Replies to post #7 on Zurvita Holdings, Inc. (ZRVT)

[ICEQUITY]

ZRVT.OB Posts Solid Q1 FY2011 Results

Symbols: ZRVT
Jan 12, 2011 (M2 PRESSWIRE via COMTEX) --

QualityStocks would like to highlight Zurvita Holdings, Inc. (OTCBB: ZRVT | PowerRating), a dynamic direct-to-consumer marketing company offering high-quality products and services targeting individuals, families, and small businesses. The company's highly differentiated services feature best in class consumer products and small business solutions through a growing network of independent sales consultants.

In the company's news yesterday,

Zurvita Holdings announced its financial results for the first quarter of the 2011 fiscal year ended October 31, 2010.

For the first quarter of fiscal 2011, Zurvita posted a 5 percent increase in revenue to $1.3 million compared to $1.2 million reported for the first quarter of fiscal 2010. The company attributes the increase primarily to continued growth in administrative web site, advertising and energy commission revenue.

Gross profit for the first quarter increased 624 percent to $431,000 compared to gross profit of approximately $59,000 for the comparable quarter of last year. The increase in gross profit was due to the decrease in the company's cost of sales, which decreased $882,000 from $1.2 million for the same period a year ago, as a result of less non-traditional sales incentives used to attract and retain consultants, and for the reason that the company had a greater product offering with increased margins. Gross margin for the fiscal first quarter ended October 31, 2010, increased to 33 percent versus 5 percent for the three months ended October 31, 2010.

Zurvita reported operating expenses for the fiscal first quarter at approximately $1.6 million, up from $1.4 million reported one year earlier.

For the first quarter of fiscal 2011, the company recorded a net income of $1.8 million, or $0.02 per diluted share, versus a loss of $5.6 million, or $0.10 per diluted share for the same period last year.

As of October 31, 2010, the company had cash and cash equivalents of $621,000.

"As demonstrated by our first quarter performance, Zurvita continues to make excellent progress in revenue and margin enhancement, further positioning Zurvita to deliver on its goals for growth," Jay Shafer, Zurvita co-CEO stated in the press release.

Shafer noted Zurvita's expectations for 2011 based on new product offerings and marketing efforts.