HP&S Announces Full Year Earnings
Health Products & Services (HP&S), and Ameriplan® business owner, announced earnings for the full year of 2007. Earnings fell 14% to $2.12 per share. Sales grew at 32%. “Our sales growth was on target. Almost every forecast made fell in line. We knew earnings would take a hit with our heavy investment into our vertical web strategy and new business development. However, the fact that gross margins fell significantly was a dissapoinment and led to lower earnings than expected,” said HPS CEO, “however, we expect our investments to start paying off this year. We grew our retail and entertainment sales significantly and effectively spun that business off. This will allow us to continue to focus on our core business - Ameriplan®.”
Guidance for 2008 is $3.95 per share. That would represent an 86% increase. “We are cutting costs, and increasing margins, again, we expect a year of heavy investment into the business to start showing results now.”
