In California, Cereplast announced Q3 2011 results, with net sales of $5.4 million, compared to $1.5 million for the third quarter of 2010. This increase reflects growth in orders due to the growing demand for bioplastics.
Gross profit Q3 was $894,000, or a 16.7% gross margin, compared to 25.2% for the third quarter of 2010 and 12.1% in Q2 of 2011. The expected year-over-year gross margin decrease reflects the company’s stated strategy to offer introductory pricing to certain key customers. Third quarter 2011 net loss was $3.6 million, compared to a net loss of $2.2 million in Q3, 2010.