BOCA RATON, FL / ACCESSWIRE / March 24, 2016 / (OTCQX: CELH) Celsius Holdings Inc., is a global, science-based, nutritional products company and makers of the world's first Negative Calorie drink utilizing thermogenesis (elevated body temperature) to provide a High Performance healthy energy, pioneering a new segment of energy, dietary supplements and proven, functional benefits.

Celsius Holdings, Inc., today reported financial results for the three and 12 month periods ended December 31, 2015.

Fourth Quarter 2015 Highlights:

- Revenue of $4.3 million compared to $4.6 million in the year ago quarter
-- Domestic revenue increased 17% to $2.4 million, up from $2.1 million in the year ago quarter
-- International revenue decreased 27% to $1.9 million, down from $2.5 million in the year ago quarter

- Gross profit margin of 39.1% compared to 39.7% in the year ago quarter

- Non-GAAP Adjusted EBITDA* Loss of ($889,000) compared to a profit of $407,000 in the year ago quarter

- Net Loss of ($1.3) million compared to net income of $127,000 in the year ago quarter

- Working capital increased to $13.2 million, up from $3.5 million at December 31, 2014

Full-Year 2015 Highlights:

- Revenue grew 18% to $17.2 million, compared to $14.6 million in 2014
-- Domestic revenue increased 22% to $8.8 million, up from $7.2 million last year
-- International revenue grew 13% to $8.4 million, up from $7.4 million last year

- Gross profit margins increased to 40.9%, up from 38.3% in 2014

- Non-GAAP Adjusted EBITDA* increased to a loss of ($524,000), up from ($590,000) in 2014

- Net Loss of ($2.6) million compared to a net loss of ($2.2) million in 2014

Subsequent Events to Quarter End:

- The Company's common stock was approved for listing on the OTCQX® Best Market, commencing with the opening of trading on Monday, January 11, 2016

- The Company announced the acceleration of its national expansion with the addition of five new Regional Sales Managers in key territories across the U.S

- Celsius announced approval for distribution into two major convenience chains with more than 8,000 stores nationwide

- The company announced that Vanessa Walker, an executive leader with a proven track record of establishing and growing brands and particular expertise in the beverage industry, has accepted the position of Executive Vice President of Sales and Marketing

"We delivered double-digit revenue growth in 2015, as we expanded our network of distributors, both domestic and international, and reinforced our financial position with a strategic partnership and equity investment led by Mr. Li Ka-Shing's Horizons Ventures and Mr. Russell Simmons and Ms. Kimora Lee Simmons to reinforce our position as the No. 1 beverage choice for the health conscious consumer," said Gerry David, Chief Executive Officer. "We are excited by the significant growth opportunities before us as we continue to increase brand awareness through robust marketing programs while increasing and expanding our distribution channels at both the national and regional levels, and prepare for a robust international expansion. Subsequent to quarter end, we added two additional convenience store chains to our growing list of retail distributors, giving us the opportunity to reach up to 8,000 additional stores nationwide. Initial orders officially commenced on February 22, with the buy one, get one (BOGO) promotion commencing on March 2, 2016. Through these two additional chains we will expand our retail footprint, offering a healthy alternative that is clinically proven to burn body fat and calories while providing healthy energy."

"This domestic progress is encouraging, and bodes well for 2016," added Mr. David. "In addition, we have invested meaningful resources in 2015 to drive a significant expansion of our international sales, including introducing our products in Asia later this year. This expansion should enable us to reach approximately 1.4 billion potential consumers, more than 3.5 times our current addressable market. We are partnering with established industry leaders in these regions, including A.S. Watson, the largest international health and beauty retailer in Asia and Europe with 12,400 stores in 25 markets, and expect a widespread and rapid rollout. This expansion should well more than offset international volatility in Europe and elsewhere, and when paired with domestic growth, we are increasingly excited about 2016 and beyond."

Three Months Ended December 31, 2015 Compared to Three Months Ended December 31, 2014

Revenue

Net revenue for the three months ended December 31, 2015 and December 31, 2014 was approximately $4.3 million and $4.6 million, respectively, or a decrease of 7.2%. This decrease was driven primarily by a 27% reduction from the Company's Swedish distribution partner partially offset by the 17% growth in domestic sales primarily associated with growth in domestic retail accounts of 11%, health & fitness accounts of 6% and internet retailers of 71% from the same period in 2014.

"Our international sales continued to be negatively impacted by the recent acquisition of our Swedish distribution partner and its transition to the new ownership," commented John Fieldly, Chief Financial Officer of Celsius. "The company recently met with the new CEO of our distributor and have confidence coming away from this meeting that we will move toward normalized levels by the end of the second quarter of 2016. Our partner recognizes the value of our product as the No. 1 selling fitness drink and the No. 2 selling energy drink in Sweden and anticipates launching Celsius to the Finland market, where they are based, by the third quarter of 2016."

Gross profit was approximately $1.7 million, or 39.1% of revenue, in the three months ended December 31, 2015 compared to $1.8 million, or 39.7% of revenue, for the same period in 2014. The Company continues to focus on improving and maintaining gross profit margins.

Operating expenses

Sales and marketing expenses for the three months ended December 31, 2015 and December 31, 2014 were $2.0 million and $1.0 million, respectively. This increase was mainly associated with investments in human resources and marketing programs. General and administrative expenses for the three months ended December 31, 2015 and December 31, 2014 were $657,000 and $497,000, respectively, an increase of $160,000. This increase was mainly due to increases in professional fees and investments in human resources.

Other expense

Total other expense decreased to approximately $57,000 for the three months ended December 31, 2015, from $138,000 for the same three-month period in 2014, as a result of lower interest expense associated with a lower outstanding debt balance.

12 Months Ended December 31, 2015 Compared to 12 Months Ended December 31, 2014

Revenue

Net revenue for the 12 months ended December 31, 2015 and December 31, 2014 was approximately $17.2 million and $14.6 million, respectively. The growth of 18% from 2014 to the 2015 period was mainly associated with blended growth rates of 13% in international sales and a 22% growth in domestic sales. Domestic sales growth of 22% was mainly associated with blended growth rates of 18% in domestic retail accounts, 21% growth in health and fitness accounts and 46% growth in internet retail accounts from the same period in 2014.

Gross profit

Gross Profit for the 12 months ended December 31, 2015 was approximately $7.0 million, compared to $5.6 million for the same period in 2014, an increase of 26%. Gross profit margin improved to 40.9% in the 12 months ended December 31, 2015, up from 38.3% in the same period in 2014. The Company continues to focus on improving and maintaining gross profit margins.

Operating expenses

Sales and marketing expenses increased to approximately $5.7 million for the 12 period ended December 31, 2015, up from $4.8 million for the same 12 month period in 2014, or an increase of $880,000. The increase is due primarily to increases in investments in marketing programs of $596,000, increases in human resource investments of $239,000 and increases in warehousing costs totaling $44,000. General and administrative expenses for the year ended December 31, 2015 and December 31, 2014 were $3.2 million and $2.3 million, respectively, an increase of $860,000. This increase was mainly due to increases in stock based compensation, professional fees, and investments in human resources.

Other expense

Total other expense decreased to approximately $322,000 for the 12 month period ended December 31, 2015, down from $497,000 for the same 12 month period in 2014, as a result of savings in interest expense.

Liquidity and Capital Resources

As of December 31, 2015, the company had cash of $10.1 million compared to $349,000 as of December 31, 2014. The company had working capital of $13.2 million and $3.5 million as of December 31, 2015 and 2014, respectively.

Cash used in operations during the 12 months ended December 31, 2015 totaled $755,000. The company incurred a net loss of $2.15 million during the 12 months ended December 31, 2015, increasing the accumulated deficit to $49.9 million as of December 31, 2015. In April 2015, the Company issued a total of 12,921,348 shares of common stock at $0.89 per share for gross proceeds of $11.5 million.

Conference Call

Management will then host a conference call that same day at 4:30 pm Eastern Time to discuss the results with the investment community.

To participate in the conference call, please call one of the following telephone numbers at least 10 minutes before the start of the call:

US: 877-709-8150
International: 201-689-8354

The conference call will also be available on Celsius.com under the investor press release section for at least 90 days.

Disclosures can be found on the Company's online disclosure portal at: http://www.otcmarkets.com/stock/CELH/filings.

About Celsius Holdings, Inc.

Celsius Holdings, Inc. (OTCQX: CELH) is a global, science-based, nutritional products company pioneering a new hybrid category "High Performance Energy" which combines healthy energy, sports nutrition and dietary supplements.

The Celsius® brand is named for its function of increasing heat production in the body, a process known as thermogenesis. The vitamin infused, ready-to-drink brand is powered by Celsius' proprietary MetaPlus Blend®. This blend of ingredients, which includes caffeine-rich sources Guarana Seed and Green Tea with EGCG, combines to enact thermogenesis, the process of raising one's body temperature to trigger the body's ability to effectively burn fat and calories, accelerate metabolism, create lean muscle, and boost endurance and drive while providing lasting energy.

Founded in 2004, Celsius is the initial offering from Celsius Holdings, Inc., and is the world's only negative calorie drink backed by clinical science. Multiple published university studies have proven that drinking Celsius before exercise helps to burn up to 93% more body fat and 100 calories or more per serving.

Celsius is available in seven flavors, carbonated and non-carbonated, as well as powder stick packets to mix with water. Celsius has no preservatives, no aspartame, no high fructose corn syrup, no artificial flavors or colors and is very low in sodium. The Celsius line of products is vegan certified, gluten free, and sugar free.

Celsius Holdings, Inc. (OTCQX: CELH) is a global nutritional science based company, founded in April 2004. Celsius Holdings, Inc., has a corporate mission to become the global leader with a portfolio of high performance brands offering proprietary or patented brands offering significant health benefits steeped in nutritional science.

For more information, please visit www.celsius.com.

Forward-Looking Statements

This press release may contain statements that are not historical facts and are considered forward-looking within the meaning of the Private Securities Litigation Reform Act of 1995. These forward-looking statements contain projections of Celsius Holdings' future results of operations and/or financial position, or state other forward-looking information. In some cases you can identify these statements by forward-looking words such as "anticipate," "believe," "could," "estimate," "expect," "intend," "may," "should," "will," "would," or similar words. You should not rely on forward-looking statements since Celsius Holdings' actual results may differ materially from those indicated by forward-looking statements as a result of a number of important factors. These factors include, but are not limited to: general economic and business conditions; our business strategy for expanding our presence in our industry; anticipated trends in our financial condition and results of operation; the impact of competition and technology change; existing and future regulations affecting our business; and other risks and uncertainties discussed in the reports Celsius Holdings has filed previously with the Securities and Exchange Commission and currently files with OTC Markets, Inc. Celsius Holdings does not intend to and undertakes no duty to update the information contained in this press release.

Celsius Holdings, Inc.
Reconciliation of Non-GAAP Financial Measure

*We report financial results in accordance with accounting principles generally accepted in the United States ("GAAP"), but believe that disclosure of adjusted EBITDA, a non-GAAP financial measure, may provide users with additional insights into operating performance.

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Celsius Holdings, Inc. and Subsidiaries

Consolidated Balance Sheets

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Celsius Holdings, Inc. and Subsidiaries

Consolidated Statements of Operations

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Investor Relations:

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Brett Maas (646) 536-7331
brett@haydenir.com

or

Cameron Donahue
(651) 653-1854
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SOURCE: Celsius Holdings Inc.