Remedent Reports Profits in First Quarter
Remedent to Host a Conference Call to Discuss Results at 11 AM EST, Wednesday, August 18, 2010
Press Release Source: Remedent, Inc. On Monday August 16, 2010, 9:45 am EDT
DEURLE, BELGIUM--(Marketwire - 08/16/10) - Remedent, Inc. (OTC.BB:REMI - News), an international company specializing in research, development, and manufacturing of oral care and cosmetic dentistry products, reported results for the first quarter ended on June 30, 2010 (in US Dollars).
Net sales for three months ended June 30, 2010 increased 62% to $3.4 million compared to $2.1 million for the same year ago quarter. The increase in sales was due to the inclusion of our Asian retail operations as well as the sale of First Fit.
Profit for the three months ended June 30, 2010 prior to outside shareholders participation totaled approximately $568 thousand compared with losses of $488 thousand for the same year ago quarter. Profits attributed to Remedent common stockholders for three months ended June 30, 2010 was $312 thousand compared to losses of $549 thousand for the same year ago quarter.
Cash and cash equivalents totaled $1.2 million at June 30, 2010 as opposed to $613 thousand as reported at March 31, 2010.
Management Commentary
"The shifting of our business model from wholesale (B2B) model via a distributor to a direct retail model is beginning to bear fruit as previously mentioned during prior conference calls. During the current quarter we included our retail Asian operations of approximately $600 thousand in gross revenues as we are continuing to open new Spa locations in both Europe and Asia during the next quarter and in the remainder of our financial year. Sales in all our Spa locations continue to exceed our expectations as sales continue to climb," said Guy De Vreese the CEO of Remedent.
Conference Call Information
Remedent will host a conference call on Wednesday, August 18, 2010 at 11:00 a.m. Eastern Standard time (8:00 a.m. Pacific time) to discuss these results and its strategic plans for the future. A question and answer session will follow management's presentation. To participate in the call, dial the appropriate number 5-10 minutes prior to the start time.
Date: Wednesday, August 18, 2010
Time 11:00 a.m. Eastern time (8:00 a.m. Pacific time).
Dial in number: 888-765-5547
Passcode: 4258061
The replay of the call will be available through September 15, 2010. The dial in number for the replay is 888-203-1112 and the replay pass code is 4258061
About Remedent
Remedent, Inc. specializes in the research, development, manufacturing and marketing of oral care and cosmetic dentistry products. The company serves professional dental industry with breakthrough technology for dental veneers. These products are supported by a line of professional veneer whitening and teeth sensitivity solutions. Headquartered in Belgium, Remedent distributes its products to more than 35 countries worldwide. For more information, go to www.remedent.com.
Statement under the Private Securities Litigation Reform Act of 1995
Statements in this press release that are "forward-looking statements" are based on current expectations and assumptions that are subject to risks and uncertainties. Such forward-looking statements involve known and unknown risks, uncertainties and other unknown factors that could cause Remedent's actual operating results to be materially different from any historical results or from any future results expressed or implied by such forward-looking statements. In addition to statements that explicitly describe these risks and uncertainties, readers are urged to consider statements that contain terms such as "believes," "belief," "expects," "expect," "intends," "intend," "anticipate," "anticipates," "plans," "plan," "projects," "project," to be uncertain and forward-looking. Actual results could differ materially because of factors such as Remedent's ability to achieve the synergies and value creation contemplated by the proposed transaction. For further information regarding risks and uncertainties associated with Remedent's business, please refer to the risk factors described in Remedent's filings with the Securities and Exchange Commission, including, but not limited to, its annual report on Form 10-K and quarterly reports on Form 10-Q.
REMEDENT, INC. AND SUBSIDIARIES CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS (unaudited) For the three months ended June 30, 2010 2009 ----------- -----------Net sales $ 3,436,759 $ 2,160,803Cost of sales 914,337 1,096,007 ----------- ----------- Gross profit 2,522,422 1,064,796 ----------- -----------Operating Expenses Research and development 65,545 26,598 Sales and marketing 512,976 350,935 General and administrative 1,152,712 1,042,764 Depreciation and amortization 201,202 173,444 ----------- ----------- TOTAL OPERATING EXPENSES 1,932,435 1,593,741 ----------- -----------INCOME (LOSS) FROM OPERATIONS 589,987 (528,945) ----------- -----------OTHER (EXPENSES) INCOME Interest expense (54,891) (24,647) Other income 38,860 65,998 ----------- ----------- TOTAL OTHER (EXPENSES) INCOME (16,031) 41,351 ----------- -----------NET INCOME (LOSS) BEFORE TAXES AND NON-CONTROLLING INTEREST 573,956 (487,594)INCOME TAXES (6,229) -- ----------- -----------NET INCOME (LOSS) BEFORE NON-CONTROLLING INTEREST 567,727 (487,594)LESS: NET INCOME ATTRIBUTABLE TO THE NON- CONTROLLING INTEREST 255,577 61,838 ----------- -----------NET (LOSS) INCOME ATTRIBUTABLE TO REMEDENT, INC. Common Stockholders $ 312,150 $ (549,432) =========== ===========INCOME (LOSS) PER SHARE Basic $ 0.02 $ (0.03) =========== =========== Fully diluted $ 0.01 $ (0.03) =========== ===========WEIGHTED AVERAGE SHARES OUTSTANDING Basic 19,995,969 19,995,969 =========== =========== Fully diluted 33,595,242 32,702,274 =========== ===========Net Income (Loss) Attributable to Remedent Common Stockholders $ 312,150 $ (549,432)OTHER COMPREHENSIVE INCOME (LOSS): Foreign currency translation adjustment (177,648) 57,568 ----------- -----------TOTAL OTHER COMPREHENSIVE (LOSS) INCOME 134,502 (491,864)LESS: COMPREHENSIVE INCOME ATTRIBUTABLE TO NON- CONTROLLING INTEREST (15,865) 42,248 ----------- -----------COMPREHENSIVE (LOSS) INCOME ATTRIBUTABLE TO REMEDENT Common Stockholders $ 150,367 $ (534,112) =========== =========== REMEDENT, INC. AND SUBSIDIARIES CONDENSED CONSOLIDATED BALANCE SHEETS June 30, 2010 March 31, 2010 ------------- ------------- (unaudited)ASSETSCURRENT ASSETS:Cash and cash equivalents $ 1,196,888 $ 613,466 Accounts receivable, net of allowance for doubtful accounts of $59,608 at June 30, 2010 and $65,845 at March 31, 2010 1,982,826 806,931Inventories, net 1,850,892 2,161,692Prepaid expenses 938,396 920,487 ------------- ------------- Total current assets 5,969,002 4,502,576 ------------- -------------PROPERTY AND EQUIPMENT, NET 1,553,783 1,735,719OTHER ASSETSLong term investments and advances 750,000 750,000Patents, net 220,314 246,992Goodwill 699,635 699,635 ------------- ------------- Total assets $ 9,192,734 $ 7,934,922 ============= =============LIABILITIES AND STOCKHOLDERS' EQUITYCURRENT LIABILITIES:Current portion, long term debt $ 163,784 $ 215,489Line of Credit 1,887,063 674,600Accounts payable 1,724,827 1,932,684Accrued liabilities 486,298 491,536Due to related parties 265,857 268,484 ------------- ------------- Total current liabilities 4,527,829 3,582,793Long term debt less current portion 458,236 425,882 ------------- ------------- Total liabilities 4,986,065 4,008,675 ------------- -------------EQUITY:REMEDENT, INC. STOCKHOLDERS' EQUITY Preferred Stock $0.001 par value (10,000,000 shares authorized, none issued and outstanding) -- -- Common stock, $0.001 par value; (50,000,000 shares authorized, 19,995,969 shares issued and outstanding at June 30, 2010 and March 31, 2010) 19,996 19,996 Treasury stock, at cost; 723,000 shares at June 30, 2010 and March 31, 2010 (831,450) (831,450)Additional paid-in capital 24,843,651 24,742,201Accumulated deficit (19,253,792) (19,565,943)Accumulated other comprehensive (loss) (foreign currency translation adjustment) (827,707) (650,059)Obligation to issue shares 97,500 97,500 ------------- ------------- Total Remedent, Inc. stockholders' equity 4,048,198 3,812,245Non-controlling interest 158,471 114,002 ------------- ------------- Total stockholders' equity 4,206,669 3,926,247 ------------- ------------- Total liabilities and equity $ 9,192,734 $ 7,934,922 ============= =============
Contact:
Stephen Ross 310 922 5685 docktor99@aol.com
