Sales of Weider Nutrition's supplements dropped in fiscal 2003 to $240.9 million, compared $280.8 million for the previous year.
The company also recorded losses of $7.5 million, at the same level as last year, hit by a one-time charge of $15.4 million relating to the adoption of SFAS No. 142.
Performance did improve in the fourth quarter however, up to $55.8 million for period in fiscal, compared to $72.8 million for the same period in 2002. This boosted its fourth quarter net income to $281,000, compared to a loss of $4.6 million, for the same period a year ago.
The sale of Weider's Germany-based Venice Beach sports apparel business, will be included in its fiscal 2004 first quarter results. In accordance with SFAS No. 144, operating results for Venice Beach for fiscal 2003 and fiscal 2002 are reflected as discontinued operations.
Bruce Wood, president and CEO, said the firm made progress on its goal to improve financial health and support Weider's initiative to develop its core brands.
"We believe real progress was achieved during this past year. We reduced our debt from $40.0 million at May 31, 2002, to $8.7 million at May 31, 2003, divested the non-core American Body Building and Science Foods businesses, and initiated brand-building efforts on our flagship Move Free joint care brand and the global Weider brand."
He added that achieving branded revenue growth is still the main challenge for the firm, which sells branded and private label supplements globally.