Cord Blood America Announces Debt Down; Gross Margins Up: Balance Sheet
Significantly Improved
LAS VEGAS, Nov. 16 /PRNewswire-FirstCall/ -- Cord Blood America, Inc. (OTC
Bulletin Board: CBAI), the umbilical cord blood stem cell preservation company
(http://www.cordblood-america.com ) focused on bringing the life saving
potential of stem cells, a biological insurance policy, to families nationwide
and internationally, announced today that its 10Q filing with the U.S. SEC for
the three and nine-month period ended September 30, 2009, confirmed its
announcements throughout 2009 that it is significantly reducing debt.
Notes and loans payable were reduced from $6.8 million at December 31, 2008 to
$929,438 at September 30, 2009. These are listed in detail on page 11, note
four of the filing. "Our asset to liability ratio is improving dramatically,
a significant benchmark for a healthy company," said Matthew Schissler,
co-founder and CEO. "We are proud to have significantly strengthened our
balance sheet in 2009. We are most pleased to report the large 2009 debt
reduction in current liabilities, from $13.59 million to $5.58 million. We
also note that our market cap is up approximately 600 percent since the end of
2008."
"Gross margins increased from 54.3 to 62.7 percent as we emphasized our higher
margin cord blood storage business instead of our advertising division, which
we are phasing out," said Mr. Schissler. "We expect an increase in this
important trend in 2010." Cord Blood America also noted that expenses
increased in the quarter, with construction of the Company's new laboratory in
Las Vegas. A decrease in revenues is attributable to a de-emphasis on the
advertising business coupled with difficult economic conditions. The decrease
to $838,238 in the third quarter and $2.6 million for the first nine months of
2009 is compared to $927,359 and $3.3 million in the comparable periods in
2008.
"The year 2009 focused on cleaning up the balance sheet and our third quarter
results continue to validate our progress. The year 2010 will be laser
focused on leveraging opportunities with our new laboratory, with special
emphasis on diversifying revenue streams. Organic growth in the core stem
cell processing and storage business and accretive acquisitions will also be
primary targets for increasing the top line in 2010," said Mr. Schissler.
About Cord Blood America
Cord Blood America (OTC Bulletin Board: CBAI) is the parent company of
CorCell, which facilitates umbilical cord blood stem cell preservation for
expectant parents and their children. Its mission is to be the most respected
stem cell preservation company in the industry. Collected through a safe and
non-invasive process, cord blood stem cells offer a powerful and potentially
life-saving resource for treating a growing number of ailments, including
cancer, leukemia, blood, and immune disorders. To find out more about Cord
Blood America, Inc. (OTC Bulletin Board: CBAI), visit our website at
www.corcell.com. For investor information, visit www.cordblood-america.com.
CONTACT:
Paul Knopick
E & E Communications
949/707-5365
pknopick@eandecommunications.com
SOURCE Cord Blood America, Inc.
Paul Knopick of E & E Communications, +1-949-707-5365,
pknopick@eandecommunications.com
