Full Press Release Details
Inc. REPORTS FISCAL YEAR 2012 RESULTS
Prostate Revenues Up 75% To 14% of Total Revenues
RICHLAND, Washington (September 28,
2012) - IsoRay Inc. (AMEX: ISR), a medical technology company and innovator in seed brachytherapy and medical radioisotope
applications, announced its financial results for the quarter and year ended June 30, 2012.
fiscal year 2012, IsoRay achieved significant progress in its strategic refocus on non-prostate cancer treatments, which increased
75% from the prior year to account for approximately 14% of total sales. Overall, sales declined slightly to $5,021,088 due to
a weak prostate treatment market. However, in the fourth quarter, revenues grew 4.4% with non prostate revenues increasing 174%
in the fourth quarter 2012 compared to the fourth quarter 2011. Sales came from the treatment of brain cancer, lung cancer, gynecological
cancer, and head and neck cancer using Cesium-131 and from sales of the GliaSite
Radiation Therapy System, used to treat brain cancer.
IsoRay Chairman and CEO Dwight Babcock
commented, "In 2012, we began to realize significant results from our new product development and marketing refocus on non-prostate
Cesium-131 treatments for lung, brain, and other organs. We are committed to positioning IsoRay as a full body cancer treatment
provider. In the non-prostate market, we are accelerating our new treatment facility licensing activities, which is the primary
obstacle in a 6 to 12 month sales cycle for this market. IsoRay's products for both prostate and other cancers continue to
receive great reviews with numerous papers being submitted and presentations provided at various medical society conventions. I
am confident that Cesium-131 is the isotope of the future, which will prove to be the premier isotope providing safe and effective
cancer treatment throughout the body."
Major milestones achieved during the
2012 fiscal year include:
IsoRay, Inc. and Subsidiaries
Consolidated Statements
| Year ended | ||||||||
| June 30, | ||||||||
| 2012 | 2011 | |||||||
| Product sales | $ | 5,071,088 | $ | 5,238,973 | ||||
| Cost of product sales | 4,367,884 | 4,081,556 | ||||||
| Gross income | 703,204 | 1,157,417 | ||||||
| Operating expenses: | ||||||||
| Research and development expenses | 780,579 | 981,186 | ||||||
| Research and development reimbursement | (50,000 | ) | (515,853 | ) | ||||
| Sales and marketing expenses | 1,215,580 | 1,232,188 | ||||||
| General and administrative expenses | 2,355,015 | 2,422,884 | ||||||
| Total operating expenses | 4,301,174 | 4,120,405 | ||||||
| Operating loss | (3,597,970 | ) | (2,962,988 | ) | ||||
| Non-operating income (expense): | ||||||||
| Interest income | 747 | 3,381 | ||||||
| Change in fair value of warrant liability | 170,000 | 334,000 | ||||||
| Financing and interest expense | (61,682 | ) | (216,606 | ) | ||||
| Non-operating income (expense), net | 109,065 | 120,775 | ||||||
| Net loss | (3,488,905 | ) | (2,842,213 | ) | ||||
| Preferred stock dividends | (10,632 | ) | (10,632 | ) | ||||
| Net loss applicable to common shareholders | $ | (3,499,537 | ) | $ | (2,852,845 | ) | ||
| Basic and diluted loss per share | $ | (0.12 | ) | $ | (0.11 | ) | ||
| Weighted average shares used in computing net loss per share: | ||||||||
| Basic and diluted | 28,621,831 | 25,131,563 |
IsoRay, Inc., through its subsidiary, IsoRay Medical, Inc. is the exclusive producer of Cesium-131 internal radiation therapy,
which is expanding brachytherapy options throughout the body. Learn more about this innovative Richland, Washington company and
explore the many benefits and uses of Cesium-131 by visiting www.isoray.com.
Safe Harbor Statement
Statements in this news release about
IsoRay's future expectations, including: the advantages of our Cesium-131 seed products and the GliaSite Radiation Therapy
System, future demand for IsoRay's existing and planned products, whether revenue, cash flows and other financial metrics will
improve in future periods, whether IsoRay will be able to continue to expand its base beyond prostate cancer, whether IsoRay will
be able to generate sales in Europe, whether timely licensing of facilities for new treatments can be improved, whether our suppliers
will provide adequate isotope supplies, whether additional studies will be published or presented with favorable outcomes from
treatment with Cesium-131, and all other statements in this release, other than historical facts, are "forward-looking statements"
within the meaning of the Private Securities Litigation Reform Act of 1995 ("PSLRA"). This statement is included for
the express purpose of availing IsoRay, Inc. of the protections of the safe harbor provisions of the PSLRA. It is important
to note that actual results and ultimate corporate actions could differ materially from those in such forward-looking statements
based on such factors as physician acceptance, training and use of IsoRay's products, changing levels of demand for IsoRay's current
and future products, IsoRay's ability to reduce or maintain expenses while increasing sales, whether later studies support the
findings of the initial studies, success of future research and development activities, patient results achieved using our products
in both the short and long term, IsoRay's ability to successfully manufacture, market and sell its products, IsoRay's ability to
manufacture its products in sufficient quantities to meet demand within required delivery time periods while meeting its quality
control standards, IsoRay's ability to enforce its intellectual property rights, changes in reimbursement rates, changes in laws
and regulations applicable to our products, and other risks detailed from time to time in IsoRay's reports filed with the SEC.