LAS VEGAS, Aug. 14, 2012 /PRNewswire/ -- Cord Blood America, Inc. (www.cordblood-america.com) (OTC Bulletin Board: CBAI) ("CBAI" or the "Company") today announced that revenues for the second quarter of 2012 increased by 26 percent to $1.80 million compared to $1.43 million in the same period last year. Revenues for the six months ended June 30, 2012 increased 16 percent to $3.36 million compared to $2.89 million in the comparable period in 2011.
"The financial results we issued today are a clear departure from the past," said CBAI President Joseph Vicente. "We outlined previously that our number one priority was to be self sufficient. We can proudly say that during the quarter, CBAI operated off its own cash. We remain committed to eliminating the debt, seeking profitable revenue opportunities and eliminating wasteful expenditures."
Mr. Vicente said:
- By segment, Biocordcell Argentina S.A. turned in an excellent second quarter, increasing revenues by 81 percent. Cord Blood America U.S. revenues increased 10 percent and our European affiliate's revenues decreased but account for only 10% of the total revenues.
- Administrative and selling expenses decreased over the six month period in 2012 by 31 percent, from $4.00 million in 2011 to $2.77 this year and decreased 26 percent in the second quarter over the comparative period of 2011. Even with these decreases, which we will continue to seek, we are making small but impactful investments to improve our operating efficiencies.
- Gross profit for the second quarter increased 32 percent from less than one million dollars in 2011 to $1.29 million in 2012. The overall quality of the Company's laboratory operations plays a key role in this positive achievement.
- The Company announced net income of $0.15 million in the second quarter of 2012 compared to losses in every preceding quarter. This is a $1.16 million improvement compared to the same period in 2011. Our financial performance was assisted by one time positive adjustments related to our new agreement with BioCells and interest forgiven by one of our lenders.
- Even if the one time adjustment for BioCells were eliminated, the Company would still be EBITDA positive approximately $.10 million for the second quarter of 2012 versus a negative EBITDA of $.69 million in the comparable period of 2011. Our ability for the first time to generate positive EBITDA performance is a critical step forward in creating company value.
"These results help establish the viability of our operations and we will be diligent in communicating that message to the investing community to increase shareholder value. We are pleased with the first 90 days of our tenure, but there remains much more to do. Management remains focused, disciplined and accountable to improving on today's results," Mr. Vicente said.
About Cord Blood America
Cord Blood America is the parent company of CorCell, Companies, Inc. which facilitates umbilical cord blood stem cell preservation for expectant parents and their children. Its mission is to be the most respected stem cell preservation company in the industry. Collected through a safe and non-invasive process, cord blood stem cells offer a powerful and potentially life-saving resource for treating a growing number of ailments, including cancer, leukemia, blood, and immune disorders. To find out more about Cord Blood America, Inc. and CorCell Companies, Inc., visit our websites: http://www.cordblood-america.com/ for investor information and http://www.corcell.com/ customer information.
Some statements made in this press release are forward-looking statements, which are made pursuant to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. We use words such as "anticipate," "believe," "expect,'' "future," "intend," "plan," and similar expressions to identify forward-looking statements. These statements including those related to the growth of the industry, new stem cell treatments, and Cord Blood America's performance, are only predictions and are subject to certain risks, uncertainties and assumptions. Additional risks are identified and described in the Company's public filings with the Securities and Exchange Commission. Statements made herein are as of the date of this press release and should not be relied upon as of any subsequent date. The Company's past performance is not necessarily indicative of its future performance. The Company does not undertake, and the Company specifically disclaims any obligation to update any forward-looking statements to reflect occurrences, developments, events, or circumstances after the date of such statement.
SOURCE Cord Blood America, Inc.