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Dehaier Medical Systems Announces First Quarter Net Income Up 54%
Date:5/14/2010

BEIJING, May 14 /PRNewswire-Asia-FirstCall/ -- Dehaier Medical Systems Ltd. (Nasdaq: DHRM), an emerging leader in the development, assembly, marketing and sale of medical products in China, today reported financial results for its first quarter 2010 ended March 31, 2010.

    (Logo: http://www.newscom.com/cgi-bin/prnh/20100422/CNTH001LOGO )

    Q1 2010 Highlights
    -- Revenue for the first quarter ended March 31, 2010 increased 5% to
       $2.6 million from $2.5 million in the same quarter a year ago
       reflecting the increased acceptance of the company's products among
       hospitals and other healthcare facilities.
    -- Gross profit increased 4% to $0.97 million for Q1 FY'10 from
       $0.94 million in Q1 FY'09.
    -- Gross margin for the first quarter ended March 31, 2010 remained
       constant at 37%, which is the same as that of the first quarter in 2009.
    -- Operating income rose 40.67% to $0.65 million in Q1 FY'10 compared with
       $0.46 million in Q1 FY'09 primarily due to the increase in revenues and
       a decrease in general and administrative expense.
    -- Net income attributable to Dehaier in the first quarter was
       $0.52 million, an increase of 54% from $0.34 million for the same
       period in 2009.
    -- Earnings per diluted share in Q1 FY'10 was $0.17, compared to $0.11 per
       diluted share in Q1 FY'09, due to the decrease in general and
       administrative expense.

Liquidity and Capital Resources

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SOURCE Dehaier Medical Systems Ltd.
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