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Slow Cold Season Trims Matrixx Q4 Sales, But Net Loss Down By $2.5 Million

This article was originally published in The Tan Sheet

Executive Summary

A slow-starting cold season contributed to an 18 percent dip in fourth-quarter sales of Matrixx Initiatives' Zicam cough/cold and flu relief products, company President and CEO Carl Johnson says

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Late cold season impacts sales

Zicam manufacturer Matrixx Initiatives announces Dec. 11 it does not expect net sales and net income to reach the lower end of its previously announced guidance due to a slow start to the 2006/2007 cold season. The Phoenix-based company says the overall season-to-date incidence level is around 3% below last year and is negatively affecting its net sales growth. Matrixx Initiatives President & CEO Carl Johnson says, "Generally this trend would indicate a late cold season that should peak in the first quarter of 2007." In July, the firm announced it is developing a new oral care product offering a "very unique delivery system." It has not announced when the new product will be introduced (1"The Tan Sheet" July 31, 2006, p. 11)...

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