International Absorbents Announces Record Revenues and Record Profits for Fiscal 2001

Apr 30, 2001, 01:00 ET from International Absorbents Inc.

    BELLINGHAM, Wash., April 30 /PRNewswire/ -- International Absorbents Inc.
 (OTC Bulletin Board:   IABI), a leading developer and producer of
 environmentally friendly pet care and industrial products, today reported
 record financial results for the fiscal year ended January 31, 2001.  Sales
 increased 22% to $9,464,000 versus $7,761,000 for the prior year.  Gross
 margins rose to $4,147,000 (44%) for the fiscal year from $3,412,00 (44%) last
 year.  Net earnings rose by 33% to $2,290,000, or $0.41 per share, compared to
 $1,718,000, or $0.35 per share for the prior year.
     "The Company has posted record profits and record sales for the third
 consecutive year," stated Gordon L. Ellis, Chairman of International
 Absorbents Inc.  "These increases are primarily due to continued growth of our
 CareFRESH(R) animal bedding and initial sales of three new product lines for
 the pet care market.  These new product lines promise to provide excellent
 growth potential in the years to come."
     "We continue to improve efficiencies and throughput capacity in our
 Bellingham manufacturing plant," continued Mr. Ellis.  "We have also
 demonstrated that even in the face of a slowing economy and despite greatly
 elevated energy costs the Company can and will continue to deliver a steady
 revenue stream and the cash required to fuel future growth."
     "Looking ahead, we will keep business focused on revenue growth, profit
 generation and operational improvements.  Our balance sheet remains strong and
 we are well positioned to grow the Company geographically and explore
 potential acquisitions that will strengthen our Company and build additional
 value for our shareholders. We have confidence in our business plan and the
 strength of our products, technology and markets, and we expect that fiscal
 2002 will be another year of improved performance for our Company."
     In accordance with SEC guidelines and U.S. Generally Accepted Accounting
 Principles, and due to the demonstrated consistent growth in the Company's
 sales revenues and earnings, the Company is required to recognize the benefits
 of accumulated tax loss carry-forwards from prior years.  This gain
 recognition had a marked effect on the Statement of Earnings of $964,000 in
 the latest fiscal year and $429,000 in the previous year.  Earnings before
 income taxes, deferred income tax recoveries and one-time write-downs were
 $1,562,000 for this year-end and $1,327,000 in the prior year.
     Earnings per share numbers and shares outstanding have been adjusted for
 the 1 for 4 share consolidation effective April 9, 2001.
     The Company is holding a conference call with members of the investment
 community at 4:15 p.m. EDT on Monday, April 30.  To participate in the call
 dial 1-800-360-9865 approximately 10 minutes before the conference is
 scheduled to begin.  For further details see to the Company's news release
 dated April 26, 2001.
 
                       CONSOLIDATED STATEMENT OF EARNINGS
 
                                              Year Ended January 31
                                     2001            2000          1999
 
 
     Sales Revenues               $9,464,000      $7,761,000    $5,969,000
     Net Earnings                 $2,290,000      $1,718,000      $507,000
     Earnings per share                $0.41           $0.35         $0.10
     Weighted average number
      of shares outstanding        5,554,000       4,940,000     4,849,000
 
     International Absorbents Inc. develops, manufactures and markets patented
 and proprietary, cost effective consumer and commercial products derived from
 recycled, renewable materials. These environmentally safe products outperform
 conventional products used in a broad range of consumer and industrial
 applications, including retail/commercial pet bedding and litter, oil and
 hazardous liquid spill cleanup and control, oil/water filtration, and
 packaging.  Further information is available on-line at
 http://www.absorbent.com.
 
     Statements made in this document referring to the Company's outlook,
 sales, expenses, profits and cash flow are forward-looking statements. It is
 important to note that the Company's actual results could differ materially
 from those projected, due to various risk factors.  Those risk include, but
 are not limited to consumer acceptance of the Company's products in new
 markets, competitor reactions and their ability to market and price their
 products, general economic conditions outside of the control of the Company,
 and the economic availability of sources of raw materials to meet demand rates
 necessary to sustain growth.  Additional information concerning factors that
 could cause actual results to differ materially from those in the forward-
 looking statements is contained from time to time in the Company's SEC
 filings, including but not limited to forms 10-KSB, 10-QSB and the proxy
 statement.
 
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SOURCE International Absorbents Inc.
    BELLINGHAM, Wash., April 30 /PRNewswire/ -- International Absorbents Inc.
 (OTC Bulletin Board:   IABI), a leading developer and producer of
 environmentally friendly pet care and industrial products, today reported
 record financial results for the fiscal year ended January 31, 2001.  Sales
 increased 22% to $9,464,000 versus $7,761,000 for the prior year.  Gross
 margins rose to $4,147,000 (44%) for the fiscal year from $3,412,00 (44%) last
 year.  Net earnings rose by 33% to $2,290,000, or $0.41 per share, compared to
 $1,718,000, or $0.35 per share for the prior year.
     "The Company has posted record profits and record sales for the third
 consecutive year," stated Gordon L. Ellis, Chairman of International
 Absorbents Inc.  "These increases are primarily due to continued growth of our
 CareFRESH(R) animal bedding and initial sales of three new product lines for
 the pet care market.  These new product lines promise to provide excellent
 growth potential in the years to come."
     "We continue to improve efficiencies and throughput capacity in our
 Bellingham manufacturing plant," continued Mr. Ellis.  "We have also
 demonstrated that even in the face of a slowing economy and despite greatly
 elevated energy costs the Company can and will continue to deliver a steady
 revenue stream and the cash required to fuel future growth."
     "Looking ahead, we will keep business focused on revenue growth, profit
 generation and operational improvements.  Our balance sheet remains strong and
 we are well positioned to grow the Company geographically and explore
 potential acquisitions that will strengthen our Company and build additional
 value for our shareholders. We have confidence in our business plan and the
 strength of our products, technology and markets, and we expect that fiscal
 2002 will be another year of improved performance for our Company."
     In accordance with SEC guidelines and U.S. Generally Accepted Accounting
 Principles, and due to the demonstrated consistent growth in the Company's
 sales revenues and earnings, the Company is required to recognize the benefits
 of accumulated tax loss carry-forwards from prior years.  This gain
 recognition had a marked effect on the Statement of Earnings of $964,000 in
 the latest fiscal year and $429,000 in the previous year.  Earnings before
 income taxes, deferred income tax recoveries and one-time write-downs were
 $1,562,000 for this year-end and $1,327,000 in the prior year.
     Earnings per share numbers and shares outstanding have been adjusted for
 the 1 for 4 share consolidation effective April 9, 2001.
     The Company is holding a conference call with members of the investment
 community at 4:15 p.m. EDT on Monday, April 30.  To participate in the call
 dial 1-800-360-9865 approximately 10 minutes before the conference is
 scheduled to begin.  For further details see to the Company's news release
 dated April 26, 2001.
 
                       CONSOLIDATED STATEMENT OF EARNINGS
 
                                              Year Ended January 31
                                     2001            2000          1999
 
 
     Sales Revenues               $9,464,000      $7,761,000    $5,969,000
     Net Earnings                 $2,290,000      $1,718,000      $507,000
     Earnings per share                $0.41           $0.35         $0.10
     Weighted average number
      of shares outstanding        5,554,000       4,940,000     4,849,000
 
     International Absorbents Inc. develops, manufactures and markets patented
 and proprietary, cost effective consumer and commercial products derived from
 recycled, renewable materials. These environmentally safe products outperform
 conventional products used in a broad range of consumer and industrial
 applications, including retail/commercial pet bedding and litter, oil and
 hazardous liquid spill cleanup and control, oil/water filtration, and
 packaging.  Further information is available on-line at
 http://www.absorbent.com.
 
     Statements made in this document referring to the Company's outlook,
 sales, expenses, profits and cash flow are forward-looking statements. It is
 important to note that the Company's actual results could differ materially
 from those projected, due to various risk factors.  Those risk include, but
 are not limited to consumer acceptance of the Company's products in new
 markets, competitor reactions and their ability to market and price their
 products, general economic conditions outside of the control of the Company,
 and the economic availability of sources of raw materials to meet demand rates
 necessary to sustain growth.  Additional information concerning factors that
 could cause actual results to differ materially from those in the forward-
 looking statements is contained from time to time in the Company's SEC
 filings, including but not limited to forms 10-KSB, 10-QSB and the proxy
 statement.
 
                     MAKE YOUR OPINION COUNT -- Click Here
                http://tbutton.prnewswire.com/prn/11690X50052147
 
 SOURCE  International Absorbents Inc.