HAYWARD, Calif., Nov 14, 2003 (BUSINESS WIRE) -- Allergy Research Group, Inc. (OTCBB:ALRG) announced financial results for the third quarter ending September 30, 2003.
ALRG recorded total revenue of $3,326,957 for the quarter, up 11% from 2002. The increase of $326,032 is primarily due to increased sales to distributors and increased demand at retail for current and new products.
"Our overall commitment to good health and concern for our customers, coupled with our excellent brand identification, has continued to have a positive effect on sales," said Chief Executive Officer and Chairman, Dr. Stephen A. Levine, Ph.D.
Cost of sales increased $82,404 to $1,898,692 for the quarter ended September 30, 2003, compared to $1,816,288 for the quarter ended September 30, 2002. The increase in cost of sales corresponds with the increase in sales. Gross profit margins increased approximately 3.9%, approximating 42.8% for 2003 resulting from the higher margins associated with retail sales.
During the quarter ended September 30, 2003, the Company recorded net income of $397,517, as compared to net income of $122,064 for the same period in 2002. The increase is a reflection of the increase in sales at higher profit margins and reduced operating expenses. Interest expense decreased $7,600 for the quarter ended September 30, 2003, as compared to September 30, 2002 as result of the Company paying down its line of credit from $570,064 at December 31, 2001 to zero at September 30, 2003.
Complete copies of the company's financial statements, including notes to the financials, can be found on its website at www.nutricology.com.
About Allergy Research Group, Inc.
Allergy Research Group, Inc. is an innovative leader in nutraceutical research and product formulation. Since its inception in 1979, the company has been noted for quality, hypoallergenic nutritional supplements and supplies products to physicians and healthcare practitioners worldwide.
Except for historical information contained herein, this release contains, within the meaning of the safe harbor provisions of the Private Securities Litigation Reform Act of 1995, forward-looking statements that are based on management's beliefs and assumptions, current expectations, estimates and projections. Many of the factors that will determine the Company's financial results are beyond the ability of the Company to control or predict. These statements are subject to risks and uncertainties and therefore actual results may differ materially. The Company disclaims any obligation to update any forward-looking statements whether as a result of new information, future events, or otherwise. Important factors and risks that may affect future results include but are not limited to: the impact of competitive products, changes in law and regulations, adequacy and availability of insurance coverage, availability of raw materials, dependence on distributors and customers, litigation, limitations on future financing, the effect of adverse publicity, uncertainties relating to acquisitions, managing and maintaining growth, customer demands, as well as other risks and uncertainties that are described from time to time in the Company's filings with the Securities and Exchange Commission, copies of which are available upon request from the Company's investor relations department.