IRVINE, CA -- (Marketwired) -- 10/16/14 -- Biomerica, Inc. (OTCBB: BMRA), a global provider of advanced diagnostic products for the early detection of medical conditions, announced financial results today for the first fiscal quarter ended August 31, 2014.
Fiscal 2015 first quarter net sales for Biomerica were $1,034,450 for the three months ended August 31, 2014 as compared to $1,013,739 for the same period in the previous year. Net loss for the first quarter fiscal 2015 was $219,268 compared to a net loss of $167,714 in fiscal 2014. The increase in the loss was primarily due to the increase in research and development spending, a majority of which was invested in the Company's new Gastroenterology test and exploring the possibility of obtaining FDA clearance. Research and Development spending was $195,706 for the first quarter fiscal 2015 compared to $91,257 the previous quarter, an increase of $104,449. Net cash flow provided from operations was $143,641 for the current fiscal quarter compared to net cash used in operation of $376,271 in the same quarter the previous fiscal year, an increase of $519,912.
"While are disappointed in the top line sales this quarter which was primarily due to lower sales in China, our China distribution partner remains optimistic about the long term success in this market," said Zackary Irani, Biomerica Chief Executive Officer. "We continue to work on new distribution and product registrations in Brazil, Mexico and China and expect regulatory approvals and new distribution partners in fiscal 2015. In addition we have been making significant progress on our new gastroenterology product and technology that we believe will be patentable and will have a positive impact in the gastrointestinal market. Most of our R&D increase has been spent on this product and exploring the possibility of FDA clearance."
About Biomerica (OTCBB: BMRA)
Biomerica, Inc. (www.biomerica.com) is a global biomedical company that develops, manufactures and markets advanced diagnostic products used at the point-of-care (in home and in physicians' offices ) and in hospital/clinical laboratories for the early detection of medical conditions and diseases. The Company's products are designed to enhance the health and well being of people, while reducing total healthcare costs. Biomerica primarily focuses is on products for Diabetes, Gastrointestinal Disease and esoteric testing.
The Private Securities Litigation Reform Act of 1995 provides a "safe harbor" for forward-looking statements. Certain information included in this press release (as well as information included in oral statements or other written statements made or to be made by Biomerica) contains statements that are forward-looking; such as statements relating to intended launch dates, expected improvements in performance, new distribution, expected product introductions, belief that new strategies will yield higher sales and margins, sales potential, market size, growth of business, positive outlook, expansion, expected orders, leading market positions, anticipated future revenues or production volume of the Company, success of product and new product offerings. Such forward-looking information involves important risks and uncertainties that could significantly affect anticipated results in the future, and accordingly, such results may differ materially from those expressed in any forward-looking statements made by or on behalf of Biomerica. The potential risks and uncertainties include, among others, fluctuations in the Company's operating results due to its business model and expansion plans, downturns in international and or national economies, the Company's ability to raise additional capital, the competitive environment in which the Company will be competing, and the Company's dependence on strategic relationships. The Company is under no obligation to update any forward-looking statements after the date of this release.