The company recently reported a 35% year-over-year revenue increase, led by continued growth of its Natural Choices product line. For the three months ended March 31, 2009, net sales were $328,070 compared with net sales of $243,145 in fiscal third quarter 2008. The company reported net income of $24,264 in fiscal third quarter 2009 compared with a net loss of $(85,148) the prior year's third quarter.
Cost of goods sold increased year-over-year as sales grew. The company's gross margin was 61% compared with 70% the prior year, reflecting a return to a historically typical margin. A year ago, the company recorded a one-time adjustment to cost of goods that contributed to atypically high margins.
"We grew both our private-label product business for retailers and our direct product sales through our environment, health, pet and kid-friendly website, http://www.ecogeeks.com," said CEO Michael L. Wynhoff. "The company has initiated several new contracts for private-label products sold and distributed under outside brand names. A combination of direct sales and private-label distribution gives us an optimal balance of attractive margins and significant opportunity for revenue growth. It was also an important quarter for the company as we restructured our debt to give us greater operating flexibility."
For the nine months ended March 31, 2009 net sales were $857,875 compared to net sales of $576,187 for the same period in 2008. The sales increase of 49% is attributable to additional sales resulting from the acquisition of Natural Choices. Sales of Natural Choices products totaled approximately $380,000 during the nine months ended March 31, 2009.
In coming quarters, the company anticipates margin improvement resulting from expanded in-house manufacturing capabilities that has significantly reduced its dependence on contract manufacturers. Net loss for the nine months ended March 31, 2009 was $221,689 or $(0.006) per share compared to a net loss of $297,189 or $(0.008) per share for the same period in fiscal 2008.
Wynhoff concluded: "We're excited about the continuing positive reception for effective, non-toxic cleaning and pool and spa products. Consumers continue to seek environmentally friendly solutions, and we see this reflected in sales growth and interest from consumers, retailers and increasing private label manufacturing opportunities."
About Pacific Sands / Natural Choices
Pacific Sands, Inc. is an environmental products company that develops, markets, manufactures and sells earth, health and kid-friendly products for cleaning and pool & spa water maintenance applications. The Company achieves the bulk of its sales and revenues through three primary routes to market:
-- Branded Products: Pacific Sands has three house brands that are sold
through retail distribution in the U.S., Canada and Europe: ecoone(R) pool
and spa water management products, e-2 elemental earth(R) and Natural
Choices(TM) household cleaning products.
-- Contract Manufacturing and Private Label: Pacific Sands has a
portfolio of more than 100 consumer cleaning, laundry and pool and spa
water management products available for private label.
-- Direct & Internet Retail: The Company uses direct retail primarily as
a tool to test marketing messages, educate consumers and provide ready
access to information about the company's products. The company's direct
retail website for nontoxic cleaning and chlorine free pool and spa
products is: http://www.ecogeeks.com.
Forward-Looking Statements
The statements contained in this release and statements that the company may make orally in connection with this release that are not historical facts are forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. Actual results may differ materially from those projected in the forward-looking statements, since these forward-looking statements involve risks and uncertainties that could significantly and adversely impact the company's business. Therefore, actual outcomes and results may differ materially from those made in forward-looking statements.
Media and Business Contact: Pacific Sands, Inc. Renee Rush 262-619-3261
SOURCE: Pacific Sands, Inc.

More News:
Market Updates |
Stock Alerts |
All Trading News |
Stock Index