BioNeutra Global Corporation Announces Resignation of Director

EDMONTON, AB / TheNewswire / October 3, 2017 - BioNeutra Global Corporation (the "Company") (TSX-V: BGA) announces the resignation of Mr. Barry Charnay as a Director effective immediately and as VP Business Development effective October 16th, 2017. Chairman Bill Smith comments: "On behalf of the Board of Directors, I would like to take this opportunity to thank Mr. Charnay for his contribution to the Company and his work as a Director and wish him every success in his future endeavours."

 

About BioNeutra

BioNeutra is in the business of research and development, production and commercialization of ingredients for nutraceutical, functional and mainstream foods and beverages, with a focus on VitaFiber(TM) IMOs.

The Company's lead product, VitaFiber(TM), is an advanced functional and health food and beverage ingredient scientifically made from natural agricultural products, is generally regarded as safe (GRAS) by the U.S. Food & Drug Administration, and is European Food Safety Authority and Health Canada approved as a novel food ingredient. VitaFiber(TM) is naturally sweet and lower in calories than regular sugar and is a natural source of dietary fiber as it provides low calorie soluble prebiotic fiber for human digestive health.

The Company produces VitaFiber(TM) using its patented processes that naturally transform starch molecules from agriculture cereal crops including corn, wheat, barley, potato, or tapioca into the functional health molecules of VitaFiber(TM) IMO. The VitaFiber(TM) manufacturing process is based upon a natural enzymatic conversion of starch molecules without any chemical modification involved, making VitaFiber(TM) a natural food and beverage ingredient. VitaFiber(TM) is also non-GMO, vegan-friendly, gluten-free, Kosher and Halal certified and available as certified organic.

The Company's customers include a mix of small and medium enterprises and a number of high-profile food and beverage manufacturers in Canada, the U.S., Europe, the United Kingdom, and Mexico. VitaFiber(TM) is also available for retail purchase across the globe through Amazon.com and other direct-to-consumer retailers.

Further information about BioNeutra is available on the Company's website at www.bioneutra.ca and the SEDAR website at www.sedar.com.

For further information on BioNeutra, please contact:

Mr. Bill Smith
Chairman & Senior Vice President
Tel: (780) 466-1481 (Ext. 117)
Email: bsmith@bioneutra.ca

Forward-Looking Information

This press release may include forward-looking information within the meaning of Canadian securities legislation concerning the business of BioNeutra. Forward-looking information is based on certain key expectations and assumptions made by the management of BioNeutra. Although BioNeutra believes that the expectations and assumptions on which such forward-looking information is based are reasonable, undue reliance should not be placed on the forward-looking information because BioNeutra can give no assurance that they will prove to be correct. Forward-looking statements contained in this press release are made as of the date of this press release. BioNeutra disclaims any intent or obligation to update publicly any forward-looking information, whether as a result of new information, future events or results or otherwise, other than as required by applicable securities laws.

This news release does not constitute an offer to sell or a solicitation of an offer to buy any of the securities described herein in the United States. The securities described herein have not been and will not be registered under the United States Securities Act of 1933, as amended, or any applicable securities laws or any state of the United States and may not be offered or sold in the United States or to the account or benefit of a person in the United States absent an exemption from the registration requirements.



Bioneutra Global Corporation Reports Fiscal Year Ended December 31, 2016 Financial Results

-Record annual Revenues of $26 million, an increase of $10 million or 62.0% over the prior year

-Materially improved Gross Profit to $9.2 million, an increase of $2.2 million or 30.8% over the prior year

-More than doubled the Income before taxes from the prior year to $2.16 million

-Recorded significant Net Income of $1.08 million compared to $179,497 for the prior year

-Achieved Earnings of $0.02 per share

Edmonton, Alberta / TheNewswire / April 28th, 2017 - BioNeutra Global Corporation ("BioNeutra" or the "Company") (TSXV: BGA) is pleased to announce its financial results for the year ended December 31, 2016 (the "Year End"). BioNeutra is a functional and health food and beverage ingredient manufacturer that uses its patented processes to produce isomalto-oligosaccharide ("IMO") which is sold under its trademark VitaFiber(TM).

 

Year End Selected Financial Results

BioNeutra experienced another year of strong growth with revenues of approximately $26 million which is a $10 million increase over the prior year due to significant market and customer demand for its VitaFiber(TM) IMO which is used in various food and beverage products in the key markets of the US, Europe and Canada.

The Company's Adjusted EBITDA remains strong at $3.8 million and represents a 26.4% increase over the prior year which has had a significant positive effect on the operational strength of the Balance Sheet. At year end, the Company had working capital of $7.78 million versus $6.76 million at the end of the prior year.

The total Assets of the Company were $36.6 million compared to $26.8 million; and the total Liabilities were $20.8 million, up from $11.6 million, in the prior year.

A complete copy of the financial statements and Management's Discussion & Analysis for the year ended December 31st, 2016 are available on SEDAR.

 

CEO Commentary

Company founder, CEO and President Dr. Jianhua Zhu says:

"BioNeutra continues to be a growth company with an impressive revenue increase of $10 million, an increase of 62.0% over 2015. In response to the broad demand for VitaFiber(TM), our commercial sales team has done an amazing job in establishing our customer base and expanding sales to achieve another record breaking year. I am very proud of our accomplishments."

 

Chairman Commentary

Chairman and Senior Vice President Mr. Bill Smith says:

"BioNeutra and our lead product VitaFiber(TM) is now being recognized around the world as an important food additive to supplement the growing demand for healthier products.

Our Canadian production plant located in Edmonton, Alberta, which is soon to be certified, will not only supply product to Canada and the United States, but will also allow us to continue our research and development of many new and exciting products. The background of BioNeutra's scientific team will allow us to introduce to the world the qualities of our VitaFiber(TM) IMO and as an extension our new unannounced products.

This is an exciting time for our Company."

 

About BioNeutra

BioNeutra is in the business of research and development, production and commercialization of ingredients for nutraceutical, functional and mainstream foods and beverages, with a focus on VitaFiber(TM) IMOs.

The Company's lead product, VitaFiber(TM), is an advanced functional and health food and beverage ingredient scientifically made from natural agricultural products, is generally regarded as safe (GRAS) by the U.S. Food & Drug Administration, and is European Food Safety Authority and Health Canada approved as a novel food ingredient. VitaFiber(TM) is naturally sweet and lower in calories than regular sugar and is a natural source of dietary fiber as it provides low calorie soluble prebiotic fiber for human digestive health.

The Company produces VitaFiber(TM) using its patented processes that naturally transform starch molecules from agriculture cereal crops including corn, wheat, barley, potato, or tapioca into the functional health molecules of VitaFiber(TM) IMO. The VitaFiber(TM) manufacturing process is based upon a natural enzymatic conversion of starch molecules without any chemical modification involved, making VitaFiber(TM) a natural food and beverage ingredient. VitaFiber(TM) is also non-GMO, vegan-friendly, gluten-free, Kosher and Halal certified and available as certified organic.

The Company's customers include a mix of small and medium enterprises and a number of high-profile food and beverage manufacturers in Canada, the U.S., Europe, the United Kingdom, and Mexico. VitaFiber(TM) is also available for retail purchase across the globe through Amazon.com and other direct-to-consumer retailers.

Further information about BioNeutra is available on the Company's website at www.bioneutra.ca and the SEDAR website at www.sedar.com.

 

For further information on BioNeutra, please contact:

Mr. Bill Smith
Chairman & Senior Vice President
Tel: (780) 466-1481 (Ext. 117)
Email: bsmith@bioneutra.ca

Forward-Looking Information

This press release may include forward-looking information within the meaning of Canadian securities legislation concerning the business of BioNeutra. Forward-looking information is based on certain key expectations and assumptions made by the management of BioNeutra. Although BioNeutra believes that the expectations and assumptions on which such forward-looking information is based are reasonable, undue reliance should not be placed on the forward-looking information because BioNeutra can give no assurance that they will prove to be correct. Forward-looking statements contained in this press release are made as of the date of this press release. BioNeutra disclaims any intent or obligation to update publicly any forward-looking information, whether as a result of new information, future events or results or otherwise, other than as required by applicable securities laws.

This news release does not constitute an offer to sell or a solicitation of an offer to buy any of the securities described herein in the United States. The securities described herein have not been and will not be registered under the United States Securities Act of 1933, as amended, or any applicable securities laws or any state of the United States and may not be offered or sold in the United States or to the account or benefit of a person in the United States absent an exemption from the registration requirements.



Bioneutra Global Corporation Reports Third Quarter 2016 Financial Results and Corporate Updates

Edmonton, Alberta / TheNewswire / November 28, 2016 - BioNeutra Global Corporation ("BioNeutra" or the "Company") (TSXV: BGA) is pleased to announce its interim financial results for the three-month period ended September 30, 2016 (the "Third Quarter"). BioNeutra is a functional and health food and beverage ingredient manufacturer that uses its patented process to produce isomalto-oligosaccharide ("IMO") which is sold under its trademark VitaFiber(TM).

Third Quarter Financial Highlights

-BioNeutra's sales for the three-month period ended September 30, 2016 were $8,130,203 and for the nine-month period were $19,055,372. The Company's revenues during these periods were driven by strong sales of VitaFiber(TM) to food and beverage manufacturers targeting functional and health food markets and growing retail sales.

-Income before income taxes for the three-month period ended September 30, 2016 was $495,067.

-The Company's cash balance remains strong with over $1.9 million on September 30, 2016.

-The Company is growing its VitaFiber(TM) retail customer base both online through Amazon.com and in an expanding network of bricks-and-mortar retailers globally.

 

A complete copy of the interim financial statements and Management's Discussion & Analysis for the Third Quarter ended September 30, 2016 are available on SEDAR.

Corporate Updates

-Equipment for the VitaFiber(TM) IMO production line has been delivered to the Edmonton, Alberta plant along with the attendance of 15 installation engineers and technicians. Upon completion of the VitaFiber(TM) IMO production line, BioNeutra will be the exclusive North American producer of VitaFiber(TM) IMO products that feature Health Canada and European EFSA approval and FDA GRAS certification. Assembly of the production plant began in July 2016 and is expected to be completed by the end of the first fiscal quarter 2017.

-The custom packaging equipment for BioNeutra's VitaFiber(TM) IMO syrup arrived in the Edmonton, Alberta plant in August 2016 and management expects this packaging line to be fully installed in the first quarter of 2017. Once commissioned, this will allow BioNeutra to package its own VitaFiber(TM) IMO-based retail products and to enter into the retail distribution of a variety of VitaFiber(TM) IMO-based products. Management expects the sales of BioNeutra retail VitaFiber(TM) IMO health products in the first quarter of 2017.

 

About BioNeutra

BioNeutra is in the business of research and development, production and commercialization of ingredients for nutraceutical, functional and mainstream foods and beverages, with a focus on VitaFiber(TM) IMOs.

The Company's lead product, VitaFiber(TM), is an advanced functional and health food and beverage ingredient scientifically made from natural agricultural products, is generally regarded as safe (GRAS) by the U.S. Food & Drug Administration, and is European Food Safety Authority and Health Canada approved as a novel food ingredient. VitaFiber(TM) is naturally sweet and lower in calories than regular sugar and is a natural source of dietary fiber as it provides low calorie soluble prebiotic fiber for human digestive health.

The Company produces VitaFiber(TM) using its patented processes that naturally transform starch molecules from agriculture cereal crops including corn, wheat, barley, potato, or tapioca into the functional health molecules of VitaFiber(TM) IMO. The VitaFiber(TM) manufacturing process is based upon a natural enzymatic conversion of starch molecules without any chemical modification involved, making VitaFiber(TM) a natural food and beverage ingredient. VitaFiber(TM) is also non-GMO, vegan-friendly, gluten-free, Kosher and Halal certified and available as certified organic.

The Company's customers include a mix of small and medium enterprises and a number of high-profile food and beverage manufacturers in Canada, the U.S., Europe, the United Kingdom, and Mexico. VitaFiber(TM) is also available for retail purchase across the globe through Amazon.com and other direct-to-consumer retailers.

Further information about BioNeutra is available on the Company's website at www.bioneutra.ca and the SEDAR website at www.sedar.com.

 

For further information on BioNeutra, please contact:

Mr. Bill Smith
Vice Chairman & Senior Vice President
Tel: (780) 466-1481 (Ext. 117)
Email: bsmith@bioneutra.ca

 

Forward-Looking Information

This press release may include forward-looking information within the meaning of Canadian securities legislation concerning the business of BioNeutra. Forward-looking information is based on certain key expectations and assumptions made by the management of BioNeutra. Although BioNeutra believes that the expectations and assumptions on which such forward-looking information is based are reasonable, undue reliance should not be placed on the forward-looking information because BioNeutra can give no assurance that they will prove to be correct. Forward-looking statements contained in this press release are made as of the date of this press release. BioNeutra disclaims any intent or obligation to update publicly any forward-looking information, whether as a result of new information, future events or results or otherwise, other than as required by applicable securities laws.

This news release does not constitute an offer to sell or a solicitation of an offer to buy any of the securities described herein in the United States. The securities described herein have not been and will not be registered under the United States Securities Act of 1933, as amended, or any applicable securities laws or any state of the United States and may not be offered or sold in the United States or to the account or benefit of a person in the United States absent an exemption from the registration requirements.



BioNeutra Global Corporation Reports Second Quarter 2016 Financial Results and Corporate Updates

EDMONTON, ALBERTA--(Marketwired - Aug. 29, 2016) - BioNeutra Global Corporation ("BioNeutra" or the "Company") (TSX VENTURE:BGA) is pleased to announce its interim financial results for the three-month period ended June 30, 2016 (the "Second Quarter"). BioNeutra is a functional and health food and beverage ingredient manufacturer that uses its patented process to produce isomalto-oligosaccharide ("IMO") which is sold under its trademark VitaFiber™.

 

Second Quarter Financial Highlights

BioNeutra's sales for the three-month period ended June 30, 2016 were $6,339,087 and for the six-month period were $10,925,169. The Company's revenues during these periods were driven by strong sales of VitaFiber™ to food and beverage manufacturers targeting functional and health food markets and growing retail sales.

Income before income taxes for the three-month period ended June 30, 2016 was $1,596,990 resulting in a fully diluted net income of $0.03 per share.

The Company's cash balance remains strong with over $2.2 million on June 30, 2016.

The Company is growing its VitaFiber™ retail customer base both online through Amazon.com and in an expanding network of bricks-and-mortar retailers globally.

A complete copy of the interim financial statements and Management's Discussion & Analysis for the Second Quarter ended June 30, 2016 are available on SEDAR.

 

Corporate Updates

Equipment for the VitaFiber™ IMO production line has been delivered to the Edmonton, Alberta plant along with the attendance of 15 installation engineers and technicians. Upon completion of the VitaFiber™ IMO production line, BioNeutra will be the exclusive North American producer of VitaFiber™ IMO products that feature Health Canada and European EFSA approval and FDA GRAS certification. Assembly of the production plant began in July 2016 and is expected to be completed by the end of the third fiscal quarter 2016.

The custom packaging equipment for BioNeutra's VitaFiber™ IMO syrup arrived in the Edmonton, Alberta plant in August 2016 and management expects this packaging line to be fully installed in the third quarter 2016. This will allow BioNeutra to package its own VitaFiber™ IMO-based retail products and to enter into the retail distribution of a variety of VitaFiber™ IMO-based products. Management expects the sales of BioNeutra retail VitaFiber™ IMO health products in the first quarter of 2017. 

About BioNeutra

BioNeutra is in the business of research and development, production and commercialization of ingredients for nutraceutical, functional and mainstream foods and beverages, with a focus on VitaFiber™ IMOs.

The Company's lead product, VitaFiber™, is an advanced functional and health food and beverage ingredient scientifically made from natural agricultural products, is generally regarded as safe (GRAS) by the U.S. Food & Drug Administration, and is European Food Safety Authority and Health Canada approved as a novel food ingredient. VitaFiber™ is naturally sweet and lower in calories than regular sugar and is a natural source of dietary fiber as it provides low calorie soluble prebiotic fiber for human digestive health.

The Company produces VitaFiber™ using its patented processes that naturally transform starch molecules from agriculture cereal crops including corn, wheat, barley, potato, or tapioca into the functional health molecules of VitaFiber™ IMO. The VitaFiber™ manufacturing process is based upon a natural enzymatic conversion of starch molecules without any chemical modification involved, making VitaFiber™ a natural food and beverage ingredient. VitaFiber™ is also non-GMO, vegan-friendly, gluten-free, Kosher and Halal certified and available as certified organic.

The Company's customers include a mix of small and medium enterprises and a number of high-profile food and beverage manufacturers in Canada, the U.S., Europe, the United Kingdom, and Mexico. VitaFiber™ is also available for retail purchase across the globe through Amazon.com and other direct-to-consumer retailers.

Further information about BioNeutra is available on the Company's website at www.bioneutra.ca and the SEDAR website at www.sedar.com.

 

Forward-Looking Information

This press release may include forward-looking information within the meaning of Canadian securities legislation concerning the business of BioNeutra. Forward-looking information is based on certain key expectations and assumptions made by the management of BioNeutra. Although BioNeutra believes that the expectations and assumptions on which such forward-looking information is based are reasonable, undue reliance should not be placed on the forward-looking information because BioNeutra can give no assurance that they will prove to be correct. Forward-looking statements contained in this press release are made as of the date of this press release. BioNeutra disclaims any intent or obligation to update publicly any forward-looking information, whether as a result of new information, future events or results or otherwise, other than as required by applicable securities laws.

This news release does not constitute an offer to sell or a solicitation of an offer to buy any of the securities described herein in the United States. The securities described herein have not been and will not be registered under the United States Securities Act of 1933, as amended, or any applicable securities laws or any state of the United States and may not be offered or sold in the United States or to the account or benefit of a person in the United States absent an exemption from the registration requirements.

 

BioNeutra Global Corporation

Mr. Bill Smith
Chairman & Senior Vice President
Tel: (780) 466-1481 (Ext. 117)
Email: bsmith@bioneutra.ca
www.bioneutra.ca



BioNeutra Global Corporation Announces Appointment of Darren Kostiw as Vice President of Sales and Marketing

EDMONTON, ALBERTA--(Marketwired - May 3, 2016) - BioNeutra Global Corporation ("BioNeutra" or the "Company") (TSX VENTURE:BGA) is pleased to announce the appointment of Mr. Darren J. Kostiw as the Vice President of Sales and Marketing of the Company's wholly-owned subsidiary BioNeutra North America Inc.

Mr. Darren Kostiw joins BioNeutra with nearly twenty years of experience in sales, marketing and management responsibility. He has held such positions in regional as well as in large multinational companies and has extensive experience with implementing new strategies. Mr. Kostiw has received numerous accolades over the years including Salesman of the Year and for the Highest Sales of Imported Products for a large ingredients and chemicals company.

Mr. Kostiw holds a Bachelor of Science and a Bachelor of Science with Specialization in environmental physical sciences.

"We are very pleased and delighted to have Darren join our team at BioNeutra. Mr. Kostiw's many years of experience with developing new sales and marketing strategies will be a great asset to BioNeutra in the continued growth of the Company," said Bill Smith, Chairman and Senior Vice President.

As Vice President of Sales and Marketing, Mr. Kostiw will be responsible for developing and executing the Company's sales and marketing initiatives, identify market opportunities and fulfill market needs, ensure delivery of quality solutions and meet short and long term business goals. 

 

About BioNeutra

BioNeutra is in the business of research and development, production and commercialization of ingredients for nutraceutical, functional and mainstream foods and beverages, with a focus on IMOs. 

The Company's lead product, VitaFiber™, is an advanced functional and health food and beverage ingredient scientifically made from natural agricultural products, is generally regarded as safe (GRAS) by the U.S. Food & Drug Administration, and is European Food Safety Authority and Health Canada approved as a novel food ingredient. VitaFiber™ is naturally sweet and lower in calories than regular sugar and is a natural source of dietary fiber as it provides low calorie soluble prebiotic fiber for human digestive health.

The Company produces VitaFiber™ using its patented processes that naturally transform starch molecules from agriculture cereal crops including corn, wheat, barley, potato, or tapioca into the functional health molecules of IMO. The VitaFiber™ manufacturing process is based upon a natural enzymatic conversion of starch molecules without any chemical modification involved, making VitaFiber™ a natural food and beverage ingredient. VitaFiber™ is also non-GMO, vegan-friendly, gluten-free, Kosher and Halal certified and available as certified organic.

The Company's customers include a mix of small and medium enterprises and a number of high-profile food and beverage manufacturers in Canada, the U.S., Europe, the United Kingdom, and Mexico. VitaFiber™ is also available for retail purchase across the globe through Amazon.com and other direct-to-consumer retailers. 

Further information about BioNeutra is available on the Company's website at www.bioneutra.ca and the SEDAR website at www.sedar.com. 

Forward-Looking Information

This press release may include forward-looking information within the meaning of Canadian securities legislation concerning the business of BioNeutra. Forward-looking information is based on certain key expectations and assumptions made by the management of BioNeutra. Although BioNeutra believes that the expectations and assumptions on which such forward-looking information is based are reasonable, undue reliance should not be placed on the forward-looking information because BioNeutra can give no assurance that they will prove to be correct. Forward-looking statements contained in this press release are made as of the date of this press release. BioNeutra disclaims any intent or obligation to update publicly any forward-looking information, whether as a result of new information, future events or results or otherwise, other than as required by applicable securities laws.

This news release does not constitute an offer to sell or a solicitation of an offer to buy any of the securities described herein in the United States. The securities described herein have not been and will not be registered under the United States Securities Act of 1933, as amended, or any applicable securities laws or any state of the United States and may not be offered or sold in the United States or to the account or benefit of a person in the United States absent an exemption from the registration requirements.

 

BioNeutra Global Corporation

Mr. Bill Smith
Chairman & Senior Vice President
(780) 466-1481 (Ext. 117)
bsmith@bioneutra.ca
www.bioneutra.ca



BioNeutra Global Corporation Announces Financial Results for Year Ended December 31, 2015

EDMONTON, ALBERTA--(Marketwired - April 26, 2016) - BioNeutra Global Corporation ("BioNeutra" or the "Company") (TSX VENTURE:BGA) is pleased to announce today its financial results for the year ended December 31, 2015 (the "Year End"). BioNeutra is a functional and health food and beverage ingredient manufacturer that uses its patented processes to produce isomalto-oligosaccharide ("IMO") which is sold under its trademark VitaFiber™.

Year End Highlights

Sales for the fourth quarter and twelve-month period ended December 31, 2015 were respectively $3,943,127 and $16,044,525 on gross margins of 26% and 44%. The Company continues to focus on marketing and selling its VitaFiber™ products to food and beverage manufacturers, targeting functional and health food markets and growing retail sales for personal uses.

The Company's Adjusted EBITDA remains strong at $2,990,231 for the twelve-month period ended December 31, 2015 as compared with $2,558,746 for the ten-month period ended December 31, 2014.

The Company's strong Adjusted EBITDA has had a very positive effect on the operational strength of its balance sheet. As at December 31, 2015, the Company had a cash balance of $1,625,412 and working capital of $6,759,777. This represents a significant increase over the working capital of $3,976,934 as at December 31, 2014.

On August 21, 2015, BioNeutra North America Inc., a wholly owned subsidiary of the Corporation, completed the purchase of a mixed-use manufacturing and office building in Edmonton, Alberta, Canada and intends to develop a commercial production line in this facility to produce functional food and beverage ingredients and products featuring IMO, using the Company's patented IMO production processes. This IMO production line represents the first of its kind in North America, and consequently BioNeutra will be the exclusive North American producer of IMO products featuring Health Canada and European EFSA approval and FDA GRAS certification. This facility also houses BioNeutra's corporate head office and global training centre, and will greatly expand its in-house research and development capabilities.

 

Year End Financial Results

Revenue

Total sales for the three-month period ended December 31, 2015 were $3,943,127 and $16,044,525 for the Year End, as compared with $4,031,678 for the three-month period ended December 31, 2014 and $13,060,336 for the ten-month period ended December 31, 2014.

The Company's strong sales are the result of continually increasing sales to major functional food and beverage manufacturers who in turn continue to experience significant growth in their own sales. In addition, the Company's customer base continues to grow as mainstream functional and health food and beverage manufacturers and pharmaceutical companies create new products incorporating VitaFiber™.

Gross Profit

The Company posted a gross profit of $1,008,993 for the three-month period ended December 31, 2015 and $7,048,640 for the Year End on gross margins of 26% and 44% respectively. This compares with gross profits and gross margins of $1,441,621 and 36% for the three-month period ended December 31, 2014 and $5,891,181 and 45% for the ten-month period ended December 31, 2014.

The Company's lower gross margin for the three-month period ended December 31, 2015 were attributed to: (1) U.S. currency exchange differences between estimated rates used during the year and the year end rate used for costs of goods sold valuation; and (2) volume discounts offered to large customers.

Net Income

The Company recorded a net income of $137,667 for the three-month period ended December 31, 2015 and a net income of $179,497 for the Year End, as compared with a net income of $309,916 for the three-month period ended December 31, 2014 and a net income of $4,258,670 for the ten-month period ended December 31, 2014.

The Company's level of net income for the Year End is a result of several significant non-cash expenses including:

a $744,896 non-cash share-based compensation expense;

a $733,861 non-cash deferred income tax expense; and

a $349,818 one-time non-cash sales and marketing expense payable to certain related parties.

In addition, the Company recorded a one-time professional fee expense in the amount of $616,903 related to the favorable resolution and settlement of legal matters with a third party concerning the Company's intellectual property.

The Company's strong Adjusted EBITDA has had a positive effect on the operational strength of its balance sheet. As at December 31, 2015, the Company increased its working capital to $6,759,777, representing significant increases over the working capital of $3,976,934 at December 31, 2014.

Financial Condition & Liquidity

 

At December 31, 2015, the Company had a working capital of $6,759,777. This represents a significant increase over the working capital of $3,976,934 at December 31, 2014.

Cash generated in operating activities during the twelve-month period ended December 31, 2015 was $481,504, as compared to cash of $1,174,456 generated for the ten-month period ended December 31, 2014.

The Company has a credit facility of $500,000 to assist with working capital needs that is due on demand, bears interest at prime plus 1.75% per annum and is secured by a general security agreement on all of the assets of the Company. As at December 31, 2015, the Company had not drawn on this credit facility.

As at December 31, 2015, the Company had very healthy working capital and management is confident that the increasing consumer demand for functional and health food product ingredients such as VitaFiber™ will not only result in recurring sales, but will continue to increase revenues and profitability for the Company. The Company is committed to having VitaFiber™ included in the development of new and healthy functional food products that the market and consumers are demanding from food manufacturers.

The increase in inventories to $6,270,570 at December 31, 2015, as compared to $2,529,428 at December 31, 2014, is the result of an investment by the Company to support the planned sales growth of VitaFiber™ in all of the Company's targeted geographical markets. Because the sales of VitaFiber™ occur on a global basis, the Company has stockpiled additional inventory in three additional warehouses to provide greater efficiency in both time and cost with respect to the delivery cycle of the product to satisfy customer requirements.

On August 21, 2015, BioNeutra North America Inc. completed the purchase of a mixed-use manufacturing and office building in Edmonton. The Company has moved its corporate head office and research and development operations into this property, and has commenced construction of an IMO production line. Management does not expect the cash or debt financing of this purchase to have material effects on the liquidity or cash flow of the Company.

Additionally, on July 15, 2015, the Company closed a private placement with a key strategic partner of 2,500,000 common shares at a price of $0.40 per common share for gross proceeds of $1,000,000. The proceeds of this private placement were for general working capital purposes.

Income Tax Recovery

During the three-month period ended December 31, 2015, the Company generated significant taxable income through its operations. However, as at December 31, 2015, the Company had Canadian tax losses with a tax benefit of $877,562. The Company recognizes the benefit of tax losses only to the extent of anticipated future taxable income that can be reduced by the tax losses.

 

Change in Year End and Comparison Period

Effective October 29, 2014, the Company completed the acquisition of BioNeutra North America Inc. and BioNeutra International Limited. The acquisition of BioNeutra North America Inc. was considered a reverse acquisition for accounting purposes, with BioNeutra North America Inc. identified as the acquirer. BioNeutra North America Inc.'s year-end was February 28, and as such the required comparison periods for the purpose of the audited consolidated financial statements are the twelve-month and ten-month periods ended December 31.

 

About BioNeutra

BioNeutra is in the business of research and development, production and commercialization of ingredients for nutraceutical, functional and mainstream foods and beverages, with a focus on IMOs.

The Company's lead product, VitaFiber™, is an advanced functional and health food and beverage ingredient scientifically made from natural agricultural products, is generally regarded as safe (GRAS) by the U.S. Food & Drug Administration, and is European Food Safety Authority and Health Canada approved as a novel food ingredient. VitaFiber™ is naturally sweet and lower in calories than regular sugar and is a natural source of dietary fiber as it provides low calorie soluble prebiotic fiber for human digestive health.

The Company produces VitaFiber™ using its patented processes that naturally transform starch molecules from agriculture cereal crops including corn, wheat, barley, potato, or tapioca into the functional health molecules of IMO. The VitaFiber™ manufacturing process is based upon a natural enzymatic conversion of starch molecules without any chemical modification involved, making VitaFiber™ a natural food and beverage ingredient. VitaFiber™ is also non-GMO, vegan-friendly, gluten-free, Kosher and Halal certified and available as certified organic.

The Company's customers include a mix of small and medium enterprises and a number of high-profile food and beverage manufacturers in Canada, the U.S., Europe, the United Kingdom, and Mexico. VitaFiber™ is also available for retail purchase across the globe through Amazon.com and other direct-to-consumer retailers.

Further information about BioNeutra is available on the Company's website at www.bioneutra.ca and the SEDAR website at www.sedar.com.

 

Forward-Looking Information

This press release may include forward-looking information within the meaning of Canadian securities legislation concerning the business of BioNeutra. Forward-looking information is based on certain key expectations and assumptions made by the management of BioNeutra. Although BioNeutra believes that the expectations and assumptions on which such forward-looking information is based are reasonable, undue reliance should not be placed on the forward-looking information because BioNeutra can give no assurance that they will prove to be correct. Forward-looking statements contained in this press release are made as of the date of this press release. BioNeutra disclaims any intent or obligation to update publicly any forward-looking information, whether as a result of new information, future events or results or otherwise, other than as required by applicable securities laws.

This news release does not constitute an offer to sell or a solicitation of an offer to buy any of the securities described herein in the United States. The securities described herein have not been and will not be registered under the United States Securities Act of 1933, as amended, or any applicable securities laws or any state of the United States and may not be offered or sold in the United States or to the account or benefit of a person in the United States absent an exemption from the registration requirements.

BioNeutra Global Corporation

Mr. Bill Smith
Chairman & Senior Vice President
Tel: (780) 466-1481 (Ext. 117)
Email: bsmith@bioneutra.ca