ChromaDex slips into profit in first quarter
The phytochemical reference standards and contract testing services company recorded revenues of $1,937,592 for the quarter ended April 3 2010, compared to $1,447,127 for the same period in 2009.
This pushed this firm’s performance into a profit for the start of the year, compared to the loss recorded in last year’s first quarter and full year results. This was partly a result of higher sales as well as a cut-back in employee and other overhead costs as a percentage of sales.
Net income attributable to common stockholders for the quarter was $33,742 as compared to a net loss of $323,842 for the same period in 2009.
According to Frank Jaksch, CEO and co-founder of ChromaDex, the growth of the firm’s core business as well as its recent launch of the ingredient pTeroPure places it in an “ideal position” to work with food, beverage and supplement manufacturers.
pTeroPure is an ingredientwith similar properties to resveratrol, which ChromaDex launched last month after obtaining commercial rights to the biological compound from the University of Mississippi and the US Agriculture Research Service (ARS).
It is made with the compound pterostilbene, which is found in blueberries, grapes and other small fruits.
Pterostilbene is chemically related to resveratrol, and according to ChromaDex, it has shown promise for improving cardiovascular health, glucose levels, and cognitive function.
ChromaDex CEO Frank Jaksch told NutraIngredients-USA.com last month that the company has licensed patents related to cholesterol control, diabetes, and oxidative stress.
Comparing pterostilbene to resveratrol, Jaksch said they are very similar but the former has the advantage of metabolising at a slower rate in the body giving it more opportunity to be absorbed into the blood stream.
ChromaDex said research also indicates that the two can work well together and may be more effective in combination than as separate entities. Jaksch said research suggests that one picks up where the other falls down and visa versa.
In December, ChromaDex secured a $1m investment from Hong Kong firm Jinke Group, allowing it to continue its expansion plans.
Moving into fiscal 2010, the firm received a major boost at the beginning of March, when it won a five-year contract to supply federal agencies with scientific services.