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Heska Announces 15% Revenue Growth, Fourth Consecutive Profitable Quarter, for the Second Quarter of 2011
Date:7/27/2011

g, has been expanding our technical sales expertise, filling vacant sales territories with exceptionally talented people and creating a more effective commercial organization.  The ramp in new hiring has been steady and we expect to have all vacancies filled by the end of the current third quarter.  I firmly believe the right hiring and Mr. Aperfine's other initiatives will provide us with a more productive sales force to optimize growth in the future, particularly as we continue to innovate and introduce new products."

Financial ResultsSecond quarter revenue was $17.4 million, an increase of 15.5% compared to $15.1 million in the second quarter last year. Core companion animal health revenue grew 2.1% to $14.0 million from $13.7 million in the year-ago quarter. Other vaccines, pharmaceuticals and products revenue grew 148.8% to $3.4 million from $1.4 million, although the second quarter of 2010 was negatively impacted by a now resolved regulatory issue. Gross profit was $7.5 million, or a 42.8% gross profit margin, compared with gross profit of $5.8 million, or 38.7% gross profit margin, in the second quarter last year. SG&A expense was $5.9 million, or 33.7% of sales, compared to SG&A expense of $5.7 million, or 37.5% of sales in the second quarter last year. Total operating expenses were $6.6 million, or 37.7% of sales, compared with total operating expenses of $6.1 million, or 40.1% of sales, in last year's second quarter. The Company reported operating income of $887,000, compared to a loss from operations of ($207,000) in last year's second quarter. Pre-tax income was $745,000 compared to a pre-tax loss of ($329,000) last year. Net income, inclusive of a $235,000 deferred income tax expense, was $457,000 or $0.09 per basic and diluted share, compared with a net loss of ($165,000) or ($0.03) per basic and diluted share in last year's period. In the second quarter last year, the Company recorded a ($178,000) deferred income tax benefi
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