Press Release
FIRST QUARTER RESULTS 2004
(Oslo, April 27, 2004) Nutri Pharma ASA (OSE: NUT) today announced that its loss for the first 3
months of 2004 was NOK 3.2 million compared to a profit of NOK 3.1 million in the first quarter of
2003. Revenues declined from NOK 6.7 million in the first quarter of 2003 to NOK 1.3 million in the
first quarter of 2004. The decline in revenues is mainly due to an upfront payment related to a new
licence agreement with Nycomed in Q1 2003, lower sales of Scan Diet™ in the US and the
discontinuation of Nutriplan™ in Australia/New Zealand.
(Amount in NOK 000)
Total revenue
Total operating expenses
Result of operations
Total financial income and exp.
Ordinary
profit before taxes
Exexexpenses
Tax on ordinary result
Result of the period
Q1 2004
1 306
4 690
-3 384
160
-3 224
Q1 2003
6 745
7 468
-723
3 834
3 111
2003
10 999
31 867
-20 868
10 348
-10 520
2002
51 263
132 155
-80 892
14 307
-66 586
-3 224
-0.04
3 111
0.04
-10 520
-0.15
-66 586
-0.93
(Amount in NOK 000)
March 31 2004
Dec 31 2003
Dec 31 2002
Total long term assets
10 774
11 569
26 051
Total current assets
24 622
26 635
234 251
Total assets
35 396
38 204
260 301
Total equity
31 790
34 635
242 171
Total liabilities
3 606
3 569
18 130
Total equity and liabilities
35 396
38 204
260 301
As reported on June 25 2003, the Nutrition Partners joint venture was dissolved as of Jan 1 2003. The Q1
2003 financial reported announced on April 25 2003 have been restated to reflect this.
First Quarter 2004 Accounts
Nutri Pharma had total revenues of NOK 1.3 million in Q1 2004, down from NOK 6.7 million the previous
year. The significant reduction in revenues is mainly due to an upfront payment related to a new licence
agreement with Nycomed and lower sales of Scan Diet™ in the US and the discontinuation of Nutriplan™
in Australia/New Zealand. Royalty revenues declined from NOK 2.6 million in Q1 2003 to NOK 1.2
million in Q1 2004.
Operating expenses were reduced from NOK 7.5 million to NOK 4.7 million. The operating result declined
from a loss of NOK –0.7 million in Q1 2003 to a loss of NOK –3.4 million in Q1 2004. Interest income
declined from NOK 3.8 million to NOK 0.2 million mainly as a result of the repayment of NOK 197.6
million to shareholders in December 2003. The net loss for Q1 2004 was NOK -3.2 million compared to a
profit of NOK 3.1 million in Q1 2003.
Cash and other liquid assets were NOK 23 million as of March 31 2004 compared to NOK 25.2 million as
of December 31 2003.
Oslo: Kronprinsesse Märthas pl. 1, Vika, 0166 Oslo, Norway. Tel: + 47 23 31 08 80, Fax: + 47 23 31 08 90.
Commercial Update
Nordic - Nutrilett®
Sales of Nutrilett® in the Nordic countries during Q1 2004 amounted to NOK 24.5 million compared to
NOK 20 million in Q1 2003, an increase of 23%. As previously announced, Ferd Private Equity acquired
the consumer health division of Nycomed, Collett Pharma AS, where Nutrilett is one of the core brands, in
December 2003.
Norway – Vita Hjertego
In September the Norwegian consumer goods company Mills DA (part of the Agra Group which is partly
owned by Unilever) launched two new patés under its Vita brand containing plant oils, one of which also
contains Abacor. The Vita brand is positioned as an active part of a cholesterol conscious diet. While sales
are performing well, the product is a niche product in the small Norwegian market and has only generated
limited royalty revenue for Nutri Pharma in Q1.
UK – Burgen Cholessterol
In January 2004 Nutri Pharma entered into a 5 year licence agreement with Allied Bakeries, the leading
bread manufacturer in the UK, for the use of Abacor® in its Burgen bread brand. The launch on January
28 included a cholesterol-lowering bread based on Nutri Pharma’s patented technology. The agreement
with Allied Bakeries is the result of several years of product development work whereby Allied Bakeries
and Nutri Pharma have worked together to solve taste, process and technological issues related to Abacor®
in bread. As Burgen Cholessterol has only recently been made available in all major retailers in the UK, it
is too early to comment on likelihood of success and long term sales volumes. However, as previously
announced, the short term revenue impact for Nutri Pharma will be limited.
US - Scan Diet™
Sales of Scan Diet™ amounted to USD 0.3 million in Q1, down from USD 1.1 million in Q1 2003. As the
future for Scan Diet is uncertain, Nutri Pharma is exploring alternative strategies in the US market.
Outlook
Nutri Pharma is working to capitalize on the recent commercial agreements and technological
developments by actively pursuing additional commercial and strategic opportunities in the areas of
cholesterol reduction (functional foods and dietary supplements), weight management and soy
protein technology. In addition Nutri Pharma is also exploring the possibility of becoming involved in more
parts of the value chain by delivering finished goods, including pursuing alternative sales channels such as
direct marketing.
The quarterly report is based on the same accounting principles as the latest published annual accounts and
is in accordance with the Norwegian Accounting Standard for interim financial reporting.
Oslo April 27, 2004
UPCOMING FINANCIAL EVENTS 2004:
July 23 2004, Q2 2004
FOR FURTHER INFORMATION:
Eirik Uboe, CEO
+47 412 92 712
For information about Nutri Pharma, Nutri Pharma products, Nutri Pharma management and Nutri Pharma
financial performance, please point your web browser to: www.nutripharma.com
Oslo: Kronprinsesse Märthas pl. 1, Vika, 0166 Oslo, Norway. Tel: + 47 23 31 08 80, Fax: + 47 23 31 08 90.
Nutri Pharma Consolidated
Income Statement
Q1 2004
Q1 2003
Jan - March Jan - March
(Amount in NOK 000)
Q1 2004
2003
Jan - March Jan - March
2003
Jan - Dec
Revenue
1.176
130
2.712
4.033
Net sales revenues
Royalty income
Other operating income
1.176
130
2.712
4.033
6.357
4.642
1.306
6.745
Total revenue
1.306
6.745
10.999
1.291
796
2.739
1.084
9.949
11.822
2.603
3.645
10.096
4.690
7.468
31.867
-3.384
-723
-20.868
Operating expenses
1.291
2.739
796
2.603
1.084
3.645
Cost of goods sold
Payroll expense etc.
Depreciation
intangible and tangible fixed assets
Other operating expenses
4.690
7.468
Total operating expenses
-3.384
-723
Result of operations
Financial income and expenses
160
3.834
Total financial income and expenses
160
3.834
10.348
160
3.834
Total financial income and expenses
160
3.834
10.348
-3.224
3.111
-3.224
3.111
-10.520
0
0
Tax on ordinary result
0
0
0
-3.224
3.111
Result of the year
-3.224
3.111
-10.520
Ordinary profit before taxes
Oslo: Kronprinsesse Märthas pl. 1, Vika, 0166 Oslo, Norway. Tel: + 47 23 31 08 80, Fax: + 47 23 31 08 90.
Nutri Pharma Consolidated
Balance sheet
(Amount in NOK 000)
March 31 2004
Dec 31 2003
March 31 2003
10.765
10.765
11.560
0
11.560
13.947
8.352
22.299
Tangible fixed assets
Machinery equipment
Building
Total tangible fixed assets
0
0
0
Financial fixed assets
Shares and other investments
Other long-term recivables
Total financial fixed assets
6
3
9
6
3
9
6
4.963
4.969
10.774
11.569
27.268
Debtors
Trade account receivables
Other debtors
Total debtors
889
594
1.483
339
951
1.290
3.291
13.424
16.715
Investments
Accrued interest
on short-term investments
Short-term investments
Total Investment
97
15.519
15.616
104
14.006
14.110
2.269
210.898
213.167
Bank, cash etc
Bank, cash etc
Total bank, cash etc
7.523
7.523
11.235
11.235
6.380
6.380
Total current assets
24.622
26.635
236.262
35.396
38.204
263.530
Assets
Long term assets
Intangible fixed assets
Patent and royalty assets
Capitalized commission
Total intangible fixed assets
Total long term assets
Current assets
Total assets
Oslo: Kronprinsesse Märthas pl. 1, Vika, 0166 Oslo, Norway. Tel: + 47 23 31 08 80, Fax: + 47 23 31 08 90.
Nutri Pharma Consolidated
Balance sheet
(Amount in NOK 000)
March 31 2004
Dec 31 2003
March 31 2003
19.668
-1.700
19.668
-1.700
19.668
-1.700
224.204
16.667
34.635
16.667
34.635
Equity
Paid in capital
Share capital
Repurchase of own shares
Share premium reserve
Other paid in capital
Total paid in capital
242.172
Other equity
-2.845
Total equity
31.790
34.635
244.092
0
0
0
31.790
34.635
244.092
Current liabilities
Trade creditors
Public duties payable
Other short term liabilities
Total current liabilities
878
311
2.417
3.606
26
370
3.173
3.569
2.758
371
16.309
19.438
Total liabilities
3.606
3.569
19.438
35.396
38.204
263.530
Retained earnings
Other equity
Total retained earnings
Total equity
1.920
Liabilities
Total equity and liabilities
Oslo: Kronprinsesse Märthas pl. 1, Vika, 0166 Oslo, Norway. Tel: + 47 23 31 08 80, Fax: + 47 23 31 08 90.
Nutri Pharma Consolidated
Cash flow analysis
Q1 2004
Q1 2003
Jan - March Jan - March
(Amount in NOK 000)
Q1 2004
Q1 2003
Jan - March Jan - March
2003
Jan - Dec
- 1.450
- 1.506
- 756
- 3.960
- 2.958
3.053
Net cash flow from operations
Net cash flow from investments
Net cash flow from financing
-1.450
-1.506
-756
-3.960
-2.958
3.053
3.670
201.059
-203.739
- 3.712
11.235
7.523
- 3.865
10.245
6.380
Net change in liquid funds
Liquid funds at beginning of period
Liquid funds at end of period
-3.712
11.235
7.523
-3.865
10.245
6.380
990
10.245
11.235
Q1 2004
Q1 2003
Jan - March Jan - March
2003
Jan - Dec
Equity
Q1 2004
Q1 2003
Jan - March Jan - March
(Amount in NOK 000)
34.635
- 3.224
379
242.172
3.111
- 1.191
Equity at beginning of period
Result for the period
Foreign currency translation
Refund of capital to shareholders
34.635
-3.224
379
242.172
3.111
-1.191
242.172
-10.520
626
-197.643
31.790
244.092
Equity at end of period
31.790
244.092
34.635
Oslo: Kronprinsesse Märthas pl. 1, Vika, 0166 Oslo, Norway. Tel: + 47 23 31 08 80, Fax: + 47 23 31 08 90.