CAPE TOWN, South Africa (BRAIN) — Protective products manufacturer Leatt Corporation announces on Friday that its first half sales totaled $9.3 million, up from $8.5 million in the first half last year. In the half, the company registered net income of $101,000.
The company's second quarter saw revenues of $3.5 million, with a net loss of $221,063, compared to revenues of $3.7 million, with a net loss of $11,456, or $0.00 per share, for the 2016 second quarter.
"The second quarter is traditionally a challenging quarter for Leatt as our customers receive their primary stocking orders in Q1 and Q3, respectively, in line with industry seasonality," said CEO Sean Macdonald.
"Furthermore, although U.S. sales continued to grow during the period, 2017 second quarter international sales were also depressed by higher recorded revenues during the 2017 first quarter, as our international customers replenished their inventory to meet increased market demand resulting from easing currency fluctuations.
"However, we received orders during the 2017 second quarter that we expect to ship during the second half of the year.So, our outlook for the third quarter and the remaining year continues to be very positive."
Macdonald said Leatt continues to see increases in neck brace, body armor and apparel revenues, with helmet revenues continuing to gain some traction.
He said Leatt will release its new bike range at Eurobike.
"Our customers in the United States and abroad continue to support the Leatt strategic goal of expanding our pipeline of extraordinary precision engineered protective gear, as evidenced by exceptional feedback and encouraging ordering patterns," Macdonald said.
"As we move forward to the second half of the year and beyond, our revenues may continue to fluctuate as we develop new product categories and fine tune our sales timelines. However, we are very enthusiastic about the reception that our new 2018 products have received at Motorcycle and Bike conferences during the first half of the year.
Leatt's stock is traded on the OTCQB exchange under the LEAT symbol.
