CCA Industries, Inc. Reports Results of Operations for the Quarter and Six Months ended May 31, 2024

Rhea-AI Summary

CCA Industries, Inc. (OTC: CAWW) reported its financial results for Q2 and H1 2024. The company saw a reduced net loss of $24,421 in Q2 2024, compared to $133,069 in Q2 2023. EBITDA turned positive at $1,832 in Q2 2024, up from a loss of $117,970 in Q2 2023. Despite selling the Bikini Zone brand, which had $3.2 million in sales in H1 2023, other brands showed growth:

- Lobe Miracle: 31.6% YoY increase in gross sales
- Sudden Change: 20.3% YoY increase in gross sales
- Neutein: Launched at CVS in Q2 2024

CEO Christopher Dominello noted that while progress has been made, the company is still in turnaround mode. Additional changes to increase profitability are planned for Q3, with benefits expected in Q4.

Positive

• Reduced net loss from $133,069 in Q2 2023 to $24,421 in Q2 2024
• Positive EBITDA of $1,832 in Q2 2024, compared to a loss of $117,970 in Q2 2023
• Lobe Miracle brand increased gross sales by 31.6% year-over-year
• Sudden Change skincare brand gross sales up 20.3% year-over-year
• Neutein brain health supplement launched at CVS in Q2 2024

Negative

• Loss of $3.2 million in H1 sales due to the sale of Bikini Zone brand in Q4 2023
• Company still in turnaround mode with ongoing profitability challenges

FORT WASHINGTON, Pa., July 15, 2024 /PRNewswire/ --- CCA Industries, Inc. (OTC: CAWW), announced today its results for the three months and six months ended May 31, 2024.  The results can be found in the chart below.

The net loss was $24,421 for the three months ended May 31, 2024, compared to a loss of $133,069 for the three months ended May 31, 2023. As shown in the chart below, EBITDA for the second quarter of fiscal 2024 was a profit of $1,832 compared to an EBITDA loss of $117,970 for the second quarter of fiscal 2023.  Christopher Dominello, Chief Executive Officer, commented, "The EBITDA profit for the second quarter of fiscal 2024, though small, shows the beginning of our turn-around.  As a reminder, we sold the Bikini Zone brand in the fourth quarter of fiscal 2023 which had sales of $3.2 million in the first half of fiscal 2023.  Working to overcome that loss of revenue has been a focus, and our other brands have been increasing to fill the gap.  Lobe Miracle, our ear protection brand, had increased gross sales by 31.6% year over year.  Our Sudden Change skincare brand gross sales were up 20.3% year over year, and Neutein, our brain health supplement launched at CVS in the second quarter of fiscal 2024, giving us pipeline orders in Q3.  While we are encouraged with our achievements to date, we are still a work in progress.  We have developed plans to grow both top and bottom line and are executing them during Q3, but the benefits will likely not be felt until Q4.  These additional changes to increase our profitability will be announced later in the fourth quarter." 

Further information, including the Unaudited Financial Statement for the first quarter, ended May 31, 2024, the Audited Financial Statements for the year ended November 30, 2023, and the Quarterly Disclosure Statement filed with the OTC, may be found on the Company's investor web site:  www.ccainvestor.com  

CCA Industries, Inc. manufactures and markets health and beauty aids, each under its individual brand name. The products include, principally, "Plus White" toothpaste and teeth whiteners, "Nutra Nail" nail care treatments, "Porcelana" skin care products, "Scar Zone" scar treatment products, "Sudden Change" anti-aging skin care products, brands, "Hair Off" depilatory products, "Lobe Miracle" earlobe protection products and "Neutein" brain health supplements. 

Statements contained in the news release that are not historical facts are forward-looking statements as that term is defined in the Private Securities Litigation Reform Act of 1995. Such forward-looking statements are subject to risks and uncertainties, which would cause actual results to differ materially, from estimated results. No assurance can be given that the results in any forward-looking statement will be achieved, and actual results could be affected by one or more factors, which could cause them to differ materially. For these statements, we claim the protection of the safe harbor for forward-looking statements contained in the Private Securities Litigation Reform Act. 

CCA INDUSTRIES, INC. Financial Results (Unaudited)
	Three Months Ended
	May 31, 2024		May 31, 2023
Revenues	$                 2,210,566		$                 2,993,954
Net Income	$                     (24,421)		$                  (133,069)
Earnings Per Share:
Basic	$                         (0.00)		$                         (0.02)
Diluted	$                         (0.00)		$                         (0.02)
Weighted Average Common Shares Outstanding:
Basic	7,561,684		7,561,684
Diluted	7,580,949		7,561,684
EBITDA *	$                         1,831		$                  (117,970)
* Earnings before interest, taxes, depreciation and amortization
Reconciliation of Net Income to EBITDA:
Net Income	$                     (24,421)		$                  (133,069)
Provision for income taxes	(3,908)		(32,857)
Interest expense	28,630		46,654
Depreciation and Amortization	1,530		1,302
EBITDA	$                         1,832		$                    (117,970)

 

CCA INDUSTRIES, INC. Financial Results (Unaudited)
	Six Months Ended
	May 31, 2024		May 31, 2023
Revenues	$                 4,345,147		$                 5,461,680
Net Income	$                  (269,831)		$                  (416,127)
Earnings Per Share:
Basic	$                         (0.04)		$                         (0.06)
Diluted	$                         (0.04)		$                         (0.06)
Weighted Average Common Shares Outstanding:
Basic	7,561,684		7,561,684
Diluted	7,561,684		7,561,684
EBITDA *	$                  (286,667)		$                   (416,467)
* Earnings before interest, taxes, depreciation and amortization
Reconciliation of Net  Income to EBITDA:
Net Income	$                  (269,831)		$                   (416,127)
Provision for income taxes	(77,428)		(98,549)
Interest expense	57,581		95,608
Depreciation and Amortization	3,011		2,601
EBITDA	$                   (286,667)		$                    (416,467)

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SOURCE CCA Industries, Inc.

FAQ

What was CCA Industries' (CAWW) net loss for Q2 2024?

CCA Industries (CAWW) reported a net loss of $24,421 for the second quarter of 2024.

How did CCA Industries' (CAWW) EBITDA perform in Q2 2024 compared to Q2 2023?

CCA Industries (CAWW) reported a positive EBITDA of $1,832 in Q2 2024, compared to an EBITDA loss of $117,970 in Q2 2023.

Which CCA Industries (CAWW) brands showed sales growth in the latest report?

Lobe Miracle increased gross sales by 31.6% year-over-year, and Sudden Change skincare brand gross sales were up 20.3% year-over-year.

When did CCA Industries (CAWW) launch its Neutein brand at CVS?

CCA Industries (CAWW) launched its Neutein brain health supplement at CVS in the second quarter of fiscal 2024.