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Dynatronics' Third Quarter Profits Increase 22%
Date:5/16/2011

e did begin the process of introducing GPO member facilities to Dynatronics' brand of products. The contracts with the GPOs represent a license to solicit business directly from the members of the respective GPOs. While the process of converting business to our brand will take time, management is optimistic about the potential of this new market segment."  

Together, the three GPOs represent tens of thousands of clinics and hospitals around the nation, spending an estimated $50 million on physical medicine products annually.

"We are making good progress with the GPO members," stated Larry K. Beardall, executive vice-president of sales and marketing. "Several of them are opening accounts and starting to place orders for our products and services. We expect to announce specific progress soon regarding a large GPO member. Cultivating business through these GPO contracts and seeking additional contracts with other GPOs will be a major focal point for us over the coming years."

"We believe we are well positioned to benefit from our expansion into the GPO market," added Cullimore. "That expansion will have the most significant impact on delivering strong revenue growth and increasing operating margins over the next 12 months and beyond," he concluded.

Dynatronics has scheduled a conference call for investors on Monday, May 16, 2011, at 1:00 p.m. ET. Those wishing to participate should call (800) 926-7510 and use access code: 5687000.

Following is a summary of the financial results as of March 31, 2011, and June 30, 2010, and for the three and nine-month periods ended March 31, 2011 and 2010:   Summary Selected Financial DataStatement of Income Highlights (Unaudited)Three Months EndedNine Months EndedMarch 31,March 31,2011201020112010Net sales

$8,383,842

$8,235,060

$24,502,477

$25,018,960Cost of sales

5,159,450

5,119,797

15,156,811

15,396,978Gross profit

3,224,392'/>"/>

SOURCE Dynatronics Corporation
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