OKLAHOMA CITY, Aug 14, 2007 (PrimeNewswire via COMTEX) -- AMS Health Sciences, Inc. (AMM) today reported results for its second quarter ended June 30, 2007, reflecting a transition period focused on corporate restructuring initiatives to support a return to profitability.
Net loss for the quarter was $320,674, or $0.04 per share, compared with a net loss of $70,000, or $0.01 per share, a year earlier -- based upon a 13.5 percent increase in the number of basic shares outstanding for the 2007 second quarter. Net sales for the quarter were $1,979,288 compared with $2,480,875 a year ago.
For the six-month period, the company reported a net loss of $731,013, or $0.08 per share, compared with a net loss of $312,554, or $0.04 per share, last year -- based on a 12.9 percent increase in the number of basic shares outstanding. Net sales for the six months were $4,414,630 compared with $4,906,349 for the same period in 2006.
"The company has made significant progress in its strategic initiatives to support sustainable growth and profitability. Our team is extremely focused on executing aggressive sales and marketing campaigns to increase recruiting -- supported, in part, by tremendous consumer interest in the company's new Saba Life product line and innovative pouch packaging," said Jerry Grizzle, Ph.D., president and chief executive officer.
Based on current recruiting and sales trends, Grizzle expressed optimism that the company would be able to achieve a monthly sales level of at least $1.0 million -- a level that management believes will support a return to operational profitability. Grizzle added that, based on recruitment levels for July, the company expects to achieve average recruitment increases of between 10 to 25 percent per month through the balance of 2007.
He noted that opening orders from new associates for the quarter averaged $261.62 compared with $90.73 for the same period a year earlier. Grizzle attributed this increase, in part, to consumer interest in the company's Saba product line, particularly its new advanced natural weight loss formula incorporating the Borojo fruit from the Amazon.
About AMS Health Sciences
AMS Health Sciences, Inc. develops and distributes nutritional, weight loss, and personal care products -- including antioxidants, pomegranate-based supplements, a proprietary blend of adaptogenic herbs developed by the late Dr. Israel Brekhman, minerals, vitamins and other nutritional supplements. Its products are sold through a network marketing system utilizing independent distributors in the United States, Puerto Rico, and Canada. Founded in 1988, the company is based in Oklahoma City, Oklahoma. Additional information is available at www.amsonline.com.
This press release contains forward-looking statements within the meaning of Section 21E of the Securities Exchange Act of 1934 that represent the Company's current expectations and beliefs, including, among other things: (i) expectations regarding the positive impact of certain strategic initiatives to contain costs and increase sales; and (ii) our plans regarding the rollout of our new Saba product line. The forward-looking statements and related assumptions involve risks and uncertainties that could cause actual results and outcomes to differ materially from any forward-looking statements or views expressed herein. These risks and uncertainties include, but are not limited to: (a) material decreases in active distributors, or the Company's failure to execute its strategic initiatives; (b) regulatory risks associated with the Company's nutritional supplements, which could adversely affect the Company if regulatory scrutiny dampens enthusiasm or the ability of the Company or its distributors to effectively market its products; (c) any failure of current or planned initiatives or products, including, among others, the introduction of the Saba line of nutritional supplements, to generate interest among distributors and customers and generate sponsoring and selling activities on a sustained basis; (d) any inability of the Company to obtain necessary product registrations for its nutritional and personal care products in a timely manner; (e) adverse publicity related to the Company's business, products or industry; and (f) continued competitive pressures in the Company's markets. The Company's financial performance and the forward-looking statements contained herein are further qualified by a detailed discussion of associated risks set forth in the documents filed by the Company with the Securities and Exchange Commission, including the Company's Annual Report on Form 10-KSB. The forward-looking statements set forth the Company's beliefs as of the date of this release, and the Company assumes no duty to update the forward-looking statements contained in this release to reflect any change.