This Day On The Street
Continue to site
This account is pending registration confirmation. Please click on the link within the confirmation email previously sent you to complete registration.
Need a new registration confirmation email? Click here

Hi-Tech Pharmacal Reports Sales Of $64.3 Million And EPS Of $0.43 For The Third Quarter Ended January 31, 2013

Hi-Tech Pharmacal Co., Inc. (NASDAQ: HITK) today reported results for the Company’s fiscal third quarter ended January 31, 2013.

Quarterly Results

Net sales for the three months ended January 31, 2013 were $64,331,000, an increase of $8,706,000 or 16% compared to the net sales of $55,625,000, for the three months ended January 31, 2012.

Net sales for generic pharmaceuticals for the three months ended January 31, 2013 were $54,148,000, an increase of $6,607,000 or 14%, compared to sales of $47,541,000 for the respective prior fiscal period. Sales of Fluticasone Propionate increased to $23,000,000 from $21,800,000 in the comparable quarter as the Company sold more units at a lower average price. The Company also benefited from sales of new products such as Nystatin oral suspension, Lidocaine 5%, Levetiracetam oral solution and Paregoric, launched in February, March, May and August 2012, respectively.

ECR Pharmaceuticals contributed $5,079,000 to sales in the current period, an increase of $732,000 or 17%, compared to sales of $4,347,000 for the respective fiscal 2012 period. The increase was primarily due to higher sales of Tussicaps ®.

Net sales for the Health Care Products division, which markets the Company’s OTC branded products, were $5,104,000, an increase of $1,367,000 or 37%, compared to $3,737,000 reported for the same period last year. The increase was due to higher sales across all product lines. Most notably, sales of Diabetic Tussin ® saw a significant increase over the same quarter in the prior year. New product Sinus Buster ®, acquired March 2012, also contributed to the increase.

Sales in all three divisions were impacted by the strong cough, cold and flu season experienced during the quarter ended January 31, 2013. The Hi-Tech generic division saw increases in hydrocodone/homatropine, HCP had strong increases in Diabetic Tussin ® and ECR had a large increase in sales of Tussicaps ®.

Cost of goods sold increased to $31,452,000 or 49% of net sales, for the three months ended January 31, 2013 from $24,889,000, or 45% of net sales, for the three months ended January 31, 2012. The increase in cost of goods sold as a percentage of net sales is primarily due to pricing declines for Fluticasone Propionate nasal spray. The Company anticipates that pricing declines will continue, but the cost to manufacture Fluticasone Propionate nasal spray will decline in the fourth quarter of the fiscal year due to lower input costs. Higher margins at the ECR subsidiary partially offset this trend.

1 of 5

Check Out Our Best Services for Investors

Action Alerts PLUS

Portfolio Manager Jim Cramer and Director of Research Jack Mohr reveal their investment tactics while giving advanced notice before every trade.

Product Features:
  • $2.5+ million portfolio
  • Large-cap and dividend focus
  • Intraday trade alerts from Cramer
Quant Ratings

Access the tool that DOMINATES the Russell 2000 and the S&P 500.

Product Features:
  • Buy, hold, or sell recommendations for over 4,300 stocks
  • Unlimited research reports on your favorite stocks
  • A custom stock screener
Stocks Under $10

David Peltier uncovers low dollar stocks with serious upside potential that are flying under Wall Street's radar.

Product Features:
  • Model portfolio
  • Stocks trading below $10
  • Intraday trade alerts
14-Days Free
Only $9.95
14-Days Free
Dividend Stock Advisor

David Peltier identifies the best of breed dividend stocks that will pay a reliable AND significant income stream.

Product Features:
  • Diversified model portfolio of dividend stocks
  • Updates with exact steps to take - BUY, HOLD, SELL
Trifecta Stocks

Every recommendation goes through 3 layers of intense scrutiny—quantitative, fundamental and technical analysis—to maximize profit potential and minimize risk.

Product Features:
  • Model Portfolio
  • Intra Day Trade alerts
  • Access to Quant Ratings
Real Money

More than 30 investing pros with skin in the game give you actionable insight and investment ideas.

Product Features:
  • Access to Jim Cramer's daily blog
  • Intraday commentary and news
  • Real-time trading forums
Only $49.95
14-Days Free
14-Days Free
AAPL $93.74 0.00%
FB $117.58 0.00%
GOOG $693.01 0.00%
TSLA $240.76 0.00%
YHOO $36.60 0.00%


Chart of I:DJI
DOW 17,773.64 -57.12 -0.32%
S&P 500 2,065.30 -10.51 -0.51%
NASDAQ 4,775.3580 -29.9330 -0.62%

Free Reports

Top Rated Stocks Top Rated Funds Top Rated ETFs