Ocean Bio-Chem, Inc. Reports First Quarter 2019 Results
First Quarter Record Sales of $9.1 Million, an 8.3% Increase over the Prior Year Period
First Quarter Record Net Income of $715,000, a 37% Increase Over the Prior Year Period
First Quarter Earnings Per Share (Basic and Diluted) of $0.08 Compared to $0.06 in the Prior Year Period
FORT LAUDERDALE, Fla., May 15, 2019 /PRNewswire/ — Ocean Bio-Chem, Inc. (NASDAQ: OBCI) announced today its first quarter 2019 financial results.
For the first quarter of 2019, the Company reported record net sales of approximately $9.1 million, an increase of approximately $697,000, or 8.3%, over net sales of approximately $8.4 million in the first quarter of 2018.
Net income for the first quarter of 2019 was approximately $715,000, a first quarter record and an increase of approximately $192,000, or 37%, over net income for the first quarter of 2018. Basic and diluted earnings per share in the first quarter of 2019 were $0.08, compared to $.06 per share in the first quarter of 2018.
Peter Dornau, the Company’s President and Chief Executive Officer commented: “We had a very strong first quarter. Our achievement of record net sales was principally due to increased sales of our Star brite® marine products. We believe that demand for these products by retailers and consumers reflects the quality of the products, which has led consumers to look to Star brite® for their marine and other maintenance and appearance needs. In addition, we believe that our continued investment in advertising has further increased consumer awareness of our products.”
Mr. Dornau continued: “Our record net sales were a key contributor to our record first quarter net income. We also benefitted from higher gross margins, as our mix of sales during the quarter included a greater proportion of our higher margin Star brite® marine products. The net income increase also reflects a reduction in the provision for income taxes, primarily resulting from federal tax legislation enacted in 2017.”
Mr. Dornau concluded: “From our perspective halfway through the second quarter of 2019, our business remains strong. We are cautiously optimistic that demand for our products will continue as we approach the warmer late spring and summer months.”
About Ocean Bio-Chem, Inc.:
Ocean Bio-Chem, Inc. manufactures, markets and distributes a broad line of appearance and maintenance products for the marine, automotive, power sports, recreational vehicle and outdoor power equipment markets under the Star brite®, Star Tron®, Outdoor Collection and other brand names within the United States of America and Canada. In addition, the Company produces private label formulations of many of its products for various customers and provides custom blending and packaging services for these and other products. The Company also manufactures, markets and distributes a line of disinfectant, sanitizing and deodorizing products under the Star brite® and Performacide® brand names.
Certain statements contained in this press release, including without limitation, continued demand for our products, are forward-looking statements. For this purpose, any statements contained in this release that are not statements of historical fact may be deemed to be forward-looking statements. Without limiting the generality of the foregoing, words such as “believe,” “may,” “will,” “expect,” “anticipate,” “intend,” or “could,” including the negative or other variations thereof or comparable terminology, are intended to identify forward-looking statements. These statements are subject to known and unknown risks, uncertainties and other factors that may cause actual results to be materially different from those expressed or implied by such forward-looking statements. Factors that may affect these results include, but are not limited to, the highly competitive nature of our industry; reliance on certain key customers; changes in consumer demand for marine, recreational vehicle and automotive products; expenditures on, and the effectiveness of, our advertising and promotional efforts; unanticipated litigation developments; exposure to market risks relating to changes in interest rates, foreign currency exchange rates and prices for raw materials that are petroleum or chemical based; adverse changes to unemployment rates, fuel prices and the economy in general; and other factors addressed in our annual report on Form 10-K for the year ended December 31, 2018.
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SOURCE Ocean Bio-Chem, Inc.