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Escalon(R) Reports Second Quarter Fiscal 2009 Results
Date:2/17/2009

new accounting standard FAS 123R.

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




                        Three Months Ended             Six Months Ended
                            December 31,                  December 31,
                         2008          2007            2008          2007
    Net Loss          $(696,995)    $(639,346)    $(1,177,857)    $(1,468,137)
    Non-GAAP
     adjustments:
    Stock based
     compensation     $  37,444     $ 159,977     $   186,312     $   172,911
    Depreciation and
     amortization     $ 165,316     $ 151,245     $   332,414     $   296,328

    Total adjustments $ 202,760     $ 311,222     $   518,726     $   469,239

    Non-GAAP
     adjusted loss    $(494,235)    $(328,124)    $  (659,131)    $  (998,898)

    Shares used
     in computing
     basic and
     fully diluted
     earnings per
     share            6,858,374     6,389,315       6,636,152       6,388,701

    Non-GAAP
     adjusted
     loss per
     fully diluted
     share            $   (0.08)    $   (0.05)    $     (0.10)    $     (0.16)

Founded in 1987, the Company (http://www.escalonmed.com) develops markets and distributes ophthalmic diagnostic, surgical and pharmaceutical products as well as vascular access devices. Drew Scientific, which operates as a separate business unit, provides instrumentation and consumables for
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SOURCE Escalon Medical Corp.
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