Vancouver, BC – good natured Products Inc. (TSX-V:GDNP) (the “Company” or “good naturedTM”), today announced its financial results for the three months and nine months ended November 30, 2017 (“Q3” and “YTD”), respectively.
- Q3 and YTD revenues increased by 92% and 61% to $737,217 and $2,214,963 compared to $348,831 and $1,375,980 for the three and nine months ended November 30, 2016. Growth continues to be driven by double-digit percentage increases in new customer acquisitions, expanded revenue per customer through cross-selling and revenues by way of the acquisition of LINDAR Corp.’s bioplastics division.
- Gross margins for Q3 and YTD were 31% and 32% versus 30% and 32% recorded for both the three and nine months ended November 30, 2016.
- Q3 and YTD SG&A expenditures increased by 30% and 13% compared to the three and nine months ended November 30, 2016. The increase was driven by the re-branding to good naturedTM and sales growth, which resulted in higher variable costs pursuant to the Company’s outsourced supply chain and fulfillment agreements. SG&A expenditures, minus these variable outsourced supply chain and fulfillment costs, increased 20% and 2% compared to the three and nine months ended November 30, 2016.
- The Company reported net losses before other items in Q3 and YTD of $827,114 and $2,385,420, a reduction of 3% and 7%, compared to $849,579 and $2,570,851 for the three and nine months ended November 30, 2016.
- Q3 & YTD net losses before depreciation were $706,224 and $1,996,458 compared to $751,582 and $2,370,872 for the three and nine months ended November 30, 2016, an improvement of 6% and 16%.
- The Company had cash of $943,034 on November 30, 2017 compared to $555,201 on November 30, 2016.
“I am pleased with our team’s very successful conversion of the Company to the good naturedTM brand, while delivering yet another quarter of record sales results,” said Paul Antoniadis, CEO of good naturedTM. “I anticipate the momentum in our growth to continue into the new year.”
The Company also announced a fiscal year-end change from February 28 to December 31. This change will align its fiscal year with LINDAR Corporation and Ex-Tech Plastics, the Company’s outsourced supply chain partners. With this change, the Company’s current fiscal year, which began in March 1, 2017 will end December 31, 2017.
The full version of the Company’s unaudited, condensed interim consolidated financial statements and Management’s Discussion and Analysis are available on SEDAR at www.sedar.com.
good naturedTM’s corporate profile is located at: www.goodnatured.ca/investor-relations
About good natured Products Inc.
With over 100 plant-based food packaging designs, 10 grades of bioplastic rollstock sheets, 30 home & business organizational products and a world class team of scientists, business builders and retailers, good naturedTM is producing and distributing one of North America’s widest assortments of consumer products and packaging made from the highest possible percentage of renewable, plant-based materials and no BPAs, phthalates or other chemicals of concern.
Committed to doing what’s right for the planet and right for business, good naturedTM is creating better everyday productsTM that combine cutting-edge bioplastic technology and the latest sustainable design features that not only look good, but maximize shelf space, drive incremental sales, enhance logistics and boost environmental benefits, all bundled up in a fresh and friendly brand.
For more information: goodnatured.ca
On behalf of the Company:
“Paul Antoniadis” Chief Executive Officer and Director
Capital Markets Advisor:
Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibilities for the adequacy or accuracy of this release.
Cautionary Statement Regarding Forward-Looking Information
Information in this news release that is not current or historical factual information may constitute forward-looking information within the meaning of securities laws.
Implicit in this information, particularly in respect of future operating results and economic performance of the Company, are assumptions regarding projected revenue growth. This assumption, although considered reasonable by the Company at the time of preparation, may prove to be incorrect. Readers are cautioned that actual future operating results and economic performance of the Company are subject to a number of risks and uncertainties, including risks relating to general economic, market and business conditions and could differ materially from what is currently expected as set out above.
Other than as required under securities laws, we do not undertake to update this information at any particular time.
To the extent the Company is providing forward-oriented financial information or a financial outlook in this news release, such information/outlook is provided to demonstrate the potential of the Company and readers are cautioned that this information may not be appropriate for any other purpose.
Forward-looking information contained in this news release is based on our current estimates, expectations and projections, which we believe are reasonable as of the current date. The reader should not place undue importance on forward-looking information and should not rely upon this information as of any other date. All forward-looking information contained in this news release is expressly qualified in its entirety by this cautionary statement.