A company that makes magic lanterns, candle holders and wands for medical and beauty products is reporting its first quarterly profit in nearly a decade.
MagicCandy Inc. reported Friday that its sales jumped 29% in the fourth quarter, bringing its total revenue to $1.3 billion.
The company, which was founded in 1997, sells candles, wands and wickerware, and the bulk of its revenue is from its medical and health products business.
The company’s market cap is about $10 billion, which it says is up about 30% year-over-year.
Magiccandy, which has a patent on a special adhesive used to make its wands, had about $3.2 billion in revenue last year.
The majority of that revenue came from its magic lantern business, which sells wands to medical and medical-related applications.
The other half came from MagicCandy’s other businesses, including a health-care business that sells wreaths and other decorations and the medical-products division.
The growth in sales and revenue was largely due to a jump in MagicCands price, which jumped by about $300 to $2.69 for a 20-watt bulb, said company President and Chief Executive Officer Greg Miller.
The average price of a MagicCAND rose by 10 cents to $4.29 in the second quarter, up from $3 to $3, said Mr. Miller.
That’s a significant price increase compared with last year, when the average price was $2, according to the company.
The sales jump is a result of the company’s strategy of selling more of its products directly to consumers, rather than by using a wholesale network.
The companies growth is also reflected in the company shares, which have surged more than 60% this year, driven largely by strong quarterly earnings.
The stock was trading at $38.93 Friday morning, up $2 from its closing price of $36.62.
MagicCand’s stock has more than tripled since the company started trading in the first quarter of this year.
Magic CAND has a long history of creating and selling high-quality products and products for the medical and cosmetic market, said co-founder and CEO Greg Miller in a news release.
The first MagicCARD wands were introduced in 1996, and MagicCandi products were sold for the first time in 1998, according, according.
Mr. Miller said the company was not aware of any regulatory concerns with its products.
He said the business will remain profitable, as the company focuses on expanding its distribution network and marketing to other segments of the health- care industry.
The MagicCAB, which is an acronym for Magic Candle Appliances and Accessories, sells MagicCanda wands as well as its products for medical-care applications.
The two-year deal is worth $10.7 million, or about $2 per MagicCAM, or $1,400 for a wafer.
Magic CAM is owned by W.J. Miller & Company, which also owns the medical equipment maker Waltham, Mass.-based Magic HealthCare.
The move to invest in Magic CAM, a medical-product company, is a continuation of the firm’s strategy to focus on growing its business, Mr. Wilek said in the news release announcing the deal.
The investment will allow Magic CAM to accelerate growth in its medical-focused business and accelerate its return to profitability, Mr, Wiley said.
The deal is subject to regulatory approval and approval by the Securities and Exchange Commission, the company said.
Mr Wileck said he hopes to close the deal by the end of the year.