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Sinovac Reports Unaudited Third Quarter 2009 Financial Results
Date:11/15/2009

d quarter of 2009 were mainly related to the completion of the H1N1 clinical trial and the continued development of the EV 71 vaccine, pneumococcal conjugated vaccine, and universal pandemic influenza vaccine.

Third quarter 2009 operating income was $12.4 million, compared to operating income of $2.3 million in the prior year. Net income for the third quarter of 2009 included $246,000 interest and financing expenses and $3.8 million in income tax expenses. Net income for the same period of 2008 included $190,000 of interest and financing expenses and $911,000 of income tax expenses. Net income attributable to shareholders for third quarter of 2009 was $5.2 million, or $0.12 per diluted share, up 606% compared to net income attributable to shareholders of $740,000, or $0.02 per diluted share, in the same period of 2008.

As of September 30, 2009, Sinovac's cash and cash equivalents totaled $46.6 million, compared to $32.9 million as of December 31, 2008. The increase in cash and cash equivalents primarily reflects an advance payment received for a vaccine-stockpiling program.

Financial Review for Nine Months Ended September 30, 2009

During the nine months ended September 30, 2009, sales were $47.8 million, up 40% from $34.1 million for the same period in 2008. Sinovac recorded strong revenues growth in the second and third quarters, which greatly improved the Company's performance for the year to date.

During the first nine months of 2009, Sinovac's unit dose sales were:

    Nine months ended September 30             2009              2008
    ------------------------------             ----              ----
                                           (000 doses)       (000 doses)
                                           -----------       -----------
    Healive                                   5,024             5,313

    Bilive                                      708               234

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SOURCE  Sinovac Biotech Co., Ltd.
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