FitLife Brands (NASDAQ:FTLF) Announces Earnings Results

FitLife Brands (NASDAQ:FTLF) announced its quarterly earnings results on Thursday. The company reported $0.20 earnings per share for the quarter, beating analysts’ consensus estimates of $0.18 by $0.02, FiscalAI reports. The firm had revenue of $26.55 million for the quarter. FitLife Brands had a net margin of 6.64% and a return on equity of 18.31%.

Here are the key takeaways from FitLife Brands’ conference call:

• Revenue rose 65% year over year to $26.5 million, driven primarily by the Irwin acquisition, while net income increased to $2.0 million and adjusted EBITDA rose 10% to $3.7 million. Revenue also increased 4.8% sequentially, indicating some near-term stabilization.
• Irwin’s Amazon business exceeded management’s expectations, reaching nearly $1 million in monthly revenue in June and maintaining comparable sales in July without Prime Day support. The company also reported progress on supply-chain improvements, including reduced out-of-stocks and expanded three-year product dating, which it expects to support future margins.
• Legacy FitLife revenue declined 23% year over year to $12.4 million, with wholesale sales down 31% and online sales down 19%. Management attributed the weakness primarily to declining GNC sales and continued softness at MRC, while overall company gross margin fell to 37.0% from 42.8% because Irwin operates at lower margins.
• The company paid down approximately $3.7 million of debt during the quarter, reducing its term loan to $36.1 million and revolving credit balance to $2.0 million. Management plans to continue using excess free cash flow for debt reduction, with the $8.6 million paid down since the Irwin acquisition expected to save roughly $0.6 million annually in interest expense.
• FitLife is increasing off-Amazon marketing, developing new Irwin products, pursuing wholesale cross-selling, and reducing SG&A, but management acknowledged that these initiatives will take time. It aims to launch at least four products per quarter beginning in 2027, while specialty retail conditions and consumer weakness remain significant uncertainties.

FitLife Brands Stock Up 9.1%

FTLF stock traded up $0.93 during midday trading on Thursday, hitting $11.19. The company’s stock had a trading volume of 26,524 shares, compared to its average volume of 25,715. The company has a debt-to-equity ratio of 0.78, a current ratio of 1.52 and a quick ratio of 0.49. FitLife Brands has a twelve month low of $8.67 and a twelve month high of $20.98. The company’s fifty day moving average price is $10.70 and its 200 day moving average price is $11.77. The stock has a market capitalization of $105.07 million, a P/E ratio of 18.53 and a beta of 0.01.

Analysts Set New Price Targets

A number of equities research analysts recently commented on the stock. Zacks Research upgraded shares of FitLife Brands from a “strong sell” rating to a “hold” rating in a report on Tuesday, July 14th. Weiss Ratings lowered shares of FitLife Brands from a “hold (c)” rating to a “hold (c-)” rating in a research note on Thursday, June 4th. Two analysts have rated the stock with a Buy rating and two have given a Hold rating to the company. Based on data from MarketBeat.com, FitLife Brands has an average rating of “Moderate Buy” and an average target price of $21.50.

Hedge Funds Weigh In On FitLife Brands

Several hedge funds have recently modified their holdings of FTLF. Bard Associates Inc. increased its position in shares of FitLife Brands by 5.3% in the fourth quarter. Bard Associates Inc. now owns 17,594 shares of the company’s stock valued at $286,000 after acquiring an additional 893 shares during the last quarter. Stifel Financial Corp acquired a new position in FitLife Brands during the fourth quarter valued at approximately $657,000. Wells Fargo & Company MN grew its stake in FitLife Brands by 78.0% in the fourth quarter. Wells Fargo & Company MN now owns 4,271 shares of the company’s stock valued at $69,000 after purchasing an additional 1,871 shares in the last quarter. Steward Partners Investment Advisory LLC grew its stake in FitLife Brands by 107.6% in the fourth quarter. Steward Partners Investment Advisory LLC now owns 3,478 shares of the company’s stock valued at $57,000 after purchasing an additional 1,803 shares in the last quarter. Finally, O Shaughnessy Asset Management LLC acquired a new position in shares of FitLife Brands during the 4th quarter worth approximately $263,000. Institutional investors own 2.32% of the company’s stock.

About FitLife Brands

FitLife Brands, Inc provides nutritional supplements for health-conscious consumers in the United States and internationally. The company provides weight loss, sports nutrition, and general health products; sports nutrition products; weight loss and sports nutrition products; sports nutrition and general wellness formulations with an emphasis on natural, vegan, and organic ingredients; and male health and weight loss products, as well as other diet, health, and sports nutrition supplements and related products; and value-oriented sports nutrition and weight loss products.