Commonwealth Biotechnologies, Inc. Continues to Gain Financial Ground Through 3rd Quarter; Company Continues to Show Positive Trends for EBIDTA and Posts Modest Profit.Business Editors/Health/Medical Writers BIOWIRE2K RICHMOND, Va.--(BUSINESS WIRE)--Oct. 21, 2002 Commonwealth Biotechnologies, Inc. (NASDAQ NASDAQ in full National Association of Securities Dealers Automated Quotations U.S. market for over-the-counter securities. Established in 1971 by the National Association of Securities Dealers (NASD), NASDAQ is an automated quotation system that reports on SmallCap: CBTE), a life sciences contract research organization and biotechnology company, today released its unaudited financial reports for the 3Q and year-to-date. The Company's 10-QSB is expected to be released on November 15. Following its positive 2Q announcement, the Company continues to tightly control expenses and showed a modest profit of about $10,000 in the 3rd quarter. This compares with a loss of $400,137 for the same period in 2001. For the year to date, the Company recorded a loss of about $232,000 on $3.4 million in gross sales Gross Sales A measure of overall sales that isn't adjusted for customer discounts or returns, calculated simply by adding all sales invoices, and not including operating expenses, cost of goods sold, payment of taxes, or any other charge. , compared to a loss in 2001 of over $1 million on $3.8 million in gross sales. The 2001 revenues included $400,000 in one-time licensing fees received by the Company. "For 2002, the P&L bottom line through the 3Q represents nearly an $800,000 positive swing, compared to 2001," said Dr. Robert B. Harris, President and CEO (1) (Chief Executive Officer) The highest individual in command of an organization. Typically the president of the company, the CEO reports to the Chairman of the Board. . "EBITDA (Earnings Before Interest, Taxes, Depreciation and Amortization) A metric used to show a company's profitability, but not its cash flow. EBITDA became popular in the 1980s to show the potential profitability of leveraged buyouts, but has become for the year is nearly $464,000, which is a positive change of almost $640,000 compared to last year. Obviously, we are very pleased by our progress, but realize that we have to continue to focus on our top-line revenues. Outsourcing from the biotech bi·o·tech n. Informal Biotechnology. biotech Noun short for biotechnology Noun 1. , biopharmaceutical, and private sectors is just now beginning to show increased activity after a lengthy down-turn. On the other hand, CBI CBI abbr. cumulative book index CBI Confederation of British Industry CBI n abbr (= Confederation of British Industry) → C.E.O.E. is competing very well for new bio-defense dollars and will press on with its efforts to bring revenue to the Company from this particular arena." "For the 3rd quarter, CBI has been cash positive," added Mr. James H. Brennan, Controller of the Company, "and CBI has been cash positive through September. This is a dramatic improvement from 2001, most of which can be attributed to significant decreases in operating expenses Operating expenses The amount paid for asset maintenance or the cost of doing business, excluding depreciation. Earnings are distributed after operating expenses are deducted. . CBI is maintaining and even increasing its productivity with less staff. These are all very positive trends." "It is important to underscore The underscore character (_) is often used to make file, field and variable names more readable when blank spaces are not allowed. For example, NOVEL_1A.DOC, FIRST_NAME and Start_Routine. (character) underscore - _, ASCII 95. that CBI's performance to date has taken place in one of the most difficult times for the biotech sector when many of our peer companies have sustained significant losses. We are optimistic op·ti·mist n. 1. One who usually expects a favorable outcome. 2. A believer in philosophical optimism. op about the future," pointed out Dr. Richard J. Freer, Chairman and COO. About CBI Founded in 1992, CBI is located at 601 Biotech Drive, Richmond, VA 23235 (1-800-735-9224). The company occupied its 32,000 square foot facility in December, 1998. CBI has provided comprehensive research and development services to more than 2,500 private, government, and academic customers in the global biotechnology industry. For more information, visit CBI on the web at www.cbi-biotech.com. Any statements contained in this release that relate to future plans, events or performance are forward-looking statements forward-looking statement A projected financial statement based on management expectations. A forward-looking statement involves risks with regard to the accuracy of assumptions underlying the projections. that involve risks and uncertainties as identified in the Company's filings with the Securities and Exchange Commission. Actual results, events or performance may differ materially. No statement herein should be considered an offer of any securities. Readers are cautioned not to place undo reliance on these forward-looking statements, which speak only as the date hereof. Specifically, there can be no guarantee that CBI will continue to positive trends in financial performance. A number of factors, including customer demand, industry trends, armed conflict, and terrorist activities, could alter these trends referenced herein. The Company undertakes no obligation to publicly release the results of any revisions to statements that may be made to reflect the events or circumstances after the date hereof or to reflect the occurrence of unanticipated events. |
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