NutraCea a global leader in the production and marketing of value added products derived from rice bran, today announced its financial results for the third quarter and nine month period ended September 30, 2011.
W. John Short, Chief Executive Officer of NutraCea, stated, "Our financial results for the first nine months of 2011 showed continued improvement over the same period in 2010. Consolidated revenues increased 13.4%, driven by a 32.4% increase from our Bio-Refining unit, gross profit increased by 25.9%, consolidated gross profit margin improved to 25.6% and consolidated loss from operations improved by $4.4 million. We remain focused on improving cash flow and moving toward profitability in all segments of our business.
"Our operation in Brazil, through our Irgovel facility, continues to perform well. During the third quarter our partners at Alothon exercised their rights to increase their ownership interest in Nutra SA, the holding company for Irgovel, from 45% to 49%. Capital expansion and improvement projects at Irgovel remain on schedule and within budget. In the third quarter, we completed expansion of our distilled fatty acids plant during this quarter and have seen a better than planned 50% increase in both production and high value sales. The lecithin project is expected to be completed in January with initial sales of another high value product -- rice lecithin -- starting in the first quarter of 2012. The capacity expansion of our extractor and the other technology projects, including a new deodorizer are expected to be completed on time and within budget in the second quarter of 2012.
"Our SRB operations continue to show significant growth both domestically and internationally in human ingredient sales. However, SRB gross profit was negatively impacted by an unforeseen spike in raw bran prices that was exacerbated by rising global grain prices, lower forecast rice plantings and production in the mid-south, and the drought in Texas. We will be responding to this cost increase with necessary price adjustments in the fourth quarter."
http://www.blackseagrain.net/about-ukragroconsult/news-bsg/nutracea-gross-profit-increases-25.9-to-6.7-million
