Company to Host Teleconference Tuesday, April 1, 2008 at 9:30 AM EDT
LIVINGSTON, N.J., March 31 /PRNewswire-FirstCall/ -- Milestone
Scientific, Inc. (OTC Bulletin Board: MLSS), the recognized leader in
advanced injection technologies, today reported its operational and
financial results for its 2007 fiscal year, ended December 31, 2007.
Key Operational Highlights:
-- In February 2007, the STA(TM) System was formally unveiled to market at
the 142nd Chicago Dental Society Midwinter Meeting, one of the largest
dental trade events held annually in the United States. The award-
winning STA System is a patented Computer Controlled Local Anesthesia
Delivery (CCLAD) system that incorporates the 'pressure feedback'
elements of Milestone's patented CompuFlo(R) technology.
-- In June 2007, the Company was granted a CE Mark approval of the STA
System, giving Milestone the ability to begin marketing the instrument
to dental professionals in European Union countries and other countries
around the world that recognize the CE Mark approval process.
-- In November 2007, Milestone entered into a collaborative agreement with
a globally diversified healthcare company to conduct a feasibility
study evaluating the potential application of the Company's patented
CompuFlo technology for injecting certain medicaments produced by this
company. The initial study has been completed and Milestone is now
anticipating moving forward with this company.
-- Milestone's management team underwent significant change and
rejuvenation in 2007. In May, the Company welcomed Joe W. Martin to
its team as Chief Executive Officer of the newly formed Medical
Division. Then in December, when Leonard Osser, Milestone's Chairman
and CEO, stepped down from the chief executive post, Joe was appointed
as a new member of the Board of Directors and was named Milestone's new
CEO. In addition, in the fall, Robert (Bob) Presutti joined Milestone
as VP of Sales and Marketing, assuming the overall coordination,
functional management and leadership of all sales, marketing and
customer service activities of the Company. Subsequent to the end of
2007, Joseph D'Agostino joined Milestone as the new Acting Chief
Financial Officer, replacing former Acting CFO Arthur Goldberg, who
left the Company to pursue other career opportunities.
Key Financial Highlights:
-- Total revenue increased approximately 9% to $6.39 million, up from
$5.84 million in 2006.
-- Domestic revenue, favorably impacted by more than $1.15 million in
sales of the Company's new STA System offset by a 55% decrease in
domestic sales of the legacy CompuDent(R) system. Total domestic
revenue rose 10.8% to $4.59 million from $4.15 million on a comparable
year-over-year basis. Domestic revenues represented 73% of total sales
for the year, compared to 75% in the prior year.
-- International sales also improved, rising to $1.68 million from $1.42
million, despite a year-over-year 44% decline in sales of CompuDent
systems. This revenue growth was largely attributable to $165,000 in
sales of the new STA System, as well as a 47% increase in sales of
disposable hand pieces used in conjunction with both the CompuDent and
STA System. International sales were 27% of total 2007 sales, a modest
increase from 26% of total sales reported in 2006.
-- Gross profit margins saw a significant improvement, rising to 55% from
48%. This improvement was due primarily to the market launch of the
STA System, reduced inventory write downs in 2007 when compared to
2006, and an increase in global sales of higher margin disposable hand
-- Total operating costs in 2007 increased 6% to $6.7 million from $6.3
million in the previous year.
-- Net loss attributable to common stockholders totaled $2.9 million, or
$0.24 per basic and diluted share, in 2007, a 6.8% decline from $3.2
million, or $0.27 per basic and diluted share, reported for 2006.
Joe W. Martin, Chief Executive Officer of Milestone, stated, "Looking ahead, our focus in 2008 will be largely centered on increasing sales of the STA System, both domestically and internationally, as well as supporting sales of our legacy CCLAD system, CompuDent, and driving recurring orders of the disposable hand pieces used in conjunction with both instruments. The challenge going forward will be leveraging creative and tactical advertising and proactive marketing strategies to spread the 'right' message about the STA System to each and every dentist."
Continuing, Martin added, "Worldwide, we estimate that over 35 million dental injections have been administered to patients with either the STA or CompuDent systems, to date. Moreover, our patented CompuFlo technology, embedded in the STA System, has been the subject of more than 50 publications validating the efficacy and safety of the technology in a wide range of medical injection applications. In 2008, we will accelerate our pursuit of collaborative opportunities with medical, pharmaceutical and healthcare companies interested in developing new product applications using CompuFlo, in order to build and grow long term shareholder value in Milestone."
"Although there is still a lot of work to do, I believe that Milestone is well positioned to begin demonstrating much improved sales growth from our existing product line as our new marketing messages take hold and our market penetration efforts gain greater traction. Moreover, our results-driven game plan for leveraging CompuFlo to introduce innovative new products to the medical industry should provide us with ample opportunities to seek truly dynamic growth in the future," concluded Martin.
The Company will host a teleconference on Tuesday, April 1, 2008, beginning at 9:30 AM Eastern Daylight Time, and invites all interested parties to join management in a discussion regarding the Company's financial performance, corporate progress and other meaningful developments. The conference call can be accessed by dialing toll-free 800-257-7087. For those unable to participate at that time, a replay of the teleconference can be accessed domestically by dialing 800-405-2236 and enter the passcode 11111518#. The replay will be available for 90 days.
About Milestone Scientific, Inc.
Headquartered in Livingston, New Jersey, Milestone Scientific is
engaged in pioneering proprietary, highly innovative technological
solutions for the medical and dental markets. Central to the Company's IP
platform and product development strategy is its patented CompuFlo(R)
technology for the improved and painless delivery of local anesthetic.
Specifically, CompuFlo is a computer-controlled, pressure sensitive
infusion, perfusion, suffusion and aspiration technology, which provides
real-time readouts of pressures, fluid densities and flow rates, enabling
the advanced delivery and removal of a wide array of fluids. The
award-winning STA(TM) System is a patented Computer- Controlled Local
Anesthesia Delivery (CCLAD) system which uses this technology and provides
dentists with audible and visual signals as to in-tissue pressure.
Milestone's existing painless injection systems are currently sold in 25
countries. For more information on these and other innovative Milestone
products, please visit the Company's web site found at http://www.milesci.com.
CHARTS TO FOLLOW
MILESTONE SCIENTIFIC INC.
December 31, 2007
Cash and cash equivalents $745,003
Accounts receivable, net of allowance for
doubtful accounts of $5,000 346,347
Royalty receivable 15,358
Advances to contract manufacturer 1,192,584
Prepaid expenses and other current assets 169,727
Total current assets 4,105,763
Investment in distributor, at cost 76,319
Equipment, net of accumulated depreciation of
Patents, net of accumulated amortization of
Other assets 27,297
Total assets $4,989,565
LIABILITIES AND STOCKHOLDERS' EQUITY
Accounts payable $1,855,835
Accrued expenses 201,103
Deferred compensation payable to officers 15,833
Total current liabilities 2,072,771
Accounts payable-long term 443,847
Line of credit-net of discount of $65,371 934,629
Total long-term liabilities 1,378,476
Commitments and Contingencies
Common stock, par value $.001; authorized
50,000,000 shares; 11,787,572 shares issued,
421,306 shares to be issued, and 11,754,239
shares outstanding 12,210
Additional paid-in capital 58,483,539
Accumulated deficit (56,045,915)
Treasury stock, at cost, 33,333 shares (911,516)
Total stockholders' equity 1,538,318
Total liabilities and stockholders'
MILESTONE SCIENTIFIC INC.
STATEMENTS OF OPERATIONS
YEARS ENDED DECEMBER 31, 2007 AND 2006
Product sales, net $6,262,608 $5,566,425
Royalty income 128,105 277,752
Total revenue 6,390,713 5,844,177
Cost of products sold 2,898,048 3,002,615
Royalty expense - 33,031
Total cost of revenue 2,898,048 3,035,646
Gross profit 3,492,665 2,808,531
Selling, general and administrative expenses 6,335,556 5,326,032
Research and development expenses 397,354 1,005,285
Loss from operations (3,240,245) (3,522,786)
Other income & expense
Other income 552,005 283,107
Interest income 17,440 87,411
Gain/Loss on disposal of asset (241,530) -
Interest expense (19,752) -
Amortize debt issuance (6,614) -
Total other income 301,549 370,518
Net loss $(2,938,696) $(3,152,268)
Net loss applicable to common stockholders $(2,938,696) $(3,152,268)
Loss per share applicable to common
stockholders - basic and diluted $(0.24) $(0.27)
Weighted average shares outstanding and to
be issued - basic and diluted 12,141,525 11,788,690
Safe Harbor Statement
This press release contains forward-looking statements regarding the
timing and financial impact of the Milestone's ability to implement its
business plan, expected revenues and future success. These statements
involve a number of risks and uncertainties and are based on assumptions
involving judgments with respect to future economic, competitive and market
conditions and future business decisions, all of which are difficult or
impossible to predict accurately and many of which are beyond Milestone's
control. Some of the important factors that could cause actual results to
differ materially from those indicated by the forward-looking statements
are general economic conditions, failure to achieve expected revenue
growth, changes in our operating expenses, adverse patent rulings, FDA or
legal developments, competitive pressures, changes in customer and market
requirements and standards, and the risk factors detailed from time to time
in Milestone's periodic filings with the Securities and Exchange
Commission, including without limitation, Milestone's Annual Report on Form
10-KSB for the year ended December 31, 2007. The forward looking-statements
in this press release are based upon management's reasonable belief as of
the date hereof. Milestone undertakes no obligation to revise or update
publicly any forward-looking statements for any reason.
FOR MORE INFORMATION, PLEASE CONTACT:
Elite Financial Communications Group, LLC
Dodi Handy, President and CEO, or
Daniel Conway, Chief Strategist
407-585-1080 or via email at firstname.lastname@example.org
|SOURCE Milestone Scientific, Inc.|
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