- Sales up 62% from Q3 2006
- ProtiLife available in over 3,000 points of sale in Canada at the end
of the third quarter of 2007
- Q4: ProtiLife now in 240 Wal-Mart stores across Canada
- Closing of a $3.8 million public offering (September 26, 2007) and a
$1.2 million private placement (October 1, 2007, subsequent to the end
MONTREAL, Nov. 29 /CNW Telbec/ - Ranaz Corporation ("Ranaz") (TSXV: RNZ),
a company specializing in the manufacturing and marketing of protein and
dietary supplements for weight loss and obesity treatment, disclosed its
results today for the third quarter and nine-month period ended September 30,
"As our sales figures show, we are achieving success on multiple fronts,"
said Ranaz President and founder Jean Bourassa-Marineau. "Every month, the
number of sales points for our ProtiLife product line grows across Canada, and
we expect to reach our target of 4,000 major retail distributors and pharmacy
chain outlets by year-end. We have also solidified our financial position with
the closing of two financings for total gross proceeds of $5 million. These
initiatives and achievements are an indication of our determination to
achieve, if not exceed, our growth objectives."
Sales for the third quarter ended September 30, 2007, increased by 62% to
$3,381,452 from $2,091,010 in the same quarter of 2006. For the nine-month
period, sales were up 31% to $9,766,039 from $7,456,431 a year earlier. The
higher sales for the quarter and the first nine months of the year were mainly
attributable to sales of ProtiLife and increased sales of Protidiet products
in the United States and Spain.
Gross profit for the third quarter was also higher, at $1,017,169 (30% of
sales) compared to $585,602 (28% of sales) a year earlier. The increase in
gross margin was mainly due to new sales of ProtiLife products. Gross profit
for the first nine months of the year totalled $2,822,814 (29% of sales)
compared to $2,317,777 (31% of sales) the previous year. The decline in gross
margin from 31% to 29% was mainly attributable to strong sales growth in the
more competitive European and American markets, higher costs for production
and shipping to the United States, development and pre-production costs for
the new ProtiLife product line launched in 2007, and the strengthening
Canadian dollar, with all these factors offset by new ProtiLife sales.
The Company closed the third quarter with a net loss of $671,306 or
$0.021 per share, compared to net earnings of $107,023 or $0.005 per share for
the same quarter last year. For the first nine months of the year, the Company
incurred a net loss of $2,649,076 or $0.09 per share, compared to net earnings
of $24,063 or $0.001 per share the previous year.
The net loss for the third quarter was down $478,613 or 41.6% from the
second quarter of 2007, primarily due to costs incurred in the first six
months of the year to develop and launch the new ProtiLife line of products.
The Company presently keeps its inventory levels high so as to provide a
prompt customer delivery service despite rapid sales growth, particularly for
the ProtiLife line of products.
Detailed information, including the management discussion and analysis
and the financial statements and notes thereto, can be found on the SEDAR
website at www.sedar.com.
"We expect continued sales growth in the coming quarters given marketing
agreements signed in recent months and advertising campaigns presently
underway for our ProtiLife products. We are in fact seeing steady repeat
orders for ProtiLife from major retail distributors and pharmacy chains in
Canada, which is a positive indicator for the success of this product line. We
are also pursuing discussions with US and European firms in relation to the
planned launch of the ProtiLife line of products in these markets in 2008,"
added Mr. Bourassa-Marineau.
About Ranaz Corporation
Ranaz is a corporation specializing in the manufacture and marketing of
protein and dietary supplements in relation to weight loss and obesity
treatments. Its mission is to design, develop and market nutritional, protein
and dietary supplements under its own corporate brands, such as Protidiet and
ProtiLife, as well as under private labels.
Certain statements contained in this news release, other than statements
of fact that are independently verifiable at the date hereof, may constitute
forward-looking statements. Such statements, based as they are on the current
expectations of management, inherently involve numerous risks and
uncertainties, known and unknown, many of which are beyond Ranaz's control.
Such risks include but are not limited to: the impact of general economic
conditions, changes in the regulatory environment in the jurisdictions in
which Ranaz does business, stock markets volatility, fluctuations in costs,
and changes to the competitive environment due to consolidation, as well as
other risks disclosed in public filings of Ranaz. Consequently, actual future
results may differ materially from the anticipated results expressed in the
forward-looking statements. The reader should not place undue reliance, if
any, on the forward-looking statements included in this news release. These
statements speak only as of the date made and Ranaz is under no obligation and
disavows any intention to update or revise such statements as a result of any
event, circumstances or otherwise.
The TSX Venture Exchange has not reviewed and does not accept
responsibility for the adequacy or accuracy of this release.
For further information:
For further information: Martin Vidal, Executive Vice President, Ranaz
Corporation, (450) 491-7106, ext. 213, firstname.lastname@example.org; François
Kalos, President, SOLAK Communications, (450) 993-0828, email@example.com