SOURCE: Celsius Holdings, Inc.

Celsius Holdings, Inc.

March 04, 2010 08:05 ET

Celsius Reports 283% Revenue Growth for Fourth Quarter

DELRAY BEACH, FL--(Marketwire - March 4, 2010) - Celsius Holdings, Inc. (NASDAQ: CELH) today reported that revenue for the three month period ended December 31, 2009 was $2.4 million, as compared to $621,000 for the same period ended December 31, 2008, or an increase of 283%. Revenue for the calendar year 2009 was approximately $5.9 million as compared to $2.6 million for 2008, an increase of 127%. The gross profit percentage for the quarter was 54.9% as compared to 28.1% for the same quarter in 2008. The gross profit for the year was 47.8% as compared to 29.2% in 2008. In 2008, we had a write-down of bottle inventory, which affected 3rd and 4th quarter of 2008. The gross profit for fiscal 2008 would have been 41.6% without this write-down. The company also reported a net loss of $7.8 million or $1.02 per basic and diluted share for the calendar year 2009. This compares with net loss of $5.3 million or $0.82 per basic and diluted share for the calendar year 2008.

Mr. Stephen C. Haley, chairman and CEO, said: "The company has made significant progress during and since the 4th quarter."

Mr. Haley continued, "These accomplishments include completing a capital raise of over $13 million, being listed on Nasdaq Capital Market and continuing to grow our distribution in key retailers and multiple channels of trade. We look forward to reviewing this and more details of the results as well as our objectives for the current year on our upcoming conference call.

The company's quarterly conference call is scheduled for 4:30 p.m. ET, Thursday, March 4, 2010. The call may be accessed through live webcast links on the company's Internet home page, www.celsius.com. The webcast will be archived and available on the company's website for one month following the call.

About Celsius Holdings, Inc.

Celsius Holdings, Inc. (NASDAQ: CELH) markets Celsius®, the original, great tasting calorie burner that is backed by science. Celsius is dedicated to providing healthier, everyday refreshment through science and innovation. Information about Celsius Holdings, Inc. and Celsius, the original, great tasting calorie burner, is available at http://www.celsius.com.

Forward-looking Statements

This press release may contain statements that are not historical facts and are considered forward-looking within the meaning of the Private Securities Litigation Reform Act of 1995. These forward-looking statements contain projections of Celsius Holdings' future results of operations and/or financial position, or state other forward-looking information. In some cases you can identify these statements by forward-looking words such as "anticipate," "believe," "could," "estimate," "expect," "intend," "may," "should," "will," "would," or similar words. You should not rely on forward-looking statements since Celsius Holdings' actual results may differ materially from those indicated by forward-looking statements as a result of a number of important factors. These factors include, but are not limited to: general economic and business conditions; our business strategy for expanding our presence in our industry; anticipated trends in our financial condition and results of operation; the impact of competition and technology change; existing and future regulations affecting our business; and other risks and uncertainties discussed in the reports Celsius Holdings files from time to time with the Securities and Exchange Commission. Celsius Holdings does not intend to and undertakes no duty to update the information contained in this press release.

                  Celsius Holdings, Inc. and Subsidiaries
                  Condensed Consolidated Balance Sheets
                                (Unaudited)

                                                  December 31  December 31
                                                  -----------  -----------
                     ASSETS                          2009         2008

Current assets:
Cash and cash equivalents                         $   606,737  $ 1,040,633
Accounts receivable, net                            2,124,788      192,779
Inventories, net                                    1,650,337      505,009
Other current assets                                  893,202       12,155
                                                  -----------  -----------
  Total current assets                              5,275,064    1,750,576

Property, fixtures and equipment, net                 179,832      183,353
Note receivable                                             -      250,000
Other long-term assets                                 18,840       18,840
                                                  -----------  -----------
  Total Assets                                    $ 5,473,736  $ 2,202,769
                                                  ===========  ===========

  LIABILITIES AND STOCKHOLDERS' (DEFICIT) EQUITY
Current liabilities:
Accounts payable and accrued expenses             $ 1,722,031  $   612,044
Loans payable                                               -       95,000
Short term portion of other liabilities                23,074       26,493
Due to related parties, short-term portion          1,110,000      120,000
                                                  -----------  -----------
  Total current liabilities                         2,855,105      853,537

Convertible note payable, net of debt discount         34,519      562,570
Convertible note payable, net of debt discount,
 related party                                      5,620,052            -
Due to related parties, long-term portion              61,034      700,413
Other liabilities                                      55,183       75,022
                                                  -----------  -----------
  Total Liabilities                                 8,625,893    2,191,542
                                                  ===========  ===========

Stockholders' (Deficit) Equity:
Preferred stock                                             -            -
Common stock                                           12,030        7,439
Additional paid-in capital                         15,997,210   11,386,156
Accumulated deficit                               (19,141,397) (11,382,368)
                                                  -----------  -----------
  Total Stockholders' (Deficit) Equity             (3,152,157)      11,227
                                                  -----------  -----------
    Total Liabilities and Stockholders'
     (Deficit) Equity                             $ 5,473,736  $ 2,202,769
                                                  ===========  ===========



                  Celsius Holdings, Inc. and Subsidiaries
              Condensed Consolidated Statements of Operations
                                (Unaudited)


                          For the Three Months          For the Year
                           ended December 31,        ended December 31,
                            2009         2008         2009         2008
                        -----------  -----------  -----------  -----------

Net revenue             $ 2,387,420  $   620,912  $ 5,867,895  $ 2,589,887
Cost of revenue           1,075,753      446,675    3,063,142    1,833,184
                        -----------  -----------  -----------  -----------

  Gross profit            1,311,667      174,237    2,804,753      756,703

Selling and marketing
 expenses                 2,706,314    1,026,559    8,001,697    3,936,552
General and
 administrative
 expenses                   829,053      417,564    2,256,800    1,740,143
                        -----------  -----------  -----------  -----------

  Total operating
   expenses               3,535,367    1,444,123   10,258,497    5,676,695

  Loss from operations   (2,223,700)  (1,269,886)  (7,453,744)  (4,919,992)

Other expense:
Interest expense,
 related party               38,672       (6,150)      83,536          773
Other interest expense,
 net                        160,828       55,376      221,749      340,835
                        -----------  -----------  -----------  -----------

  Total other expense       199,500       49,226      305,285      341,608
                        -----------  -----------  -----------  -----------

Net loss                $(2,423,200) $(1,319,112) $(7,759,029) $(5,261,600)

Basic and diluted:
Weighted average shares
 outstanding              8,047,970    7,340,198    7,627,383    6,435,182
                        ===========  ===========  ===========  ===========
Loss per share          $     (0.30) $     (0.18) $     (1.02) $     (0.82)
                        -----------  -----------  -----------  -----------

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