Biotonix Announces Second Quarter 2011 Results

BROSSARD, QUEBEC--(Marketwire - Aug. 30, 2011) - Biotonix (2010) Inc. (TSX VENTURE:BTX) a leader in postural health, today announced the financial results for the second quarter ended June 30, 2011. "During the quarter, we carried out mandates from large corporations which allowed us to further penetrate the corporate market. In addition, Biotonix seized the opportunity to introduce its portfolio to approximately twenty CEOs heading some of the largest fitness chains in Europe. This event thrust Biotonix into the limelight just as the Company is pursuing its sales efforts in a market with activities accounting for approximately US$20 billion annually" said Louise St-Onge, CEO of Biotonix.

"In addition, a slow penetration of target markets has prompted the Company to move forward with restructuring initiatives including personnel and wage cutbacks in order to preserve its cash flow. The Company also suspended its research and development activities", she added.

HIGHLIGHTS

• Biotonix posted a 27% increase in sales compared to the same period in 2010 due to mandates secured in the corporate solutions market and to an accounting change on a client contract.

• Biotonix also achieved a 57% increase in gross profit compared to 42% at the same period in 2010 by securing mandates in the corporate market segment during the third quarter and by maintaining cost of sales.

OVERVIEW OF FINANCIAL INFORMATION

	Quarters ended June 30th				Six months ended June 30th
	Unaudited				Unaudited
	2011		2010		2011		2010
					$		$
Statement of Operations
Sales	157,278		123,485		289,189		238,583
Gross margin	89,084		51,393		156,748		96,425
Net loss	(341,761	)	(986,094	)	(857,834	)	(1,612,114	)
Net loss per share, basic and diluted	(0.015	)	(0.022	)	(0.022	)	(0.030	)
Weighted average number of shares	23,188,667		23,094,167		23,094,167		21,035,000
Balance sheet
Cash flow and deposits	703,612		1,073,561		703,612		1,073,561
Total assets	1,044,972		1,758,506		1,044,972		1,758,506
Long-term debt including short-term portion	8,333		54,167		8,333		54,167
Total liabillities	503,149		450,376		503,149		450,376
Shareholder's equity	541,823		1,308,130		541,823		1,308,130

Revenues for the quarter reached $157,278 compared to $123,485 last quarter, a 27% increase. Mandates carried out in the corporate solutions market account for 61% of the increase, while accounting changes associated with a client contract account for the 39% balance.

CASH POSITION

On the basis of current projections and cash inflows from the private financings, management believes the Company will have sufficient funds available to support its activities for the current fiscal year. Accordingly, the Company must secure a financing, increase its sales or cut operating costs in order to pursue it activities.

BIOTONIX PROFILE

WEB-BASED SOLUTIONS FOR POSTURE CORRECTION AND FITNESS

Biotonix has developed a unique biomechanical evaluation system and method which is at the core of all its applications. The system helps health and fitness professionals to assess, improve and monitor posture and overall fitness. The Biotonix web-based imaging software system is easy to use, non-invasive and provides a complete individualized assessment of musculoskeletal form and function, postural deviation detection, and corresponding corrective exercises. To date, the Company has generated over 425,000 postural and fitness assessments, including over 1,000 world-class athletes and corporations form the Fortune 500.

FitPrint™

Designed to meet the specific needs of the fitness market, FitPrint™ has the capability to assess posture as well as establish physiological age in order to improve muscular balance, performance and overall fitness, and rejuvenate the body.

Biotonix's is currently negotiating with major fitness organizations and several Fortune 500 companies.

MORE INFORMATION ON BIOTONIX

More information is available on Biotonix's website at www.biotonix.com as well as on the SEDAR website at www.sedar.com.

BIOTONIX PROFILE

Biotonix (TSX VENTURE:BTX) offers innovative health solutions for posture correction and fitness using a web-based imaging software technology. For more information please visit www.biotonix.com.

BIOTONIX'S FORWARD-LOOKING STATEMENTS

This press release contains forward-looking statements that reflect the Company's current expectation regarding future events. There is a risk that expectations and forward looking statements will not prove to be accurate. Readers are cautioned not to place undue reliance on these forward looking statements as they involve risks and uncertainties, which could make actual results differ materially from those projected herein and depend on a number of factors including, but not limited to, no history of profitability, future financing, intellectual property and patents, key personnel, competitive marketplace, technology obsolescence, share price volatility and other risks detailed in the Company's 2010 Management Discussion & Analysis. While Biotonix anticipates that subsequent events and developments may cause its views to change, Biotonix specifically disclaims any obligation to update these forward looking statements, unless obligated to do so by applicable securities laws.