XIANYANG, China, Nov. 23, 2015 /PRNewswire/ -Biostar Pharmaceuticals, Inc. (NASDAQ: BSPM) (“Biostar” or “the Company”), a PRC-based manufacturer and marketer of pharmaceutical and health supplement products in China for a variety of diseases and conditions, today announced its financial results for the third quarter ended September 30, 2015.
During the fiscal third quarter of 2015, the Company recognized:
- Net sales of $4.2 million, a decrease of approximately $10 million, or 71.2% as compared to the same period in 2014.
- Gross profit decreased by approximately $6.2 million, or 88.3% for the three months ended September 30, 2015 as compared to the same period in 2014.
- Sales of Shaanxi Weinan Products increased by approximately $0.8 million, or 204.9% as compared to the same period in 2014.
- Net loss of $1.2 million as compared to net income of $0.2 million for the third quarter 2014.
- R&D expenses were approximately $1million, as compared to $0.69 million for same period in 2014.
The Company experienced a material decrease in sales volume of all Aoxing Pharmaceutical Products during the three months ended September 30, 2015. Aoxing Pharmaceutical experienced temporarily suspension in manufacturing to conduct maintenance on its production lines as part of its continued efforts to gain renewal of its GMP certification for its Aoxing Pharmaceutical production lines by January 2016, so that normal production can resume by February 2016. Net sales, and related gross profit both decreased significantly during the quarter ended September 30, 2015, as result of these maintenance efforts.
Mr. Ronghua Wang, Chairman and CEO of Biostar Pharmaceuticals, Inc. commented, “We are in the process of renewing our three GMP certifications and we currently expect the renewal process to be completed by January 2016. In the meantime, we have adopted a series of measures to help our company navigate this process by reducing operating expenses and improving cash management.”
*The Company’s Condensed Consolidated Balance Sheets, Statement of Operations, and Cash Flows can be found at the end of this press release. Please also refer the Company’s Quarterly Report on Form 10-Q filed with the U.S. Securities and Exchange Commission for further information regarding the Company’s results of operations.
About Biostar Pharmaceuticals, Inc.
Biostar Pharmaceuticals, Inc., through its wholly owned subsidiary and controlled affiliate in China, develops, manufactures, and markets pharmaceutical and health supplement products for a variety of diseases and conditions. The Company’s most popular product is its XinAoxingOleanolic Acid Capsule, an over-the-counter (“OTC”) medicine for chronic hepatitis B, a disease affecting approximately 10% of the Chinese population. For more information please visit: http://www.biostarpharmaceuticals.com.
Safe Harbor Relating to the Forward-Looking Statements
Certain statements in this release concerning our future growth prospects are forward-looking statements, within the meaning of Section 27A of the U.S. Securities Act of 1933, as amended, and Section 21E of the U.S. Securities Exchange Act of 1934, as amended, which involve a number of risks and uncertainties that could cause actual results to differ materially from those in such forward-looking statements. The company uses words and phrases such as “guidance,” “forecasted,” “projects,” “is expected,” “remain confident,” “will” and similar expressions to identify forward-looking statements in this press release, including forward-looking statements. Undue reliance should not be placed on forward-looking information. Forward-looking information is based on current expectations, estimates and projections that involve a number of risks, which could cause actual results to vary and in some instances to differ materially from those anticipated by Biostar and described in the forward-looking information contained in this news release.
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