IRVINE, CA -- (Marketwire) -- 08/30/11 -- Biomerica, Inc. (OTCBB: BMRA), a global provider of advanced diagnostic products for the early detection of medical conditions, today reported net income of $157,447, or $0.02 per share, for the fiscal year ended May 31, 2011, compared to net loss of $331,455, or $0.05 per share, in fiscal 2011. Net cash flows provided by operating activities was $328,803 for fiscal 2011 compared to cash used in operating activities of $236,980 in the previous fiscal year.
Net sales for the fiscal year 2011 were $4,899,375 versus net sales of $5,075,222 in fiscal 2010. The decrease in sales was mainly attributed to reimbursement of new product registration costs and sales incentives in Asia.
Research and development expense was $420,571 in fiscal 2011 as compared to $455,171 in fiscal 2010. The Company eliminated its internal research group in July 2010, but still invested considerable funds in the effort to launch certain new products for market (both internally developed and licensed from others) and also incurred significant costs of severance in the discontinuation of the research group.
"While sales were relatively flat this year, we expect an increase in sales beginning the first quarter of fiscal 2012," stated Zackary Irani, Biomerica CEO. "We have been diligently working on several new products and expect that many of these products will be introduced in this coming fiscal year. At the same time we have been pursuing new distribution in several countries in South East Asia and South America."
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 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 product introductions, sales potential, market size, growth of business, favorable positions, expansion, expected orders, leading market positions, expanded distribution, anticipated increases in sales 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.