UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

WASHINGTON, DC 20549

 

 

FORM 8-K

 

 

Current Report Pursuant to Section 13 or 15(d) of

the Securities Act of 1934

Date of Report: October 21, 2009

(Date of earliest event reported)

 

 

OurPet’s Company

(Exact name of registrant as specified in its charter)

 

 

 

Colorado   000-31279   34-1480558

(State or other jurisdiction

of incorporation)

  (Commission File Number)  

(I.R.S. Employer

Identification Number)

1300 East Street, Fairport Harbor, OH 44077

(Address of principal executive offices including zip code)

440-354-6500

(Registrant’s telephone number, including area code)

 

 

Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions:

 

¨ Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425)

 

¨ Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12)

 

¨ Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b))

 

¨ Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c))

 

 

 


Item 2.02. Results of Operations and Financial Condition.

On October 21, 2009, the Company issued a press release and other financial information regarding its third quarter and nine months results. The Press release and other financial information are attached hereto as Exhibit 99.

 

Item 9.01. Financial Statements and Exhibits.

 

  (d) Exhibits
  99 Company press release dated October 21, 2009 and other financial information

 

2


SIGNATURES

Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized.

 

Date: October 21, 2009   OurPet’s Company
  By:  

/s/ Scott R. Mendes

    Scott R. Mendes
    Chief Financial Officer

 

3

EXHIBIT 99

 

LOGO

  

OurPet’s Company

1300 East Street

Fairport Harbor, OH 44077-5573, USA

(800) 565-2695 * Phone (440) 354-6500

Fax (440) 354-9129 * www.ourpets.com

FOR IMMEDIATE RELEASE

OurPet’s Company Reports 2009 Third-Quarter and Nine-Months Financial Results

- Third-Quarter 2009 Sales Highest for any Third-Quarter in history

- Nine Months 2009 Sales Were Another Record

- Management Remains Optimistic About Balance of 2009

FAIRPORT HARBOR, OHIO – October 21 , 2009 – OurPet’s Company (OTC BB:OPCO), a growing designer, developer, producer and marketer of accessory and consumable pet products, today reported financial results for the 2009 third quarter and nine months ended September 30, 2009.

Net revenues for the 2009 third quarter increased 5.6 percent to a record $3,515,026 from $3,328,024 in the same period a year ago. The 9.1 percent improvement in gross profit was a result of continuous improvement and tight expense control. Gross profit margin for the 2009 third quarter increased 1.0 percentage point to 30.6 percent, from 29.6 percent in the 2008 third quarter. Income from operations for the 2009 third quarter was $232,827 compared to a loss of ($563,871) for the 2008 third quarter, or an improvement of $796,698. Litigation expenses for the 2009 and 2008 third quarters were $63,662 and $809,128, respectively. Net Income for the 2009 third quarter was $183,087, or $0.01 per diluted share, compared to a net loss of ($617,589), or $(0.04) per share, for the same period in 2008. Earnings, before interest, taxes, depreciation and amortization (EBITDA), were a positive $331,255 in the 2009 third quarter, compared to a negative ($449,807) in the 2008 third quarter.

Net revenues for the 2009 nine months increased 13.6% a record to $10,510,737 from $9,248,892 for the same period a year ago. Gross profit increased 19.2% for the 2009 year-to-date period versus a year ago and gross profit margin for the 2009 nine months was 30.1 percent compared to 28.6 percent in the 2008 nine months. Income from operations for the 2009 nine months was $553,182 compared to a loss of ($1,634,996) for the 2008 nine months or an improvement of $2,188,177. Litigation expenses for the 2009 and 2008 nine months were $309,336 and $2,258,341, respectively. Net income for the 2009 nine months was $456,631, or $0.03 per diluted share, compared to a net loss of ($1,778,896), or $(0.12) per share, for the same period in 2008. EBITDA was a positive $931,957 in the 2009 nine months compared to a negative ($1,278,274) in the 2008 nine months.

Dr. Steven Tsengas, President and CEO, stated, “We are pleased about our growth for the 2009 third quarter and nine months. Solid increases in sales were achieved despite a difficult business environment. We generated improved sales to our major accounts, new distributors and international customers. Sales of our Play-N-Squeak and Flappy brand products sales continue to drive sales growth. There has been a significant uptick in new orders recently and we are guardedly optimistic as we enter the fourth quarter holiday season.

“OurPet’s well recognized brands are supported by over 100 product patents issued or pending and over 50 trademarks. We believe our strategy of aggressive innovative, trend setting product development will result in an increasing number of loyal, happy customers and in turn, enhance future revenue, profit growth and shareholder value.”


About OurPet’s Company

OurPet’s designs, produces and markets a broad line of innovative, high-quality accessory and consumable pet products in the U.S. and overseas. Investors and customers may visit www.ourpets.com , for more information about the Company and its products. The Company’s websites include: www.smartscoop.com , www.ecoPureNaturals.com , www.playsnsqueak.com and www.flappydogtoys.com .

Certain of the matters set forth in this press release are forward-looking and involve a number of risks and uncertainties. Among the factors that could cause actual results to differ materially are the following: business conditions and growth in the industry; general economic conditions; addition or loss of significant customers; the loss of key personnel; product development; competition; risks of doing business abroad; foreign government regulations; fluctuations in foreign rates; rising costs for raw materials and the unavailability of sources of supply; the timing of orders booked; and the other risks that are described from time to time in OurPet’s SEC reports.

CONTACT:

OurPet’s, Company

Dr. Steven Tsengas

(440) 354-6500 (Ext. 111)


OURPET’S COMPANY AND SUBSIDIARIES

CONSOLIDATED OPERATING RESULTS

 

     For the Nine Months Ended
September 30,
    For the Quarter Ended
September 30,
 
     2009     2008     2009     2008  

Net revenue

   $ 10,510,737      $ 9,248,892      $ 3,515,026      $ 3,328,024   

Cost of goods sold

     7,351,171        6,598,718        2,439,172        2,341,876   
                                

Gross profit on sales

     3,159,566        2,650,174        1,075,854        986,148   

Selling, general and administrative expenses

     2,297,048        2,026,829        779,364        740,891   

Litigation expense

     309,336        2,258,341        63,662        809,128   
                                

Income (loss) from operations

     553,182        (1,634,996     232,827        (563,871

Other income and expense, net

     (38,226     (812     (506     (1

Interest expense

     134,778        144,712        50,247        53,719   
                                

Net Income (Loss)

   $ 456,631      $ (1,778,896   $ 183,087      $ (617,589
                                

Basic and diluted net income (loss) per common share after dividend requirements for preferred stock

   $ 0.03      $ (0.12   $ 0.01      $ (0.04
                                

Weighted average number of common and equivalent shares outstanding used to calculate basic and diluted earnings per share

     15,374,660        15,245,736        15,706,693        15,246,984   
                                

OURPET’S COMPANY AND SUBSIDIARIES

CONSOLIDATED BALANCE SHEETS

 

  

  

     September 30,
2009
    December 31,
2008
             

ASSETS

        

Cash and equivalents

   $ 327,898      $ 363,573       

Receivables, net

     1,820,969        1,420,884       

Inventories

     3,109,147        3,303,617       

Prepaid expenses

     196,178        73,995       
                    

Total current assets

     5,454,192        5,162,069       

Property and equipment, net

     1,919,197        2,076,550       

Other

     384,596        339,367       
                    

Total assets

   $ 7,757,985      $ 7,577,986       
                    

LIABILITIES AND STOCKHOLDERS’ EQUITY

        

Notes payable

   $ 1,900,000      $ 1,900,000       

Current maturities of long-term debt

     724,093        144,581       

Accounts payable

     1,053,027        1,238,367       

Accrued expenses

     654,115        666,051       
                    

Total current liabilities

     4,331,235        3,948,999       

Long-term debt

     787,699        1,474,036       

Stockholders’ Equity

     2,639,051        2,154,951       
                    

Total liabilities and stockholders’ equity

   $ 7,757,985      $ 7,577,986