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Escalon(R) Reports Second Quarter Fiscal 2008 Results
Date:2/14/2008

ogress at our Drew, Vascular and EMI units and improved results in our Medical/Trek business unit. Additionally, we expect to maintain momentum during the second half of fiscal 2008 regarding new product introductions. We also expect continued benefits from new product introductions and our streamlined operations in fiscal 2008."

Non-GAAP Measures

To supplement the Company's consolidated financial statements presented in accordance with GAAP, the Company has begun providing certain non-GAAP measures of financial performance. These non-GAAP measures include non-GAAP net loss and non-GAAP loss per fully diluted share.

Specifically, the Company believes the non-GAAP measures provide useful information to both management and investors by isolating certain expenses, gains and losses that may not be indicative of its core operating results and business outlook. In addition, the Company believes non-GAAP measures that exclude stock-based compensation expense enhance the comparability of results against prior periods.

The Company's reference to these non-GAAP measures should be considered in addition to results prepared under current accounting standards, but are not a substitute for, nor superior to, GAAP results. These non-GAAP measures are provided to enhance investors overall understanding of the Company's current financial performance and provide further information for comparative purposes due to depreciation and amortization and the adoption of the new accounting standard FAS 123R.

The non-GAAP measures and the reconciliation to the most directly comparable GAAP measure of all non-GAAP measures are as follows:

Six Months Ended Three Months Ended

December 31, December 31,

2007 2006 2007 2006

Net Income (Loss) $(1,468,137) $(1,184,220) $(639,346) $(470,103)

Non-G
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SOURCE Escalon Medical Corp.
Copyright©2008 PR Newswire.
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