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Dynatronics Announces Second Quarter Results
Date:2/14/2012

egan the process of introducing its own branded products to group purchasing organization (GPO) member facilities across the country. During fiscal year 2011, Dynatronics announced the signing of contracts with four GPOs: Premier, Inc., Amerinet, Inc., FirstChoice Cooperative and Champs Group Purchasing. These contracts became effective in March and June 2011. The company is in discussion with two other GPOs that contemplate issuing new contracts during 2012.  

"The process of converting GPO members to the Dynatronics' brand of product is taking longer than management originally anticipated," stated Larry K. Beardall, executive vice president of sales and marketing. "However, it is expected to gain momentum over the next several quarters and management remains optimistic about the potential of increasing business with these large national accounts and GPOs."

"We are firmly committed to investing in the future through the development of several new products and new sales opportunities with GPOs and national accounts," added Cullimore. "We believe this strategy will begin to show positive outcomes in upcoming quarters."

Dynatronics has scheduled a conference call for investors on Tuesday, February 14, 2012, at 1:30 p.m. ET. Those wishing to participate should call (800) 925-9065.

Following is a summary of the financial results as of December 31, 2011 and 2010, and for the three- and six-month periods then ended:   Summary Selected Financial DataStatement of Operations HighlightsThree Months EndedSix Months EndedDecember 31,December 31,2011201020112010Net sales

$8,275,430

$8,199,347

$16,272,232

$16,118,635Cost of sales

5,062,472

5,029,906

10,057,176

9,997,361   Gross profit

3,212,958

3,169,441

6,215,056

6,121,274SG&A expenses

2,686,401

2,634,278

5,381,268

5,134,795R&D expenses

412,861

356,519<
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SOURCE Dynatronics Corporation
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