Nutrition 21 reports improved loss for Q2
The New York-based dietary supplements manufacturer and ingredients supplier, also reported a slight decrease in total revenues, with a Q2 figure of $1.9 million, compared with $2.1 million in the corresponding quarter a year ago.
Putting the figures in the context of half year results, the company reported that H1 total revenues from continuing operations were $3.5 million compared to $4.4 million in the comparable period a year ago.
In addition, net loss from continuing operations for the six months ended December 31, 2010 was also up compared with the h1 from last year, up to $1.4 million from $1.3 million.
Reduced product sales compared to the comparable period a year ago were partially offset by termination fees paid to the Company in connection with termination of certain licensing agreements.
Divestiture
"We are pleased to report that our operating income, since the divestiture of the Branded Products Group in the second quarter of 2009, continues to be positive,” said Michael Zeher, president and chief executive officer.
“Looking forward, we continue to be optimistic, but cautious, as we will need to satisfy a requirement to redeem our Series J Preferred Stock in September 2011 for approximately $17.8 million.
“As reported earlier, a special committee of the Board of Directors has retained BDO Capital Advisors, LLC as its investment banker to consider approaches to meet this requirement. Possible alternatives include, among other things, negotiation of an extension with the holders of the Preferred Stock, a going private sale or other transaction, and a refinancing of the business,” he added.
