BioSyent Inc. ("BioSyent")(TSX VENTURE: RX) today released its third quarter 2006 financial results. Sales for the quarter ended September 30, 2006 were $627,244 up 153% compared to the same period in 2005 ($248,383). Net Income for the quarter increased 411%, from $59,355 in the 3rd. Quarter, 2005, to $ 303,590 in the comparable quarter in 2006. The increase in sales was mainly due to increased Canadian orders of Protect-It®. Sales for the nine months ended September, 2006, were $1,040,608, up 90% from the corresponding period in the previous year ($548,643). The net profit from operations for the first nine months of 2006 was $296,491 compared to a loss of (-$20,052) incurred in the comparative period in 2005. Net Income for the nine months ending 30th., September 2006 of $296,491, was however, less than that reported for the previous year period ($585,604), which included a one time gain of $ 605,656 on account of the return of INSTI® distribution rights in 2005.
During the nine months ending September, 2006, Gross Margins increased by 5.6%, from 62.5% in the prior year period to 68.1%, while a similar comparison of operating expenses showed a modest increase of 16.5% ($431,413 2006, vs. $370,213, 2005).
Cash and liquid bank deposits represented 97% of Working capital of $1,082,375 as on 30th September, 2006. This liquidity is maintained to respond to business development efforts in the pharmaceutical business undertaken by its wholly owned subsidiary BioSyent Pharma Inc.
The Board of Directors of BioSyent has authorized the issuance of 100,000 new stock options to an employee of the Company. The newly issued stock options can be exercised at $0.19 until November 14, 2011 and are subject to other terms and conditions stipulated in the Incentive Stock Option Plan previously approved by shareholders of the Company.
BioSyent Inc. continues to concentrate on its pharmaceutical strategy to source products that have been successfully developed and proven to be safe and effective; manage these products through the regulatory process and product registration (approval); and once approved, market these products in Canada. These pharmaceuticals will compete in both the branded and generic market segments and will not require further product development investment other than regulatory costs.
BioSyent Inc. is a publicly traded specialty pharmaceutical company whose wholly owned subsidiary, BioSyent Pharma Inc., sources, acquires or in-licences pharmaceutical products and markets these products in Canada. Wholly owned BioSyent subsidiary Hedley Technologies Ltd. operates the company's legacy business marketing bio and health friendly non-chemical insecticides. BioSyent common shares are listed for trading on the TSX Venture Exchange (TSXV) under the symbol RX.
This press release may contain information or statements that are forward-looking. The contents herein represent our judgment, as at the release date, and are subject to risks and uncertainties that may cause actual results or outcomes to be materially different from the forward-looking information or statements. Potential risks may include, but are not limited to, those associated with clinical trials, product development, future revenue, operations, profitability and obtaining regulatory approvals.
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