Youngevity International Inc. continued to generate double-digit revenue growth in the first quarter, despite an earnings loss brought on by non-cash interest related to the company’s acquisition structure.
The multi-dimensional direct seller posted a loss of $369,000 on revenue of $36.8 million, up 39 percent from $26.4 million in 2014. Adjusted EBITDA was $1.3 million, compared to $1.7 million a year ago. Gross profit increased 28.1 percent to $20.3 million.
Youngevity’s portfolio of direct selling brands—including two first-quarter acquisitions, wide-ranging home and personal-care brand JD Premium and health and wellness brand Sta-Natural—accounted for 86 percent of revenue, or $31.6 million. The remaining 14 percent, or $5.2 million, came from its commercial coffee segment. Direct selling revenue reflects 31 percent growth, while the coffee business skyrocketed 128 percent compared to the prior-year period.
In 2011, When Youngevity merged its coffee division and direct selling business, total assets were $24.3 million. As of the first quarter of 2015, the company’s assets were $61.4 million. In the same period, liabilities increased from $15.3 million to $42.6 million, improving shareholder equity from $9 million to $18.8 million.