EXHIBIT 99
NEWS RELEASE
FOR FURTHER INFORMATION, CONTACT:
David G. Kreher Fred A. Nielson Al Palombo
Chief Operating Officer Investor Relations Cameron Associates
(636) 537-9715 (636) 733-1314 212-554-5488
Reliv International Opens 2004 with 67 Percent Gain in Net Profit
As 1Q 2004 Net Sales Grow 26 Percent
FOR IMMEDIATE RELEASE
CHESTERFIELD, MO, May 4, 2004 -- Reliv International, Inc. (Nasdaq/NM - RELV),
an international manufacturer and network marketer of nutritional supplements
and other food technology products, today announced its results of operations
for the three months ending March 31, 2004.
Reliv's worldwide net sales grew 26 percent during the first quarter of 2004, to
total a record-setting $23.48 million - up from $18.67 million in the same
period last year. Net income available to common shareholders advanced at a
significantly higher rate, climbing 67 percent to $1.63 million, or $0.11 per
share basic ($0.10 per share diluted) in the first quarter. This compares to
earnings of $978,000, or $0.07 per share basic ($0.06 per share diluted) in the
first quarter of 2003. The 2003 earnings per share have been adjusted for the
five-for-four stock split declared in September, 2003.
The company's results were driven by an outstanding performance in the United
States, Reliv's largest market - where first quarter net sales grew 30 percent
compared to the prior-year period. This was the eighth consecutive quarter in
which the company's U.S. sales grew at least 20 percent over the same quarter in
the previous year. Several international markets contributed significant sales
increases in the first quarter of 2004, as well - including Canada (up 45
percent), the United Kingdom (up 43 percent) and Australia/New Zealand (up 39
percent).
Robert L. Montgomery, President and Chief Executive Officer of Reliv, said,
"We're off to a great start in 2004, continuing the strong growth momentum we
saw throughout last year. It's both gratifying and exciting to see this company
prosper by focusing on the fundamentals of our business. Clearly, there's a lot
of consumer demand for the balanced nutrition that Reliv products offer. When
you combine those proven products with the exceptional business opportunity we
provide to our distributors, the result is outstanding growth."
Mr. Montgomery noted that Reliv continues to see a strong performance in its
efforts to recruit new distributors for its marketing network. During the first
quarter of 2004, sponsorships grew 20 percent in the U.S., and 14 percent
worldwide, compared to the prior-year period, he said.
-- MORE --
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Reliv International, Inc.
ADD ONE
Reliv International, Inc., based in suburban St. Louis, manufactures and
distributes several lines of food products, including nutritional and fiber
supplements, diet management products, functional foods, sports drink mixes and
a line of premium skin care products. Its proprietary product lines include an
extensive line of soy-based products. Reliv International's common stock trades
on The Nasdaq Stock Market(R) under the symbol RELV.
The Company will host a conference call to discuss the first quarter earnings at
1:00 p.m. Eastern Daylight Time on May 4, 2004. A live webcast of this call will
be available through the Investor Relations section of the Company's Web site,
http://www.reliv.com/us/investor. An online archive of the broadcast will be
available on the Company's Web site in the Investor Relations section shortly
after the call concludes. Please access the web site at least 10 minutes before
the scheduled conference call to register.
NOTE: Any statement released by Reliv International, Inc. that is forward
looking is made pursuant to the safe harbor provisions of the Private Securities
Litigation Reform Act of 1995. Editors and investors are cautioned that
forward-looking statements involve risk and uncertainties that may affect the
Company's business prospect and performance. This includes economic,
competitive, governmental, technological and other factors described in the
Company's filings with the SEC on forms 10-K and 10-Q.
-- FINANCIAL HIGHLIGHTS FOLLOW -
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Reliv International, Inc. and Subsidiaries
ADD TWO
Consolidated Balance Sheets
March 31 December 31
2004 2003
------------ ------------
(Unaudited) (Audited)
Assets
Current Assets:
Cash and cash equivalents $ 9,753,767 $ 7,902,508
Accounts and notes receivable, less allowances of
$5,000 in 2004 and $8,600 in 2003 782,881 751,887
Accounts due from employees and distributors 116,756 72,846
Inventories 5,108,300 4,670,319
Other current assets 1,848,680 1,024,103
------------ ------------
Total current assets 17,610,384 14,421,663
Other assets 1,153,790 845,382
Net property, plant and equipment 9,883,183 9,413,871
------------ ------------
Total Assets $ 28,647,357 $ 24,680,916
============ ============
Liabilities and Stockholders' Equity
Total current liabilities $ 10,210,878 $ 7,165,368
Long-term debt, less current maturities 3,701,835 3,700,138
Other non-current liabilities 785,125 743,032
Stockholders' equity 13,949,519 13,072,378
------------ ------------
Total Liabilities and Stockholders' Equity $ 28,647,357 $ 24,680,916
============ ============
Consolidated Statements of Operations
Three months ended March 31
2004 2003
------------ ------------
(Unaudited) (Unaudited)
Sales at Retail $ 33,859,141 $ 26,856,164
Less Distributor allowances on product purchases 10,381,309 8,184,714
------------ ------------
Net Sales 23,477,832 18,671,450
Costs and expenses:
Cost of products sold 3,854,279 3,307,718
Distributor royalties and discounts 9,320,390 7,255,198
Selling, general and administrative 7,520,950 6,370,984
------------ ------------
Total Costs and Expenses 20,695,619 16,933,900
------------ ------------
Income from operations 2,782,213 1,737,550
Other income (expense):
Interest income 20,470 15,742
Interest expense (65,231) (68,047)
Other income\expense 14,195 (22,683)
------------ ------------
Income before income taxes 2,751,647 1,662,562
Provision for income taxes 1,110,000 685,000
------------ ------------
Net Income $ 1,641,647 $ 977,562
------------ ------------
Preferred dividends accrued and paid 12,292 --
------------ ------------
Net income available to common shareholders $ 1,629,355 $ 977,562
============ ============
Earnings per common share - Basic $ 0.11 $ 0.07
============ ============
Weighted average shares 15,178,000 14,948,000
============ ============
Earnings per common share - Diluted $ 0.10 $ 0.06
============ ============
Weighted average shares 16,959,000 16,645,000
============ ============
2003 earnings per common share and weighted average shares have been adjusted
for the five-for-four stock split declared in September 2003.
** 30 **
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