- Decrease of the adjusted operating loss of 39.2% as compared to the
first quarter of 2009
- Increase of the net loss of $253,864 as compared to the first quarter
MONTREAL, June 1 /CNW Telbec/ - Ranaz Corporation ("Ranaz") (TSX-V: RNZ), a company specializing in the manufacturing and marketing of protein and dietary supplements, reported its results today for the first quarter ended March 31, 2010.
Sales for the first quarter of 2010 totalled $4.2 millions as compared to $4.3 millions in the same quarter of 2009. The sales for Protidiet increased compared to the same quarter of 2009 due to the higher demand for our products in United States. The sales for ProtiLife decreased, compared to the same quarter of 2009 due to delay in order from customers. The sales for the private label of bars increased since the stopping of the production in mid February 2009 for the transfer of our activities at the St-Eustache plant and the reach of higher productivity level.
Gross profit totalled $1,2 million for the three-month period ended March 31, 2010 as compared to $1,1 million for the same quarter of 2009, and represented 28,6% and 25,7% of sales respectively for these quarters (gross margin). The nominal increase in gross margin percentage for the first quarter of 2010 compared to 2009 was due to change in product sales and market mix, the reduction of production cost and the reach of a higher productivity level for the bar line.
The net loss for the quarter ended March 31, 2010 amounted to $444,110 or $0.007 per share, compared to a net loss of $190,246 or $0.004 per share for the same quarter of 2009 representing an increase of 133.4%. The increase of net loss was mainly due to the product recall compensation revenue of $320,000 in 2009. Without this credit and the termination compensation in 2010, the net loss for the first quarter of 2009 would have amounted to $510,246 as compared to the net loss for the first quarter of 2010 of $269,110 and it would have revealed a reduction of the net loss of $241,136.
Cash flow from operating activities totalled $213,627 for the first quarter ended March 31, 2010 as compared to a use of $1,116,562 for the first three months of 2009.
In first quarters of 2010 and 2009, the input of cash flows in the amount of $486,434 and the use of $1,107,775 respectively were attributable to changes in working capital items. For 2010, these changes consisted mainly of decreases in accounts receivables and inventories and the increases of accounts payable and accrued liabilities compensated by the increase of prepaid expenses. The decrease of accounts receivable is related to further collection effort and the decrease of inventories is due to a better management of the inventory level both in the objective of an increased of cash flows.
About Ranaz Corporation
Ranaz is a corporation specializing in the manufacture and marketing of protein and dietary supplements. Its mission is to design, develop and market nutritional, protein and dietary supplements under its own corporate brands and concepts, such as Protidiet and ProtiLife, as well as under private labels.
Full information, including the management discussion and analysis and the financial statements and notes thereto, is available on SEDAR, at www.sedar.com.
Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.
SOURCE Ranaz Corporation
For further information: For further information: Paul Guay, CA, Financial Chief Officer, Ranaz Corporation, (450) 491-7106, poste 200, firstname.lastname@example.org; Jean Bourassa Marineau, President, Ranaz Corporation, (450) 491-7106, poste 217