Schiff Nutrition International announced sales results from the fiscal 2009 second quarter and six months ending November 20, 2008. Sales were up 19.6% to $47.3 million from $39.54 million during the 2008 second quarter. Six month sales grew 18.5% to $95.08 million from $80.26 million from the same period a year ago.
Schiff’s President and CEO, Bruce Wood, commented on the results, “This increase was driven by a substantial increase in our private label business, primarily resulting from the incremental new business acquired during the fiscal 2008 fourth quarter. Our branded business also registered an increase during the quarter.” Among the products contributing to the company’s growth was its branded MegaRed Krill Oil. Wood cited expanded distribution and positive product reception as reasons for being optimistic about current and future growth.
While Schiff’s gross profit and operating income increased, Wood noted that higher raw material costs and marketing expenses have cut into profit margins. A recent NBJ survey of over 50 raw material & ingredient supply companies found that 75% of companies reported raw material price increases in 2008. 28% of companies reported increases of 11% or more. More information on Schiff’s financials can be found at schiffnutrition.com. For more information on raw material price increases check out NBJ’s upcoming Raw Material & Ingredient Supply issue that will hit mailboxes later this month.
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