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Biostar Pharmaceuticals, Inc. Reports Record Revenues and Earnings for 2008
Date:4/7/2009

the doubling of revenues on existing products. We continue to strengthen our sales and marketing efforts, particularly for high-demand products such as our Oleanlic Acid Capsule. With the only SFDA-approved OTC product, and an estimated 120 million hepatitis B patients in China, we believe this product, in conjunction with the other products and services offered through our China Hepatitis Internet Hospital represents a substantial opportunity for Biostar."

Mr. Wang went on to say, "We were also successful in initiating a number of projects which will serve as a foundation for our continued growth in the future. Most recently we received permits to begin construction on a new raw materials processing facility. This is a critical step in enabling us to reduce our cost of goods while improving the quality of our products going forward. We expect to reap the benefits from this processing facility starting by the end of this year, with the future anticipated benefits being very significant."



                          BIOSTAR PHARMACEUTICALS, INC.
                      CONSOLIDATED STATEMENTS OF OPERATIONS

                                                             Year Ended
                                                             December 31,
                                                         2008           2007

    Sales, net                                    $33,910,922    $15,887,486

    Cost of sales                                  14,059,343      5,224,556

    Gross profit                                   19,851,579     10,662,930

    Selling, general and
     administrative expenses                       12,089,937      5,817,167

    Income from operations                          7,761,642      4,845,763

    Other Income (Expense)
      Interest income                                   2,911          3,492
      Interest expense                                (40,615)     
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SOURCE Biostar Pharmaceuticals, Inc.
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