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Dehaier Medical Announces 2012 First Quarter Financial Results
Date:5/9/2012

 We have placed a strong emphasis on obtaining provincial contracts throughout China, which are larger in size and scale. In March, Dehaier won a new bid to implement a government procurement project to provide imaging equipment for township hospitals in Xi'an, Shaanxi, China.  We believe this bid demonstrates how far our Company has grown, indicates the government's faith in our ability to complete these projects, and could significantly contribute to our revenues in 2012."

Financial ReviewMs. Aileen Qi, Chief Financial Officer of Dehaier, commented, "We were pleased with our first quarter financial results, which were in line with the Company's expectations.  Our favorable mix of product sales and market share gains led to a 12.3% revenue increase over the prior-year's quarter.  Dehaier's growth was mainly driven by sales of our traditional medical devices and government procurement projects.  We have also focused on streamlining our costs and improving our inventory management and were pleased to lower our operating expenses as a percentage of sales.  This has benefitted the Company considerably during a time of inflationary pressures on our products and has allowed Dehaier to remain cost-competitive." 

First Quarter 2012 Financial Highlights

  • Total revenues increased by 12.3% to $3.3 million for the three months ended March 31, 2012 from $3.0 million in the prior-year quarter, largely as a result of wider distribution of third-party products and the expansion of Dehaier's own branded respiratory products. 
  • The Company's gross profit for the quarter ended March 31, 2012 was $1.2 million, or 37.4% of revenue, compared to $1.0 million, or 33.8% of revenue in the prior-year period.  Gross margin improved largely as a result of improved inventory management by the Company, along with increased operating effectiveness.
  • Dehaier's income from operations improved 52.4% to $
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    • SOURCE Dehaier Medical Systems Ltd.
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