Pacific Biometrics, Inc. Reports Second Fiscal Quarter Earnings

SEATTLE--(BUSINESS WIRE)--Feb. 14, 2005--Pacific Biometrics, Inc. (OTCBB:PBME) today announced financial results for its second fiscal quarter and six-month period ended December 31, 2004. Revenues for the second fiscal quarter increased by 86% to $1,009,000 from $543,000 during the second fiscal quarter ended December 31, 2003. Net loss for the quarter ended December 31, 2004 decreased 49% to $363,000 (or $0.03 per fully diluted share) from a loss of $711,000 (or $0.08 per fully diluted share) during the second fiscal quarter ended December 31, 2003. Revenues for the six-month period ended December 31, 2004 decreased by 49% to $1,443,000 from $2,842,000 during the six-month period ended December 31, 2003. Net loss for the six-month period ended December 31, 2004 increased 72% to $1,192,000 (or $0.10 per fully diluted share) from a loss of $691,000 (or $0.08 per fully diluted share) during the six-month period ended December 31, 2003.

Ron Helm, Chief Executive Officer of Pacific Biometrics, commented "We continue to focus on increasing our business development activity with new and existing clients for our clinical testing services. These efforts enabled us over the past quarter to significantly grow our revenues and move closer to profitability. We are positioning ourselves to absorb what we hope will be substantial future growth with our signing of our non-exclusive joint marketing arrangement with Quintiles and the investments we are making in our infrastructure, including our information technology, especially our laboratory information system and our personnel, especially in the areas of project management and customer service."

Helm concluded, "PBI continues to focus on providing quality specialty laboratory services in its core areas including cardiovascular disease, diabetes, and bone and joint disease while increasing its capabilities in specialty areas to include obesity, metabolic syndrome, and osteoarthritis. We believe the demand for our expertise in clinical development studies for our clients will be a significant driver for future growth."

For additional information, see Pacific Biometrics quarterly report filed with the SEC on Form 10-QSB for the quarter ended December 31, 2004.

About Pacific Biometrics, Inc. (PBI)

Established in 1989, PBI provides specialized central laboratory and contract research services to support pharmaceutical and diagnostic manufacturers conducting human clinical trial research. The company provides expert services in the areas of cardiovascular disease, osteoporosis, diabetes and nutrition. The PBI laboratory is accredited by the College of American Pathologists and through its non-profit affiliate Pacific Biometrics Research Foundation is one of only three U.S. based laboratories approved and accredited by the Center for Disease Control (CDC) as a Cholesterol Reference Laboratory. PBI's clients include many of the world's largest pharmaceutical, biotech and diagnostic companies.

Pacific Biometrics also owns several patented and patent-pending technologies, including an advanced, proprietary, isothermal DNA amplification technology, and a gene-based cell viability technology to distinguish live from dead cells in a broad range of diagnostic applications.

For more information about Pacific Biometrics, visit the company's web site at www.pacbio.com or contact Ronald Helm, Chairman / CEO at 206-298-0068.

Safe Harbor Statement under the Private Securities Litigation Reform Act of 1995: This press release includes forward-looking statements including to but not limited to our strategic planning and business development plans, our future growth, and the viability and acceptance of our products and services in the market. These forward-looking statements are subject to a number of risks and uncertainties that may cause actual results to differ materially from those described in the forward-looking statements. These risks include, but are not limited to, our ability to bid on and win laboratory services contracts, the success of our marketing and business development efforts, competition in the industry, and our ability to manage growth, as well as the risks and other factors set forth in our periodic filings with the U.S. Securities and Exchange Commission (including our Form 10-KSB for the year ended June 30, 2004 and our Form 10-QSB for the quarter ended September 2004).