Unassociated Document FOR MORE INFORMATION: Michael R. Cox Phone 765.497.5829 mcox@BASInc.com Bioanalytical Systems, Inc. Reports Profit for Third Quarter of Fiscal 2010

INFORMATION: Michael R. Cox

Systems, Inc. Reports Profit for Third Quarter of Fiscal 2010

LAFAYETTE, Ind., August 13, 2010- Bioanalytical Systems, Inc.

(Nasdaq: BASI) today reported financial results for the third quarter and nine

months ended June 30, 2010.

quarter ended June 30, 2010, the Company reported net earnings of $288,000

($0.06 per share, basic and diluted) on revenues of $8,064,000. This

compares to a loss of $632,000 ($0.13 per share, basic and diluted) on revenues

of $8,121,000 in the corresponding quarter of the prior

year. Revenues in both the Company's service and product segments

were essentially the same in both periods; however, gross profit increased by

$536,000 in the current quarter over the corresponding quarter due primarily to

cost reductions initiated within the past twelve months. Operating expenses,

excluding one-time charges, were reduced by $89,000 in the comparable

periods. Included in the net loss for the prior year quarter

was an impairment charge of $472,000 eliminating the goodwill of the Company's

nine months ended June 30, 2010, revenue decreased 8% to $21.4 million compared

to revenue of $23.3 million for the comparable period in fiscal 2009. Service

revenue declined 7.6% and Product revenue declined 9.5%. The net loss for the

nine months ended June 30, 2010 was $2,411,000, or $0.49 per basic and diluted

share, compared to a net loss of $4,047,000, or $0.82 per basic and diluted

share for the comparable period in fiscal 2009. One time charges in the current

fiscal period totaled $740,000 ($0.15 per share) for termination benefits and

settlement of a contingent lease liability, compared to $472,000 ($0.10 per

share) for the write-off of goodwill in the comparable period in fiscal

2009. In the current year, the Company benefited from the favorable

settlement of tax litigation which resulted in a net tax benefit of

for the current fiscal quarter ended June 30, 2010 were the highest of the three

quarters to date in the current fiscal year. The resulting net income

for the quarter was the first quarterly net income since the quarter ended June

The Company has named Alberto Hidalgo as Vice President - Business

Development and Marketing effective August 18, 2010. Mr. Hidalgo has over 15

years of senior-level sales experience in both domestic and international

markets including 13 years in the CRO market. Most recently he consulted with

companies to develop and implement new sales and marketing strategies. Prior to

that he served as Area Director of Sales with Covance Central Laboratory

Services and held varios positions including Director of Sales, for Eli Lilly

Export, Puerto Rico. He has a strong history of developing new business

relationships and sales strategies resulting in exceptional sales growth.

Chilton, PhD., President and Chief Executive Officer, stated, "It is very

encouraging for our organization to return to profitability after the losses we

have experienced in this recession. While revenues have not returned

to pre-recession levels, the activity in our markets continues to be

promising. We have reduced our expense levels so that we continue to

be competitive in the current environment, while maintaining our commitment to

quality scientific and professional performance. We are hopeful that returning

to profitability will be beneficial in our efforts to refinance $2.5 million of

debt maturing in the next twelve months."

Bioanalytical Systems, Inc.

pharmaceutical development company providing contract research services and

research instruments and supplies 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.BASInc.com

for more about BASi.

release contains forward-looking statements that are subject to risks and

uncertainties including, but not limited to, risks and

market and demand for our products and services, 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.

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CONSOLIDATED STATEMENTS OF OPERATIONS

thousands, except per share amounts)