CHESTERFIELD, Mo., Aug 03, 2005 /PRNewswire-FirstCall via COMTEX/ -- Reliv International, Inc. (RELV), an international manufacturer and network marketer of nutritional supplements and other food technology products, today announced its results of operations for the three months ended June 30, 2005 and for the first half of the year.
A strong performance in the United States led to a 65 percent increase in net income during the second quarter. Net income available to common shareholders reached $1.98 million, or $0.12 per share (diluted), up from earnings of $1.2 million, or $0.07 per share (diluted) in the second quarter of 2004. Reliv's worldwide net sales increased 19 percent, reaching $28.5 million in the second quarter of 2005, compared to sales of $23.9 million in the second quarter of 2004.
For the first half of 2005, Reliv's net income available to common shareholders was $4.04 million -- or $0.24 per share (diluted). This compares to earnings of $2.83 million, or $0.17 per share (diluted), during the first half of 2004 -- a 43 percent increase versus the prior-year period. First-half net sales grew 21 percent, reaching $57.5 million -- compared to $47.3 million during the first six months of 2004.
Sales growth in the United States, Reliv's largest market, continues to set the pace for Reliv's overall results. U.S. net sales climbed 28 percent in the second quarter of 2005 compared to the same period last year. Reliv reported mixed results from its international markets, with strong growth in Canada (up 20 percent) and the United Kingdom/Ireland (up 62 percent) offset by sales declines in other international operations.
Robert L. Montgomery, President and Chief Executive Officer of Reliv, said, "We are particularly pleased to see exceptional earnings growth in the second quarter, rewarding our shareholders for the outstanding sales performance we continue to achieve in the United States and other key markets. We intend to build on those results in the second half of the year, by leveraging the strength of an exciting new market, and the growing popularity of products like CardioSentials(TM)."
Introduced in February 2005, CardioSentials(TM) generated sales of $1.1 million in the second quarter -- or approximately 5 percent of U.S. net product sales. This new dietary supplement is attracting attention in the marketplace, in part because it was shown through an independent clinical study to be safe and effective in reducing cholesterol levels, a significant risk factor for heart disease.
Mr. Montgomery noted that the company entered its 11th country worldwide, when Reliv opened for business in Germany on July 18. "It is an extremely attractive market for us," Mr. Montgomery said, "not only because it is one of the top five countries in the world for direct selling, but it also represents our first foray into continental Europe. We are excited about the opportunity to build a growing presence for Reliv in this largely untapped market." Along with Germany, Reliv now sells its products in 10 other countries: United States, Australia, Canada, Ireland, Malaysia, Mexico, the Philippines, Singapore, New Zealand, and the United Kingdom.
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.
Reliv will host a conference call to discuss the second quarter 2005 earnings with investors at 1:00 p.m. Eastern Time on August 3, 2005. The dial-in number for investors is 866-271-5140. Participant pass code is 30789299. To register, please call in 15 minutes prior to start of call. A replay of this call will be available for one week by telephone from 3:00 p.m. Eastern by calling 888-286-8010 and using pass code 55342707. A live web cast of this call will be available through the Investor Relations section of Reliv's Web site, http://www.reliv.com/us/investor . An online archive of the broadcast will be available on Reliv's Web site in the Investor Relations section twenty-four hours after the call concludes. Please access the web site at least 15 minutes before the scheduled conference call to register.
For more information about Reliv, please visit our website at http://www.reliv.com .
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 discussed in the Company's filings with the SEC on forms 10-K and 10-Q.