Synergy CHC Corp. Announces First Quarter 2019 Results
Westbrook, Maine, May 03, 2019 (GLOBE NEWSWIRE) -- Synergy CHC Corp. (OTCQB: SNYR ) (“Synergy” or the “Company”), a consumer health care & beauty company, today reported results for the quarter ended March 31, 2019.
2019 First Quarter Highlights
-- Generated adjusted EBITDA of 2.3 Million, up from 1.3 Million in the first quarter of 2018, an increase of 77% -- Generated net income of $1,467,286 or $0.02 (Basic and diluted) earnings per share versus a net loss of $55,493 in first quarter of 2018 -- Improved income from operations to $1,823,256 from $425,908 in first quarter of 2018, an increase of 328% -- Generated net cash provided by operating activities of $813,711 for the quarter -- Repaid $512,500 of long-term debt in the quarter, a reduction of 9.1% -- Cash and cash equivalents grew to $826,187 from $595,916 compared to the previous quarter, an increase of 39% -- Improved net working capital by $1,315.361 for the quarter -- Gross profit improved to 73% in first quarter 2019 from 71% first quarter 2018
Net sales for the first quarter were $9.5 million, compared to $9.7 million for the same quarter in 2018, a 2% decrease. For the first quarter, our net income was 1.5million or $0.02 (basic and diluted) earnings per share, compared to a net loss of $0.1 million or $0.00 (basic and diluted) earnings per share for 2018.
We currently focus on Adjusted EBITDA to evaluate our business relationships and our resulting operating performance and financial position. Adjusted EBITDA for the quarter was $2.3 million.
EBITDA and Adjusted EBITDA are considered non-GAAP financial measures. The Company’s definitions of EBITDA and adjusted EBITDA might not be comparable to similarly titled measures reported by other companies.
“We are proud of Synergy’s first quarter numbers. We have returned to the type of profitability that the business should consistently generate. We look forward to the remainder of the year as we continue to add to our growing global retail footprint, (now in Canada, USA, Mexico and shortly to come the UK)” said Jack Ross, CEO of Synergy.
About Synergy CHC Corp.
Synergy CHC Corp. is a leading omni-channel consumer health and beauty company that is in the process of building a portfolio of best-in-class consumer product brands and utilizes The Synergy Effect, which includes a proprietary ROI based algorithm, to sell its products online through social media influencers. Synergy’s strategy is to grow its portfolio both organically and by further acquisition. Synergy’s diversified portfolio now includes FOCUSfactor™, Flat Tummy™, Per-fékt Beauty™, Sneaky Vaunt™, Neuragen™, and Hand MD™. For more information, please visit www.synergychc.com.
Synergy’s main brands:
Flat Tummy Tea’s uniquely formulated two-step herbal detox tea works to naturally help speed metabolism, boost energy and reduce bloating to flatten your tummy. It is currently sold online to a 20-30 year old female, predominantly American market.
Since being founded in 2013, Flat Tummy has grown rapidly, largely attributed to the strength of its branding and its innovative and effective use of social media marketing. The secret is a very specific process and ROI based algorithm used on various social media platforms. To date, Flat Tummy has built a targeted social media following of over 1,750,000, many of whom are now customers.
FOCUSfactor is sold at America’s leading retailers such as Costco, Sam’s Club, Wal-Mart, BJ’s, Walgreens, CVS and The Vitamin Shoppe. FOCUSfactor, America’s leading brain health supplement, is a nutritional supplement that includes a proprietary blend of brain supporting vitamins, minerals, antioxidants and other nutrients. In December 2012, the United States Patent and Trademark Office issued US Patent 8,329,227 covering FOCUSfactor’s proprietary formulation “for enhanced mental function”. The issuance of the patent marked one of the few times a patent has been issued for a nationally branded nutritional supplement. FOCUSfactor is clinically tested with results demonstrating improvements in focus, concentration and memory in healthy adults. More information on FOCUSfactor can be found at www.focusfactor.com or visit their Instagram page.
Hand MD is the world’s first anti-aging skincare line formulated specifically for the hands. Hands reveal a woman’s true age and the rejuvenation of the hand has become women’s #1 aging concern. Developed by Kara Harshbarger and renowned celebrity dermatologist Dr. Alex Khadavi, Hand MD’s extensive clinical trials show significant improvement in the appearance of fine lines and wrinkles, skin hydration, hyper-pigmentation and radiance. Hand MD launched on QVC and sold out in an astonishing 5 minutes. More information on Hand MD can be found at handmd.com or visit their Instagram page which now has more than 54,000 followers.
Neuragen® is a topical product that works directly at the site of the pain as opposed to oral products. Neuragen® reduces the spontaneous firing of damaged peripheral nerves. By calming these firings at the source, Neuragen® is clinically shown to reduce shooting and burning pains quickly and without the side effects of orally taken medications. This is in part due to the small lipophilic molecules found in Neuragen® which rapidly carry the active ingredients through the rough outer layer of the skin to the site of the pain. Neuragen® is available over the counter in most local pharmacies either in the diabetic section or the analgesic (pain) section. For more information, please visit neuragen.ca
This press release contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995 that are subject to risks and uncertainties. All statements, other than statements of historical facts, regarding management’s expectations, beliefs, goals, plans or Synergy’s prospects should be considered forward-looking. Readers are cautioned that actual results may differ materially from projections or estimates due to a variety of important factors, including: Synergy’s ability to integrate any new products into its current operations; the risks and uncertainties associated with Synergy’s ability to manage its cash resources; obtaining additional financing to support Synergy’s operations; Synergy’s dependence on third parties for its research and development, manufacturing and distribution functions; Synergy’s dependence on its license relationships; protecting the intellectual property developed by or licensed to Synergy; and Synergy’s ability to build its operations to support its business strategy and promote its products. These and other risks are described in greater detail in Synergy’s filings with the SEC, copies of which are available free of charge at the SEC’s website (www.sec.gov) or upon request from Synergy. Synergy may not actually achieve the goals or plans described in its forward-looking statements, and investors should not place undue reliance on these statements. Synergy assumes no obligation and does not intend to update these forward-looking statements, except as required by law.
Contact:Brendan Horning, VP – Investor RelationsSynergy CHC Corp. firstname.lastname@example.org 902-880-3169