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SemBioSys announces 2007 financial and operational results
Date:3/17/2008

oducts in the U.S. market containing

Hydresia(TM), two body washes and a hand soap.

- Produced sufficient safflower-produced ImmunoSphere(TM) Feed Additive

in Chile and the United States to enable the next stage of the

Company's development and commercialization plans.

Financials

Please note that prior to the third quarter of 2007, SemBioSys operated under one segment. During the third quarter, Botaneco completed the construction of its manufacturing facility and SemBioSys began operating in two reportable segments: (i) the Biopharmaceutical, Animal Health, and Nutritional Oils segment focused on the Company's lead pharmaceutical candidates, recombinant human insulin and Apo AI, in addition to its animal health product, ImmunoSphere(TM) and nutritional oils, DHA and GLA and (ii) the Specialty Ingredients segment which will manufacture and market branded lines of naturally derived base emulsions and delivery systems used in the development of cosmetic, personal care and prescription topical/dermatology products through the Botaneco subsidiaries.

Total revenue for the twelve-month period ended December 31, 2007 was $1,222,823 compared with $523,258 for the corresponding period in 2006. The difference is due mainly to a license fee payment earned from our collaboration agreement with Martek BioSciences Corporation in the first half of 2007, and from product sales from Hydresia(TM).

Total expenditures for the year ended December 31, 2007 were $17,599,775 compared with $15,082,560 for the year ended December 31, 2006.

Research and development expenses for the twelve-month period ended December 31, 2007 were $8,044,121, compared with $5,480,972 for the same period last year. The increase in research and development costs is primarily from increased laboratory supplies, personnel and outsourcing costs related to preclinical activity and the related support costs in all areas of research and development wit
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SOURCE SemBioSys Genetics Inc.
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