10 Apr 2013 07:00
Embargoed: 0700hrs, 10 April 2013
Akers Biosciences, Inc.
("ABI" or the "Company")
Trading Update
ABI, a leading designer and manufacturer of rapid diagnostic screening and testing products, is pleased to announce that it has today received a second order from Chubeworkx Guernsey Ltd ("Chubeworkx") for 1.4 million CHUBE-branded, disposable breath alcohol detectors at a price of $420,000. This latest deal, which is to be delivered by the end of May, will take Chubeworkx's orders to date to 4.9 million disposable breath alcohol detectors, with a value of almost $1.5m. In addition, and as previously announced, Chubeworx has also paid a licensing fee of $1.0m (the majority of which will be accounted for in the current year), bringing the total revenue with Chubeworkx, and its associated marketing company en10 Limited, to over $2m for the current year.
Together with the strong growth in first quarter sales of its PIFA tests, up 20% on the same quarter last year, the Company's sales for the first half are expected to exceed market forecasts for the full year. With further growth anticipated for the PIFA tests and excluding any further orders from Chubeworkx, ABI expects full year sales to be significantly ahead of current forecasts with the ongoing cost cutting exercise helping the Company move into profit.
Thomas A. Nicolette, Chief Executive Officer of ABI, commented: "This most recent deal for an additional 1.4 million disposable breath alcohol detectors follows on from our previous deal with Chubeworkx and shows there is continuing demand for and satisfaction with our disposable breath alcohol detectors. With a major marketing exercise planned by en10 Limited in May, we are confident of further orders in the future.
With growth in our PIFA business, we now expect to post a profit at the year end, the majority of which should be recognised in the first half. With further upside potential through additional orders possible from Chubeworkx and the opportunity for PIFA sales into China once the clinical trials have completed, we believe that the future for ABI is now more positive than at any time in the last few years."
Enquiries:
Thomas A. Nicolette
President and CEO
Tel. +1 856 848 8698
Antony Legge or James Thomas
Daniel Stewart & Company plc (Nomad and Broker)
Tel. +44 (0)20 7776 6550
About Akers Biosciences, Inc.
Akers Biosciences develops, manufactures, and supplies rapid, point-of-care screening and testing products designed to bring health status information, both rapidly and directly, to the consumer 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, since time is always of essence. ABI is aligned with high volume medical product distributors to help facilitate the Company's growth into a major, worldwide competitor in the field of rapid diagnostics. Additional information on the Company and its products can be found at www.akersbiosciences.com