Human Pheromone Sciences Announces Third Quarter Results
14 November 2003 - 9:00AM
PR Newswire (US)
Human Pheromone Sciences Announces Third Quarter Results
(Continuing Operations Revenue Increases 38% and Loss Declines 51%)
SAN JOSE, Calif., Nov. 13 /PRNewswire-FirstCall/ -- Human Pheromone
Sciences, Inc. (BULLETIN BOARD: EROX) ("HPS" or "the Company")
today announced results for the third quarter ended September 30,
2003. As a result of the April 14, 2003 sale of its REALM(R) and
innerREALM(R) trademarks and related assets, the reported financial
data for the current year include information for both the on-going
business and for the assets being sold. The prior year financial
data have been restated to conform to the current year financial
presentation. Net sales from on-going operations of $227,000,
represented a 38% increase from the restated sales of $165,000 in
the prior year period, and resulted in a loss from on-going
operations of $108,000 ($.03 per share) as compared with a loss
from on-going operations of $222,000 ($.07 per share) for the same
period of 2002. For the nine months ended September 30, 2003, net
sales from on-going operations were $506,000, representing an 11%
increase from the restated sales of $456,000 in the prior year
period, and resulted in a loss from on-going operations of $406,000
($.11 per share) as compared with a loss from on-going operations
of $653,000 ($.19 per share) for the same period of 2002. For the
quarter ended September 30, 2003, there was no net income from
assets sold ($.00 per share), as compared with $134,000 income
($.04 per share) generated by this sector of the business in the
third quarter of 2002. The net gain on the sale of the REALM and
innerREALM assets for the nine-month period of the current year was
$1,218,000. For the nine- month period, net income from disposed
assets was $79,000 in the current year as compared with $481,000 in
the prior year nine months. "The sale of the REALM and innerREALM
business earlier this year provided HPS with the additional
financial resources to expand business development efforts and
establish an internal research and development program. Business
development has been active during the past quarter and dedicated
research and development efforts will be expanded in the final
quarter of the year. It is gratifying to see another quarterly
increase in revenues from continuing operations and a concurrent
decrease in the net loss emanating from our on- going business, the
Company indicated. We are pleased with the continued growth of our
Natural Attraction(R) product line and the expansion of private
label opportunities for our patented technology," the Company
spokesman noted. Human Pheromone Sciences, Inc. is a
technology-based company, whose proof- of concept products included
prestige-priced fragrances and toiletries and environmental
products sold under the REALM(R), innerREALM(R), EROX(R) and
Natural Attraction(R) trademarks. These initial products contain
mood- enhancing compounds covered under U.S. and foreign patents.
Scientific and consumer studies have shown that the Company's
patented technology positively impact on the moods, attitudes and
emotions of consumers. Further information is available on line at
http://www.naturalattraction.com/. The statements in this news
release may contain forward-looking statements that involve risks
and uncertainties that could cause results to differ from predicted
results. Further information on factors that could affect the
Company's results is detailed in the Company's annual report to
shareholders on Form 10-KSB for the year ended December 31, 2002
and quarterly report on Form 10-QSB for the quarter and nine months
ended September 30, 2003, as filed with the Securities and Exchange
Commission. The Company undertakes no obligation to publicly
release the result of any revisions to these forward- looking
statements. HUMAN PHEROMONE SCIENCES, INC. Condensed Balance Sheets
(Unaudited) (Dollars in thousands) September 30, December 31, 2003
2002 Assets Cash and cash equivalents $1,860 $1,394 Accounts
receivable, net 250 249 Inventories 68 151 Assets to be sold -- 493
Other current assets 46 10 Property and equipment, net 9 5 Product
licenses 50 50 Total $2,283 $2,352 Liabilities, convertible
redeemable preferred stock and shareholders' deficit Accounts
payable $ 39 $ 186 Liabilities associated with assets to be Sold --
330 Other current liabilities 133 110 Convertible redeemable
preferred stock 150 3,706 Common stock 20,717 17,667 Accumulated
deficit (18,756) (19,581) Foreign currency translation -- (66)
Total $2,283 $2,352 HUMAN PHEROMONE SCIENCES, INC. Condensed
Statements of Operations (Unaudited) (Dollars in thousands, except
per-share data) Three months ended Nine months ended September 30,
September 30, 2003 2002 2003 2002 Net sales and revenues $227 $165
$506 $456 Cost of goods sold 73 54 157 135 Research and development
11 80 18 242 Selling, general and administrative 276 270 803 759
(Loss) from operations (133) (239) (472) (680) Other income 24 17
32 27 Tax benefit from ongoing operations 1 -- 34 -- (Loss) from
continuing operations (108) (222) (406) (653) Net income from
disposed operations -- 134 79 481 Net gain (loss) on sale of assets
(8) -- 1,218 -- Net income (loss) $(116) $(88) $891 $(172) Basic
earnings (loss) per share: From on-going operations $(0.03) $(0.07)
$(0.11) $(0.19) From disposed operations $(0.00) $0.04 $0.02 $0.14
From assets to be sold $0.00 $0.00 $0.33 $0.00 Net income (loss)
$(0.03) $(0.03) $0.24 $ (0.05) Diluted earnings (loss) per share:
From on-going operations $(0.03) $(0.07) $ (0.09) $(0.19) From
disposed operations $(0.00) $0.04 $0.02 $0.14 From assets to be
sold $0.00 $0.00 $0.26 $0.00 Net income (loss) $(0.03) $(0.03)
$0.19 $ (0.05) Weighted average number of shares outstanding -
Basic 4,028 3,430 3,717 3,430 Weighted average number of shares
outstanding - Assuming dilution 4,028 3,430 4,731 3,430 Net income
(loss) per share is based on the weighted average number of common
shares and common equivalents outstanding during each period.
Certain common stock equivalents are excluded when their effect
would be anti-dilutive. DATASOURCE: Human Pheromone Sciences, Inc.
CONTACT: William P. Horgan, Chairman, CEO of Human Pheromone
Sciences, Inc., +1-408-938-3030 Web site:
http://www.realmfragrances.com/
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