SYNTRO REPORTS FOURTH QUARTER PROFIT
AND IMPROVED OPERATING RESULTS FOR FISCAL 1991
KANSAS CITY, .? 13 /PRNewswire/ -- Syntro Corporation (NASDAQ: SYNT) today reported a profitable fourth quarter and significantly improved overall operating results for its fiscal year ended Sept. 30, 1991.
Fourth quarter earnings were $29,000 (less than one cent per share) on revenues of $1,337,000. This compares with a net loss of $419,000 (four cents per share) on revenues of $1,135,000 in the fourth quarter of fiscal 1990.
Fiscal year 1991 revenues were $4,392,000, an increase of 20 percent over revenues of $3,659,000 in fiscal 1990. Operating results improved 52 percent for the year, from a net loss of $1,975,000 (21 cents per share) in fiscal 1990, to a net loss of $944,000 (10 cents per share) in fiscal 1991.
Revenues from collaborative research contracts increased substantially in fiscal 1991 as the company expanded its relationship with Nippon Zeon Co., Ltd. and established a new strategic alliance with Hoechst-Roussel Agri-Vet Company. These collaborations are directed toward the development of innovative poultry vaccines incorporating Syntro's viral vector technology. The company also had revenues during the year resulting from licensing the European marketing rights for its new IBR/Marker(R) cattle vaccine to Hoechst Veterinar GmbH.
Sales revenue declined moderately in fiscal 1991 as SyntroVet adjusted pricing on its PRV/Marker(R) pseudorabies vaccines to better position them prior to the introduction of its second generation vaccine, PRV/Marker Gold(R). Regulatory approval of the new vaccine was granted late in the fourth quarter, minimizing its impact on fiscal 1991 results.
Dr. J. Donald Todd, president and CEO said, "Reaching break even in the fourth quarter of fiscal 1991 was an important milestone for Syntro. We are pleased with the progress we have made in the last three years toward achieving our financial objectives. With the expansion of our strategic alliances, the regulatory approval of our new PRV/Marker Gold vaccine, and the licensing of European marketing rights for IBR/Marker, Syntro is strengthening its role as a technically innovative participant in the world animal health market.
"While operating results may vary between quarters, we believe that growing sales revenues from existing and new products, coupled with collaborative research and product licensing revenues, position Syntro for improved financial performance as we go forward in 1992."
Syntro Corporation is a Kansas City and San Diego based biotechnology company engaged in the development and commercialization of genetically engineered vaccines for the animal health sector. SyntroVet Incorporated, a wholly owned subsidiary, manufactures and markets products resulting from Syntro's research and collaborative efforts.
SYNTRO CORPORATION AND SUBSIDIARY
CONDENSED CONSOLIDATED FINANCIAL STATEMENTS
Three Months Ended 12 Months Ended
9/30/91 9/30/90 9/30/91 9/30/90
Revenues $1,337,000 $1,135,000 $4,392,000 $3,659,000
Net Profit (Loss) 29,000 (419,000) (944,000) (1,975,000)
Profit (Loss) Per Share .00 (.05) (.10) (.21)
Cash & Short-Term Investments $3,834,000 $4,188,000
Other Current Assets 995,000 959,000
Total Assets 7,371,000 8,173,000
Liabilities/Debt 1,907,000 1,834,000
Shareholders' Equity 5,464,000 6,340,000
Shares Outstanding at Sept. 30, 1991: 9,637,452
/CONTACT: Jack Falker 612-371-0000, of Swenson/Falker Associates Inc., for Syntro Corp.; or J. Donald Todd of Syntro Corp., 913-888-8876/ CO: Syntro Corp. ST: Minnesota IN: SU: ERN JS -- MN003 -- 3768 11/13/91 09:00 EST