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Heska Announces Q3 2008 Results
Date:11/10/2008

Revenue and Gross Profit Increase

LOVELAND, Colo., Nov. 10 /PRNewswire-FirstCall/ -- Heska Corporation (Nasdaq: HSKA) today reported financial results for its third quarter ended September 30, 2008.

(Logo: http://www.newscom.com/cgi-bin/prnh/20000622/HESKALOGO)

Heska Corporation ("Heska" or the "Company") generated Core Companion Animal Health product revenue of $18.9 million, an increase of 21% from the prior year period.

"Revenue from Heska's blood chemistry instrument, the DRI-CHEM(R) Veterinary Chemistry Analyzer, and associated consumables, were a key factor in the strong revenue growth we posted this quarter," said Robert Grieve, Heska's Chairman and CEO. "Investors should note the accounting change in the way Heska is reporting income tax expense in 2008 as compared to 2007. This is the primary reason for the large increase in income tax expense. We have included pro forma information for additional clarity. Heska will continue to furnish pro forma information until the Company begins to report 2009 results with comparable income tax accounting treatment to 2008."

Total Revenue

Total revenue for the third quarter of 2008 was $21.7 million, an increase of 11% compared to the third quarter of 2007. Total revenue consists of product revenue and research, development and other revenue, both of which are discussed below.

Segment Product Revenue

Total product revenue for the third quarter of 2008 was $21.4 million, up 12% from $19.0 million in the third quarter of 2007. Heska Corporation's business is comprised of two reportable segments -- Core Companion Animal Health and Other Vaccines, Pharmace
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SOURCE Heska Corporation
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