Imperial Ginseng Reports High Sales, Withdrawal from British Columbia

Imperial Ginseng Reports High Sales, Withdrawal from British Columbia

VANCOUVER, British ColumbiaImperialGinseng Products Ltd. reported Nov. 6 that for its fiscal year (FY03), endedJune 30, higher per-pound prices helped buoy sales.

Net sales were up to $3.9 million from $3.4 million, whilegross margin improved to 15.4 percent of sales from a negative 91.2 percent.Expenses stayed about even at $800,000, and net gain improved to $300,000 from anet loss of $4.4 million seen for FY02.

Production volume was lower in FY03, with the companyharvesting 132 acres and producing a total of 335,000 pounds of ginseng, downfrom FY02s 139 acres and 381,000 pounds of ginseng. Even with the lower volume, sales numbers were higher due tohigher prices: $15.13 per pound in FY03 compared to $12.75 in FY02.

The company decided to close operations in British Columbiaafter the fall 2003 harvest due to a continued rust root problem. It expects tohave more than 550 acres of ginseng under cultivation in Ontario by the end ofFY04.