Botaneco Announces Revenues of Over $1 million for Q3 Financial
Ended September 30
QUEBEC, Nov. 29, 2012 /CNW/ - Botaneco Corp. ("Botaneco"
or the "Company") (TSXV: BOT), a leading natural specialty
ingredients company providing key ingredients to the food and
personal care industries is pleased to announce that the revenues
for the quarter ending September 30,
2012 have exceeded $1 million
per quarter for the first time since its inception. Revenue of
$1,024,994 and $2,276,118 was recorded for the three and nine
months ended September 30, 2012
respectively, representing increases of $648,828 (172%) and $1,051,445 (86%) over the comparable periods last
year. These increased revenues are primarily attributable to the
sales generated by Natunola Health Bioscience Inc. ("Natunola"),
which was acquired on October 7,
2011, of $581,425 and
$1,252,318 for the three and nine
months ended September
30th 2012 respectively.
Net losses of $798,908 and $2,387,351 were recorded for the three and nine
months ended September 30, 2012
respectively, a decrease of $124,743
and $316,667 over the prior year.
This reduced loss was attributable primarily to: (a) an increase in
revenues and gross profit due to the acquisition of Natunola that
occurred in October 2011; and (b) a
reduction in G&A expenses occurring due to reduced employment
costs.
Basic and diluted loss per share was
$(0.01) and $(0.03) for the three and nine months ended
September 30, 2012 compared to
$(0.01) and $(0.03) seen in the previous year.
Selected Financial Information:
| |
|
|
| |
Three months
ended |
|
Nine months
ended |
| |
September 30,
2012 |
|
September 30,
2011 |
|
September 30,
2012 |
|
September 30,
2011 |
| Revenue |
$ |
1,024,994 |
|
$ |
376,166 |
|
$ |
2,276,118 |
|
$ |
1,224,673 |
| Net loss for the period |
|
(798,908) |
|
|
(923,651) |
|
|
(2,387,351) |
|
|
(2,704,018) |
| Loss per common share (basic and diluted) |
|
(0.01) |
|
|
(0.01) |
|
|
(0.03) |
|
|
(0.03) |
| |
|
|
|
|
|
|
|
|
|
|
|
| |
|
|
|
|
|
|
|
|
|
|
|
| Gross profit (loss): |
|
|
|
|
|
|
|
|
|
|
|
| |
Three months
ended |
|
Nine months
ended |
| |
September 30,
2012 |
|
September 30,
2011 |
|
September 30,
2012 |
|
September 30,
2011 |
| Botaneco Corp |
$ |
(115) |
|
$ |
55,722 |
|
$ |
19,167 |
|
$ |
157,982 |
| Botaneco Specialty |
|
(37,125) |
|
|
(15,745) |
|
|
(91,985) |
|
|
(158,701) |
| Natunola |
|
279,524 |
|
|
- |
|
|
506,413 |
|
|
- |
| |
$ |
242,284 |
|
$ |
39,977 |
|
$ |
433,595 |
|
$ |
(809) |
Gross profit within the Botaneco Corp segment
(Dermylex®), decreased by $55,837 and
$138,815 to $(115) and $19,167
for the three and nine months ended September 30, 2012 respectively, compared to the
prior year. The reason for the decrease in Dermylex gross profit
was the decrease in quantity of sales in 2012 as compared to 2011.
During the quarter ended September 30,
2012, the Company discontinued the Dermylex® segment.
Gross loss within the Botaneco Specialty segment
(Hydresia®) increased by $21,380 and
decreased $66,716 to $(37,125) and $(91,985) in the three and nine months ended
September 30, 2012 respectively,
compared to $(15,745) and
$(158,701) in 2011. The sale of
safflower seed during Q3 resulted in a gross loss of $73,692; excluding this amount, the Botaneco
Specialty segment saw a gross profit of $36,567 in the three months to September 30, 2012 and a gross loss of
$18,293 for the nine month period
ended September 30, 2012. This
improvement is due to increased levels of sales and production in
the three and nine months ended September
30, 2012 meaning that production facility costs were
absorbed over a greater production quantity. The Company
anticipates that as production levels increase to meet increased
sales demand the production facility costs will be absorbed across
greater production volumes resulting in increasing gross margins
being recorded.
The Natunola segment which includes Vegelatum®
Gel products and Flax proteins to supply the personal care market,
and de-hulled flax products to supply the food and healthcare
markets, saw a gross profit of $279,524 and $506,413 in the three and nine months ended
September 30, 2012 with 2011 having
no gross profit as the acquisition of Natunola by Botaneco Corp
occurred on October 7, 2011.
Natunola entered into a contractual agreement
with a multi-billion dollar international nutrition
company. Under the terms of a renewable twelve-month
partnership, Natunola works with this new partner to process and
deliver approximately 3,000,000 pounds of flax per year.
Subsequent to the end of this quarter, the
Company obtained a $300,000 operating
line of credit from its Bank bearing interest at bank prime rate
plus 2.5% and secured by a General Security Agreement. "With this
new financing and new flax contract, the Company is on track
regarding its restructuring plan" states Dr. Nam Fong Han, President & CEO, "The Company
will continue to reduce the operating cost, continue to increase
revenues and to focus on achieving profitability for its
shareholders".
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.
About the Company:
For more information regarding Botaneco Corp. please visit
www.botanecocorp.com or www.sedar.com
SOURCE Botaneco Corp.
