SOURCE: Pacific Biometrics, Inc.

November 15, 2007 20:09 ET

Pacific Biometrics, Inc. Reports Fiscal 2008 First Quarter Results

SEATTLE, WA--(Marketwire - November 15, 2007) - Pacific Biometrics, Inc. (PBI) (OTCBB: PBME), a leading provider of specialized central laboratory and contract research services, released its financial results for the first quarter of fiscal 2008, ended September 30, 2007. Revenues for the first quarter decreased 20% to $2,081,662 from $2,604,884 for the comparable period last year. The company recorded a net operating loss for the first quarter of fiscal 2008 of $55,453 compared with a net operating loss of $95,686 for the same period last year. The improvement in operating loss in the current quarter was primarily due to the substantial decrease of share-based compensation expense compared to that in the first quarter of fiscal 2007. Total net loss for the first fiscal quarter was $148,565, or $0.01 per share, compared with a total net loss of $203,028, or $0.01 per share, for the same period during fiscal 2007. Cash flow provided by operations for the first quarter was $135,288 compared with $633,378 for the same period last year.

"We have experienced a slow start to fiscal 2008. While revenues exceeded the first quarter of fiscal 2006, which ended as a record year for us, we were significantly behind revenues for the first quarter of fiscal 2007," commented Ron Helm, Pacific Biometrics' President and Chief Executive Officer. "As previously announced, there continues to be some softness in the central lab market, in part related to a series of delays and cancellations in the dyslipidemia therapeutic area and especially in the field of HDL-raising drugs after Pfizer's announcement that the entire class of CETP inhibitors has been placed on hold following the earlier discontinuation of Torcetrapib, the class leader in the CETP inhibitor field. We expect this trend to continue into the early part of calendar 2008. Nevertheless, although we reported a net loss of $0.01 per share for the quarter, we generated positive EBITDA, as well as a gross profit of $858,982, and operationally we continue to perform well. We look forward to fiscal 2008, as our primary business strategy will be to continue to focus on growing our business through ongoing and increased business development efforts."

Mr. Helm concluded, "We are encouraged that in the fourth quarter of fiscal 2007 we noted a substantial upswing in requests for proposals leading to several large contract awards, as announced in recent press releases. Moreover, we recently launched a new service area, Clinical Biomarker Services, which is aimed at a market experiencing significant growth in outsourced lab services for drug development and in which there are as yet no dominant players. We also recruited a new VP of business development and sales & marketing, Rick Gordon, as part of a move to restructure the business development group and focus aggressively on the growth of our backlog and revenues."

For additional information, see Pacific Biometrics' Annual Report filed with the SEC on Form 10-KSB for the fiscal year ended June 30, 2007 and the quarterly report filed with the SEC on Form 10-QSB for the fiscal quarter ended September 30, 2007.

About Pacific Biometrics, Inc. (PBI)

Established in 1989, PBI provides specialized central laboratory and contract research services to support pharmaceutical and diagnostic manufacturers conducting human clinical trial research. The company provides expert services in the areas of cardiovascular disease, diabetes, obesity, osteoporosis, arthritis, and nutrition, as well as biomarker assay development and immunogenicity testing. The PBI laboratory is accredited by the College of American Pathologists, and through its non-profit affiliate Pacific Biometrics Research Foundation, is one of only three U.S.-based members of the Centers for Disease Control (CDC) Cholesterol Reference Method Laboratory Network. PBI's clients include many of the world's largest pharmaceutical, biotech, and diagnostic companies.

For more information about Pacific Biometrics, visit the company's web site at www.pacbio.com.

Safe Harbor Statement under the Private Securities Litigation Reform Act of 1995: This press release includes forward-looking statements including, but not limited to, our strategic planning and business development plans, our future growth, and the viability and acceptance of our products and services in the market. These forward-looking statements are subject to a number of risks and uncertainties that may cause actual results to differ materially from those described in the forward-looking statements. These risks include, but are not limited to, our ability to bid on and win laboratory services contracts, the success of our marketing and business development efforts, competition in the industry, and our ability to manage growth, as well as the risks and other factors set forth in our periodic filings with the U.S. Securities and Exchange Commission (including our Form 10-KSB for the year ended June 30, 2007 and our quarterly report on Form 10-QSB for the quarter ended September 30, 2007).

Contact Information

  • Contacts:

    Pacific Biometrics, Inc.
    Ron Helm
    CEO
    (206) 298-0068

    Kari Charbonnel
    (206) 298-0068