LAS VEGAS, May 15, 2013 /PRNewswire/ -- Cord Blood America, Inc. (www.cordblood-america.com) (OTC Bulletin Board: CBAI) ("CBAI" or the "Company") today announced financial results for the quarter ended March 31, 2013.
First Quarter 2013 Highlights From Continuing Operations
- Recurring revenues increased approximately 7% for the three months ended March 31, 2013 to $740,124.
- Cash provided by operations totaled $128,970 in the first quarter. This represents 68% of the total full year cash generated in 2012 of $190,323.
- EBITDA for the quarter increased 587% to $99,985 from $14,542 in the year ago period.
- SG&A decreased 11% to $1.11 million from $1.24 million in the year ago period.
- Our cash balance increased 40% to $369,186 compared to the same period a year ago.
Joseph Vicente, President of Cord Blood America, Inc. commented "During the quarter, Biocordcell Argentina (Bio), made investments in lab related processes, causing increased costs which we expect to be primarily one-time charges. The Company believes these investments will help support future growth. We remain focused on reducing our corporate costs, which were down 11%, despite the increased costs from Bio in the first quarter. We also remain committed to ensuring that incremental revenue growth meets a corresponding increase in profitability, as the Company will not add to its debt under the current conditions. We remain bullish on the industry and our prospects for future growth."
For the three months ended March 31, 2013, total revenue increased to approximately $1.45 million from $1.43 million compared to the year ago period. Recurring revenues increased approximately 7% while tissue related sales increased at 31%, offset by an 11% decrease in processing fees.
Administrative and selling expenses for the three months ended March 31, 2013 were $1.11 million as compared to $1.24 million for the comparative period of 2012, representing an 11% decrease. These expenses are primarily related to marketing/advertising, professional services, allocated facility related expenses and wages for personnel. Generally, each functional unit within administrative and selling expenses has reduced expenses from the prior comparative period. The Company continues to evaluate its expenses and their relationship to revenues for alignment.
For the period ending March 31, 2013, the company had $0.39 million in cash, an increase of 40% from the prior comparative period total of $0.28 million. The Company currently collects cash receipts from operations through CBAI and its subsidiary, Bio-cells. Cash flows from operations are currently sufficient to fund operations. During the three month period ended March 31, 2013 there was no increase in notes payable for purposes of working capital or investment in affiliate companies. Net cash provided by operating activities for the three month period ending March 31, 2013 was $0.13 million, versus a use of $1.00 million cash from the prior comparative period of 2012, an improvement of $0.23 million.
Mr. Vicente concluded, "We have now completed four consecutive quarters operating off cash generated from our operations without any additional outside investment. To add additional clarity on the improvements we have made within the Company, in the first quarter of the prior year we took $458,664 in outside investment capital to fund operations compared to our current quarter, in which we did not take any investment capital, and instead generated $128,970 from operating activities."
About Cord Blood America
Cord Blood America, Inc. is the parent company of CorCell, Companies, Inc. which, along with Cord Blood America, Inc., facilitates umbilical cord blood stem cell preservation for expectant parents and their children. 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/ for 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.
Investor Contact: Cameron Donahue
Web Site: http://www.cordblood-america.com
SOURCE Cord Blood America, Inc.