ALAMEDA, Calif., May 15, 2007 (PRIME NEWSWIRE) -- Allergy Research Group, Inc. (OTCBB:ALRG) today announced financial results for the quarter ending March 31, 2007.
ALRG announces revenues of $4,086,717 for the quarter ended March 31, 2007, a decrease of 4% compared to $4,265,527 for the same period last year. The decrease in sales is a result of decreased sales to our distributors and retail customers. Sales to professional accounts also decreased but to a lesser degree. The decrease in sales is affected by the ordering patterns of our customers, as evidenced by an 8% increase in orders placed during April 2007 when compared to 2006. We cannot predict yet what the effect of those increased orders will be on our overall financial results for the second quarter, as orders may continue to fluctuate throughout the period.
Cost of sales decreased $124,724 to $2,505,786 for the quarter ended March 31, 2007, compared to $2,630,510 for the quarter ended March 31, 2006. The decrease corresponds to the decrease in sales. Gross profit margins were approximately 39% for 2007 and 38% for 2006. Gross profit margins increased approximately 1% for the period over period comparison primarily as a result of increased prices on 50 items during February 2007.
Net earnings after tax for March 31, 2007 and 2006 was $281,908 and $325,683, respectively. The decrease is due primarily to decreased sales and increased operating expenses.
Complete copies of the company's financial statements, including notes to the financials, can be found on its website at www.nutricology.com.
About Allergy Research Group, Inc.
Allergy Research Group, Inc. is an innovative leader in nutraceutical research and product formulation. Since its inception in 1979, the company has been noted for quality, hypoallergenic nutritional supplements and supplies products to physicians and healthcare practitioners worldwide.
The Allergy Research Group, Inc. logo is available at http://www.primezone.com/newsroom/prs/?pkgid=2517
Except for historical information contained herein, this release contains, within the meaning of the safe harbor provisions of the Private Securities Litigation Reform Act of 1995, forward-looking statements that are based on management's beliefs and assumptions, current expectations, estimates and projections. Many of the factors that will determine the Company's financial results are beyond the ability of the Company to control or predict. These statements are subject to risks and uncertainties and therefore actual results may differ materially. The Company disclaims any obligation to update any forward-looking statements whether as a result of new information, future events, or otherwise. Important factors and risks that may affect future results include but are not limited to: the impact of competitive products, changes in law and regulations, adequacy and availability of insurance coverage, availability of raw materials, dependence on distributors and customers, dependence on key personnel, litigation, limitations on future financing, the effect of adverse publicity, uncertainties relating to acquisitions, managing and maintaining growth, customer demands, as well as other risks and uncertainties that are described from time to time in the Company's filings with the Securities and Exchange Commission, copies of which are available upon request from the Company's investor relations department or via the SEC's website located at www.sec.gov.