EX-99 3 prerel2nd04.txt Exhibit 99.1 August 6, 2004 Direct Inquiries To: Paul O. Koether, Chairman (908) 234-9220 PURE WORLD ANNOUNCES SECOND QUARTER RESULTS BEDMINSTER, NEW JERSEY - PURE WORLD, INC., (PURW - NASDAQ) today announced that revenues for the quarter ended June 30, 2004 were $10,488,000 with net income of $1,139,000 ($.14 per share) compared to revenues of $4,493,000 with a net loss of $383,000 ($.05 per share) for the quarter ended June 30, 2003. For the six months ended June 30, 2004, revenues were $18,103,000 with net income of $1,341,000 ($.17 per share) compared to revenues of $12,066,000 and net income of $309,000 ($.04 per share) for the six months ended June 30, 2003. Paul O. Koether, Chairman, stated that the dramatic increase in sales was due primarily to the introduction of several new products. One new product accounted for approximately $8 million in sales to one customer for the six months ended June 30, 2004. There can be no assurance that sales of this product will continue or that this customer will result in significant business in the future, however the Company continues to develop new products and pursue new opportunities. Sales of extracts in July were disappointing. The Company is not able to determine if July was an anomaly or the beginning of an unfavorable trend. Historically, results for the Company have varied widely between quarters. Pure World has 8,137,744 shares of common stock outstanding. This Press Release contains forward-looking statements which may involve known and unknown risks, uncertainties and other factors that may cause the Company's actual results and performance in future periods to be materially different from any future results or performance suggested by these statements. Pure World cautions investors not to place undue reliance on forward-looking statements, which speak only to management's expectations on this date. The per share earnings in the text of this news release are diluted earnings per share. PURE WORLD, INC. AND SUBSIDIARIES CONSOLIDATED CONDENSED STATEMENTS OF OPERATIONS FOR THE THREE AND SIX MONTHS ENDED JUNE 30, 2004 AND 2003 (in thousands, except per share data) (UNAUDITED) Three Months Ended Six Months Ended June 30, June 30, ---------------------- ---------------------- 2004 2003 2004 2003 -------- -------- -------- -------- Revenues: Sales $ 10,486 $ 4,488 $ 18,099 $ 11,954 Interest and other income 2 5 4 112 -------- -------- -------- -------- Total revenues 10,488 4,493 18,103 12,066 -------- -------- -------- -------- Expenses: Cost of goods sold 7,726 3,797 13,808 9,223 Selling, general and administrative 1,536 1,115 2,841 2,431 -------- -------- -------- -------- Total expenses 9,262 4,912 16,649 11,654 -------- -------- -------- -------- Income (loss) before income taxes 1,226 ( 419) 1,454 412 Provision (benefit) for income taxes 87 ( 36) 113 103 -------- -------- -------- -------- Net income (loss) $ 1,139 ($ 383) $ 1,341 $ 309 ======== ======== ======== ======== Basic net income (loss) per share $ .15 ($ .05) $ .18 $ .04 ======== ======== ======== ======== Diluted net income (loss) per share $ .14 ($ .05) $ .17 $ . 04 ======== ======== ======== ========
CONSOLIDATED CONDENSED BALANCE SHEET JUNE 30, 2004 (in thousands) (UNAUDITED) Cash and cash equivalents $ 503 Accounts receivable, net 5,753 Inventories 9,220 Other 880 -------- Total current assets 16,356 Plant and equipment, net 6,394 Investment in unaffiliated natural products company 1,510 Goodwill 1,144 Other assets 714 -------- Total assets $ 26,118 ======== Current liabilities $ 6,977 Long-term debt 1,780 -------- Total liabilities 8,757 Stockholders' equity 17,361 -------- Total liabilities and stockholders' equity $ 26,118 ========