Before the opening bell, OurPet’s Company (OTCQX: OPCO) announced its financial results for the fourth quarter of 2015, which included record net revenue and net income. In particular, the company achieved a 10 percent year-over-year increase in net income, recording $450,592 for the three-month period. The company’s net income increased roughly 74 percent over the full 12 months of 2015, as compared to the previous year, bolstered by specific management initiatives that resulted in lower fixed costs, product costs and selling, general and administrative expenses. OPCO’s net revenue also rose slightly, as compared to the fourth quarter of 2014, to a record $6,648,394. For the 2015 full-year, the company’s net revenue was up approximately five percent, despite a challenging retail environment and the negative impact of an increasingly strong dollar on international sales throughout the year.
“Our record results for the 2015 fourth quarter and full-year reflect successful execution of our business strategy,” Dr. Steven Tsengas, president and chief executive officer of OPCO, stated in this morning’s news release. “We remain focused on growth initiatives in all three of our key product categories; feeding and storage, toys and accessories, and waste management and odor control.”
OPCO’s financial performance was powered by strong growth in the e-commerce sales channel. Tsengas highlighted a 27 percent year-over-year increase in e-commerce sales for the quarter, solidifying a six percent rise in the vital channel over the entirety of 2015. This growth went hand-in-hand with the company’s implementation of an innovative dual branding strategy, which includes the OurPet’s brand for the pet specialty channel and the Pet Zone brand for the food, drug and mass retail channel. As OPCO continues to introduce exciting new products to its pipeline that leverage cutting-edge technology to better meet the needs of pets and their owners, Tsengas expects the company’s dual brand strategy to continue to flourish.
“There are additional growth opportunities, particularly with the Pet Zone brand where sales were relatively flat compared to the prior year and we have accordingly increased our initiatives in that sales channel,” Tsengas added. “The company’s improved performance in 2015, especially during the second half of the year, combined with our planned product launches and expanded sales force position us well for 2016.”
Moving forward, OPCO will look to build on this momentum as it continues to increase its share of the growing global pet products industry. As part of these efforts, the company is set to unveil a new, first-of-its-kind line of products at the Global Pet Expo in Orlando, Florida, next month. The Global Pet Expo is the industry’s largest trade show, with last year’s event featuring more than 1,050 exhibitors and 3,000 new product launches.
For more information, visit the company’s website at www.ourpets.com
Let us hear your thoughts: OurPet’s Co. Message Board