Click here to close now.




















Welcome!

News Feed Item

MusclePharm Reports 2014 Second-Quarter Financial Results

Second-Quarter Revenue Increases to $46.7 Million With Earnings of $0.03 per Diluted Share

DENVER, CO -- (Marketwired) -- 08/04/14 -- MusclePharm Corporation (OTCQB: MSLP), a scientifically driven, performance-lifestyle sports nutrition company, today announced financial results for the second quarter ended June 30, 2014.

2014 Second-Quarter Results

The following comparison refers to results for the second quarter of 2014 versus the second quarter of 2013.

Net sales increased 83 percent to $46.7 million from $25.5 million last year, primarily as a result of new sales channels, new product lines, and increased brand awareness.

Net sales by distribution channel were as follows:

  • Food, Drug and Mass (FDM), a new distribution channel for MusclePharm in 2014, accounted for $5.0 million of the Company's sales increase;

  • International increased $10.7 million, or 119 percent, to $19.7 million, compared with $9.0 million during the same period last year; and,

  • Specialty, which includes distributors and online retailers, grew by $2.6 million, or 16 percent, to $19.0 million, compared with $16.4 million last year.

Gross profit was $15.6 million, compared with $7.9 million last year. As a percentage of net sales, gross profit was 33.5 percent, compared with 31.1 percent last year.

Operating expenses as a percentage of net sales decreased to 32.5 percent, compared with 41.8 percent last year.

Net income was approximately $400,000, or $0.03 per diluted share, compared with a net loss of approximately $2.4 million, or $0.34 per share, for the same period last year.

"MusclePharm's solid second-quarter results are a testament to the strength of the company's brands in what has historically been a challenging quarter," said Brad Pyatt, MusclePharm's chairman and chief executive officer. "As MusclePharm gains further traction both domestically and internationally, we remain focused on driving the strength of our brands, while enhancing our leadership position."

Recent Highlights

  • Launched more than 60 new items within the MusclePharm® Hybrid and Core Series, Arnold Schwarzenegger Series™ and FitMiss™ brands, including new products, new flavors and new sizes in the second quarter. MusclePharm has launched more than 100 new items year-to-date;
  • Signed a multi-year endorsement agreement with Tiger Woods, which includes sponsorship of Tiger Woods' golf bag. The 2014 Open Championship was viewed by 7.45 million people with MusclePharm's logo legible 72 percent of the time Tiger's golf bag appeared on-screen. Total bag exposure was more than an hour and twenty minutes;
  • Signed a multi-year endorsement contract with Johnny Manziel;
  • Expanded relationship with GNC to carry all of MusclePharm's brands on a dedicated wall in all of GNC's U.S. stores;
  • Published the results of a double-blind placebo-controlled clinical study, which demonstrated that MusclePharm's recovery and hydration supplement Amino1 enhanced rehydration more effectively than water and Gatorade. MusclePharm plans on conducting approximately 20 clinical studies during the year;
  • Received 25 nominations for the 2014 Bodybuilding.com Supplement Awards. Categories for consideration include the prestigious Brand of the Year award for both the MusclePharm and Arnold Schwarzenegger brands. Nominees were chosen based on sales performance on Bodybuilding.com; and,
  • Added Gregory Macosko to the Board of Directors and named him as Chairman of the Audit Committee. Macosko is also on the Board of Montrose Advisors and is a retired partner and portfolio manager of Lord Abbet's Small Cap Value Fund.

2014 Six-Month Results

The following comparison refers to results for the first six months of 2014 versus the first six months of 2013.

Net sales increased 102 percent to $96.9 million from $48.0 million last year.

Net sales by distribution channel were as follows:

  • Food, Drug and Mass (FDM), a new distribution channel for MusclePharm in 2014, accounted for $10.2 million of the Company's sales increase;

  • International increased $22.7 million, or 148 percent, to $38.0 million compared with $15.3 million during the same period last year; and,

  • Specialty, which includes distributors and online retailers, grew by $10.6 million, or 33 percent, to $42.8 million compared with $32.2 million last year.

Gross profit was $33.5 million, compared with $16.1 million last year. As a percentage of net sales, gross profit was 34.6 percent, compared with 33.5 percent last year.

Operating expenses as a percentage of net sales decreased to 31.6 percent, compared with 40.7 percent last year.

Net income was approximately $3.1 million, or $0.27 per diluted share, compared with a net loss of approximately $9.8 million, or $1.72 per share, for the same period last year.

At June 30, 2014, the company had approximately $3.8 million in cash.

2014 Full-Year Guidance

MusclePharm is increasing its full-year guidance for 2014 as follows:

  • 2014 full-year net sales of approximately $185 to $195 million

  • Diluted earnings per share in the range of $0.45 - $0.50

MusclePharm has provided this outlook based on assumptions of weighted average diluted shares outstanding of 12.6 million for the year.

"With new and growing retail relationships, an increased international presence, and development of additional brands, products and extensions backed by some of the world's most accomplished athletes, we believe that MusclePharm is emerging as a lifestyle brand that has broad and diverse appeal," Pyatt added.

2014 Second Quarter Conference Call Information

When:      Tuesday, August 5
Time:      8:30 a.m. Eastern Time
Phone:     1-877-407-9126 (domestic)
           1-201-493-6751 (international)

A live webcast will be available online on MusclePharm's website at http://ir.musclepharmcorp.com, where it will be archived for one year.

An audio replay of the conference call will be available through midnight August 12 by dialing 877-407-9126 from the U.S. or Canada, or 201-612-7415 from international locations, passcode 13581597.

About MusclePharm

MusclePharm® is a scientifically driven, performance-lifestyle company that currently develops, manufactures, markets and distributes branded nutritional supplements. The company offers a complete range of powders, capsules, tablets and gels. Its portfolio of recognized brands, including MusclePharm® Hybrid and Core Series, Arnold Schwarzenegger Series™ and FitMiss™, are marketed and sold in more than 110 countries and available in more than 35,000 retail outlets globally. These clinically-proven and scientific nutritional supplements are developed through a six-stage research process utilizing the expertise of leading nutritional scientists, doctors and universities. We believe that MusclePharm is the innovator of the sports nutrition industry. For more information, visit www.musclepharm.com.

Follow the company at http://www.facebook.com/MusclePharm and www.Twitter.com/MusclePharm

To sign up to receive MusclePharm news via email, please visit http://ir.musclepharmcorp.com/email-alerts

Forward-Looking Statements
This release contains forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities and Exchange Act of 1934, as amended. Statements that are not a description of historical facts constitute forward-looking statements and may often, but not always, be identified by the use of such words as "expects", "anticipates", "intends", "estimates", "plans", "potential", "possible", "probable", "believes", "seeks", "may", "will", "should", "could" or the negative of such terms or other similar expressions. Actual results may differ materially from those set forth in this release due to the risks and uncertainties inherent in the Company's business. More detailed information about the Company and the risk factors that may affect the realization of forward-looking statements is set forth in the Company's Annual Report on Form 10-K for the fiscal year ended December 31, 2012, the Company's Quarter Reports on Form 10-Q and other filings submitted by the Company to the SEC, copies of which may be obtained from the SEC's website at www.sec.gov. Readers are cautioned not to place undue reliance on these forward-looking statements, which speak only as of the date hereof. All forward-looking statements are qualified in their entirety by this cautionary statement and the Company undertakes no obligation to revise or update this release to reflect events or circumstances after the date hereof.



                          MusclePharm Corporation
                       Condensed Financial Statements

                                                 For the Three Months Ended
                                                          June 30,
                                                         (unaudited)
                                                 --------------------------
                                                     2014          2013
                                                 ------------  ------------
Net sales                                        $ 46,739,987  $ 25,480,059
Cost of goods sold                                 31,093,224    17,566,718
                                                 ------------  ------------
Gross profit                                       15,646,763     7,913,341
Operating expenses                                 15,167,248    10,654,272
                                                 ------------  ------------
Income (loss) from operations                         479,515    (2,740,931)
Other income (expense)                                (71,187)      319,123
                                                 ------------  ------------
Net income (loss)                                $    408,328  $ (2,421,808)
                                                 ============  ============

Earnings per share - basic                       $       0.04  $      (0.34)
Earnings per share - diluted                     $       0.03  $      (0.34)

                                                  For the Six Months Ended
                                                          June 30,
                                                         (unaudited)
                                                 --------------------------
                                                     2014          2013
                                                 ------------  ------------
Net sales                                        $ 96,949,441  $ 48,041,226
Cost of goods sold                                 63,429,609    31,963,124
                                                 ------------  ------------
Gross profit                                       33,519,832    16,078,102
Operating expenses                                 30,616,428    19,540,512
                                                 ------------  ------------
Income (loss) from operations                       2,903,404    (3,462,410)
Other income (expense)                                241,158    (6,321,379)
                                                 ------------  ------------
Net income (loss)                                $  3,144,562  $ (9,783,789)
                                                 ============  ============

Earnings per share - basic                       $       0.30  $      (1.72)
Earnings per share - diluted                     $       0.27  $      (1.72)



                           MusclePharm Corporation
                       Condensed Financial Statements
                                                                December 31,
                                                 June 30, 2014      2013
                                                  (unaudited)    (audited)
                                                 ------------- -------------
                     Assets
Current assets                                   $  50,547,702 $  44,526,480
Property and equipment - net                         6,221,261     2,613,584
Intangible assets - net                              6,732,532       155,165
Other assets                                         3,431,423     4,862,467
                                                 ------------- -------------
Total assets                                     $  66,932,918 $  52,157,696
                                                 ============= =============
      Liabilities and Stockholders' Equity
Current liabilities                                 28,473,117    32,368,521
Long term liabilities                                  366,378        54,639
                                                 ------------- -------------
Total liabilities                                   28,839,495    32,423,160
Total stockholders' equity                          38,093,423    19,734,536
                                                 ------------- -------------
Total Liabilities and Stockholders' Equity       $  66,932,918 $  52,157,696
                                                 ============= =============

More Stories By Marketwired .

Copyright © 2009 Marketwired. All rights reserved. All the news releases provided by Marketwired are copyrighted. Any forms of copying other than an individual user's personal reference without express written permission is prohibited. Further distribution of these materials is strictly forbidden, including but not limited to, posting, emailing, faxing, archiving in a public database, redistributing via a computer network or in a printed form.

Latest Stories
Advances in technology and ubiquitous connectivity have made the utilization of a dispersed workforce more common. Whether that remote team is located across the street or country, management styles/ approaches will have to be adjusted to accommodate this new dynamic. In his session at 17th Cloud Expo, Sagi Brody, Chief Technology Officer at Webair Internet Development Inc., will focus on the challenges of managing remote teams, providing real-world examples that demonstrate what works and what...
eCube Systems has released NXTmonitor, a full featured application orchestration solution. NXTmonitor, which inherited the code base of NXTminder, has been extended to support multi-discipline processes and will act as a DevOps utility in a heterogeneous enterprise environment. Previously, NXTminder was packaged with NXTera middleware to configure and manage Entera and NXTera RPC servers. “Since we are widening the focus of this solution to DevOps, we felt the need to change the name to NXTmon...
SYS-CON Events announced today that the "Second Containers & Microservices Expo" will take place November 3-5, 2015, at the Santa Clara Convention Center in Santa Clara, CA. Containers and microservices have become topics of intense interest throughout the cloud developer and enterprise IT communities.
DevOps Summit, taking place Nov 3-5, 2015, at the Santa Clara Convention Center in Santa Clara, CA, is co-located with 17th Cloud Expo and will feature technical sessions from a rock star conference faculty and the leading industry players in the world. The widespread success of cloud computing is driving the DevOps revolution in enterprise IT. Now as never before, development teams must communicate and collaborate in a dynamic, 24/7/365 environment. There is no time to wait for long development...
The 17th International Cloud Expo has announced that its Call for Papers is open. 17th International Cloud Expo, to be held November 3-5, 2015, at the Santa Clara Convention Center in Santa Clara, CA, brings together Cloud Computing, APM, APIs, Microservices, Security, Big Data, Internet of Things, DevOps and WebRTC to one location. With cloud computing driving a higher percentage of enterprise IT budgets every year, it becomes increasingly important to plant your flag in this fast-expanding bu...
SYS-CON Events announced today that IceWarp will exhibit at the 17th International Cloud Expo®, which will take place on November 3–5, 2015, at the Santa Clara Convention Center in Santa Clara, CA. IceWarp, the leader of cloud and on-premise messaging, delivers secured email, chat, documents, conferencing and collaboration to today's mobile workforce, all in one unified interface
In 2014, the market witnessed a massive migration to the cloud as enterprises finally overcame their fears of the cloud’s viability, security, etc. Over the past 18 months, AWS, Google and Microsoft have waged an ongoing battle through a wave of price cuts and new features. For IT executives, sorting through all the noise to make the best cloud investment decisions has become daunting. Enterprises can and are moving away from a "one size fits all" cloud approach. The new competitive field has ...
The web app is agile. The REST API is agile. The testing and planning are agile. But alas, data infrastructures certainly are not. Once an application matures, changing the shape or indexing scheme of data often forces at best a top down planning exercise and at worst includes schema changes that force downtime. The time has come for a new approach that fundamentally advances the agility of distributed data infrastructures. Come learn about a new solution to the problems faced by software organ...
SYS-CON Events announced today that Micron Technology, Inc., a global leader in advanced semiconductor systems, will exhibit at the 17th International Cloud Expo®, which will take place on November 3–5, 2015, at the Santa Clara Convention Center in Santa Clara, CA. Micron’s broad portfolio of high-performance memory technologies – including DRAM, NAND and NOR Flash – is the basis for solid state drives, modules, multichip packages and other system solutions. Backed by more than 35 years of tech...
Skeuomorphism usually means retaining existing design cues in something new that doesn’t actually need them. However, the concept of skeuomorphism can be thought of as relating more broadly to applying existing patterns to new technologies that, in fact, cry out for new approaches. In his session at DevOps Summit, Gordon Haff, Senior Cloud Strategy Marketing and Evangelism Manager at Red Hat, discussed why containers should be paired with new architectural practices such as microservices rathe...
SYS-CON Events announced today the Containers & Microservices Bootcamp, being held November 3-4, 2015, in conjunction with 17th Cloud Expo, @ThingsExpo, and @DevOpsSummit at the Santa Clara Convention Center in Santa Clara, CA. This is your chance to get started with the latest technology in the industry. Combined with real-world scenarios and use cases, the Containers and Microservices Bootcamp, led by Janakiram MSV, a Microsoft Regional Director, will include presentations as well as hands-on...
SYS-CON Events announced today that Pythian, a global IT services company specializing in helping companies leverage disruptive technologies to optimize revenue-generating systems, has been named “Bronze Sponsor” of SYS-CON's 17th Cloud Expo, which will take place on November 3–5, 2015, at the Santa Clara Convention Center in Santa Clara, CA. Founded in 1997, Pythian is a global IT services company that helps companies compete by adopting disruptive technologies such as cloud, Big Data, advance...
In his session at @ThingsExpo, Lee Williams, a producer of the first smartphones and tablets, will talk about how he is now applying his experience in mobile technology to the design and development of the next generation of Environmental and Sustainability Services at ETwater. He will explain how M2M controllers work through wirelessly connected remote controls; and specifically delve into a retrofit option that reverse-engineers control codes of existing conventional controller systems so the...
With the Apple Watch making its way onto wrists all over the world, it’s only a matter of time before it becomes a staple in the workplace. In fact, Forrester reported that 68 percent of technology and business decision-makers characterize wearables as a top priority for 2015. Recognizing their business value early on, FinancialForce.com was the first to bring ERP to wearables, helping streamline communication across front and back office functions. In his session at @ThingsExpo, Kevin Roberts...
Akana has announced the availability of the new Akana Healthcare Solution. The API-driven solution helps healthcare organizations accelerate their transition to being secure, digitally interoperable businesses. It leverages the Health Level Seven International Fast Healthcare Interoperability Resources (HL7 FHIR) standard to enable broader business use of medical data. Akana developed the Healthcare Solution in response to healthcare businesses that want to increase electronic, multi-device acce...