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8-K - CURRENT REPORT - CBA Florida, Inc. | cbai_8k.htm |
Exhibit
99.1
Cord Blood America Reports 2017 First Quarter Results
May 15, 2017 - Cord Blood America, Inc. (www.cordblood-america.com)
(OTC Bulletin Board: CBAI) ("CBAI" or the "Company") today
announced financial results for the first quarter ended March 31,
2017.
First Quarter Highlights Include:
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Total
revenue for the first quarter was $0.75 million, a decrease of
24.4% from total revenue of $0.99 million for the first quarter
2016.
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Recurring
storage revenue for the first quarter 2017 was $0.66 million, a
decrease of 2.0% from recurring storage revenue of $0.67 million
for the first quarter 2016.
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EBITDA
for the first quarter 2017 was $0.16 million, an increase of 100.3%
from EBITDA of $0.08 million for the first quarter
2016.
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Results of Operations for the Three-Months Ended March 31,
2017
For the
three months ended March 31, 2017, total revenue was $0.75 million,
a decrease of $0.24 million or 24.4% from $0.99 million in first
quarter 2016. Of the $0.24 million
decrease, approximately $0.17 million was attributable to the
ceasing of orders in March 2016 within the tissue procurement
business and approximately $0.03 million was attributable to the
reduction in storage and processing revenue from a previously
terminated agreement with a third party. The discontinuation of
storage revenue from the third party accounted for the decline in
the Company’s recurring storage revenue in the
quarter.
Gross
Profit for the three months ended March 31, 2017 was $0.58 million,
a decrease of $0.07 million or 11.0% from $0.65 million in first
quarter 2016. Of the $0.07 million
decrease, approximately $0.06 million was attributable to the
tissue procurement business, and approximately $0.03 million was
attributable to the reduction in storage and processing revenue
from the third party, offset by reductions made by the Company in
cost of goods sold.
Gross Margin for the three months ended March 31, 2017 was 77.1%
compared to 65.5% in first quarter 2016. Gross margin increased due
to the reduction in revenue from lower margin business and
reductions made by the Company in cost of goods sold.
Net
Income for the three months ended March 31, 2017 was $0.12 million
compared to a loss of $0.008 million in first quarter
2016.
EBITDA for the three months ended March 31, 2017 was $0.16 million,
an increase of $0.08 million or 100.3% from $0.08 in first quarter
2016 despite the reduction in revenue as the Company continues to
reduce costs.
David
Sandberg, Chairman of the Board, commented, “The business is
performing in line with our guidance from last quarter, and sits on
net cash of approximately $0.5 mm while continuing to generate
cash. Organic growth has been flattish, but with the balance
sheet now healthy and visibility of positive ongoing cash
generation, we expect to evaluate high ROI opportunities to spur
growth.”
Non-GAAP Measures
In addition to the GAAP financial measures set forth in this press
release, the Company has included the non-GAAP measurement EBITDA
which presents operating results on a basis adjusted for
depreciation, amortization, interest expense and taxes. The Company
uses this non-GAAP measure as a key performance measure for the
purpose of evaluating performance internally. The Company also
believes this non-GAAP measure provides our investors with useful
information regarding our operating results. This non-GAAP measure
is not intended to replace the presentation of our financial
results in accordance with GAAP. Use of the term EBITDA may differ
from similar measures reported by other companies.
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About Cord Blood America, Inc.
Cord Blood America, Inc. is the parent company of CorCell
Companies, Inc. which, along with Cord Blood America, Inc.,
facilitates umbilical cord blood and cord tissue stem cell
processing and storage for expectant parents and their
children. Collected through a safe and non-invasive
process, cord blood stem cells offer a powerful and potentially
life-saving resource for treating a growing number of ailments,
including cancer, leukemia, blood, and immune disorders. To find
out more about Cord Blood America, Inc. and CorCell Companies,
Inc., visit our websites: http://www.cordblood-america.com/ for
investor information and http://www.corcell.com/ for customer
information.
Forward-Looking Statements
Some statements made in this press release are forward-looking
statements. We use words such as "anticipate," "believe,"
"expect,'' "future," "intend," "plan," and similar expressions to
identify forward-looking statements. These statements including
those related to the growth of the industry, new stem cell
treatments, and Cord Blood America's performance, are only
predictions and are subject to certain risks, uncertainties and
assumptions. Additional risks are identified and described in the
Company's public filings with the Securities and Exchange
Commission. Statements made herein are as of the date of this press
release and should not be relied upon as of any subsequent date.
The Company's past performance is not necessarily indicative of its
future performance. The Company does not undertake, and the Company
specifically disclaims any obligation to update any forward-looking
statements to reflect occurrences, developments, events, or
circumstances after the date of such statement.
Investor
Contact:
Anthony Snow
asnow@cordblood-america.com
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