CHESTERFIELD, Mo., March 18 /PRNewswire-FirstCall/ -- Reliv International, Inc. (Nasdaq: RELV), an international manufacturer and network marketer of nutritional supplements and other food technology products, today announced its results of operations for the 12 months ended December 31, 2002 and for the fourth quarter of 2002.
For the year, the company's net profit totaled $2.49 million, or $0.22 per share ($0.19 per share diluted) - more than eight times the earnings reported for 2001, when net profits were $308,000 (or $.03 per share). Revenues reached $62.93 million in 2002, up 19 percent compared to sales of $52.94 million in 2001.
The company's 2002 results were driven by the continued strong growth of its network marketing activities in the United States, and in several key international markets worldwide. Network marketing sales in the United States - the company's largest market - grew 30 percent in 2002 compared to the prior year.
Fourth Quarter Results
During the fourth quarter of 2002, Reliv posted a 39 percent increase in worldwide sales - to $16.76 million, up from $12.04 million in 4Q2001. Fourth quarter net income also showed a significant improvement - reaching $668,000 (or $0.06 per share basic/$0.05 per share diluted), up significantly versus 4Q2001, when the company earned $34,000 (or $.00 per share). These results are particularly significant, because 4Q2001 was the first reporting period last year not to include a significant amount of revenues from contract manufacturing - a line of business which is no longer a focus of the company. Therefore, comparisons of 4Q2002 and 4Q2001 results reflect the company's improved performance in its ongoing operations.
Reliv's network marketing sales in the United States rose 43 percent in 4Q 2002 compared to 4Q 2001, while network marketing sales from the company's international markets increased by 22 percent during the same period. The company also reported strong growth in its efforts to recruit new distributors for its marketing efforts. New sponsorships in the U.S. grew 62 percent during the fourth quarter of 2002 compared to the prior year.
Robert L. Montgomery, President and Chief Executive Officer of Reliv, said, "These outstanding results prove that Reliv brings something very valuable to the network marketing industry. The word is getting out about Reliv - both about the exceptional business opportunity we offer to those who want to own their own business, and about the advanced nutrition that our line of dietary supplements provides."
Mr. Montgomery noted that the company's growth was broad-based - with significant gains in the United States and in several key international markets. "Along with the double-digit percentage growth we experienced in the U.S., our fourth quarter sales grew sharply in the Philippines (up 46 percent), Mexico (up 22 percent) and Canada (up 11 percent)," he said.
Reliv International, Inc., based in suburban St. Louis, manufactures and distributes several lines of food products, including nutritional and fiber supplements, diet management products, functional foods, sports drink mixes and a line of premium skin care products. Its proprietary product lines include an extensive line of soy-based products. Reliv International's common stock trades on The Nasdaq Stock Market(R) under the symbol RELV.
The Company will host an earnings conference call at 1:00PM Eastern Standard Time today. The call can be accessed via listen-only dial-in conference lines by dialing 913-981-5509 and the password (740999). A replay of this call will be available by telephone from 3:00PM Central Standard Time until midnight by calling 719-457-0820 and using the password (740999#). To listen to the live call, please call at least 10 minutes before the scheduled conference call to register.
A live webcast of this call will be available through the Investor Relations section of the Company's Web site, http://www.reliv.com/us/investor. An online archive of the broadcast will be available on the Company's Web site in the Investor Relations section shortly after the call concludes.
NOTE: Any statement released by Reliv International, Inc. that is forward looking is made pursuant to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. Editors and investors are cautioned that forward-looking statements involve risk and uncertainties that may affect the Company's business prospect and performance. This includes economic, competitive, governmental, technological and other factors described in the Company's filings with the SEC on forms 10-K and 10-Q.