Benzinga | Aug 26, 2021 09:09AM EDT

Charles & Colvard Says 'The estimated increase in net sales for fiscal year 2021 is primarily attributed to the continued rise in finished jewelry net sales, which were the highest in Company history.'

Charles & Colvard, Ltd. (NASDAQ:CTHR) (the "Company"), a globally recognized fine jewelry company specializing in lab created gemstones, today announced preliminary key financial results for the fourth quarter and fiscal year ended June 30, 2021.

"Over the past fiscal year, we transitioned the direction of the business in all functional areas, which enabled us to deliver these key financial highlights," said Don O'Connell, President and CEO of Charles & Colvard. "The estimated increase in net sales for fiscal year 2021 is primarily attributed to the continued rise in finished jewelry net sales, which were the highest in Company history. We are excited to be able to share these highlights ahead of the upcoming JCK show, the jewelry industry's leading annual trade event hosted in Las Vegas, August 27-30. We look forward to sharing our complete fourth quarter and fiscal 2021 financial results in our earnings call next week."

The Company also reports that net income for the fiscal quarter ended June 30, 2021 will also include the effect of the release of the Company's deferred tax valuation allowance that is expected to result in the recognition of an income tax benefit of between $6 million and $6.5 million. Additionally, net income for the fiscal quarter ended June 30, 2021 will reflect the non-recurring impact of the gain on extinguishment of debt relating to the forgiveness of the Company's Paycheck Protection Program loan, including accrued and unpaid interest, in the amount of approximately $974,000.