Full Press Release Details
NEWPORT BEACH, CA--(Marketwire - August 30, 2007) - Biomerica, Inc. (OTCBB: BMRA), a global
provider of advanced diagnostic products for the early detection of medical
conditions, today reported stand-alone results of diagnostic net sales of
$5,748,319 for the fiscal year 2007 ended May 31, 2007, compared to
stand-alone results of diagnostic net sales of $4,259,954 in fiscal 2006,
an increase of $1,488,365 or 34.9%.
Biomerica announced consolidated net income (including stock option
expenses) for the fiscal year 2007 ended May 31, 2007, of $536,879, versus
consolidated net income of $230,273 in fiscal 2006, an increase of 133.1%.
Consolidated basic earnings per common share were $.09 for fiscal 2007 as
compared to $.04 for fiscal 2006. Consolidated basic earnings per common
share for continuing operations were $.09 for fiscal 2007 as compared to
$.03 for fiscal 2006. Prior to recording the expense of $100,000 for
employee bonuses according to the Biomerica Incentive Plan, consolidated
net income was $636,879. Prior to recording employee stock option
expenses of $123,584 and the above incentive plan, consolidated net income
Stand-alone income from diagnostic operations before interest in net loss
or income of consolidated subsidiaries and income taxes was $525,779 in
fiscal 2007 as compared to $222,041 in fiscal 2006. This represents an
increase of $303,738, or 136.8%.
"We are pleased with the continuing progress in our financial performance
in both sales and especially income," stated Zackary Irani, Biomerica CEO.
"This was the first year that the Company adopted the expensing of employee
stock options (SFAS #123R) yet we were still able to achieve financial
results above our plan. As we expand our marketing efforts to increase
distribution and move forward with planned new product introductions, we
expect that fiscal 2008 will continue to show improvements in our
About Biomerica (OTCBB: BMRA)
Biomerica, Inc. (www.biomerica.com) is a global medical technology company,
based in Newport Beach, CA. The Company manufactures and markets advanced
diagnostic products used at home, in hospitals, and in physicians' offices
for the early detection of medical conditions and diseases.
The Private Securities Litigation Reform Act of 1995 provides a "safe
harbor" for forward-looking statements. Certain information included in
this press release (as well as information included in oral statements or
other written statements made or to be made by Biomerica) contains
statements that are forward-looking; such as statements relating to
intended launch dates, expected improvements in performance, planned
product introductions, sales potential, market size, growth of business,
favorable positions, expansion, expected orders, leading market positions,
anticipated future revenues or production volume of the Company, success of
product and new product offerings. Such forward-looking information
involves important risks and uncertainties that could significantly affect
anticipated results in the future, and accordingly, such results may differ
materially from those expressed in any forward-looking statements made by
or on behalf of Biomerica. The potential risks and uncertainties include,
among others, fluctuations in the Company's operating results due to its
business model and expansion plans, downturns in international and or
national economies, the Company's ability to raise additional capital, the
competitive environment in which the Company will be competing, and the
Company's dependence on strategic relationships. The Company is under no
obligation to update any forward-looking statements after the date of this
The following financial statements reflect the operating results of
Biomerica as reported in the Company's Form 10-KSB filed on August 29,
2007. The full financial statements and management's discussion and
analysis are available in the above mentioned Form 10-KSB.
The deconsolidation of Lancer Orthodontics from Biomerica occurred December
1, 2005. Therefore, the year ended May 31, 2007 includes ONLY the results
of operations for Biomerica. The year ended May 31, 2006 includes
operations of Biomerica for the full year and only six months of Lancer
BIOMERICA, INC. AND SUBSIDIARY
CONSOLIDATED STATEMENTS OF OPERATIONS AND COMPREHENSIVE INCOME
-------------------------------
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Net Sales $ 5,748,319 $ 7,184,992
Cost of sales 3,502,607 4,779,615
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GROSS PROFIT 2,245,712 2,405,377
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Selling, general and administrative 1,468,821 2,263,463
Research and development 256,101 239,004
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Total operating expenses 1,724,922 2,502,467
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OPERATING INCOME (LOSS) FROM
CONTINUING OPERATIONS 520,790 (97,090)
OTHER INCOME (EXPENSE)
Interest expense, net of interest income (35,051) (44,790)
Other income, net 40,040 45,575
-------------- --------------
INCOME (LOSS) FROM CONTINUING OPERATIONS,
before minority interest in net loss of
consolidated subsidiary and income taxes 525,779 (96,305)
MINORITY INTEREST IN NET LOSS OF
CONSOLIDATED SUBSIDIARY -- 251,670
-------------- --------------
INCOME FROM CONTINUING OPERATIONS, before
income taxes 525,779 155,365
INCOME TAX EXPENSE 16,769 1,600
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INCOME FROM CONTINUING OPERATIONS 509,010 153,765
DISCONTINUED OPERATIONS
Income from discontinued operations, net 27,869 76,508
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NET INCOME 536,879 230,273
OTHER COMPREHENSIVE LOSS, net of tax
Unrealized loss on available-for-sale
securities (2,746) (227,497)
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COMPREHENSIVE INCOME $ 534,133 $ 2,776