WILMINGTON, Mass.--(BUSINESS WIRE)--AdvanSource Biomaterials Corporation (OTCQB: ASNB), a leading developer of advanced polymer materials for a broad range of medical devices, today announced financial results for its fiscal 2016 second quarter ended September 30, 2015 resulting in its third quarter of consecutive profitability.
Total revenues for the three months ended September 30, 2015 were $1,041,000, compared with $554,000 for the comparable prior year period, an increase of $487,000, or 88%. Total revenues for the six months ended September 30, 2015 were $2,213,000 as compared with $1,175,000 for the prior year period, an increase of $1,038,000, or 88%.
Product sales of our biomaterials for the three months ended September 30, 2015 were $857,000, compared with $299,000 for the comparable prior year period, an increase of $558,000, or 187%. Product sales of our biomaterials for the six months ended September 30, 2015 were $1,906,000 as compared with $665,000 for the prior year period, an increase of $1,241,000, or 187%.
License, royalty and development fees for the three months ended September 30, 2015 were $184,000 as compared with $255,000 for the prior year period, a decrease of $71,000 or 28%. License, royalty and development fees for the six months ended September 30, 2015 were $307,000 as compared with $510,000 for the prior year period, a decrease of $203,000 or 40%.
Gross profit on total revenues for the three months ended September 30, 2015 was $736,000, or 71% of total revenues, compared with $343,000, or 62% of total revenues, for the prior year period. Gross profit on total revenues for the six months ended September 30, 2015 was $1,586,000, or 72% of total revenues, compared with $737,000, or 63% of total revenues, for the prior year period.
Gross profit on product sales for the three months ended September 30, 2015 was $552,000, or 64% of product sales, compared with $88,000, or 29% of product sales, for the prior year period. Gross profit on product sales for the six months ended September 30, 2015 was $1,279,000, or 67% of product sales, compared with $227,000, or 34% of product sales, for the prior year period.
Total operating expenses, composed of research, development, selling, general and administrative expenses, for the three months ended September 30, 2015 were $466,000, compared with $422,000 for the comparable prior year period, an increase of $44,000 or 10%. Total operating expenses, composed of research, development, selling, general and administrative expenses, for the six months ended September 30, 2015 were $887,000, compared with $849,000 for the comparable prior year period, an increase of $38,000 or 4%.
Net income for the three month period ended September 30, 2015 was $181,000, compared with a net loss of ($176,000) for the comparable prior year period. Net income for the six month period ended September 30, 2015 was $519,000, compared with a net loss of ($308,000) for the comparable prior year period.
As of September 30, 2015, we had cash of $517,000 as compared with $75,000 as of March 31, 2015.
Michael F. Adams, President and CEO of AdvanSource, stated, “We are again pleased with our financial performance during this recently completed quarter, which resulted in our third consecutive quarterly profit. We continue to work in concert with our customers to provide the highest quality biomaterials to meet their medical device needs and continue to leverage our co-development expertise to broaden our customer base to continue on a path of sustainable profitability.”
Detailed financial information can be found in our Quarterly Report on Form 10-Q which was filed with the Securities Exchange Commission on November 16, 2015.
About AdvanSource Biomaterials Corporation
AdvanSource Biomaterials Corporation manufactures advanced polymer materials which provide critical characteristics in the design and development of medical devices. The Company’s biomaterials are used in devices that are designed for treating a broad range of anatomical sites and disease states. AdvanSource’s business model leverages its proprietary materials science technology and manufacturing expertise in order to expand its product sales and royalty and license fee income. More information about AdvanSource is available at its website: www.advbiomaterials.com.
Forward-Looking Statements
AdvanSource Biomaterials Corporation believes that this press release contains forward-looking statements as that term is defined in the Private Securities Litigation Reform Act of 1995. Such forward-looking statements are based on management’s current expectations and are subject to risks and uncertainties that could cause results to differ materially from the forward-looking statements. For further information on such risks and uncertainties, you are encouraged to review the Company’s filings with the Securities and Exchange Commission, including its Annual Report on Form 10-K for the fiscal year ended March 31, 2015 and its Quarterly Report on Form 10-Q for the quarters ended June 30, 2015 and September 30, 2015. The Company assumes no obligation to update any forward-looking statements as a result of new information or future events or developments, except as required by law.