OREM, Utah--(BUSINESS WIRE)--ForeverGreen Worldwide Corporation (OTCBB:FVRG), a leading provider of nutritional foods and other healthy products, today announced Q4 and Full Year 2013 earnings, for the quarter and year ended December 31, 2013.
Highlights for 2013 included:
- Sales increased to $17,757,388 from $12,575,375 for 2012, a 41.2% increase
- Gross Profit reached $13,008,090 compared to $8,415,826 during 2012, a 54.6% increase.
- Operating Income was $382,829 or $0.03/share versus a loss of $251,278 or ($0.02)/share for 2012
- Net income totaled $116,843 or $0.01 EPS compared to a loss of $790,199 or ($0.06) EPS for the previous year
“We experienced a 41.2% increase in revenues in 2013 over 2012 from better than expected fourth quarter revenues. We recognize revenue upon shipment of a sales order. As of December 31, 2013, the Company had deferred revenue of $405,841. Gross profits increased due to increased revenues and reducing our two largest cost of sales expenses, product costs and shipping as we were able to optimize pricing with our key vendors. Cost of sales consists primarily of the cost of procuring and packaging products, and the cost of shipping product to our international subsidiaries and warehouses and to our members, plus credit card sales processing fees. Cost of sales was approximately 26.7% of revenues for 2013 compared to 33.3% of revenues for 2012. The 2013 decrease is primarily due to decreasing our product and shipping costs.”
“Our total assets increased to $2,699,520 at December 31, 2013 compared to $1,393,575 at December 31, 2012. The increase is primarily due to an increase in inventory, purchase of fixed assets, and cash and cash equivalents. Total liabilities increased due to an increase of accrued expenses of $853,424, deferred revenue increasing by $292,756, accounts payable decreasing by $348,798, decrease in notes payable of $199,993, paying off related party payables of $132,808, paying down our line credit to a zero balance, and bank overdraft decreasing by $25,050.”
“There were some non-recurring one-time costs that occurred during the quarter due to infrastructure improvement for IT and inventory improvement that will help allow us to grow at over 100% during 2014 without similar percentage increases in our expenses. We anticipate record revenue of over $8 million for Q1 2014,” reported Jack Eldridge, CFO.
During early 2014 the company raised $2,000,000 cash in return for the issuance of 2,000,000 restricted shares to key distributors of our products.
Q4 Highlights (for the period from 10/1/13 to 12/31/13) include:
- Sales increased to $6,261,517 from $2,793,385 for 2012, an increase of 124.2%
- Operating Income for 2013 Q4 was $86,249 or $0.01/share versus a loss of ($173,523) or ($0.01)/share for 2012
- Net Income for Q4 2013 was $6,753 compared to loss of $428,751 or ($0.03) EPS during Q4 2012
“Since the pre-launch of FGXpress in January 2013, we have continued to exceed our growth goals. During 2014 our sales should increase to in excess of $40 million. The company is reviewing the cost structure and has implemented cost savings measures that have begun to reduce overhead including salaries. We have introduced our own in house logistic, sales and member software system that will reduce computer costs going forward. New products have been and will continue to be introduced to bolster sales, and management continues to make improvements to the marketing plan to enhance the success that is developed. We look forward to accelerated growth moving forward with all earnings, profit and cash metrics continuing to improve,” stated Ron Williams, CEO.
We will be hosting a conference call Wednesday, April 2nd at 2:15pm EDT to address questions from our shareholders.
Phone Number: (425) 440-5100
Pin Code: 655117#
For a full earnings report please view our entire filing at www.sec.gov.
ForeverGreen Worldwide Corporation develops, manufactures and distributes an expansive line of all natural whole foods and products to North America, Australia, Europe, Asia, South America and Africa. Offerings include their new global offering, PowerStrips. Additionally, they offer Azul and FrequenSea™ whole-food beverages with industry exclusive Marine Phytoplankton, Versativa line of hemp-based whole-food products, A.I.M. Transfer Factor immune support, 03World™ weight management products, Pulse-8 powdered L-arginine formula, TRUessence™ Essential Oils and Apothecary, 24Karat Chocolate®, and an entire catalog of meals, snacks, household cleaners and personal care products. www.forevergreen.org
This press release contains certain forward-looking statements. Investors are cautioned that certain statements in this release are "forward-looking statements" and involve both known and unknown risks, uncertainties and other factors. Such uncertainties include among others, certain risks associated with the operation of the company described above. The company's actual results could differ materially from expected results.