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Cord Blood America, Inc. (CBAI) Posts FY2012 Financial Results, Offers Favorable View for 2013

Cord Blood America reported its full-year 2012 financial results for the 12 months ended December 31, 2012, reflecting a revamped business model.

Revenues for 2012 clipped a record $6.0 million, up 18 percent from $5.1 million reported in the year-ago period. Gross profit for the year increased by 20 percent to $4.20 million from $3.5 million reported in the comparable period of 2011. Administrative and selling expenses for the year decreased by 17 percent to $5.63 million, compared to $6.75 million for the year prior. Positive cash flow from operations increased 117 percent to $0.19 million vs. the year ago period.

Joseph Vicente, president of CBAI, said the company has reached a pivotal point to grow revenues and highlighted achievements in both domestic and international operations.

“After taking over as CEO in May of 2012, our team has made transformational changes to our business model as highlighted in the bullets above,” Vicente stated in the press release. “At the same time we recognize we are at an inflection point for the company where incremental revenue growth will drive significantly higher operating profit for the company, highlighting the leverage within our model. Our combined U.S. and South American operating divisions offer the best of both worlds, a high growth engine in Argentina, which grew revenue by 35 percent for the year is providing the annuity streams of tomorrow, combined with our U.S. operations which are growing at a steady rate of 10 percent while already achieving the scale to generate consistent recurring cash flow that covers the operation’s fixed cost, demonstrating further the power of building a sizable customer base.”

Vicente said he expects the upcoming year to maintain momentum as the company expands its offerings and strengthens its sales campaign.

“The last half of 2012 provided measureable improvement across key indicators for revenue, expenses and operating profit. As we progress into 2013, we are focused on expanding our service offerings in the stem cell space, securing additional sales channels to market our services, and ensuring that our sales efforts meet the balance of the fiscal discipline required to continue to build the cash position of the company, all key contributors to drive the future value for our shareholders,” Vicente concluded.

For more information visit www.cordblood-america.com

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