Full Press Release Details
INFORMATION: Michael R. Cox
Systems, Inc. Reports Earnings from Continuing Operations
LAFAYETTE, Ind., December 24, 2008- Bioanalytical Systems, Inc.
(Nasdaq: BASI) today reported financial results for the three months
and fiscal year ended September 30, 2008.
Company had previously announced the June 30, 2008 sale of its clinic in
Baltimore, Maryland and the resulting exit from the Phase I clinical trials
business. The presentation of the Company's financial results
reflects the discontinuation of those operations.
continuing operations, revenue in the fourth quarter of fiscal 2008 decreased
2.1% to $9.4 million compared to $9.6 million for the same period in fiscal
2007. A net loss from continuing operations for the fourth quarter of
fiscal 2008 was $1.2 million, or $0.23 per basic and diluted share, compared to
net income of $208,000, or $0.04 per basic and diluted share, for the same
period in fiscal 2007.
twelve months of fiscal 2008, revenue from continuing operations in fiscal 2008
increased 4.8% to $41.7 million compared to $39.8 million for fiscal
2007. Net income from continuing operations for fiscal 2008 was
$275,000, or $0.06 per basic and diluted share, compared to net income of $1.6
million, or $0.32 per basic and diluted share for fiscal 2007.
income from discontinued operations was $121,000, or $0.02 per basic and diluted
share, in the quarter ended September 30, 2008 compared to a net loss of
$411,000, or $0.08 per basic and diluted share, in the same period last
year. This resulted in a net loss from all operations in the fourth
quarter of $1.0 million, or $0.21 per basic and diluted share, compared to a net
loss in the same quarter last year of $203,000, or $0.04 per basic and diluted
loss from discontinued operations was $1.7 million, or $0.35 per basic and
diluted share, in fiscal 2008 compared to a net loss of $646,000, or $0.13 per
basic and diluted share, in fiscal 2007. This resulted in a net loss
from all operations in the current year of $1.4 million, or $0.29 per basic and
diluted share, compared to net income in the prior year of $926,000, or $0.19
per basic and diluted share.
Cox, Chief Financial Officer, stated, "The past fiscal year was one of
significant change for us, both in our management team and in our
operations. In the final months of the year, we disposed of a
significant operation that had produced consistent losses for us. We
replaced senior managers in two key positions in the organization. In
the fourth quarter, we experienced several delayed projects, which negatively
impacted our revenue. We also made the decision to abandon several
patents which had not been incorporated into products and incurred additional
marketing costs to improve our recognition with clients. We believe we serve a
market that will continue to invest in new product development, employing our
services, but we are anxious about the impacts the current economic conditions
will have on our customers and our business."
Bioanalytical Systems, Inc.
pharmaceutical development company providing contract research services and
monitoring instruments to the world's leading drug development companies and
medical research organizations. The company focuses on developing innovative
services and products that increase efficiency and reduce the cost of taking a
new drug to market. Visit www.bioanalytical.com for more about
release contains forward-looking statements that are subject to risks and
uncertainties including, but not limited to, risks and
to the development, marketing and sales of products and services, changes in
technology, industry standards and regulatory standards, and various market and
operating risks detailed in the company's filings with the Securities and
Exchange Commission.
THE PAGE FOR CONSOLIDATED STATEMENTS OF OPERATIONS]
STATEMENTS OF OPERATIONS
| (in thousands, except per share amounts) | Three Months Ended September 30, | Twelve Months Ended September 30, | ||||||||||||||
| 2008 | 2007 | 2008 | 2007 | |||||||||||||
| Service revenue | $ | 7,268 | $ | 7,206 | $ | 32,921 | $ | 30,559 | ||||||||
| Product revenue | 2,116 | 2,405 | 8,776 | 9,194 | ||||||||||||
| Total revenue | 9,384 | 9,611 | 41,697 | 39,753 | ||||||||||||
| Cost of service revenue | 5,593 | 5,039 | 22,941 | 21,676 | ||||||||||||
| Cost of product revenue | 819 | 1,017 | 3,423 | 3,909 | ||||||||||||
| Total cost of revenue | 6,412 | 6,056 | 26,364 | 25,585 | ||||||||||||
| Gross profit | 2,972 | 3,555 | 15,333 | 14,168 | ||||||||||||
| Operating expenses: | ||||||||||||||||
| Selling | 1,271 | 745 | 3,912 | 2,782 | ||||||||||||
| Research and development | 198 | 213 | 781 | 881 | ||||||||||||
| General and administrative | 2,198 | 1,795 | 7,822 | 6,855 | ||||||||||||
| Loss on sale of property and equipment | 17 | 31 | 24 | 165 | ||||||||||||
| Total operating expenses | 3,684 | 2,784 | 12,539 | 10,683 | ||||||||||||
| Operating income (loss) | (712 | ) | 771 | 2,794 | 3,485 | |||||||||||
| Interest income | --- | 35 | 29 | 87 | ||||||||||||
| Interest expense | (304 | ) | (264 | ) | (1,006 | ) | (981 | ) | ||||||||
| Other income | 1 | (1 | ) | 6 | 3 | |||||||||||
| Income (loss) from continuing operations before income taxes | (1,015 | ) | 541 | 1,823 | 2,594 | |||||||||||
| Income taxes | 136 | 333 | 1,548 | 1,022 | ||||||||||||
| Net income (loss) from continuing operations | $ | (1,151 | ) | $ | 208 | $ | 275 | $ | 1,572 | |||||||
| Discontinued Operations | ||||||||||||||||
| Loss from discontinued operations before income taxes | $ | (51 | ) | $ | (689 | ) | $ | (2,811 | ) | $ | (1,095 | ) | ||||
| Loss on disposal | (43 | ) | --- | (474 | ) | --- | ||||||||||
| Tax benefit | 215 | 278 | 1,574 | 449 | ||||||||||||
| Net income (loss) from discontinued operations after income taxes | $ | 121 | $ | (411 | ) | $ | (1,711 | ) | $ | (646 | ) | |||||
| Net income (loss) | $ | (1,030 | ) | $ | (203 | ) | $ | (1,436 | ) | $ | 926 | |||||
| Basic net income (loss) per share: | ||||||||||||||||
| Net income (loss) per share from continuing operations | $ | (0.23 | ) | $ | 0.04 | $ | 0.06 | $ | 0.32 | |||||||
| Net income (loss) per share from discontinued operations | 0.02 | (0.08 | ) | (0.35 | ) | (0.13 | ) | |||||||||
| Basic net income (loss) per share | $ | (0.21 | ) | $ | (0.04 | ) | $ | (0.29 | ) | $ | 0.19 | |||||
| Diluted net income (loss) per share: | ||||||||||||||||
| Net income (loss) per share from continuing operations | $ | (0.23 | ) | $ | 0.04 | $ | 0.06 | $ | 0.32 | |||||||
| Net income (loss) per share from discontinued operations | 0.02 | (0.08 | ) | (0.35 | ) | (0.13 | ) | |||||||||
| Diluted net income (loss) per share | $ | (0.21 | ) | $ | (0.04 | ) | $ | (0.29 | ) | $ | 0.19 | |||||
| Weighted common shares outstanding: | ||||||||||||||||
| Basic | 4,914 | 4,909 | 4,914 | 4,909 | ||||||||||||
| Diluted | 4,914 | 4,982 | 4,968 | 4,960 |