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Derma Sciences Reports Fourth Quarter Year-End Results for 2007
Date:4/1/2008

2006

Net Sales $10,651,944 $7,687,009

Cost of sales 7,231,758 5,041,739

Gross Profit 3,420,186 2,645,270

Operating expenses

Selling, general and administrative 3,968,259 2,399,899

Research and development 868,069 -

Goodwill impairment - 200,000

Total operating expenses 4,836,328 2,599,899

Operating (loss) income (1,416,142) 45,371

Other expense (income)

Interest expense 270,605 75,379

Loss on debt extinguishment 256,628 -

Other expense (income) 35,699 (21,950)

Total other expense 562,932 53,429

Loss before provision for income taxes (1,979,074) (8,058)

Provision for income taxes 66,869 99,341

Net Loss $(2,045,943) $(107,399)

Loss per common share - basic and diluted $(0.07) $0.00

Shares used in computing loss per common share

- basic and diluted 30,289,386 24,906,160

Consolidated Statements of Operations (Audited)

Year ended

December 31,

2007 2006

Net Sales $34,135,401 $27,887,391

Cost of sales 22,530,986 18,235,003

Gross Profit 11,604,415 9,652,388

Operating ex
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SOURCE Derma Sciences Inc
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