BUENA PARK, CA--(Marketwire - September 12, 2011) - SOHM, Inc. (PINKSHEETS: SHMN), a generic pharmaceutical manufacturer that produces and markets generic drugs covering all major treatment categories, today projects revenue growth for 3rd Quarter and growth outlook for the Company’s fiscal third quarter 2011, ending September, 2011. Revenue in the fiscal third quarter of 2011 is projected to increase by approx. 18% to 20% on a year on year basis and estimated at approximately $765,460.00 compared to last year sales of $642,412.00, although company had sales declined by almost 49% in 2nd Quarter.
The Company made a strategic shift from “push” strategy to create a “demand pull” strategy, and a subtle shift from generic per se to branded generics. This is a precursor to launching a series of innovative products and, focused on creating a niche for therapeutics segments which will shape the future of the company.
The need to prune less profitable products and shift to high volume, high profit products needs macro level correction in volume. It is necessary to create a space for more innovative range and avoid the clutter of “common products.”
“Therefore, this decline was not only anticipated, but also planned due to structured organizational and operational changes at the company’s Indian operation which was essential and required to achieve long term goals and compromise on short term sales loss,” stated Shailesh Shah.
Mr. Shah further stated that statutory adherence to forex norms is also an important consideration, and in order to comply with the same necessary records have been updated which along with completing realization and payment cycle will lead to reduction of debt by about $400,000 in the current quarter.
“I’m happy to confirm that we are moving forward adequately with the previously announced acquisition in the Dermatology sector and have entered into a definitive agreement with them and expect to make further announcements within the next few days. This is an exciting time for SOHM, as our progress speaks not only of the viability of our business model, but systematic capturing of leadership stakes in crucial therapeutic segments for the long term. We feel that we are in an enviable competitive position in the rapidly growing generic pharmaceutical marketplace,” continued Mr. Shah.
Safe Harbor Statement
This press release contains statements, which may constitute “forward-looking statements” within the meaning of the Securities Act of 1933 and the Securities Exchange Act of 1934, as amended by the Private Securities Litigation Reform Act of 1995. Those statements include statements regarding the intent, belief or current expectations of SOHM, Inc., and members of their management as well as the assumptions on which such statements are based. Prospective investors are cautioned that any such forward-looking statements are not guarantees of future performance and involve risks and uncertainties, and that actual results may differ materially from those contemplated by such forward-looking statements. Important factors currently known to management that could cause actual results to differ materially from those in forward-statements include fluctuation of operating results, the ability to compete successfully and the ability to complete before-mentioned transactions. The company undertakes no obligation to update or revise forward-looking statements to reflect changed assumptions, the statements to reflect changed assumptions, the occurrence of unanticipated events or changes to future operating results.
For more information, please contact:
SOHM, Inc.
Investor Relations
(714) 522-6700
