Nutrition 21, Inc. NXXI +7.50% , the developer and marketer of clinically substantiated nutritional ingredients for dietary supplements, foods and beverages, and animal nutrition, announced financial results for its third fiscal quarter ended March 31, 2011.
The Company reported total revenues from continuing operations of $1.3 million for the third quarter ended March 31, 2011, compared to $1.7 million in the corresponding quarter a year ago. Net loss from continuing operations for the third quarter this year was $0.8 million, or ($0.01) per diluted common share, compared to a net loss of $0.7 million, or $(0.01) per diluted common share, in the corresponding quarter a year ago.
For the nine months ended March 31, 2011, the Company reported total revenues from continuing operations of $4.8 million compared to $6.0 million in the comparable period a year ago. Net loss from continuing operations for the nine months ended March 31, 2011 was $2.3 million compared to $1.8 million in the comparable period a year ago.
A decline in product sales in both the three and nine month periods compared to the comparable periods a year ago accounted for the lower revenues, which were partially offset for the nine month period by fees received in connection with a termination of certain licensing agreements.
There was no net loss from discontinued operations for the quarter ended March 31, 2011, compared to a net loss of $0.1 million or $0.00 per diluted common share in the comparable period a year ago. For the nine months ended March 31, 2011, the company reported a net loss from discontinued operations of $71 thousand compared to $1.9 million in the comparable period a year ago.
Michael Zeher, president and chief executive officer, said, "We are pleased to report that our operating income, since the divestiture of the Branded Products Group in the second quarter of fiscal year 2010, continues to be positive. While we continue to be affected by the generally soft market, particularly in the animal feed category, we are continuing to work on improving both our top and bottom lines, and in developing new opportunities for our ingredients businesses. We continue to explore alternatives to satisfy a requirement to redeem our Series J Convertible Preferred Stock in September 2011 for approximately $17.8 million. Possible alternatives include, among other things, negotiation of an extension with the preferred stock holders, a going private sale or other transaction, or a refinancing of the business."
About Nutrition 21
Nutrition 21, Inc., headquartered in Purchase, NY, is a nutritional bioscience company and holds over 30 issued and pending patents associated with chromium picolinate as well as combinations of chromium compounds with other dietary supplement ingredients. Its ingredients are sold to leading dietary supplement, and functional food and beverage manufacturers. For more information, please visit http://www.nutrition21.com.