LOS ANGELES, June 15 /PRNewswire-FirstCall/ -- Signature Eyewear, Inc. (BULLETIN BOARD: SEYE) reported increases in its net income and net sales for the three and six months ended April 30, 2007. This is the Company's tenth straight quarter of profitability.
Net income was $514,000 and $668,000 for the three and six months ended April 30, 2007 compared to net income of $306,000 and $426,000 for the three and six months ended April 30, 2006. These increases were due primarily to 10.2% and 8.7% increases in net sales for the 2007 quarter and 2007 six months. Net sales were $6.5 million and $12.4 million in the 2007 periods.
"Our net sales were higher as a result of an increase in net sales of bebe eyes and Nicole Miller Eyewear. Net sales in 2007 were positively affected by the introduction of Cutter & Buck Eyewear in October 2006 and the launch of the Nicole Miller Luxury collection in January 2007," explained Michael Prince, CEO of Signature Eyewear.
Prince also noted that, "We increased advertising and promotion expense by $225,000 and $325,000 for the three and six month periods, respectively. These increases were primarily for our sunwear and luxury collections, which are the fastest growing segments of the optical frame market."
The Company's general and administration expenses only increased $30,000 or 2% for the quarter and $40,000 or 1.5% for the six-month period. "We continue to actively manage our overhead while increasing sales," said Prince.
In the second quarter, the Company raised $206,250 of capital through the sale to Ashford Capital, LLC of 300,000 shares of its common stock and warrants to purchase 300,000 shares of its common stock at 68.75 cents. These funds will be used for general working capital and to support growth.
The Company also entered into an exclusive license agreement with Carmen Marc Valvo, one of America's leading couture designers. Carmen Marc Valvo designs dresses and gowns for high profile celebrities and non-celebrity clients. The Company intends to launch this sunwear and ophthalmic collection in the first quarter of 2008. The collection will be sold at better department stores and optical venues.
Signature Eyewear is a leading designer and marketer of prescription eyeglass frames and sunglasses under internationally-recognized brand names, including bebe eyes, Cutter & Buck Eyewear, Dakota Smith, Hart Schaffner Marx, Hummer Eyegear, Laura Ashley Eyewear and Nicole Miller Eyewear. Signature Eyewear's products are sold worldwide to opticians, optometrists and ophthalmologists and to major retail chains. For information about Signature Eyewear, visit the Company's web site at http://www.seye.com/.
The above news release contains forward-looking statements. These statements are based on assumptions that management believes are reasonable based on currently available information, and include statements regarding the intent, belief or current expectations of the Company and its management. Prospective investors are cautioned that any such forward-looking statements are not guarantees of future performance, and are subject to a wide range of business risks, external factors and uncertainties. Actual results may differ materially from those indicated by such forward-looking statements. For the risks associated with the Company's business, see the Company's Annual Report on Form 10-K for the year ended October 31, 2006. The Company assumes no obligation to update the information contained in this press release, whether as a result of new information, future events or otherwise.
FOR FURTHER INFORMATION, CONTACT: Devon Blaine
The Blaine Group
310/360-1499
310/360-1498 (FAX)
