Unassociated Document FOR MORE INFORMATION: Michael R. Cox Phone 765.497.5829 mcox@bioanalytical.com Bioanalytical Systems, Inc. Reports First Quarter Fiscal 2008 Financial Results

Systems, Inc. Reports First Quarter Fiscal 2008 Financial

LAFAYETTE, Ind., February 11, 2008- Bioanalytical Systems, Inc. (Nasdaq: BASI)

today reported financial results for its first quarter of fiscal 2008, ended

December 31, 2007. Revenue increased over 5% to $11.5 million compared to $10.9

million for the quarter ended December 31, 2006. The net loss for the first

quarter of fiscal 2008 was $16,000, or $0.00 per share, compared to net income

of $556,000, or $0.11 per basic and diluted share for the first quarter of

Service segment, the Company experienced increased revenues in its toxicology,

analysis and pharmacokinetics and pharmacodynamics operations,

which were slightly offset by reduced revenues in bioanalytical analysis and

clinical operations. Revenues in the Product segment also increased with

automated in vivo sampling systems showing continued strength.

revenue for the quarter ended December 31, 2007 was $7.9 million, or 69.4%

revenue, compared to $7.5 million, or 68.9% of revenue, for the quarter ended

December 31, 2006. Margins declined in the Service segment due to the costs

and pharmacodynamics services being included in cost of sales, whereas in the

prior year period they were considered research and development expenses.

segment margins also declined as a result of increased sales of lower margin

analytical products.

Company also experienced increased selling, research and development, and

general and administrative expenses, which in total were $3.2 million in the

first quarter of fiscal 2008, compared to $2.7 million in the comparable quarter

of fiscal 2007. The increase was mainly due to enhanced sales efforts in our

West Lafayette and UK sites, stock option expense for new option grants

second quarter of fiscal 2007 and first quarter of fiscal 2008,

expenses for attracting and hiring new management

personnel in our Baltimore and UK facilities.

income was also negatively impacted in the current quarter by the provision

tax reserve creating a disproportionate effective tax rate for the

M. Shepperd, President and CEO commented, "Our first quarter was a

disappointment to us, as losses from the Baltimore clinical operations

essentially negated the profits we produced in all our other operating units.

This will likely continue to impact our results as we work to develop higher

volume and a more efficient cost structure in that operation. We were encouraged

by strong sales in the Culex line of in

products, which resulted in an increase in our Product revenue."

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

new drug to market. Visit www.bioanalytical.com

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

uncertainties including, but not limited to, risks and

to the development, marketing and salest of products and services, changes

technology, industry standards and regulatory standards, and various market

operating risks detailed in the company's filings with the Securities and

Exchange Commission.

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CONSOLIDATED STATEMENTS OF OPERATIONS

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