August 14, 2012
Pressure BioSciences (PBIO) Reports 70% Revenue Growth as Sales Expand
Pressure BioSciences Inc. (OTCQB: PBIO), a developer of proprietary lab instrumentation and associated consumables based on its game-changing Pressure Cycling Technology (PCT), providing equipment to companies like Thermo Fisher Scientific (NYSE: TMO) and Amgen Inc. (NASDAQ: AMGN), recently reported a 70% increase in revenue growth.
Last quarter, the company reported an 18% increase in PCT technology and service sales, along with an increase in PCT-based consumables and other products that pushed revenues up some 70% for the quarter. The company’s cash burn also decreased approximately 25% as it moves closer to a cash flow breakeven point, which could make now a great time to invest.
Pressure BioSciences, Inc. (PBIO) (“PBI” or the “Company”) today announced financial results for the three and six month periods ended June 30, 2012 and provided a business update.
Total revenue for the second quarter of 2012 was $324,908 compared to $190,686 for the comparable period in 2011, a 70% increase. Revenue from the sale of Pressure Cycling Technology (“PCT”) products and services was $224,384 for the second quarter of 2012 compared to $190,686 for the same period in 2011, an 18% increase. Grant revenue in the second quarter of 2012 was $100,524; during the same period in 2011, no grant revenue was reported. The Company installed eight PCT Sample Preparation Systems (“PCT Systems”) during Q2 2012 compared to seven during the same period in 2011. Sales of PCT-based consumables generated revenue of approximately $22,000 for the three months ended June 30, 2012 compared to approximately $20,000 for the same period in 2011, an increase of 10%.
Operating loss for Q2 2012 was $682,790, compared to $842,277 for the same period in 2011, a decrease of approximately 19%. This decrease was primarily due to increased revenue and continued tight controls on spending. After the exclusion of non-cash charges, operating cash burn for the second quarter of 2012 was approximately $596,000 compared to approximately $794,000 for the second quarter of 2011, a decrease of approximately 25%.
Total revenue for the six months ended June 30, 2012 was $630,569 compared to $371,329 for the same period in 2011, a 70% increase. Revenue from the sale of PCT products and services was $389,156 for the six months ended June 30, 2012 compared to $371,329 for the same period in 2011, a 5% increase. During the first six months of 2012, the Company installed 15 PCT Systems compared to 17 in the same period of the prior year. Sales of PCT-based consumables generated revenue of $38,876 for the six months ended June 30, 2012 compared to $39,026 for the same period in 2011.
Operating loss for the six months ended June 30, 2012 was $1,647,372 compared to $1,675,896 for the same period in 2011. After the exclusion of non-cash charges, operating cash burn for the six months ended June 30, 2012 was approximately $1,491,000, compared to approximately $1,518,000 for the same period in 2011.
Loss per common share – basic and diluted – was $0.11 for the second quarter of 2012 compared to $0.41 for the same period in 2011. Loss per common share – basic and diluted – was $0.21 for the six months ended June 30, 2012 compared to $0.75 for the same six month period of 2011.
Joseph L. Damasio, Vice President of Finance and Administration, said: “The 70% increase in total revenue reported for the second quarter was attributable to all three of our major revenue components: PCT instruments, PCT consumables, and grants. This increased revenue, together with our adherence to the tight fiscal controls implemented in 2011, resulted in a significant decrease in both operating loss and operating cash flow. In addition to these strong financial results, we closed on financings of $500,000 in April and $600,473 in early July. Finally, we remain optimistic that we will continue to be successful in securing the funds necessary for our planned growth and development.”
Richard T. Schumacher, President and CEO of PBI, commented: “During the second quarter, purchases were made by distributors engaged earlier in the year, sales of existing PCT products continued to grow, and interest in our recently released Shredder and HUB440 instrument systems turned into purchase orders. We continued the expansion of our marketing and sales reach with the addition of new distributors and strategic partners worldwide. We announced the expansion of an existing license agreement that anticipates the use of our PCT System in a future cancer testing service. And we announced a strategic partnership with three companies that we believe will lead to increased sales before the end of 2012.”
Mr. Schumacher continued: “We believe the strong financial and operating achievements of the second quarter and year-to-date are proof that our 2012 commercialization plan has begun to bear fruit. We further believe that this trend will continue into the second half of the year, and that we will not just surpass our reported revenue of 2011, but that we have the potential to exceed our record annual revenue of 2010 as well.”
About Pressure BioSciences, Inc.
Pressure BioSciences, Inc. (“PBI”) (PBIO) is focused on the development, marketing, and sale of proprietary laboratory instrumentation and associated consumables based on Pressure Cycling Technology (“PCT”). PCT is a patented, enabling technology platform with multiple applications in the estimated $6 billion life sciences sample preparation market. PCT uses cycles of hydrostatic pressure between ambient and ultra-high levels to control bio-molecular interactions. PBI currently focuses its efforts on the development and sale of PCT-enhanced sample preparation systems (instruments and consumables) for mass spectrometry, biomarker discovery, bio-therapeutics characterization, vaccine development, soil and plant biology, forensics, histology, and counter-bioterror applications.
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