$1.8 Million In INVI Sales To Result From Every 1 Percent Who Decide To Buy
IRVINE, CA, December 18, 1996 — InVitro International (NASDAQ Small Cap; INVI) today reported results of operations for its fiscal year ended September 30, 1996. The net loss for fiscal 1996 was $1,899,000 ($0.15 per share) on revenues of $1,063,000 versus a net loss of $2,763,000 ($0.23 per share) on revenues of $1,137,000 in fiscal 1995, and is the lowest in the Company’s public history. Progress with regard to net financial results are attributable to cost controls implemented throughout the fiscal year, while maintaining fiscal 1995 sales levels.
President and CEO for InVitro International, W. Richard Ulmer stated “We are encouraged that annual sales remained virtually the same and that losses declined by nearly $1 million, despite the heavy fourth quarter investment to introduce Guardian DNAä, the new infant/child safety system. We remain enthusiastic regarding future prospects for Guardian and are pleased that our core technology has recently attracted several new and important customers, including Ingman Laboratories in Minneapolis, Minnesota and Sima-Labs International in Merrillville, Indiana. Additionally, InVitro recently installed its IrritectionÒ Assay System in two textile companies, one of which carries world-wide name recognition.”
The goal of Company-wide profitability previously forecasted for InVitro’s first quarter of fiscal 1997 will not be met. The delay is a function of the difficulty in predicting the timing and the level of acceptance for Guardian DNA. As reported earlier, the Company has teamed with GiftPax/American Sampling, Inc. to provide approximately 3.7 million new mothers during 1997 with information about Guardian DNA during their hospital stay and the ability to purchase it at a reduced price. The first shipment of redeemable Guardian brochures were delivered to hospitals nationwide in early December and the product fulfillment center is ready to begin processing orders. “We feel extremely confident that Guardian DNA will be a success as it reaches hundreds of thousands of new mothers in January, and each successive month throughout 1997,”remarked Ulmer. “We estimate that a mere 1% response rate over the course of the next 12 months will turn the corner for the Company financially. Given the positive acceptance levels predicted by internal market research among end users, we have every reason to remain excited.”
InVitro International is engaged in the development, manufacture and sale of quality, proprietary preventive products and services to ensure the safekeeping of humans and the environment, and to minimize animal testing in commercial and academic enterprise.
Except for the historical information contained herein, the matters discussed in this news release are forward looking statements that involve risks and uncertainties, including the acceptance of new products, the impact of competitive products and pricing, and the management of growth. Please refer to the Company’s filings with the Securities and Exchange Commission for a summary of cautionary statements.