WEST LAFAYETTE, Ind.--(BUSINESS WIRE)--Bioanalytical Systems, Inc. (NASDAQ:BASI) (“BASi” or the “Company”) today announced financial results for the second quarter and first six months of fiscal 2017.
Second Quarter Results
For the three months ended March 31, 2017, revenue amounted to $6,359,000, a 19% increase from $5,339,000 in the second quarter of fiscal 2016.
Service revenue for the second quarter of fiscal 2017 increased 22% to $4,962,000, compared to $4,053,000 for the same period in fiscal 2016. Preclinical services revenues led the improvement due to an overall increase in the number of studies in the second quarter versus the prior year period. Other laboratory services revenues were positively impacted by higher discovery and pharmaceutical analysis revenues in the second quarter of fiscal 2017 versus the comparable period in fiscal 2016. Also, archive services revenue added $229,000 to other laboratory services revenue in the second fiscal quarter of 2017. Bioanalytical analysis revenues declined due to fewer samples received and analyzed in the second quarter of fiscal 2017 and an unfavorable mix favoring method development and validation projects during that time period, which generate lower revenue but involve more dedicated resources.
Sales in our Products segment increased 9% in the second quarter of fiscal 2017 from $1,286,000 to $1,397,000 when compared to the same period in the prior fiscal year. The majority of the increase stems from higher sales of our Culex automated in vivo sampling systems and related consumables over the same period in the prior fiscal year.
Gross profit increased to $2,043,000, or 32% of revenue, in the second quarter of fiscal 2017, compared to $1,316,000, or 25% of revenue, during the comparable fiscal 2016 period. The principal causes for the improvement were the increase in revenue, which led to a higher absorption of the fixed costs in our business, and a more favorable sales mix.
Operating expenses for the second quarter of fiscal 2017 decreased 6% to $1,488,000 compared to $1,578,000 during the second quarter of fiscal 2016. This decrease is mainly due to lower salaries and benefits from the loss of business development and other management personnel in the second fiscal quarter of 2017 compared to the same period in fiscal 2016. These reductions were partially offset by higher consulting services.