OraLabs results rocket on strong sales
strong sales of breath-freshening products as well as its other
core oral care and lip balm products.
The company's share price have jumped significantly after it published its latest results last Friday. Sales for the second quarter grew by 73 per cent for the quarter to reach $4.40m compared to the same period last year.
OraLabs said that the increase in sales was mainly attributable to increase in customer demand, coupled with higher sales at the retail level during the trading period.
In turn net profits jumped to $453,992 for the quarter, compared to a loss of $2,926 in the corresponding quarter of 2005.
For the full six month period and first half of the year sales came in at $8.91m, up from $6.12m in the first six months of 2005, while net profit broke away from the $18,590 loss reported for the first half of 2005 to record a positive figure of $787,887.
The results show how the company has shrugged off a difficult year characterized by sluggish sales, turning it into a positive peformance on the back of a strategic marketing plan that focuses on niche, targeted products.
In April this year the company issued a trade alert, asserting that the company's performance for the first quarter had been extremely positive and that the outlook for the rest of the year looked strong.
OraLabs has focused its attentions on particular niche oral care and personal care products that are currently contributing to major market growth.
In the oral care category the company markets its Ice Drops range, which includes sprays and mouthwashes that are targeted at the youth market. For some time now market experts have been predicting that growth in the largely stagnant oral care sector will be driven by innovative niche products, such as this.
Likewise the company has also experienced strong sales in its expansivr range of attention-grabbing lip balms, including lines such as Lip Naturals, Extra Lip Moisturizer and Lip Rageous.
The investment world also thinks that OraLabs is on the right path, after shares rose 81 per cent on the first day of trading following the results, to reach $6.02 a share.
