July 30, 2009
Encision Reports Profitable First Fiscal Quarter Results
Boulder, Colorado, July 30, 2009 -- Encision Inc. (OTCBB: ECIA), a medical
device company owning patented surgical technology that is emerging as
a standard of care in minimally-invasive surgery, reported its financial
results for its first quarter of fiscal year 2010.
Net sales for the three-months ended June 30, 2009 totaled $3.2 million,
representing a 3% increase over net sales of $3.1 million for the prior
fiscal year’s first quarter. The Company recorded net income of
$163 thousand or $.03 per share for the first quarter of fiscal year
2010, compared to a net loss of $164 thousand or ($.03) per share for
the first quarter of fiscal year 2009. Gross profit margin for the first
quarter of fiscal year 2010 was 64%, as compared to 60.3% for the first
quarter of fiscal year 2009, a 3.7% increase resulting from production
efficiencies and an increase to inventory which resulted in a higher
absorption of overhead costs to inventory and a decrease to cost of sales.
“We are pleased with the start to our first quarter of fiscal
year 2010, especially with the turnaround from last year’s first
quarter net loss. Net income increased from last year’s first quarter
net loss as a result of a slight increase in sales income, increased
gross profit margin and reduced operating expenses,” said Jack
Serino, President and CEO of Encision Inc.
Encision Inc. designs, develops, manufactures and markets innovative
surgical devices that allow surgeons to optimize technique and patient
safety during a broad range of surgical procedures. Based in Boulder,
Colorado, the Company pioneered the development of patented AEM® Laparoscopic
Instruments to improve electrosurgery and reduce the chance for patient
injury in minimally invasive surgery.
In accordance with the safe harbor provisions of the Private Securities
Litigation Reform Act of 1995, the Company notes that statements in
this press release and elsewhere that look forward in time, which include
everything other than historical information, involve risks and uncertainties
that may cause actual results to differ materially from those indicated
by the forward-looking statements. Factors that could cause the Company's
actual results to differ materially include, among others, its ability
to increase net sales through the Company's distribution channels,
insufficient quantity of new account conversions, insufficient cash
to fund operations, scale up production to meet delivery obligations,
delay in developing new products and receiving FDA approval for such
new products and other factors discussed in the Company's filings with
the Securities and Exchange Commission. Readers are encouraged to review
the risk factors and other disclosures appearing in our filings with
the Securities and Exchange Commission. We do not undertake any obligation
to update publicly any forward-looking statements, whether as a result
of the receipt of new information, future events, or otherwise.
CONTACT: Marcia
McHaffie, Encision Inc., 303-444-2600, mmchaffie@encision.com |