SOURCE: Daxor Corp.

July 31, 2008 08:30 ET

(AMEX: DXR) Daxor Corporation Announces Second Quarter 2008 Earnings

NEW YORK, NY--(Marketwire - July 31, 2008) - Daxor Corporation (AMEX: DXR), a medical instrumentation and biotechnology company, today announced second quarter earnings for 2008. For the quarter ended June 30, 2008, total operating revenues increased by 2.1 % to $556,587 from $545,318 in the same period in 2007. This was mainly the result of increased Volumex kit sales of $25,962 or 11.8% during the current quarter versus the same period in 2007. There were three Blood Volume Analyzers sold in both the quarter ended June 30, 2008 and June 30, 2007.

For the six months ended June 30, 2008, total operating revenues decreased by 7.0% to $977,500 from $1,051,200 for the same period in 2007. The decrease in operating revenues can be attributed to the sale of three Blood Volume Analyzers in the six months ended June 30, 2008 versus the sale of five instruments for the same period in 2007. The Centers for Medicare and Medicaid Services (CMS) implemented a policy change effective January 1, 2008 which significantly reduced the reimbursement for diagnostic radiopharmaceutical products. It is the opinion of management that this change has negatively impacted instrument sales. For the six months ended June 30, 2008, Volumex kit sales increased by $83,778 or 18.3%. For the six months ended June 30, 2008, costs and expenses decreased by 0.6% to $3,470,552 from $3,491,328 for the same period in 2007.

At June 30, 2008, the Company had total assets of $104,274,718 with total stockholders' equity of $59,016,283 vs. total assets of $102,560,500 and $54,915,885 of stockholders' equity at December 31, 2007. In the first three and six months of 2008 and 2007, the company had significant income from investments which completely offset the operating loss.

Total other income for the six months ended June 30, 2008 increased by 49.5% to $11,718,902 from $7,840,037 for the same period in 2007. The basic net income per share for the six months ended June 30, 2008 was $2.01 versus $1.17 for the same period in 2007.

The company is continuing to increase its expenses associated with research and development as part of the continuing effort to develop products that are complementary to its current product line. The improvement in the company's financial structure is important for the company's expansion plans. There were 56 Blood Volume Analyzers placed at June 30, 2008 versus 50 instruments at June 30, 2007.

The Board of Directors voted to declare a dividend of $0.25 per quarter. The dividend will be paid on August 27, 2008 to shareholders of record on July 28, 2008. The Company intends to maintain a policy of paying dividends on a quarterly basis if net income is available to maintain the dividend.

Under the provisions of the Company's stock buyback program, Daxor may purchase up to 250,000 shares of the Company's common stock each year. As part of this program, the Company purchased 110,700 shares of Daxor Common Stock during the six months ended June 30, 2008 and 163,808 during the year ended December 31, 2007.

                         Three Months Ended          Six Months Ended
                              June 30                     June 30

                          2008         2007          2008          2007
                      -----------  -----------   -----------   -----------

Total Operating
 Revenues             $   556,587  $   545,318   $   977,500   $ 1,051,200
Total Costs &
 Expenses             $ 1,780,838  $ 1,779,579   $ 3,470,552   $ 3,491,328
                      -----------  -----------   -----------   -----------
Net Loss from
 Operations           $(1,224,251) $(1,234,261)  $(2,493,052)  $(2,440,128)

Total Other Income    $ 3,129,093  $ 3,574,176   $11,718,902   $ 7,840,037
                      -----------  -----------   -----------   -----------

Net Income Before
 Income Taxes         $ 1,904,842  $ 2,339,915   $ 9,225,850   $ 5,399,909

Income Tax Expense    $   400,000  $         0   $   400,000   $         0
                      -----------  -----------   -----------   -----------

Net Income            $ 1,504,842  $ 2,339,915   $ 8,825,850   $ 5,399,909
                      -----------  -----------   -----------   -----------

Weighted Average Number
 Of Shares Outstanding-
 Basic                  4,361,918    4,589,418     4,391,718     4,598,103

Earnings Per Share-
 Basic                $      0.35  $      0.51   $      2.01   $      1.17

Weighted Average Number
 Of Shares Outstanding-
 Diluted                4,383,918    4,589,418     4,416,718     4,598,103

Earnings Per Share-
 Diluted              $      0.34   $     0.51   $      2.00   $      1.17

Contact Information

  • Contact Information:

    Daxor Corporation
    Stephen Feldschuh
    212-330-8515
    Chief Operating Officer
    stephen@daxor.com

    David Frankel
    212-330-8504
    Chief Financial Officer
    dfrankel@daxor.com