Sinobiopharma Reports a 41% Increase in Revenues From Unaudited Financial Results for the 9 Month Period Ended February 28, 2009
24 April 2009 - 9:30PM
PR Newswire (US)
NANTONG CITY, China, April 24 /PRNewswire-FirstCall/ --
Sinobiopharma, Inc. (OTC:SNBP) (BULLETIN BOARD: SNBP)
("Sinobiopharma" or, the "Company") is pleased to report financial
highlights from the unaudited financial results for the nine month
period ended February 28, 2009. Financial highlights include: --
Sales revenue increased to US $2,715,702 for the nine months ended
February 28, 2009, from US $1,170,677 in the corresponding period
ended February 29, 2008. -- Gross profit increased to US
$1,815,491, representing 67% of sales revenue, for the nine months
ended February 28, 2009, from US $435,666, representing 37% of
revenue, in the corresponding period ended February 29, 2008. --
Net profit of the Company's wholly owned operating subsidiary, Dong
Ying (Jiangsu) Pharmaceutical Co., Ltd., increased to US $851,324,
representing 27% of sales revenue, for the nine months ended
February 28, 2009, from - US $ 96,335 in the corresponding period
ended February 29, 2008. However, the Company's overall net loss
increased to US $1,622,692 for the nine months ended February 28,
2009, from US $444,672 for the nine months ended February 29, 2008,
of which one of the main expenses affecting the results of
operations was the stock-based compensation expense of US
$1,944,750 reflecting the vesting of stock options granted by the
Company having an exercise price of $1.80 per share. -- Increase in
sales volume and the improvement in gross profit percentage are
both due to growth in sales of Cisatracurium Besylate, a skeletal
muscle relaxant. Sales of this product increased to US $2,511,752
in the nine months ended February 28, 2009, from US $765,615 in the
nine months ended February 29, 2008. At the same time, as volume
has increased, cost of manufacturing Cisatracurium Besylate has
decreased to 30% of its price for the nine months ended February
28, 2009, from 64% of its price for the nine months ended February
29, 2008. "The significant increases in sales revenue as well as
gross and net profit indicate not only the growing success of
Sinobiopharma's products in the marketplace, but also the Company's
improved performance in producing and distributing them more
cost-effectively," said Mr. Lequn Huang, President and CEO of
Sinobiopharma. About Sinobiopharma Sinobiopharma, Inc. is a fully
integrated and highly innovative biotechnology company engaged in
the research and development, manufacture and marketing of
biopharmaceutical products in China, the world's fastest growing
pharmaceutical market. Known as Dong Ying (Jiangsu) Pharmaceutical
Co., Ltd. in China, the Company's current therapeutic focus is on
anesthesia-assisted agents and cardiovascular drugs. FORWARD
LOOKING STATEMENTS This news release may include "forward-looking
statements" regarding Sinobiopharma, Inc., and its subsidiaries,
business and project plans. Such forward looking statements are
within the meaning of Section 27A of the Securities Act of 1933, as
amended, and section 21E of the United States Securities and
Exchange Act of 1934, as amended, and are intended to be covered by
the safe harbor created by such sections. Where Sinobiopharma, Inc.
expresses or implies an expectation or belief as to future events
or results, such expectation or belief is believed to have a
reasonable basis. However, forward-looking statements are subject
to risks, uncertainties and other factors, which could cause actual
results to differ materially from future results expressed,
projected or implied by such forward-looking statements.
Sinobiopharma, Inc. does not undertake any obligation to update any
forward looking statement, except as required under applicable law.
DATASOURCE: Sinobiopharma, Inc. CONTACT: Investor Relations,
Sinobiopharma, Inc. 1-877-568-0188 Web Site:
http://www.sinobiopharma.com/
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