VANCOUVER, British Columbia, March 10, 2011 (GLOBE NEWSWIRE) -- Coastal Contacts Inc. ("Coastal" or "the Company") (TSX:COA) (Stockholm:COA) the world's largest online retailer of eyeglasses and contact lenses today announced its financial results for the first fiscal quarter ended January 31, 2011.
In the first fiscal quarter of 2011 the Coastal team shipped 454,000 orders, an increase of 31% over the same period last year. Eyeglasses shipments grew 107% in the first quarter over the same period last year. Coastal shipped approximately 106,000 pairs of eyeglasses or $6.3 million in eyeglasses sales in the period and had a backlog of more than 15,000 orders or an additional $1 million in pending eyeglasses orders at quarter end. Coastal's core contact lens business remained consistent and grew 7% year over year.
Sales for the first fiscal quarter increased 13% and set a quarterly record of $40.6 million compared to $35.9 million in 2010. Exclusive of foreign exchange fluctuations sales grew 16% during the quarter compared to the same period in 2010. First quarter 2011 gross margins were 28% which is consistent with the same period in the prior year. Adjusted EBITDA for the fiscal quarter was $0.3 million compared with $1.7 million during the same period in 2010. Net loss for the first fiscal quarter was $2.4 million or $0.04 per share compared to net earnings of $0.7 million or $0.01 per share in the first quarter of fiscal 2010. Coastal incurred a one time charge of $2.3 million in the first fiscal quarter of 2011 relating to costs associated with management changes in its European operations.Mr. Roger Hardy, Coastal's Founder and CEO, commented, "Thanks to our customers it was a healthy first quarter in our seasonally weakest period. We had a very strong January that included sales of more than $15.3 million and a one week period that generated $1.6 million in eyeglasses orders. Coastal added 73,311 new eyeglasses customers to our growing database of online eyeglasses purchasers. Overall it's a strong start to the year.