DEERFIELD BEACH, Fla., May 17 /PRNewswire-FirstCall/ -- BioLok International Inc. , the manufacturer and worldwide distributor of leading-edge dental implant technology, today announced preliminary fiscal second quarter and first half 2006 results. For the second quarter ended April 30, 2006, the Company’s sales were a record $2.3 million, an increase of 33% from the same period of fiscal 2005. The Company achieved record first quarter 2006 revenue of $2.0 million, an increase of 28% from the same period of fiscal 2005.
Sales for the first half of fiscal 2006 were a record $4.3 million, an increase of 31% over $3.3 million in the comparable prior year period, and up 87% from the first six months of fiscal 2004.
“BioLok continues to grow at more than double the growth rate of the industry,” said Bruce L. Hollander, BioLok’s President and Chief Executive Officer. “Equally impressive is that we grew our revenue by 15% on a sequential quarter basis. We attribute this performance to the acceptance of our unique and patented products and the continued execution of our focused sales and marketing initiatives. As previously forecast, we anticipate an accelerated growth rate in the traditionally stronger second half of the year, which also will benefit from traction being gained by our expanded direct sales force. Looking into next year, we are already taking the steps we believe necessary to enable BioLok to continue its pace of growth.”
United States Expansion
In 2005, BioLok implemented a key strategy for growth by broadening its presence in the United States. The Company hired seasoned dental industry executives to occupy two newly formed senior level positions in sales and marketing. With management in place, BioLok then intended to penetrate the domestic market through direct sales efforts. By mid-year fiscal 2006, the direct sales force had grown six-fold to cover many of the largest metropolitan areas in the U.S. Over the next few months BioLok intends to enter several other large markets, such as Boston, Chicago, western Ohio, Seattle and St. Louis. The Company has identified these territories as having a substantial number of high volume dental practices.
According to BioLok management, the new salespeople trained six months ago are gaining traction and are expected to contribute significantly to sales in the last six months of the current fiscal year. By the end of calendar 2006, the Company intends to hire additional sales people to enter new markets in the US as the current salespeople contribute sufficient sales to cover their cost. The same economics apply for the Company’s planned entry into other U.S. markets in 2007.
To accommodate BioLok’s domestic and international expansion, the Company is in the process of adding 6,500 square feet of new space at its global corporate headquarters in Deerfield Beach, Florida. The additional space will enable more efficient and higher capacity work flow for manufacturing, assembly, quality control, storage and shipping activities.
International Expansion
BioLok’s growth strategy includes continued international expansion. The Company has been negotiating with distributors in several countries outside of North America who seek to work with BioLok because of its differentiated dental implant systems and complementary bone augmentation material, such as BoneGen-TR, the only clinically safe, nano-composite, time release calcium sulfate product available in the market. The Company will announce upon completion the formation of partnerships to expand its international distribution network in target markets, including Hungary, Japan, Poland, the Philippines, Germany and other countries.
By the end of October 2006, BioLok plans to establish a subsidiary and have its product line registered in Canada as the starting point for entry into that country. A direct sales force will be introduced for coverage of Toronto, Montreal and Vancouver.
BioLok International Inc. is merging cell biology and technology to develop and market products for the dental implant and tissue regeneration markets. The Company is the worldwide manufacturer and distributor of the BioLok Precision Dental Implant System. BioLok offers a superior line of dental implants that incorporate many patented features and are synonymous with quality, fit of components, leading edge technology and design, and ease of use. BioLok has also developed BoneGen-TR, a new clinically safe, nano-composite, time release calcium sulfate product for bone augmentation. Additional information is available on the Company’s Web site at http://www.biolok.com.
With the exception of the historical information contained in the release, the matters described herein contain certain “forward-looking statements” that are made pursuant to the Safe Harbor provisions of the Private Securities Litigation Reform Act of 1995. The statements contained in this release, which are not historical facts may be deemed to contain forward-looking statements, including, but not limited to, deployment of new services, growth of the customer base, and growth of the service area, among other items. Actual results may differ materially from those anticipated in any forward-looking statement with regard to magnitude, timing or other factors. Deviation may result from risk and uncertainties, including, without limitation, the Company’s dependence on third parties, market conditions for the sale of services, technical factors affecting networks, availability of capital and other risks and uncertainties. More detailed information about these risk factors are set forth and may be updated from time to time in filings by BioLok International, Inc. with the Securities and Exchange Commission, including the Company’s most recent quarterly report on Form 10-Q and other publicly available information regarding the Company. The Company disclaims any obligation to update information contained in any forward-looking statement.
BioLok International Contact: Investor Relations Contact: Bruce L. Hollander Jordan M. Darrow President/CEO Darrow Associates, Inc. 954-698-9998 631-367-1866 blh@biolok.comjdarrow@optonline.net
BioLok International Inc.
CONTACT: Bruce L. Hollander President-CEO of BioLok International,+1-954-698-9998, blh@biolok.com; Investor Relations - Jordan M. Darrow ofDarrow Associates, Inc., +1-631-367-1866, jdarrow@optonline.net
Web site: http://www.biolok.com/
