Board continues to review strategic initiatives and alternatives
TOMBALL, TX / ACCESSWIRE / December 20, 2023/ RiceBran Technologies (OTCMKTS:RIBT) ("RiceBran" or the "Company"), an innovator in the development and manufacture of nutritional and functional ingredients derived from rice, barley and oats, today announced financial results for the third quarter ended September 30, 2023.
Eric Tompkins, Executive Chairman of RiceBran, commented, "The Board of Directors continues to advance a strategic review, with the goal of creating a more sustainable organization that can better capitalize on the benefits of a public listing and the significant carryforward tax assets that have been accumulated. The divestiture of our stabilized rice bran business during the second quarter was the first step in this ongoing process."
Third Quarter 2023 Financial and Operational Overview
Revenue: Total revenue from continuing operations was $4.9 million in 3Q23, down 27% from 3Q22 due to a $1.2 million decrease related to Golden Ridge Rice Mills ("Golden Ridge") mainly due a lack of availably of end of the season crop leading to lower volumes. The remaining $0.6 million revenue decrease at MGI Grain Inc, ("MGI") was mainly due to lower commodity prices.
Gross Losses: Gross losses from continuing operations for 3Q23 were $(480,000) compared to a gross loss of $(562,000) in the third quarter of 2022, due to the rationalization of less profitable business due to the commodity supply changes noted above.
SG&A and Operating Loss: SG&A from continuing operations decreased $186,000 year-over-year due to reductions in overhead expenses, primarily staff, partially offset by increased legal costs as the Company's Board of Directors continues to explore strategic alternatives. Loss from continuing operations before other income (expense) was $1.8 million in 3Q23, an increase of $231,000, or 13%, compared with 3Q22.
Net Loss and EPS: Net loss from continuing operations was $1.8 million, or $0.26 per share, in 3Q23 compared to $2.0 million, or $0.29 per share, in 3Q22. Net loss (including discontinued operations) was $1.8 million, or $0.26 per share, compared with a net loss of $2.0 million, or $0.38 per share in 3Q22.
Balance Sheet: Total cash was $466,000 at the end of 3Q23 down from $3.9 million at the end of 4Q22, after repayments of $3.0 million on the Company's factoring, line of credit and long-term debt and finance lease liabilities.
About RiceBran Technologies
RiceBran Technologies is a specialty ingredient company focused on the development, production and marketing of products derived from traditional and ancient small grains. We create and produce products to deliver improved nutrition and ease of use, while addressing consumer demand for all natural, non-GMO and organic products. The target markets for our products include human food, animal nutrition manufacturers and retailers, as well as specialty food retailers. More information can be found in the Company's filings with the U.S. Securities and Exchange Commission (the "SEC") and by visiting our website at http://www.ricebrantech.com .
Forward-Looking Statements 1
This press release includes statements concerning RiceBran and its future expectations, plans and prospects that constitute "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995. Such "forward-looking statements" include, but are not limited to, statements about RiceBran's intentions, beliefs or current expectations. In some cases, you can identify forward-looking statements by terms such as "may," "will," "should," "would," "expect," "plans," "anticipate," "could," "intends," "target," "projects," "contemplates," "believes," "estimates," "predicts," "potential," or "continue," or the negative of these terms or other similar expressions. The forward-looking statements in this press release are based on current expectations, estimates, forecasts and projections about the industry and markets in which the Company operates and management's beliefs and assumptions. The Company cannot guarantee that it actually will achieve the plans, intentions, expectations or guidance disclosed herein. Such forward-looking statements, and all phases of the Company's operations, involve a number of risks and uncertainties, any one or more of which could cause actual results to differ materially from those described in its forward-looking statements. Assumptions and other information that could cause results to differ from those set forth in the forward-looking information can be found in RiceBran's filings with the SEC, including its most recent annual report on Form 10-K and its quarterly reports on Forms 10-Q. Except as required by law, RiceBran does not undertake to update forward-looking statements to reflect actual results, changes in assumptions or changes in other factors affecting such forward-looking information.
