Natrol 2Q hit by industry slowdown
million (€18m) in the second quarter to 30 June 2002, a decrease of
7.4 per cent on the same period last year.
US dietary supplement maker Natrol reported net sales of $17.8 million (€18m) in the second quarter to 30 June 2002, a decrease of 7.4 per cent on the same period last year.
Weaker sales this year were attributed to a general industry slowdown and a continued high rate of returns from realigning the inventory and shelf space in the retail sector.
Net income for the second quarter of 2001 came to $920,000, with net sales of $35.4 million for the six months to the end of June. This marked a decrease of 7.7 per cent from the $38.3 million in net sales reported during the same period in 2001.
Net income for the six month period reached $63,000, a significant drop from $1.6 million for the same period in 2001.
"Significantly, our cash flow has remained strong allowing us to build our cash balances from $5.5 million at year end to $11.2 million at 30 June," said Elliott Balbert, president and chairman of Natrol.
"This reserve gives us substantial strength in facing the challenges ahead. We are focused on developing stronger, broader distribution in multiple business areas and on developing products consumers demand," he added.
Balbert said that the company's Prolab division was to launch a new meal replacement product into the sports nutrition market and that the company was investing in products that "show positive strength in a negative marketplace" such as Complete Balance and Ester-C.