Return to profitability:
Net earnings of $136,000 for 2010 compared to a net loss of $773,000 for
Adjusted operating earnings of $928,000 for 2010 compared to an adjusted
operating loss of $590,000 for 2009
MONTREAL, April 27 /CNW Telbec/ - Ranaz Corporation ("Ranaz") (TSXV:
RNZ), a company specializing in the manufacturing and marketing of
protein and dietary supplements, reported its results today for the
fourth quarter and fiscal year ended December 31, 2010.
Selected Consolidated Financial information per year
Net earnings (loss)
Adjusted operating earnings
(adjusted operating loss) (1)
(1) Refer to page 6 of the Management Discussion and Analysis for the
reconciliation of the adjusted operating earnings (adjusted operating
Sales reached $4.4 million for the fourth quarter and $17.9 million for
2010, a decrease of 2.2% and 6.3% respectively as compared to $4.5
million and $19.1 million for the same periods in 2009. The decrease is
mainly due to the Canadian dollar's higher value against the US dollar
and the Euro. The rationalization of low margin products started in
2009 resulted in lessening private label bar line sales with an ensuing
temporary negative effect on overall sales. However, the situation
helped to improve gross margin. Sales for the key Protidiet product
line increased compared to 2009 due to higher demand in the United
States and Canada.
Gross profit was $1,347,000 for the fourth quarter and $5,614,000 for
the year compared to $1,103,000 and $4,963,000 for the same periods in
2009. Gross profit in the last quarter of 2010 represented 30.9% of
sales versus 24.8% for the same quarter in 2009 and 31.4% in 2010
versus 26.0% in 2009.
Adjusted operating earnings amounted to $192,000 for the fourth quarter
and $928,000 for fiscal 2010 as compared to the adjusted operating loss
of $125,000 and $590,000 for the same periods in the preceding year.
The variation of the adjusted operating earnings versus the adjusted
operating loss represents a marked increase of 257.3% in 2010.
Net earnings totalled $136,000, or $0.002 per share, for fiscal 2010
compared to a net loss of $773,000, or $0.015 per share, for 2009. A
net loss of $14,000, or $0.0001 per share, was registered for the
fourth quarter of 2010 compared to the net loss of $251,000, or $0.0070
per share, for the same quarter in 2009.
"The return to profitability attests to the soundness of the measures
implemented during the last few years. Consolidation of our production
activities has enabled us to achieve greater manufacturing
efficiencies. The low margin product rationalization program as well as
higher productivity and tightened cost control throughout the company
have greatly helped to improve margins. Moreover, we strengthened the
company's management team during the year with the appointment of three
top professionals to the key functions of Vice-President, Sales and
Marketing, Vice-President, Finance and Administration and Director,
Manufacturing Operations", stated Jean Bourassa-Marineau, President and
founder of Ranaz.
"As economic conditions improve and demand for our products continues to
grow stronger, we are currently implementing a more efficient sales and
marketing strategy to better respond to market needs and increase
sales. We are confident this initiative combined with on-going cost
control and streamlining programs, greater competitiveness on
international markets and the impact of our new management team will
improve overall results for the current year", concluded Mr.
About Ranaz Corporation
Ranaz is a corporation specializing in the manufacture and sale 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 thereto, is available on SEDAR, at www.sedar.com
Neither the 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 accuracy of this release.
SOURCE Ranaz Corporation
For further information:
| Ranaz Corporation |
Alain Lévesque, CA
Chief Financial Officer
(450) 491-7106, local 213
| Ranaz Corporation |
President and CEO
(450) 491-7106, local 217