% of revenue) in the first quarter
FY2007. Operating income improved to $729,645 in the three months
ended December 31, 2007, compared with an operating loss of ($218,406) in the
quarter ended December 31, 2006.
Company expects significant quarter-to-quarter variations in its operating
results, due to the timing of large order receipts, production scheduling,
shipping of products.
very pleased to report strong revenue growth, a record number of female condoms
sold and the highest quarterly profit in the Company's history for the three
months ended December 31, 2007," noted O.B. Parrish, Chief Executive Officer of
The Female Health Company. "The 37% revenue increase reflects the
growing role that our female condoms are playing in the global battle against
HIV/AIDS. Acceptance of our second-generation FC2 Female Condom has been
December, 2007, we completed the expansion of FC2 production capacity in
Malaysia to four lines with an annual capacity of 30 million units in addition
facility in London. A fifth end-stage FC2 production line,
in Cochin, India, with an annual capacity of 7.5 million units, began producing
condoms in December 2007, under the auspices of our business partnership with
Hindustan Latex Limited."
the first quarter with the strongest balance sheet in our history, with no
outstanding, approximately $1.8 million of cash in the bank, and a current
of 3.5-to-1.0. Based upon information currently available to the
Company, we believe Fiscal 2008 will be another record year in terms of revenues
previously announced, the Female Health Company will host an investor conference
call at 11:00 a.m. EST today, February 13, 2008. Shareholders and
other interested parties may participate in the conference call by dialing
888-603-6873 (international participants dial 973-582-2706 and referencing
conference code 32404579, a few minutes before 11:00 a.m. EST on February 13,
2008. A replay of the call will be available through February 27,
2008 by dialing 800-642-1687 (international callers dial 706-645-9291) and
referencing the conference code 32404579.
The Female Health Company
Female Health Company, based in Chicago, Illinois, manufactures and markets
FC Female Condom , which is primarily distributed by public health organizations
and donor groups in over 90 developing countries around the world. World-wide,
the Female Condom is available in various programs in 116 countries. The Company
owns certain worldwide rights to the FC Female Condom , including patents that
have been issued in the United States, United Kingdom, Japan, France, Italy,
Germany, Spain, the European Patent Convention, the People's Republic of China,
Canada, South Korea and Australia. FC Female Condom is the only available
FDA-approved product controlled by a woman that offers dual protection against
sexually transmitted diseases, including HIV/AIDS, and unintended
Harbor" statement under the Private Securities Litigation Reform Action of 1995:
The statements in this release which are not historical fact are forward-looking
statements based upon the Company's current plans and strategies, and reflect
the Company's current assessment of the risks and uncertainties related to its
business, including such things as product demand and market acceptance; the
economic and business environment and the impact of government pressures;
currency risks; capacity; efficiency and supply constraints; and other risks
detailed in the Company's press releases, shareholder communications and
Securities and Exchange Commission filings. Actual events affecting the Company
and the impact of such events on the Company's operations may vary from those
currently anticipated.
information about the Female Health Company visit the Company's web site at
would like to be added to an e-mail alert list, please send an e-mail to FHCInvestor@femalehealthcompany.com
| The Female Health Company Unaudited Condensed Consolidated Balance Sheet | ||||||||
| December 31, 2007 | December 31, 2006 | |||||||
| Cash | $ | 1,604,306 | $ | 1,197,639 | ||||
| Restricted cash | 236,138 | 236,782 | ||||||
| Accounts receivable, net | 6,007,114 | 3,694,012 | ||||||
| Inventory | 1,785,430 | 1,361,487 | ||||||
| Prepaid and other current assets | 328,516 | 376,465 | ||||||
| Deferred income taxes | 825,000 | - | ||||||
| Total current assets | 10,786,504 | 6,866,385 | ||||||
| Other non-current assets | 246,853 | 191,482 | ||||||
| Net property, plant & equipment | 1,477,667 | 978,174 | ||||||
| Total assets | $ | 12,511,024 | $ | 8,036,041 | ||||
| Accounts payable | $ | 1,129,725 | $ | 889,779 | ||||
| Accrued expenses | 1,877,679 | 983,812 | ||||||
| Preferred dividends payable | 48,643 | 6,834 | ||||||
| Total current liabilities | 3,056,047 | 1,880,425 | ||||||
| Deferred gain on sale of facilities | 1,017,317 | 1,115,687 | ||||||
| Deferred grant income | 247,567 | - | ||||||
| Total liabilities | 4,320,931 | 2,996,112 | ||||||
| Total stockholders' equity | 8,190,093 | 5,039,929 | ||||||
| Total liabilities and stockholders' equity | $ | 12,511,024 | $ | 8,036,041 |
| The Female Health Company Unaudited Condensed Consolidated Income Statements | ||||||||
| Three Months Ended December 31, | ||||||||
| 2007 | 2006 | |||||||
| Net revenues | $ | 5,734,751 | $ | 4,198,879 | ||||
| Gross profit | 2,366,116 | 1,278,398 | ||||||
| Advertising and promotion | 41,518 | 59,038 | ||||||
| Selling, general and administrative | 1,493,824 | 1,373,062 | ||||||
| Research and development | 101,129 | 64,704 | ||||||
| Total operating expenses | 1,636,471 | 1,496,804 | ||||||
| Operating income (loss) | 729,645 | (218,406 | ) | |||||
| Interest, net and other income | (9,608 | ) | (13,553 | ) | ||||
| Foreign currency transaction gain | (115,358 | ) | (18,572 | ) | ||||
| Income (loss) before income taxes | 854,611 | (186,281 | ) | |||||
| Income tax benefit | - | - | ||||||
| Net income (loss) | 854,611 | (186,281 | ) | |||||
| Preferred dividends | 40,643 | 40,643 | ||||||
| Net income (loss) attributable to common stockholders | $ | 813,968 | $ | (226,924 | ) | |||
| Net income (loss) per basic common share outstanding | $ | 0.03 | $ | (0.01 | ) | |||
| Basic weighted average common shares outstanding | 26,121,460 | 23,952,040 | ||||||
| Net income (loss) per diluted common share outstanding | $ | 0.03 | $ | (0.01 | ) | |||
| Diluted weighted average common shares outstanding | 28,688,345 | 26,444,924 |