TUSTIN, Calif., June 23 /PRNewswire-FirstCall/ -- AMDL, Inc. , http://www.amdl.com, a world leader in specialty pharmaceuticals headquartered in Tustin, Ca., with operations in Shenzhen, Jiangxi, and Jilin, China, issued today financial guidance for fiscal year ending December 31, 2008. AMDL’s gross FY2008 sales are anticipated to be between $30 million and $38.7 million with gross margins expected to range between 46% and 52%.
AMDL has targeted net sales for 2008 to increase at least 100% percent for the same period in FY2007 and anticipates they will be in the range of $30 to $38.7 million with gross margins of 48% to 52% or $14.4 to $21.2 million. Gross revenues for FY2007 were $15 million with gross margin of $8.1 million or 54% of gross revenues. The FY2008 R&D and SG&A expenses are expected to total approximately $6.8 to $8.7 million, which includes stock-based (common shares, warrants and options) compensation expenses. R&D and SG&A expenses for FY2007 were $9.9 million. Net income after taxes is expected to be between $9.5 and $12.2 million including any foreign currency adjustments.
According to Gary Dreher, Chief Executive Officer of AMDL, “We are very optimistic about the Company’s near-term outlook and confident we will continue meeting our stated business and financial targets. Specifically, we remain focused on, at a minimum, doubling sales annually over the next three years, thereby establishing JPI as one of the top 10 pharmaceutical companies in China, and securing necessary regulatory approvals to introduce other key products like DR-70(R) and MyHPV(R) to the marketplace.”
Significant enhancements in AMDL’s China operations and other previously announced business opportunities have created a financial platform for the Company to improve its sales and earnings profile during the second half of FY2008. This projected growth is driven by the following business trends and initiatives:
-- In FY07 AMDL signed 11 new distribution agreements for new and existing products that include Ondansetron Hydrochloride, Domperidone tablets, Levofloxacin injectables, Diavitamin tablets and Goodnak injectible solutions. Historically, the China pharmaceutical industry and JPI’s business have experienced strong sales during the 2nd, 3rd and 4th quarters, with the Q3 and Q4 quarters experiencing the greatest gains. AMDL anticipates sales through these distribution channels could yield up to $54 million for FY08 with an overall increase in sales during Q2, Q3 & Q4 FY08;
-- Because of its expanded distribution network the Company expects to increase annual gross sales in China by at least 100%, to approximately $30 - 38 million in FY08, while continuing to grow sales at a rate of 100% over the next 3 years;
-- In Q2/08 AMDL announced the availability of two new formulations under the Goodnak(R) anti-aging product line. The Company expects to begin selling these products through retail channels in Q3/08;
-- A key focus for AMDL is securing JPI as one of the top 45 China pharmaceutical companies (ranked by sales) in 2008 and in the top 10 companies by 2010**;
-- AMDL also has initiatives underway to expand its geographic expansion into other China provinces for its Goodnak anti-aging product line, (including the recently released Goodnak capsule and lotion formulations which are expected to significantly help broaden market penetration); and,
-- AMDL continues work to secure FDA and SFDA regulatory approvals for the DR-70 cancer diagnostic test kit and MyHPV diagnostic chip kit*.
* Guidance numbers do not include revenues from DR-70 or MyHPV as the Company is currently pursuing FDA and SFDA regulatory approvals in the U.S. and China respectively.
** The China pharmaceutical industry information noted above was cited from http://www.cpi.gov.cn sponsored by SFDA Information Center.
About AMDL:
AMDL, Inc. is a global specialty pharmaceutical company. The Company is headquartered in Tustin, California with operations in Shenzhen, Jiangxi, and Jilin, China. Along with its subsidiary Jade Pharmaceutical Inc. (JPI), AMDL is devoted to the research, development, manufacturing, and marketing of diagnostic, pharmaceutical, nutritional supplements, and cosmetic products currently in China. The Company employs approximately 320 people in the U.S. and China. More information about AMDL and its products can be obtained at http://www.amdl.com.
About Jade Pharmaceutical:
JPI has access to the fastest growing pharmaceutical and consumer market in the world: China. AMDL, through its subsidiaries, Jade currently manufactures large volume injection fluids, tablets and other related products, holding licenses for 133 products. It also manufactures 107 generic, over the counter and supplemental pharmaceutical products under certified Chinese Good Manufacturing Practice (CGMP) standards.
Safe Harbor Statement under the Private Securities Litigation Reform Act of 1995: The statements contained in this Document include certain predictions and projections that are forward-looking statements under securities law. These statements involve a number of important risks and uncertainties that could cause actual results to differ materially including, but not limited to, the performance of joint venture partners, as well as other economic, competitive and technological factors involving the Company’s operations, markets, services, products and prices. With respect to AMDL Inc., except for the historical information contained herein, the matters discussed in this Document are forward-looking statements involving risks and uncertainties that could cause actual results to differ materially from those in such forward- looking statements. Potential risks and uncertainties include, but are not limited to, AMDL Inc.'s operating history, uncertainties related to the Company’s access to additional capital, competition and dependence on key management.
CONTACT: Kristine Szarkowitz of AMDL Communications, +1-206-310-5323,
kszarkowitz@amdl.com
Web site: http://www.amdl.com/
