Planet Organic Health Corp Announces Annual Results

    Sales up 106%, EBITDASX up 97%

 

SOURCE Planet Organic Health Corp.

via PRNewswire

 

    EDMONTON, Oct. 29, 2008 /PRNewswire-FirstCall/ - Planet Organic Health Corp

(TSX Venture Exchange - POH), Canada's leading natural products retailer

announces their financial results for the year ending June 30, 2008. Sales

for the year were $113.9 million compared to $55.3 million in 2007, an

increase of 106%. EBITDASX was $7.1 million compared to $3.6 million in

2007, an increase of 97%, and cash flow from operations increased by $2.5

million over 2007, an increase of 218%.

 

    "I'm excited to report our financial results for the year ended June

30, 2008. We have successfully integrated the acquisition of Mrs Green's in

the U.S., added one new POM market location and started construction on the

Edmonton flagship expansion, as well as the third Ontario location. The

rebranding of Healthy's to Planet Organic Living began with the Exchange

Tower in Toronto and we opened a new POL store in Milton Ontario. We

continue to benefit from the synergies of vertical integration at Trophic,

and Sangster's continues to open new franchise locations. These actions

have allowed the Company to more than double revenues, more than triple

cash flow from operations, and almost double EBITDASX", reports Darren

Krissie, CFO.

 

    EBITDASX and cash flow from operations are the key performance

indicators for the Company. Income before tax this year included non-cash

non-tax deductible items like stock based compensation of $1.2 million, and

foreign exchange gains of $0.5 million. We also had one time costs of $0.9

million expensed during the year related to a failed acquisition. "If we

were to normalize our earnings to reflect these items, which were not part

of 2007 results, earnings before tax would have been $2.2 million, despite

significant interest costs this year relating to the acquisition of Mrs

Green's" added Krissie.

 

 

 

    Summary of Key Fiscal 2008 Annual Financial Results

 

                                         Fiscal 2008             Fiscal 2007

 

    Sales                               $113,972,886             $55,321,037

 

    Cost of Goods Sold                   $68,724,865             $33,644,781

 

    Gross Profit                         $45,248,021             $21,676,256

 

    Operating Expenses                   $45,666,658             $20,351,323

 

    EBITDASX                              $7,096,293              $3,590,365

 

    Income before Tax                       $530,087              $2,096,736

 

    Tax                                     $758,437                $631,270

 

    Net Income                             ($228,350)             $1,465,466

 

    Cash Flow from Operations             $3,605,585              $1,137,650

    EBITDASX reported above is a non-GAAP measure and is earnings before

interest, taxes, depreciation, amortization and stock-based compensation

and foreign currency translation.

 

    For further financial information and a copy of our annual report,

please visit our corporate website at http://www.planetorganichealthcorp.com

 

    About Planet Organic Health Corp.

 

    ---------------------------------

 

    Planet Organic Health Corp. (TSX-V: POH) is a natural products industry

company, comprising manufacturing, distribution and retail. Planet Organic

is listed on the TSX Venture Exchange as a Tier One company. Planet Organic

operates nine natural food supermarkets throughout Canada under the Planet

Organic Market banner and eleven natural food supermarkets in the U.S.

under the Mrs Green's Natural Markets banner. The Company also operates 48

natural health outlets under the Sangster's Health Centre banner and eight

natural health outlets under the Healthy's and Planet Organic Living

banners. Another Planet Organic division, Trophic Canada, is the country's

leading manufacturer of natural supplements. The Company has a total of 65

stores throughout Canada and eleven in the U.S. and has more than 650

employees.

 

 

 

    The TSX Venture Exchange has not reviewed and does not accept

    responsibility for the adequacy or accuracy of this release.

    Forward-Looking Statements

 

    Certain information included herein is forward-looking. Forward-looking

statements include, without limitation, statements regarding the future

financial position, business strategy, budgets, projected costs, capital

expenditures, financial results, taxes and plans and objectives of or

involving Planet. Many of these statements can be identified by looking for

words such as "believe", "expects", "expected", "will", "intends",

"projects", "anticipates", "estimates", "continues", or similar words and

include but are not limited to, statements regarding the accretive effects

of the acquisition and the anticipated results and expected benefits of the

acquisition upon closing thereof. Planet Organic believes the expectations

reflected in such forward-looking statements are reasonable but no

assurance can be given that these expectations will prove to be correct and

such forward-looking statements should not be unduly relied upon.

Forward-looking statements are not guarantees of future performance and

involve a number of risks and uncertainties some of which are described in

Planet Organic's continuous disclosure documents. Such forward-looking

statements necessarily involve known and unknown risks and uncertainties

and other factors, which may cause Planet Organic's actual performance and

financial results in future periods to differ materially from any

projections of future performance or results expressed or implied by such

forward-looking statements. Such factors include, but are not limited to:

general economic, market and business conditions; industry capacity;

competitive action by other companies; refining and marketing margins; the

ability of suppliers to meet commitments; actions by governmental

authorities including increases in taxes; changes in environmental and

other regulations; and other factors, many of which are beyond the control

of Planet Organic. Any forward-looking statements are made as of the date

hereof and Planet Organic does not undertake any obligation, except as

required under applicable law, to publicly update or revise such statements

to reflect new information, subsequent or otherwise.

 

 

 

SOURCE Planet Organic Health Corp.

 

prnewswire.com