Company Shows a 19% Increase In Total Revenue To $5.6 Million; 34% Increase in Gross Profit
IDAHO FALLS, Idaho, March 27 /PRNewswire-FirstCall/ -- International Isotopes Inc. announces the financial results for fiscal year ended December 31, 2008.
Total Revenue. Total revenue in 2008 was $5,602,443 compared to $4,690,588 in 2007, which represents an increase of $911,885 or 19.4%. The overall increase in revenue was the result of a significant increase in the performance of several business segments. The following table provides a brief summary of the revenue performance in each of the Company's business segments.
Cost of Revenue and Gross Profit. Cost of revenue for 2008, was $2,879,839 compared to $2,660,781 in 2007, an increase of $219,058 or 8%. Gross profit for 2008, was $2,722,604 compared to $2,029,807 in 2007, which represents an increase of 34%. The increase in gross profit was attributable to successful control of production costs and implementation of manufacturing process improvements over the course of the year. The higher gross profit is even more significant in light of the increases in manufacturing expenses attributed to certain raw materials and higher fuel prices encountered during 2008.
Operating Costs and Expenses. Total operating costs and expenses for 2008, were $4,827,985 as compared to $3,645,549 in 2007, an increase of $1,182,436 or 32.4%. Approximately half of this increase was attributable to an increase in costs associated with the fluorine products division and the start of activities to begin licensing and design work on our planned depleted uranium de-conversion and fluorine extraction processing facility. Operational costs for the fluorine products segment totaled $1,536,000 in 2008 as compared to $940,128 in 2007, an increase of $595,872 or about 63%.
Net Loss. Net Loss was $2,166,967 in 2008 compared to a net loss of $1,719,055 in 2007. The $447,912 increase in net loss was almost fully attributable to the increased operational costs of the fluorine products division and more specifically the design and development work associated with our planned depleted uranium de-conversion and fluorine extraction processing facility.
Steve Laflin, President and CEO said, "I am quite pleased with the overall performance of our core business segments in 2008 especially in respect to today's very challenging financial and economic times. The 19% increase in annual revenue sets a new high-water mark for the Company and is a direct result of our increased attention and focus on two major business segments - radiochemical sales and cobalt products that increased 30% and 52% respectively as compared to 2007. Although the sales of nuclear medicine products reflected a small 2% growth in 2008, that segment remains a major area of importance to the Company and one that we hope will re-establish double digit growth in 2009. Most significant perhaps is the 34% increase in gross profit for the year compared to 2007. That increase reflects strong improvement in our production cost controls. Our increased net loss was a direct result of our intentional increased expenditures in areas of new business development - specifically our plans to construct the first commercial depleted uranium de-conversion and fluorine extraction processing facility. That project represents a very significant commercial opportunity for the Company but one that will require continued significant investment by the Company in 2009 and beyond."
About International Isotopes Inc.
International Isotopes Inc. manufactures a full range of nuclear medicine calibration and reference standards, high purity fluoride gases, and a variety of cobalt-60 products such as teletherapy sources. The Company also provides a wide selection of radioisotopes and radiochemicals for medical devices, calibration, clinical research, life sciences, and industrial applications and provides a host of analytical, measurement, recycling, and processing services on a contract basis to clients.
International Isotopes Inc. Safe Harbor Statement
Certain statements in this press release are "forward-looking statements" within the meaning of Section 27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934, including the statement with respect to improving our financial performance; increasing our revenue; designing and constructing a depleted uranium de-conversion and fluorine extraction process facility; and beginning commercial sales of fluorine products. Information contained in such forward-looking statements is based on current expectations and is subject to change. These statements involve a number of risks, uncertainties and other factors that could cause actual results, performance or achievements of International Isotopes, Inc. to be materially different from any future results, performance or achievements expressed or implied by these forward-looking statements. Other factors, which could materially affect such forward-looking statements, can be found in International Isotopes, Inc.'s filings with the Securities and Exchange Commission at www.sec.gov, including our annual report on Form 10-K for the year ending December 31, 2008. Investors, potential investors and other readers are urged to consider these factors carefully in evaluating the forward-looking statements and are cautioned not to place undue reliance on such forward-looking statements. The forward-looking statements made herein are only made as of the date of this press release and International Isotopes, Inc. undertakes no obligation to publicly update such forward-looking statements to reflect subsequent events or circumstances.
CONTACT: Steve Laflin, President and CEO, International Isotopes Inc.,
+1-208-524-5300
