Submitted by Daniel Tarockoff as part of our contributors program.
On Thursday, ChromaDex (OTC: CDXC) announced that revenues are at all-time highs and that the American Heart Association accepted its human clinical study for its annual conference in Washington D.C. A $61 million company as of current market prices, ChromaDex reported quarterly revenues of $2.67 million, putting the company on track to exceed last year’s $8.1 million in annual revenues. The company also confirmed that it will be presenting human clinical data from the largest-ever human clinical study of pterostilbene at the 2012 American Heart Association’s High Blood Pressure Scientific Sessions on September 20, 2012. ChromaDex is the largest seller of pterostilbene, a dietary supplement and natural component of blueberries.
In its earnings report for Q2 2012, ChromaDex reported revenue of $2,670,611 versus $1,937,976 for Q2 2011. Shareholders netted a slight loss of $0.04 per share, however, due to advertising and marketing expenses for the company’s BluScience dietary supplement line. Non-cash, share-based compensation expense related to stock options and other share-based compensation was $1,198,537. ChromaDex also has $2.2 million in cash and marketable securities plus $5.2 million of inventory.
The company also announced that that revenues unrelated to vitamin sales (lab services, chemical orders, and other legacy offerings) hit all-time highs. Specifically, the company mentioned that more industry orders came in for ChromaDex’s two main licensed compounds — pTeroPure and ProC3G — due to increased sales, marketing, and investor relations efforts. The BluScience line is now available in more than 17,000 U.S. outlets.
ChromaDex’s CEO and co-founder, Frank Jaksch, Jr., commented on the earnings report: “The first half of 2012 was extremely positive and productive for ChromaDex. The record monthly sales in June in our ingredient and laboratory business, as well as the current pipeline of our proprietary novel ingredients, gives us reason to be very enthusiastic about our business strategy of identifying early novel compounds, securing intellectual property, investing in clinical data, developing commercially viable production processes and executing a commercial business plan. In parallel, the successful launch of the BluScience line has achieved our goal of increasing the awareness of pTeroPure as a novel ingredient. We are currently looking at potential strategic partners for further development of the BluScience brand. Given these strategic initiatives, the Company should have sufficient capital to meet its operational needs through the foreseeable future.”
ChromaDex also announced on Thursday that the American Heart Association had accepted its submission of pterostilbene human clinical data for presentation at the High Blood Pressure Research 2012 Scientific Sessions on September 20th in Washington, D.C.
With this acceptance, ChromaDex will present the largest set of clinical data ever compiled on pterostilbene health effects for humans. It will be based on an eight-week, double-blind, randomized, placebo-controlled study of 80 adults who were tested on metrics like blood pressure, weight loss and cholesterol levels. The study was a collaboration between the United States Department of Agriculture, ChromaDex and the University of Mississippi School of Pharmacy.
“We are proud to be able to present the efficacy results for pterostilbene at the American Heart Association Scientific Sessions. Pterostilbene is a promising ingredient in the area of cardiometabolics,” said Dr. Riche. “The study’s endpoints of blood pressure, weight and cholesterol are important health parameters for most Americans and ones that I manage for my patients on a daily basis.”
Safety data alone (without efficacy data) from this study was previously presented on June 7, 2012 at the 6th World Congress on Polyphenols Applications in Paris, France. Based on that presentation, we know that pterostilbene is safe for human consumption and has no known adverse health effects.
“Presentation of the pTeroPure human clinical data is a significant milestone for ChromaDex. Being accepted by the American Heart Association to present at this nationally renowned meeting, which focuses on blood pressure, is an outstanding platform to showcase the benefits of this amazing ingredient,” said Frank Jaksch, Jr. “We believe this milestone will allow ChromaDex to advance numerous business development opportunities to monetize its exclusive worldwide patent rights for pTeroPure in both the vast over-the-counter and pharmaceutical markets.”