Margins in the third quarter were helped by improvements in its cultivation processes, said Cyanotech.
The Hawaiian firm just recently managed to stave off a delisting from the Nasdaq SmallCap market, meeting requirements for the bid price of $1 per share for a consecutive 10 days in December.
Net sales for the first nine months of fiscal 2004, up to $8,292,000 from $6,524,000 for the previous year's period, were driven by increased sales in bulk astaxanthin, said the firm.
For the third quarter of fiscal 2004 the company reported net income of $109,000, or $0.01 per diluted share, on sales of $3,024,000, compared to a net loss of $180,000, or ($0.01) per diluted share, for the comparable prior year period. Net sales for the quarter were up 6 per cent on the prior quarter and 22 per cent on the previous year's period.
The voluntary conversion of a $1,250,000 convertible debenture to common stock in December 2003 has also reduced long-term liabilities and increased net equity, said the company.
Gerald R. Cysewski, chairman and president and CEO, said: "Our focus on all-around improvement in our operations has been validated by demonstrating sequential growth in sales, improved gross profit margins, increasing cash balances and profitability."
