Cyanotech lifts profit with federal assistance

Federal aid helped Hawaii microalgae product maker Cyanotech Corp. grow its profit in the three months ended Dec. 31 despite an operating loss.

The Hawaii island-based company, which primarily sells astaxanthin and spirulina nutritional supplements, reported earning $827,000 in the period representing its fiscal third quarter, up from $171,000 in the same quarter the year before.

Cyanotech said its sales during the recent quarter totaled $7 million, compared with $7.5 million a year earlier, and that it suffered a $441,000 operating loss in the recent quarter, compared with an operating profit of $367,000 a year earlier.

The company benefited from forgiveness of a $1.4 million federal Paycheck Protection Program loan that helped cover payroll costs for retaining 93 employees.

Shares of Cyanotech stock, which are traded on the Nasdaq Capital Market, closed at $3.58 Thursday. Company stock over the last 52 weeks has ranged from $1.90 in mid-March to $3.92 on Feb. 10.