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looks like i was right about CNXS they made big bucks
CNS, Inc. Reports Strong Fiscal 2006 First-Quarter Results
Wednesday August 3, 4:00 pm ET
MINNEAPOLIS--(BUSINESS WIRE)--Aug. 3, 2005--CNS, Inc. (Nasdaq:CNXS - News):
First-quarter sales of $23.5 million, up 42% versus the prior year, driven by strong growth of Breathe Right® and FiberChoice® brands
First quarter fully diluted earnings per share of $0.27, up 134% versus prior year and ahead of consensus estimates
Company increases estimates for fiscal 2006 sales and earnings per share
CNS, Inc. (Nasdaq:CNXS - News), the Breathe Right® company, today announced results for its fiscal 2006 first-quarter ended June 30, 2005.
Net sales for the first quarter were $23.5 million, an increase of 42 percent compared to $16.5 million in the prior-year period. Net income for the first quarter grew 142 percent to $4.0 million, or $0.27 per fully diluted share, versus net income of $1.7 million, or $0.11 per fully diluted share, in the first quarter of fiscal 2005.
"We are pleased to be off to a strong start in fiscal 2006. First-quarter sales and profits exceeded our expectations with strong performances by Breathe Right nasal strips both in the U.S. and internationally, as well as the FiberChoice® brand," said Marti Morfitt, CNS' president and CEO. "Our results benefited from the effectiveness of important initiatives begun in the previous year, such as market testing designed to drive household penetration growth of Breathe Right nasal strips, new product development to expand the FiberChoice line and lower distributor inventories in Japan."
During fiscal 2006, CNS continues to focus on a number of key initiatives including:
Growing nasal strips with tested, proven marketing tactics;
Expanding FiberChoice sales, with geographical expansion of proven advertising and introducing two new FiberChoice items with strong marketing support;
Conducting market testing designed to create a robust pipeline of growth tactics for Breathe Right nasal strips, both domestically and internationally; and
Building a pipeline of potential new products for both the Breathe Right and FiberChoice brands.
The gross margin rate for the 2006 first quarter was 70 percent, up 3 percentage points from the prior-year period's gross margin rate, primarily due to lower product cost and greater efficiencies. Advertising and promotion expense for the 2006 first quarter of $6.3 million increased 23 percent compared to a year ago, partly due to increased FiberChoice advertising.
CNS generated $5.7 million in cash from operations during its first quarter ended June 30, 2005 and ended the period with $60.0 million in cash and marketable securities. During the first quarter, CNS repurchased 315,000 shares of its common stock for $6.3 million.
Yesterday, the company announced a quarterly dividend of $0.06 per share, payable on September 9, 2005 to shareholders of record as of August 26, 2005 and the expansion of its authorized share repurchase program by 1 million common shares.
First-Quarter Product Results
Domestic Breathe Right sales in the 2006 first quarter grew 22 percent to $14.7 million, compared to prior-year sales of $12.0 million. Domestic nasal strips continued to benefit from strong consumer demand caused by last year's relaunch of clear strips, including a new advertising message.
International sales of Breathe Right products in the 2006 first quarter totaled $3.6 million, up 86 percent versus year-ago sales of $1.9 million. Sales growth resulted from continued strong shipments to Canada and Europe, as well as normal shipments to Japan, where the company recorded no revenues during the first half of fiscal 2005 due to high inventory levels in that market.
Sales of FiberChoice chewable fiber tablets grew 107 percent to $5.2 million in the first quarter versus $2.5 million in the prior-year period. Sales growth resulted from strengthening consumer demand for the existing orange flavored tablets as well as initial pipeline shipments of the two new FiberChoice items launched February 2005.
"We are very pleased to report strong revenue gains in each of our product lines," said Morfitt. "We had strong core business growth, new product volume and a return to Breathe Right international sales growth, with strong shipments to all markets, including Japan."
Expansion of Nasal Strip Supply Agreement
CNS is pleased to announce an expansion of its production and supply agreement for nasal strips with WEBTEC Converting, LLC. WEBTEC has supplied nasal strips to the company since 1999, and has demonstrated its commitment to quality manufacturing and growth of the Breathe Right nasal strip business during this time. This expanded agreement makes WEBTEC the sole supplier of Breathe Right nasal strips, which will contribute to long-term improvements in product cost and customer service flexibility.
Company Raises Outlook for Fiscal 2006
With one quarter completed, CNS is raising its estimates for fiscal 2006 sales and earnings per share. For the 2006 fiscal year ending March 31, 2006, CNS anticipates that sales will be between $106 million and $112 million, up 13 percent to 19 percent versus the 2005 fiscal year. Sales growth in the first half of fiscal 2006 is expected to be in the range of 25 percent to 30 percent, as the company benefits from the launch of the two new FiberChoice products, strong consumer demand trends for domestic nasal strips and the resumption of a normal shipping pattern to Japan. Growth in the second half of fiscal 2006 is expected to moderate to between 5 percent and 12 percent, as results compare against the high sales volumes resulting from the domestic Breathe Right clear strips relaunch during the third and fourth quarters of fiscal 2005.
CNS anticipates fully diluted earnings per share for fiscal 2006 to be in the range of $1.00 to $1.10. This estimated range represents 14 percent to 25 percent growth, excluding the $0.05 earnings per share benefit of the one-time duty refund recorded in fiscal 2005. Earnings per share growth is expected to be concentrated in the first half of the fiscal year, based on estimated phasing of revenue growth.
Conference Call Webcast
A conference call to review the first-quarter results is scheduled today at 4 p.m. CT (5 p.m. ET). Interested participants may listen to the live conference call or replay over the Internet by logging onto CNS' Web site at www.cns.com. A replay of the first-quarter conference call may also be accessed by dialing toll-free 1-800-405-2236, conference call ID 11034945, between 6 p.m. CT on Wednesday, August 3, and 6 p.m. CT on Wednesday, August 10.
About CNS, Inc.
CNS, based in Minneapolis, designs and markets consumer health care products, including Breathe Right® nasal strips and FiberChoice® dietary fiber supplements. The company focuses on products that address important consumer needs within the aging well/self-care market, including better breathing and digestive health. Its common stock is listed on the Nasdaq National Market under the ticker symbol "CNXS." More information about CNS and its products is available at www.cns.com.
Some of the information contained in this news release is forward-looking and subject to certain business risks as described in the company's filings with the Securities and Exchange Commission, including those referred to in its Annual Report on Form 10-K for the year ended March 31, 2005. This news release contains forward-looking statements, which involve risks and uncertainties.
CNS, INC.
CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS
(unaudited)
(in thousands, except per share amounts)
Three Months
Ended
June 30,
---------------
2005 2004
------- -------
Net sales $23,539 $16,531
Cost of goods sold 6,968 5,394
------- -------
Gross profit 16,571 11,137
------- -------
Operating expenses:
Advertising and promotion 6,326 5,148
Selling, general and administrative 4,340 3,578
------- -------
Total operating expenses 10,666 8,726
------- -------
Operating income (loss) 5,905 2,411
Investment income 321 214
------- -------
Income (loss) before income taxes 6,226 2,625
Income tax expense 2,181 952
------- -------
Net income (loss) $ 4,045 $ 1,673
======= =======
Diluted net income (loss) per share $ .27 $ .11
======= =======
Weighted average number of common and
assumed conversion shares outstanding 15,079 14,570
======= =======
CNS, INC.
CONDENSED CONSOLIDATED BALANCE SHEETS
(unaudited)
(in thousands, except per share amounts)
June 30, March 31,
2005 2005
------- -------
Current assets:
Cash and marketable securities $59,966 $60,750
Accounts receivable, net 11,256 15,030
Inventories 6,181 4,531
Other current assets 2,792 3,403
------- -------
Total current assets 80,195 83,714
Long-term assets 3,305 3,501
------- -------
Total assets $83,500 $87,215
======= =======
Current liabilities 14,731 16,064
Stockholders' equity 68,769 71,151
------- -------
Total liabilities and stockholders'
equity $83,500 $87,215
======= =======
--------------------------------------------------------------------------------
Contact:
CNS, Inc., Minneapolis
Sam Reinkensmeyer, 952-229-1500
sreinkensmeyer@cns.com
or
Padilla Speer Beardsley Inc.
Shawn Brumbaugh/Marian Briggs, 612-455-1700
sbrumbaugh@psbpr.com
mbriggs@psbpr.com
--------------------------------------------------------------------------------
Source: CNS, Inc.
no comment
george i know you agree with this i know you read it and everyone in calypso does calypso wank off to another company just beccause your rich dont mean you dont know shit
your bring this company down
give it all to george at least he's doing more then what david did HAHAHAHA
yeah you need to get rid of carlos then the company will fly
carlos is stuffing things up alot of companys have offered help to expand calypso but carlos say's no because he is an stupid idiot.
get rid of carlos and calypso will make money
georege knows this robert knows this wake up julietta
D.E wine knows this carlos is messing it up
bye bye carlos you do not know how to run a company
manana yeah sure
calypso brought company in hong kong thats the story
charles
i been in for nearly 2 years now how long is long
lol
soon soon soon
carlos needs to pull his finger out and ann something
We gather it will break $27 and i pick up a few thousand overnight trade but the chart on it is awersome
oops my bad CNXS they ann Big $$ tonight
cnsx is taking off
good news due out $$$$$ are coming in
whats the latest you got charles on calypso
how soon is soon
whenish ASNAP whenish
Field Trial Agreement with SETEL - Telecable Group
Calypso is in the process of an acquisition, and desires to retain the services of Consultant to assist Calypso in the process of merger and acquisitions
great job Samuel Clay Reiner, having its principal offices at 800 Brickell Avenue, Penthouse II, Miami, FL. 33131 ("Consultant").
ACQUISITION LOL i love it go calypso
news will be coming out soon
this is the month
big bang
Calypso is currently in the process of negotiating for a substantial purchase order, a five million dollar investment of capital and a potential acquisition, and desires to retain the services of Consultant to assist in reviewing, negotiating, advising and drafting all legal documents.
Consulting Fee and Expenses. for Michael A. Pizzi JR
2.1 In consideration of the Services to be rendered by Consultant, and in lieu of any cash compensation, Calypso shall remunerate Consultant by granting Consultant one hundred (100,000) S-8 Free Trading shares of common stock $0.10 par value per share (the "Common Stock"). The transaction will be considered complete and the S-8 shares shall be issued to consultant upon his return from Hong Kong on July 4, 2005.
return from Hong Kong
that can only mean one thing
rumor is i heard they got it
http://www.pinksheets.com/quote/print_filings.jsp?url=%2Fredirect.asp%3Ffilename%3D0001013762%252D05...
Calypso is (1) in the process of suing Patrick Lannen and others for claims and causes of action pertaining to the improper issuance of 10,000,000 shares of stock of Calypso Wireless, Inc. to certain third parties; (2) in the process of pursuing claims against Holland & Knight for damages caused by the bringing of false claims against Calypso; and (3) Defending itself against a lawsuit filed against Calypso by Drago DAIC, and desires to retain the services of Consultant to assist Calypso in prosecuting any related claims.
i would hate to be patrick lannen right about now i heard he's going down!
big pay out coming to calypso big payout
wots the latest on calypso asnap
i want to confirm a rumor i know
i know the man that did the white paper
they have a brilliant distruptive technology
and you bashers can't do anything about it !
I heard calypso buying Rvtec
news out soon
rumor
you da man
a poster loses credit
your in a chat room mike wake up
i dont listen to half the shit in here that is said
asnap could have said worldwide patent instead of writing the long sentence of applying in every country for the patent
main thing is we have the USA patent and everyone is chicken shit to bring something out
wot bs
no company infringes on there patent yet
so wot bs are you talking about
who can they sue if no one has infringed on there patent
true found out there is no worldwide patent
you do have to apply for each country.
We got the big one which is USA
we gotta work on the rest of the world now
which shouldnt be a problem
this buying of another company should be interesting
waiting for the news on that!!!
no one has brought out anything that infringes on the patent.
tell me if there are any compamys out there that infringe on calypso's patent?
I hear the same thing
we gotta keep our mouths shut ASNAP
get my picture
execution
ASNAP will be out soon calypso have to play there cards right
and they seem to be doing that really good.
Everything is on track and in line for the big bang.
regards
Bling
big news soon
hold tight
big news soon
hold tight
asnap i confirm on the buying of another company i didnt want to say it i heard it a week ago.
I mearly stated there was a rumor going around.
Looks like a was right.
Its even in one of the filings on the pink sheets it talks of it. I gotta scan through the filings again to find it.
calypso just got funded 5million
i love it confirm asnap you do know the right people to talk to.
we are on a roll
go calypso
the big ? is which company are we buying ?????????
stitch the deal with cisco ?
did i send you a private msg about cisco?
what statements have i been making ?
what you want proof on im pretty good at gettin it
ask "Tenac"
please refresh my memory i had a big weekend.
lol i wish i was alive in the 60's and 70's
i wasnt even born yet
LOL friday arvo humor i hope calypso read this
because it sums up the amount of shit i was told before george was brought into the picture
thank you george for pulling this company out of gimp land and saving it
everyone on this board owes you a round of cheers
out with the trash and in with the pro's
it was like watching a clown (carlos) whip a little monkey (david) (gimp)
yet david was the president and carlos well no one could work out what carlos did
mmmmmmmmmmmmm strange
come on calypso bring out another ann
we something to make it move
i hear field trials all the time
to be honest and i speak from the heart don't bring out a non fluff ann
sorry but enough messing around
i want phurchase orders not we have signed another field trial
what about these USA companys you have stated on your website
who are they ????????
Some of you board of directors, honest dont know what the fck your doing.
board meeting is needed
you need a go to man you need a seal the deal man you need me!!!
i have connections.
i can even establish fake emigos if it makes the board members feel better LOL
i can get them to rip you off so everybody feels happy and secure
shit thats what calypso is use to
george is doing a great job but the directors are letting it down
CARLOS your an idiot find a new job of wreaking another company
and learn how to sp sp sp sp sp eakk k k k k k k proper english
you were probably the idiot that let this happen to calypso in the first place
you think you run the company
really your just fcking it up
D.E.WINE are glad your not in the office any more fool
and your broke buddy david
LOL that say's it all
wait i got a good one carlos and his GIMP david
lol shit im in tears
there my bitch has been said its been 2 years since a prototype has come out and a demo
2 years
i could of made my own phones by now
HURRY UP
time to get into gear
there i had to get that out and off my chest and sorry any one offended
unless you were responsible in dribbling shit to me over the phone in the last 2 years
carlos and david im not sorry for u LOL
hey world wide patent and sat patent thats due out soon
anyone got the goss on it?
thanks lads
never been up this late for happy hour
this is so cool
bye bye LG, sugar pea , and so on and so on
how do you ignore someone on happy hour?
LOL have already got delusionally rich from calypso
im still in and still loving it
and on that note
good night
last post adios
insiders have to fill a form in
something like insiders cant sell alot otherwise they affect the price
there only allowed to sell like 1% i heard