Medical Nutrition USA reports spike in branded product revenue for 3Q 2008
ENGLEWOOD, N.J. Medical Nutrition USA today announced the results for its third quarter 2008, ended Oct. 31.
The company reported that its branded product revenue jumped 11 percent to more than $3 million, up from $2.7 million on a 26 percent unit sales increase, and offset by price reductions, over 2007’s results.
Medical Nutrition USA said its total sales were steady, increasing about 0.01 percent. The company also said that gross margin remained steady at about 53 percent.
The company reported that its incoming net cash from operating activities was $492,200, compared to $598,600, in 2007. And net loss was reportedly $50,900, compared to a net income of $220,000, or $0.01 per share.
For the nine months ended Oct. 31, Medical Nutrition USA said that its branded product revenue increased 13 percent to $9 million, up from around $8 million for the same time the previous year. Total sales rose 5 percent to around $10 million, up from $9 million for the same time period the previous year, the company said. Gross profit totaled $5. million, comprising 53 percent of sales.
“Our results reflect the ongoing successful implementation of our plan to accelerate market penetration through expansion of our sales force and more aggressive pricing. Unit sales of branded products continue to increase handsomely, growing at 26 percent for the quarter and 28 percent for the nine months as a result of sales to both new and existing customers as well as new products. Private label sales are expected to continue to decline modestly over time as part of our long-term strategy to deemphasize private label sales in favor of branded product sales. Overall, we remain very much on track and are pleased with our performance for the quarter,” chairman and chief executive officer Frank Newman said.
Medical Nutrition USA develops and distributes supplement products, such as Pro-Stat bottled liquid protein and UTI-stat liquid antioxidant supplement for cleansing the urinary tract, for “nutritionally at-risk” patients under longterm care and/or medical supervision.
FDA issues injunction against Wilderness Family Naturals for efficacy claims
ROCKVILLE, Md. The Food and Drug Administration has issued a permanent injunction against a distributor of dietary supplements, salves and conventional foods, alleging that it made false claims of its products’ ability to treat, cure, mitigate and prevent diseases, the FDA said Tuesday.
The agency alleges that Silver Bay, Minn.-based Wilderness Family Naturals claimed benefits for its products against diseases such as cancer, diabetes, heart disease, arthritis, hyperthyroidism, HIV and AIDS.
The company has signed a consent decree prohibiting it from manufacturing or distributing any products with unapproved claims of benefits against disease. The company has agreed to remove disease claims from its products? labels, labeling and Web sites, as well as references to other Web sites that contain such claims.
“The FDA is acting to product the American public from companies making unapproved disease treatment claims for their products,” FDA acting associate commissioner for regulatory affairs Michael Chappell said in a statement. “Claims made by Wilderness Family might distract consumers from seeking products that have been shown to be safe and effective in treating disease.”
Perrigo takes license for Clarinex patents, preps for launch of generic
ALLEGAN, Mich. Perrigo on Thursday announced that all Hatch-Waxman litigation relating to Schering-Plough’s prescription allergy medicine Clarinex (5 mg) has been settled with Perrigo taking a license under all relevant patents.
Under the terms of the settlement, Perrigo can commercially launch its generic desloratadine product on July 1, 2012, or earlier in certain circumstances. The new product launch may be a prescription or over-the-counter product, depending on its status at the time of launch. The Perrigo product is awaiting FDA approval.
Sales for Clarinex were approximately $300 million, according to Wolters Kluwer data for the twelve months ended Oct. 31, provided by Perrigo.