Innovative Food Holdings Announces Second Quarter 2016 Financial Results

BONITA SPRINGS, FL--(Marketwired - Aug 15, 2016) -  Innovative Food Holdings, Inc. (OTCQB: IVFH) today reported financial results for the second quarter and six months ended June 30, 2016.

Financial Highlights:

• Revenue for the second quarter of $8.3 million, an increase of approximately 9% compared to $7.6 million in Q2 2015
• Six month 2016 revenue increased 15% to $16.3 million as compared to $14.2 million for the same period in 2015
• GAAP Net Income increased over 300% to $575,000 compared to $135,000 in Q2 2015
• Fully Diluted GAAP EPS increased by 300% to $0.02 per share compared to $0.005 in Q2 2015
• Cash EBITDA (EBITDA excluding stock related expenses) increased by over 10% to $1.03 million vs $923,000 in Q2 2015

Sam Klepfish, CEO of Innovative Food Holdings, commented, "We are pleased that we were able to drive record top and bottom line results. As we enter the second half of 2016 we will continue to focus on driving sustainable sales and profitability growth, and towards increasing inherent value for IVFH shareholders."

Three Months Ended

Revenue for the second quarter of 2016 was $8.3 million, up approximately 9% as compared to $7.6 million in the second quarter of 2015. Adjusted net income (net income excluding amortization and stock related expenses) increased to $968,000 vs $893,000 in Q2 of 2015. Adjusted fully diluted EPS (see table) increased to $0.03 compared to $0.027 in the second quarter of 2015. Cash EBITDA increased over 10% to $1.03 million compared to $923,000 in the second quarter of 2015. 

Six Months Ended

Revenue for the first six months of 2016 was $16.3 million, up approximately 15% as compared to $14.2 million for the first six months of 2015. Adjusted net income increased approximately 15% to $1.75 million vs $1.52 million in first six months of 2015. Adjusted fully diluted EPS increased to $0.055 compared to $0.049 for the first six months of 2015. Cash EBITDA increased over 20% to $1.89 million compared to $1.57 million in the first six months of 2015.

Conference call information:

The Conference call will take place on Monday, August 15, 2016 at 5:00 p.m. ET. The toll-free dial in number is 1-888-401-4669 and the international dial-in number is 1-719-457-2085 Conference ID: 3933215. Please call the conference telephone number 5-10 minutes prior to the start time. An operator will register your name and organization. The conference call will be broadcast live and will be available for replay until August 22, 2016 at http://public.viavid.com/index.php?id=120818

About Innovative Food Holdings
Innovative Food Holdings' (OTCQB: IVFH) industry-leading specialty food platforms in the foodservice and consumer markets provide chefs and consumers direct access to the highest quality specialty food products across the United States.

In the direct-to-chef foodservice market, Innovative Food Holdings' automated direct-to-chef platform offers efficient, cost effective, and transparent direct sourcing and distribution of over 7,000 specialty food products delivered daily, to thousands of chefs nationwide.

Forward-Looking Statements

This release contains certain forward-looking statements and information relating to Innovative Food Holdings, Inc. (the "Company") that are based on the current beliefs of the Company's management, as well as assumptions made by, and information currently available to, the Company. Such statements reflect the current views of the Company with respect to future events and are subject to certain assumptions, including those described in this release. Should one or more of these underlying assumptions prove incorrect, actual results may vary materially from those described herein as "should," "could," "anticipate," "believe," "intend," "plan," "might," "potentially" or "expect." The Company does not intend to update these forward-looking statements.

		Three Month Ended June 30						Six Month Ended June 30
Continuing Operations		2016			2015			2016			2015
Adjusted Operating Income and EPS
Revenue			8,303,227			7,633,650			16,318,568			14,210,498
Net Income (Loss)			575,263			135,703			955,909			(7,244	)
Amortization of Intangible Assets (1)			65,817			75,788			131,634			151,576
Amortization of Discount on NP (2)			92,509			99,157			185,018			198,314
Stock Related Expenses (3)			235,288			582,436			477,893			1,178,225
Adjusted Net Income			968,877			893,084			1,750,454			1,520,871
Weighted Average Pro Forma Fully Diluted Shares Outstanding (4)			31,883,014			32,850,968			31,839,607			31,293,252
Adjusted Fully Diluted EPS (4)		$	0.030		$	0.027		$	0.055		$	0.049
		Three Month Ended June 30						Six Month Ended June 30
Cash EBITDA		2016			2015			2016			2015
Net Income (Loss)			575,263			135,703			955,909			(7,244	)
Interest			20,380			12,292			59,520			22,254
Depreciation & Amortization			111,669			93,527			213,845			184,829
Stock Related Expenses (3)			235,288			582,436			477,893			1,178,225
Amortization of Discounts (2)			92,509			99,157			185,018			198,314
Cash EBITDA		$	1,035,109		$	923,115		$	1,892,185		$	1,576,378

(1)	Includes non cash amortization charges related to assets acquired
(2)	Includes non cash amortization charges mainly associated with the GAAP recording of the discount on certain notes
(3)	Includes stock and options based compensation and expenses
(4)	Fully diluted adjusted GAAP EPS via treasury stock method without add-back to income for any expenses related to the converted or exercised securities