Reliv International Reports Fourth-Quarter and Full-Year Financial Results for 2014

CHESTERFIELD, MO--(Marketwired - March 04, 2015) - Reliv International, Inc. (RELV), a maker of nutritional supplements that promote optimal health, today reported its financial results for the fourth quarter and full year of 2014.

Fourth-Quarter Results
Reliv reported net sales of $14.1 million for the fourth quarter of 2014, compared with sales of $17.4 million for the fourth quarter of 2013. U.S. sales decreased by 19.8 percent for the quarter compared with the same quarter in 2013. A significant portion of the decline in U.S. net sales was due to a promotion launched in fall 2013 that lowered the sales volume level needed to qualify as a Master Affiliate in the United States. This resulted in a shifting of and reduction in requalification orders that would normally be received in January 2014 to the fourth quarter of 2013. International sales for the quarter decreased 16.0 percent. A strengthening U.S. dollar compared to the year-ago quarter accounted for 4.0 percent of the decline.

Reliv reported net income of $998,000, or $0.08 per diluted share, for the fourth quarter of 2014 compared with net income of $503,000, or $0.04 per diluted share, for the fourth quarter of 2013. The fourth quarter of 2014 was favorably impacted by an income tax benefit of $575,000 primarily due to recognition of a deferred tax benefit of $758,000 related to net operating loss carryforwards in a European subsidiary. Income from operations for the fourth quarter of 2014 was $513,000 compared with $888,000 in the same quarter of 2013.

Full-Year Results
Reliv reported net sales of $57.3 million for 2014 compared with net sales of $68.2 million in 2013. U.S. net sales decreased from $53.7 million to $43.3 million. As previously noted, some of that decline can be attributed to the promotion launched in fall 2013.

Net sales in Reliv's foreign markets for 2014 decreased 3.7 percent compared with net sales for 2013. Europe once again topped all international markets with $8.3 million in net sales, an increase of 4.4 percent over 2013.

Net income for 2014 was $725,000 compared with $777,000 in 2013. Earnings per diluted share were $0.06 for both 2014 and 2013. Net income for 2014 was favorably impacted by the income tax benefit in the European subsidiary as previously noted. Income from operations for 2014 was $96,000 compared to $1.5 million in 2013. Selling, general and administrative expenses were $25.0 million versus $27.8 million in 2013, as cost reductions implemented in the latter half of 2014 helped offset the impact of the sales decline.