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Biostar Pharmaceuticals, Inc. Announces First Quarter 2010 Financial Results
Date:5/17/2010

first quarter of 2010. Excluding the non-cash equity compensation charge of $0.2 million recorded during the first quarter of 2010, adjusted operating income for the first quarter is $3.3 million with operation margins of 26.6%.

Net income was approximately $2.3 million for the first quarter of 2010, a 23.7% increase compared to $1.8 million for the first quarter of 2009. Diluted earnings per share were $0.08 for the first quarter of 2010 compared to $0.08 for the first quarter of 2009, based upon 27.3 million and 23.5 million diluted common shares outstanding, respectively. Adjusted Non-GAAP net income for the first quarter was $2.4 million, or $0.09 per diluted common share based on 27.3 million diluted common shares outstanding for the first quarter of 2010. The Company's effective tax rate was at 27.6% for the first quarter of 2010.

"We are pleased to report another quarter of strong revenue growth, as Biostar gains further brand recognition and awareness for our Xin Aoxing Capsules. With momentum in several key markets, we are confident that this flagship product is becoming known as one of the major medical treatments for Hepatitis B in China," commented Ronghua Wang, Chairman and Chief Executive Officer of Biostar. "We are optimistic that with our continued expansion into new markets, supported by comprehensive marketing and distribution strategies, including direct sales, we are in position to leverage our product portfolio for optimal growth." Wang concluded.

Balance Sheet and Cash Flow

Cash and cash equivalents totaled $
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SOURCE Biostar Pharmaceuticals, Inc.
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