Business
ChromaDex Corporation Reports First Quarter 2023 Financial Results
Record net sales of $22.6 million, with a strong gross margin of 59.9%, lower operating expenses, and a net loss and Adjusted EBITDA loss of only $1.9
About this update from Niagen Bioscience, Inc.
[{"type":"text","content":"\nRecord net sales of $22.6 million, with a strong gross margin of 59.9%, lower operating expenses, and a net loss and Adjusted EBITDA loss of only $1.9 million and $0.1 million, respectively, for the three months ended March 31, 2023.\n\n\n LOS ANGELES--(BUSINESS WIRE)--\nChromaDex Corp. (NASDAQ:CDXC) today announced financial results for the first quarter of 2023.\n\n\nFirst Quarter 2023 and Recent Highlights\n\n\n\nTotal net sales were $22.6 million, up 31% from the prior year quarter, with $17.6 million from Tru Niagen®.\n\n\n\nStrong gross margin of 59.9% and a $2.8 million reduction in operating expenses, reflecting financial discipline.\n\n\n\nSelling and marketing expense as a percentage of net sales was 34.9% versus 47.7%, an improvement of 1,280 basis points from the prior year quarter, while investing in a strategic brand building event.\n\n\n\nGeneral and administrative expense decreased $2.5 million from the prior year quarter.\n\n\n\nNet loss was $1.9 million or $(0.03) per share, an improvement of $0.08 per share from the prior year quarter.\n\n\n\nAdjusted EBITDA, a non-GAAP measure, was a loss of only $0.1 million, a $4.4 million improvement from the prior year quarter.\n\n\n\n“In the first quarter of fiscal 2023, we achieved $22.6 million in revenue and generated $2.8 million in positive operating cash flows,” said ChromaDex Chief Executive Officer, Rob Fried. “We raised the conservative end of our 2023 revenue outlook to 12.5% growth and, importantly, are seeing significant opportunities for future growth that are not reflected in this outlook.”\n\n\nResults of operations for the three months ended March 31, 2023 compared to the prior year quarter\n\n\nChromaDex reported a net sales increase of 31%, or $5.3 million, to $22.6 million. The increase in net sales was largely driven by growth in sales of Tru Niagen® and growth in Niagen® ingredient sales.\n\n\nGross margin percentage declined 110 basis points to 59.9%. The decline in gross margin percentage is largely attributable to a shift in business mix as well as modest cost inflation, partially offset by overall scale.\n\n\nOperating expense decreased 15%, or $2.8 million, to $15.5 million driven by a $2.5 million reduction in general and administrative expense due to lower legal fees, share-based compensation and severance and restructuring costs.\n\n\nNet l...