WESTLAKE, Texas, Nov. 15, 2010 (GLOBE NEWSWIRE) -- Animal Health International, Inc. (Nasdaq:AHII), a leading distributor of animal health products in the United States and Canada, today announced the refinancing of its term debt and an extension of its revolving credit facility through 2015. The Company also reported its financial results for the Company's first fiscal quarter, which ended September 30, 2010. Results include the following highlights.
Three Months Ended September 30, 2010
- Net sales increased 9.4%, to $176.5 million, compared to $161.3 million for the same period a year ago. The increase in net sales was primarily attributable to improving economics in the beef and dairy markets as well as continued growth in our veterinary business.
- Gross margins increased $1.4 million for the quarter, with $2.4 million due to higher sales volume partially offset by an unfavorable shift in product mix.
- Selling, General and Administrative (SG&A) expenses were 14.1% of sales in both periods. SG&A expenses increased $2.0 million from the same period last year largely due to increased sales. The remainder of the increase in SG&A expenses related to an increase in bad debt provision of $0.4 million as well as expenses associated with the acquisition of certain assets of a former competitor of $0.2 million.
- Net loss was $0.5 million, or $-0.02 per fully diluted share, compared to a loss of $0.7 million or $-0.03 loss per fully diluted share in last year's first quarter.
- Adjusted Earnings before interest, tax, depreciation and amortization (Adjusted EBITDA) decreased by $0.2 million to $3.2 million for the quarter, compared to $3.4 million last year.
Jim Robison, Chairman and Chief Executive Officer, stated, "We are encouraged by our sales growth and believe margins will strengthen during the year. Our confidence led us to hire 25 new sales and management employees during the quarter. We are on track with our facility expansion initiative and are pleased with the outcome of our refinancing. While the first quarter represents a slow start in earnings, we believe sales and earnings growth should be strong for the remainder of the year."