18 Jan 2007 07:00
Embargoed: 0700hrs, 18 January 2007
Akers Biosciences Trading and Product Update
Akers Biosciences Inc. , reports that the Company's revenues for the year ended 31 December 2006 are expected to be approximately $5.2 million, representing an increase over 2005 revenues (2005: $4.6 million) and the fourth consecutive year of growth. A delay in the procurement of product by the US Government has caused significant revenues anticipated for 2006 to be delayed until the current financial year, contributing to revenues for the year being materially lower than market expectations. Whilst this is disappointing, the Company expects that the delay in the procurement of products to the US Government mentioned above should impact positively on the Company's performance in 2007. The Company is therefore encouraged about its prospects for 2007.
Dr. Raymond Akers, CEO of Akers, said, "Naturally it is disappointing to report the delay of significant revenues, but we believe that the Company is well positioned to secure substantial revenues from US Government contracts in 2007. During the year, we have also seen encouraging signs in a number of areas of the business, particularly regarding the imminent commencement of sales of our PIFA Heparin/PF4 Rapid Assay in Europe and in starting to win US governmental orders."
PIFA Heparin/PF4 Rapid Assay Sales Update and EU Distribution
Sales of the PIFA Heparin/PF4 Rapid Assay steadily increased in 2006, and over 700 hospitals have made initial purchases of product. The Company expects most of these hospitals to progress to routine use in 2007. The rate of closing of the initial sale to qualified potential customers is extremely high. While the progression to routine use has averaged 9 months, the rate of reorders with those institutions routinely using the product has met the Company's expectations. The Company is now focussed on accelerating this progression to routine use, and its sales team is supporting the large sales force of our marketing partners, Cardinal Health and Corgenix Medical Group.
In addition, the Company expects to start market penetration of PIFA Heparin/ PF4 Rapid Assay in the European Union in 2007 through existing and new distribution relationships.
FDA Market Clearance for BreathScan
The Company is pleased to announce that it has received FDA market clearance for its new BreathScan electronic analyzer. This analyzer represents the next step in the Company's strategy to re-position its breathalyzers as security and safety devices, and is the result of enhanced proprietary technology. The Company believes that this new product positioning will increase market penetration and profit.
Cardinal Health, already distributing the Company's PIFA Heparin/PF4 Rapid Assay, has begun selling and distributing the company's alcohol breathalyzer products to the clinical marketplace. Emergency medicine and alcohol/substance abuse centers are among the targeted clinical specialities.
The Company has introduced the Breath Alcohol Check .02 Detection System to the transportation industry, and its distributors are currently targeting the marine industry. The response thus far has been very encouraging, and the Company is ramping up production to meet the demand anticipated from a potential marine market of approximately 180,000 commercial vessels. The product has been priced to the end user at $225.00 for a kit of 25 tests.
European Product Approval for Tri-Cholesterol Check
In addition, the Company hereby announces that is has received product approval (CE mark) for the marketing of its Tri-Cholesterol Check to the over the counter market in the European Union. The Company's distributor, Advanced Rapid Diagnostics, Ltd., is currently negotiating with major retailers in the UK and the rest of Europe for product distribution.
Enquiries:Dr. Ray Akers Chief Executive Officer, Akers 020 7917 9476 Biosciences, Inc. Paul Freedman 001 856 848 8698 Chief Financial Officer, Akers Biosciences, Inc. Bill Roberts CTC, Inc. 001 937 434 2700 Ben Simons Hansard Communications 020 7245 1100
Akers Biosciences, Inc. develops, manufactures, and supplies rapid, point of care screening and testing products designed to bring rapid healthcare information directly to the patient or healthcare provider. The Company has advanced the science of diagnostics while responding to major shifts in healthcare through the development of several proprietary platform technologies. The Company's state-of-the-art rapid diagnostic assays can be performed virtually anywhere in minutes when time is of the essence. The Company has aligned with major healthcare companies and high volume medical products distributors to maximize product offerings, and to be a major worldwide competitor in diagnostics. Additional information on the Company and its products can be found at www.akersbiosciences.com
AKERS BIOSCIENCES INC