Xylitol Canada Inc.
TSX VENTURE : XYL

Xylitol Canada Inc.

November 26, 2013 09:16 ET

Xylitol Canada Inc. Financial Results for Three and Nine Months Ended September 30, 2013 and Results of Special Meeting of Shareholders

TORONTO, ONTARIO--(Marketwired - Nov. 26, 2013) - Xylitol Canada Inc. ("Xylitol Canada", or the "Company") (TSX VENTURE:XYL) today announces that it has released its financial and operating results for the three and nine months ended September 30, 2013. Highlights of the results include:

  • For the nine months ended September 30, 2013, sales increased by 52% to $3,953,472, compared to the nine months ended September 30, 2012;
  • For the three months ended September 30, 2013, sales increased by 85% to $1,476,488, compared to the three months ended September 30, 2012;
  • For the nine months ended September 30, 2013, gross profit increased by 38% to $1,235,242, compared to the nine months ended September 30, 2012;
  • For the three months ended September 30, 2013, gross profit increased by 77% to $421,355, compared to the three months ended September 30, 2012.

"The 3rd quarter of 2013 illustrates the growth trajectory we are experiencing heading into our busiest selling season. The 85% top line increase (when comparing Q3 2012 to Q3 2013) is indicative of the traction our products are experiencing in the marketplace. The adoption of our best-selling lines at major retailers throughout North America is starting to become quite transparent in our financials, and we expect these contributions to be increasingly apparent as we move forward and sales cycles and rollouts become more mature," commented Andrew Reid, Chief Executive Officer of Xylitol Canada Inc.

The full text of the Company's interim consolidated financial statements and related management's discussion and analysis can be found at: www.sedar.com.

The Company is also pleased to announce the results of a special meeting of shareholders held on November 21, 2013 (the "Meeting"). At the Meeting, disinterested shareholders who voted unanimously approved the creation of a new Control Person (as that term is defined in the policies of the TSX Venture Exchange) being Dundee Agricultural Corporation ("Dundee"). Common shares of the Company held by Dundee were excluded from the vote. Subject to TSX Venture Exchange approval, Dundee now has the option to convert the principal balance and accrued interest on its $3 million loan to the Company into common shares of the Company.

About Xylitol Canada Inc.

Xylitol Canada markets xylitol and xylitol based-products and is focused on becoming a major low-cost manufacturer of xylitol and related products, serving the global market from operations in North America. Xylitol Canada's business strategy is to leverage novel proprietary technology and processes to become North America's premier manufacturer of low cost, high quality xylitol from readily available environmentally-sustainable biomass. Xylitol is a natural sweetener which is marketed globally including Canada and the United States and is accepted by the American Food and Drug Administration, the World Health Organization and the American Dental Association. Xylitol contains 75% less carbohydrates and 40% less calories than sugar, has a myriad of oral health benefits including the prevention of tooth decay and is safe for diabetics. To date, wider spread use of xylitol has been limited by the lack of a reliable, low cost, high quality supplier.

Neither TSX Venture Exchange Inc. nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.

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