EL DORADO HILLS, Calif., May 16, 2006 /PRNewswire-FirstCall via COMTEX/ -- NutraCea (NTRZ) , a world leader in stabilized rice bran research and technology, announced today financial results for its first quarter ending March 31, 2006.
Total revenues for the quarter ended March 31, 2006 were $3,781,543, compared to total revenues of $459,314 for the first quarter of 2005, an increase of over 723%. The improved revenues and financial performance on a quarterly comparative basis have primarily resulted from the merger with RiceX and the successful launch of its nutraceutical products into the infomercial market segment, specifically with ITV Global, during quarter ended December 31, 2005.
NutraCea had a net loss of $233,570 or $(0.00) per share for the first quarter of 2006 based on weighted average shares outstanding of 67,119,444, compared to a net loss of $864,693, or $(0.02) per share in 2005 based on 36,170,129 weighted average shares outstanding. The net loss for the first quarter of 2006 includes stock, stock option and warrant expense, which are non-cash charges, of $389,267.
In addition, NutraCea reported positive earnings before interest, taxes, depreciation and amortization (EBITDA)* of $7,596 in the first quarter of 2006 compared to a negative EBITDA of $593,528 in the first quarter of 2005, an improvement of $601,124.
"I am very pleased with the first quarter results, which continue to depict the successful foundation we've created in the past six months," said Brad Edson, President and CEO of NutraCea. "Our expansion plans to increase capacity of our stabilized rice bran are all well underway and expected to be materially accretive to our business during the second half of this year. Our strong relationship with ITV Global continues to be very rewarding, contributing to a significant portion of the company's revenue during the first quarter."
Mr. Edson added, "Now that the Company is creating additional production capacity on an accelerated basis, we are prepared to generate and secure the sales commitments that we have historically been hesitant to initiate due to previous capital driven capacity limitations. We look forward to not only supplying the needs of the market, but encouraging further market demand. In this regard, we continue to ramp up revenues and fulfill existing agreements as our additional capacity comes on line, which we believe will facilitate even more opportunities for growth. Furthermore, the recent successful capital raise of $17.5 million strengthens NutraCea's ability to conduct business with major players in the food industry, to build upon existing relationships and to create new relationships.
NutraCea will be hosting a conference call at 11:30 a.m. EDT with the investment community, featuring Brad Edson, Chief Executive Officer and President of NutraCea. Interested parties may participate in the call by dialing 877-407-8037; international callers dial 201-689-8037. In addition, the conference call will be available via a webcast that can be accessed at: http://www.vcall.com/IC/CEPage.asp?ID=104778 and will be archived for 7 days.
NutraCea is a world leader in stabilized rice bran technology. Through its wholly owned subsidiary RiceX, the company manufacturers as well as distributes products and food ingredients made from Rice Bran through its proprietary technology and processes. The Company has developed intellectual property to create a range of proprietary product formulations, delivery systems and whole food nutrition products. NutraCea's proprietary technology enables the creation of food and nutrition products from rice bran, normally a wasted by-product of standard rice processing. In addition to its whole foods products, NutraCea develops families of health-promoting "nutraceuticals," including natural arthritic relief and cholesterol-lowering products. More information can be found in the company's filings with the SEC and you can visit the NutraCea web site http://www.NutraCea.com .