ROCHESTER, N.Y., May 15 /PRNewswire-FirstCall/ -- VirtualScopics, Inc. , a leading developer of image-related biomarkers, today announced the results of its first annual stockholder meeting. The stockholders re-elected the following directors to a one-year term: Warren Bagatelle, Colby Chandler, Robert Klimasewski, Sidney Knafel, Charles Phelps, Saara Totterman and Terence Walts. Marcum & Kliegman, LLP was re-appointed as VirtualScopics’ independent registered public accounting firm for 2006.
The agenda included a presentation by Molly Henderson, chief financial officer, of the financials for 2005 and the first quarter of 2006. She highlighted the 2005 sales growth to $3,400,000, or a 38% increase over the full year 2004. Turning to the first quarter of 2006, in comparison to the first quarter 2005, she discussed the sales growth of 47%, as well as the improvement in gross margin by 50% and the reduction of the operating loss by 19% (when excluding non-cash charges).
“We made significant strides in 2005 by growing our earnings, further investment in our core strengths and improving our operational performance,” said Robert Klimasewski, president and CEO. “2005 was a year of milestones for us including renewing the Pfizer agreement, the addition of three important board members and a reverse acquisition coupled with the private placement to add cash to the company’s balance sheet.”
About VirtualScopics, Inc.
VirtualScopics, Inc. is a provider of advanced medical image analysis services. The company evolved from research first carried out at the University of Rochester Medical Center and School of Engineering. VirtualScopics has created a suite of image analysis tools used in detecting and analyzing specific structures in volumetric medical images, as well as characterizing minute changes in structures over time, providing vital information to support clinical trials and diagnostic applications. The firm’s proprietary software algorithms can assemble hundreds of separate medical images taken during an MRI session into a single, three-dimensional model, bringing a new and previously unobtainable source of data to clinical researchers. For more information about VirtualScopics, visit www.virtualscopics.com.
Forward-Looking Statements
The statements contained in this press release that are not purely historical are forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended and Section 21E of the Securities Exchange Act of 1934, as amended, and are intended to be covered by the safe harbors created thereby. These forward-looking statements include, but are not limited to, statements regarding the awards of a potential contract from the U.S. Department of Defense and the expected benefits to the Company from that award and its existing contract with Pfizer and/or statements preceded by, followed by or that include the words “believes,” “could,” “expects,” “anticipates,” “estimates,” “intends,” “plans,” “projects,” “seeks,” or similar expressions. Forward-looking statements deal with the Company’s current plans, intentions, beliefs and expectations. Investors are cautioned that all forward-looking statements involve risks and uncertainties that could cause actual results to differ materially from those in the forward-looking statements. Many of these risks and uncertainties are discussed in the Company’s Current Report on Form SB-2 for May 2, 2006 filed with the Securities and Exchange Commission (the “SEC”), and in any subsequent reports filed with the SEC, all of which are available at the SEC’s website at www.sec.gov. These include without limitation: risks related to the dependence on our strategic alliance with Pfizer until we can diversify our customer base; risks of contract performance; risks of contract termination; and, our ability to successfully enter into a contract with the Department of Defense for the award we obtained and our ability to do so on terms favorable to us. Factors that could cause or contribute to such differences include, but are not limited to, those discussed from time to time in reports filed by the Company with the Securities and Exchange Commission.
Tracy Bagatelle-Black Bagatelle-Black Public Relations 661/263-1842 tracy@bagatelleblack.com
VirtualScopics, Inc.
CONTACT: Tracy Bagatelle-Black of Bagatelle-Black Public Relations forVirtualScopics, Inc., +1-661-263-1842, or tracy@bagatelleblack.com
Web site: http://www.virtualscopics.com/
