Cyanotech Corporation (CYAN) has reported 607.14 percent jump in profit for the quarter ended Sep. 30, 2016. The company has earned $0.10 million in the quarter, compared with $0.01 million for the same period last year. Revenue during the quarter grew 15.81 percent to $9.86 million from $8.52 million in the previous year period. Gross margin for the quarter expanded 299 basis points over the previous year period to 39.39 percent. Operating margin for the quarter period stood at positive 2.50 percent as compared to a negative 1.63 percent for the previous year period.
Operating income for the quarter was $0.25 million, compared with an operating loss of $0.14 million in the previous year period.
Commenting on the second quarter of fiscal 2017 results (changes shown vs. the second quarter of fiscal 2016), Gerry Cysewski, Ph.D., Cyanotechs president and chief executive officer, noted: "Net sales growth of 16% was driven by an 18% increase in sales of our packaged products and an 8% increase in sales of our bulk products. Growth in our packaged products was primarily due to our Costco expansion. During this quarter, BioAstin expanded into an additional 64 warehouse stores in Costcos Northwest region and now is available in 252 Costco warehouses, or roughly 52% of their domestic total.
Working capital declinesCyanotech Corporation has witnessed a decline in the working capital over the last year. It stood at $6.45 million as at Sep. 30, 2016, down 13.13 percent or $0.98 million from $7.42 million on Sep. 30, 2015. Current ratio was at 1.93 as on Sep. 30, 2016, down from 2.28 on Sep. 30, 2015. Cash conversion cycle (CCC) has decreased to 32 days for the quarter from 84 days for the last year period. Days sales outstanding went down to 31 days for the quarter compared with 42 days for the same period last year.
Days inventory outstanding has decreased to 57 days for the quarter compared with 102 days for the previous year period. At the same time, days payable outstanding went down to 56 days for the quarter from 60 for the same period last year.
Debt comes down marginally
Cyanotech Corporation has recorded a decline in total debt over the last one year. It stood at $7.76 million as on Sep. 30, 2016, down 1.65 percent or $0.13 million from $7.90 million on Sep. 30, 2015. Total debt was 25.11 percent of total assets as on Sep. 30, 2016, compared with 22.61 percent on Sep. 30, 2015. Debt to equity ratio was at 0.45 as on Sep. 30, 2016, up from 0.36 as on Sep. 30, 2015. Disclaimer: Please note that this is an auto-generated article. IRIS does not guarantee the accuracy, adequacy or completeness of any information and is not responsible for any errors or omissions or for the results obtained from the use of such information. IRIS especially states that it has no financial liability whatsoever to any user on account of the use of information provided on its website. For queries contact: editor@irisindia.net
