Leading Brands, Inc. Announces 41% Increase in Revenue and 30% Increase In Net Income for the Second Quarter
Response to TREK™ Optimized Performance Beverage™ Continues to Exceed Expectations - Spring Site Sets Record Volumes Each Month-
VANCOUVER, CANADA - September 25, 2002 - Response to TREK™ Optimized Performance Beverage™ Continues to Exceed Expectations -Spring Site Sets Record Volumes Each Month-
Leading Brands, Inc. LBIX(TSX:LBI), Canada's largest independent, fully integrated premium beverage company, is pleased to announce financial results for the second quarter of its 2002 fiscal year ended February 28, 2003.
Revenue for the quarter ended August 31, 2002 rose to $24,095,000Cdn ($15,560,000US) from $17,028,000Cdn ($11,116,000US) in the prior year, a gain of 41%. Net income for the quarter was $1,176,000Cdn ($759,000US) or $0.09Cdn ($0.06US) per share versus $902,000Cdn ($589,000US) or $0.06Cdn ($0.04US) per share for the quarter ending August 31, 2001, an increase of 30%.
Year to date revenues were $42,073,000Cdn ($26,991,000US), up from $37,154,000Cdn ($24,080,000US) last year. Net income for the first half of the year was $2,282,000Cdn ($1,463,000US) versus $2,083,000Cdn ($1,349,000US) in the first half of 2001.
The six month and quarterly revenue increase is attributable to significant growth in virtually every area of the Company's business. It is not solely the result of increasing sales of the Company's new TREK™ Optimized Performance Beverage™. Plant production volumes remained strong throughout the summer and the Company's spring site set new record volumes each month of the quarter.
Leading Brands Chairman & CEO Ralph D. McRae said: "In addition to growing our revenue 41%, we effectively managed our expenses and increased earnings an impressive 30% during an unprecedented product launch into one of the world's largest markets. We are thrilled with the overwhelming customer response to TREK™ Optimized Performance Beverage™, which continues to exceed our expectations in the markets where we have commenced distribution. We now have distribution across Canada and are dramatically expanding our market penetration in the United States."
You are invited to listen to the Leading Brands, Inc. conference call, which will be hosted today at 11:00 a.m. EDT with Ralph McRae, Chairman and CEO of Leading Brands, Inc.
TO PARTICIPATE IN THE CONFERENCE CALL PLEASE DIAL-IN: 416/641-6685.
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About Leading Brands, Inc.
Leading Brands, Inc. (NASDAQ:LBIX) is North America’s only fully integrated premium beverage company. The Company’s unique Integrated Distribution System (IDS) ™ offers turnkey, one-stop shopping to food and beverage brand owners, including manufacturing, distribution, sales/marketing and licensing. In addition, Leading Brands produces their own line of beverages such as TrueBlue®, LiteBlue®, TREK® Natural Sports Drinks, NITRO® Energy Drinks, INFINITY® Health Water™, Country Harvest® Juices, and Caesar’s® Cocktails.
Forward Looking Statements
Certain information contained in this press release includes forward-looking statements. Words such as “believe”, “expect,” “will,” or comparable terms, are intended to identify forward-looking statements concerning the Company’s expectations, beliefs, intentions, plans, objectives, future events or performance and other developments. All forward-looking statements included in this press release are based on information available to the Company on the date hereof. Such statements speak only as of the date hereof. Important factors that could cause actual results to differ materially from the Company’s estimations and projections are disclosed in the Company’s securities filings and include, but are not limited to, the following: general economic conditions, weather conditions, changing beverage consumption trends, pricing, availability of raw materials, economic uncertainties (including currency exchange rates), government regulation, managing and maintaining growth, the effect of adverse publicity, litigation, competition and other risk factors described from time to time in securities reports filed by Leading Brands, Inc.