Richard Ransom, President and Chief Financial Officer, stated, “I am tremendously proud of all the members of the ICTV team that have been working diligently to grow our sales and EBITDA over the last nine months.
Wayne, PA (PRWEB) November 14, 2012
International Commercial Television, Inc. (OTCQB: ICTL) ("ICTV" or "the Company"), a premier company employing prominently profiled infomercial campaigns to market and brand unique products to the global consumer through multi-channels of distribution, is announcing the following:
On November 14, 2012, the Company filed its third quarter Form 10-Q reporting revenue for the three and nine months ended September 30, 2012 of $6,289,601 and $12,781,410, respectively as compared to $744,299 and $1,963,679, respectively for the comparative periods in 2011, an increase of approximately 745% and 551%, respectively. The Company also reported a net loss for the three and nine months ended September 30, 2012 of $217,200 and $126,334, as compared to a net income of $43,815 and a net loss of $184,126 for the comparative periods in 2011. Included in the net income calculation for the three and nine months ended September 30, 2012 is $449,793 and $674,834 of stock based compensation expense that the Company incurred due to the issuance of stock options and warrants to employees and consultants.
Adjusted EBITDA (as defined and reconciled to GAAP) for the three and nine months ended September 30, 2012 was $244,336 and $576,399, an increase of $167,767 and $698,663 during the comparative periods in 2011.
The primary reason for the increase in revenue is the continued success of the new DermaWand infomercial. During the three and nine months ended September 30, 2012 sales relating to DermaWand for direct response television (DRTV) were approximately $4,443,000 and $8,373,000, respectively as compared to approximately $366,000 and $1,284,000 during the three and nine months ended September 30, 2011, respectively.
This increase in DRTV revenue was in part due to the launching of a new Spanish language version of the DermaWand show that was launched by The Company in August 2012. The Company has also been successful in building an auto-ship continuity program with its DermaVitál skincare line. Currently there are over 9,000 customers in the program, all which pay $29.95 per month to receive the three core products in the line; Pre-Face Beauty Treatment, Hydra Infusion Beauty Treatment, and Skin Mist. The Company is focused on expanding the DermaVital line and building the continuity program.
A secondary reason for the increase in revenue was an increase in international sales. During the three and nine months ended September 30, 2012, international sales revenue for the DermaWand was approximately $855,000 and $2,802,000, respectively, as compared to approximately $378,000 and $680,000 during the three and nine months ended September 30, 2011, respectively. The increase in sales internationally is primarily due to the new DermaWandTM infomercial running in Europe, Asia, and South America.
Richard Ransom, President and Chief Financial Officer, stated, “I am tremendously proud of all the members of the ICTV team that have been working diligently to grow our sales and EBITDA over the last nine months. What is most exciting to me is that I believe this is only the beginning of what ICTV can accomplish. As we head toward the beginning of a new year, management and staff are working very hard to expand our current brands, while at the same time testing several new product lines, which will only help to expand sales and profitability as we head into 2013.”
The Company encourages all investors and interested parties to visit its corporate website: http://www.ictvonline.com. Anyone who is interested in receiving direct communication with the latest news about the Company can go to the website and sign up to receive the Investor Newsletter. The Company also post regular updates on its Facebook page: https://www.facebook.com/ICTVONLINE.
International Commercial Television, Inc.’s stock is now listed on the OTCQB with the ticker symbol of ICTL. OTCQB consists of nearly 4,000 emerging companies that are current in their reporting obligations to the SEC or a U.S. banking regulator.
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About International Commercial Television, Inc.
Headquartered in Wayne, Pennsylvania, International Commercial Television, Inc. is a rapidly expanding global consumer products company marketing unique and effective products in clearly defined market segments particularly health and beauty, fitness and leisure sports and children’s products, with distribution channels in place in over 35 countries worldwide. The Company utilizes a distinctive marketing strategy and multi-channel distribution model to develop, market, and sell their products. Marketing and distribution of the Company's products is done through infomercials, live home shopping television, specialty outlets, online shopping, and other forms of distribution.
Non-GAAP Financial Information
Adjusted EBITDA is defined as income from continuing operations before depreciation, amortization, interest expense, interest income, and stock-based compensation. Adjusted EBITDA is not intended to replace operating income, net income, cash flow or other measures of financial performance reported in accordance with generally accepted accounting principles. Rather, Adjusted EBITDA is an important measure used by management to assess the operating performance of the Company. Adjusted EBITDA as defined here may not be comparable to similarly titled measures reported by other companies due to differences in accounting policies.
The matters discussed in this press release may contain "forward-looking statements" (as defined in the Private Securities Litigation Reform Act of 1995). The Company intends that the safe harbor provisions of Section 21E of the Securities Exchange Act of 1934, as amended, and Section 27A of the Securities Act of 1933, as amended, apply to forward-looking statements made by ICTV. Undue reliance should not be placed on forward-looking statements as they may involve risks and uncertainties. The actual results that ICTV achieves may differ materially from any forward-looking statements due to such risks and uncertainties.
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International Commercial Television, Inc.