MESA, Ariz., Nov. 8, 2004 (PRIMEZONE) -- Humatech, Inc. (OTCBB:HUMT) today released its preliminary revenue projections for the company's fiscal 2005 second quarter.
For the quarter ended October 31, 2004, Humatech anticipates revenues of approximately $168,000, up 34% compared with revenues of $125,000 for the comparable quarter last year. An estimated 96% of second quarter revenues are from the sale of its proprietary Promax(r) product.
For the six months ended October 31, 2004, Humatech projects revenues of approximately $224,000, up 41% compared with $157,000 in the first half of the 2004 fiscal year. The company believes an estimated 93% of six-month revenues are attributable to the sale of Promax.
"We are now beginning to see very definitively the revenue trend for Humatech going forward," said President & CEO David Williams. "Ever since our July announcement of the signing of a five year agreement with Akey, one of the nation's leading animal nutrition solutions companies, sales of our pioneering Promax product line have climbed dramatically.
"These increasing revenues validate not only real time customer tests, but also those conducted on our behalf in the research departments of two major Texas universities, as well as 18 months of testing by Akey itself, especially as it relates to pork production," Williams continued.
"What is especially exciting for us is that Akey has a number of Promax research projects underway. In fact, it is currently running enough animal feeding projects that, when completed, the company will have exceeded its entire five-year research commitment to us. This enthusiastic effort is adding much greater detail to the body of work already completed, and is providing the large number of replications of response under varying conditions that generate huge confidence in Promax. Nutritionists working in the animal feeding industry around the world, representing companies both large and small, will find their Promax buying decisions becoming simpler and easier. Akey is certainly fulfilling its commitment to help provide the critical technical support needed to serve the animal nutrition markets within the U.S.A and throughout the world," said the CEO.
Akey is owned by Provimi, an international group of companies headquartered in The Netherlands, with strong market positions worldwide in animal nutrition. Provimi, with 2003 revenues in excess of $1.8 billion, has built a network of businesses focused on production and sales of premix, concentrates, feed, and specialty products for nearly all species.
Williams noted that Provimi is currently one of the world leaders in the animal nutrition sector. Through its R&D program, carried out by a team of 280 researchers in 12 state-of-the-art laboratories, Provimi's staff of more than 8,000 employees provides worldwide nutrition solutions. Their operations are located in a total of 28 countries in Europe, the United States, Latin America, Asia, Australia, and South Africa. They serve clients in approximately 100 countries worldwide.
At the time of the contract's announcement, Williams noted, Dr. Dwight Armstrong, President & CEO of Akey reported that, "Our research to date, which will continue in the future, has shown Humatech's Promax product to improve animal performance and have very significant value for the producer. We are very pleased to be working in strategic partnership with the Humatech team, and look forward to a mutually rewarding working relationship. Our goals are that Promax will become an important part of nutrition solutions, not only for our own customers, but also our nutrition solutions partners worldwide who are part of the global Provimi organization."
"As part of the agreement," Williams said, "Akey has committed to provide Humatech with additional research, development and other services in support of Promax, and give full support to the use of Akey's own feeding trials information that has been provided to Humatech for sales worldwide.
"Akey also has committed to assist Humatech, where commercially reasonable, in developing further enhancements of Promax for the animal feed and animal agriculture industries, including applications for different animal species," Williams continued. "In addition, where commercially feasible, and for the purpose of developing and increasing the market for Promax in the animal feed and animal agriculture industries, Akey will assist in dispersing and communicating the results and findings of its research studies with Promax.
"Akey staff did just that last month when the company met overseas with all its fellow nutritionists at its more than 40 sister companies," Williams reported. "We are told their collective response to Akey's experiences using Promax in its compound feed for several hundred thousand pigs was uniformly enthusiastic.
"This is just another major point of validation for Humatech and Promax," said Williams. "We're on our way," the CEO concluded.
About HumaTech Inc.
HumaTech, Inc. manufactures all natural nutrient solutions for plants and animals, produced from a proprietary process described as "Iso-Molecular" technology. The company markets Promax(r) to the animal feed industry, and also has an extensive agricultural product line, which it markets in the U.S.A and Europe, as well as its Organic Advantage(r) retail product line, which consists of 12 organic based liquid products ranging in size from a 4oz. Planting Solution, to a 2 1/2 gallon Lawn Food.
Certain information contained in this news release may include 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. While these statements are made to convey the company's progress, business opportunities and growth prospects, readers are cautioned that such forward looking statements represent management's opinion. Actual company results may differ materially from those described. The company's operations and business prospects are always subject to risk and uncertainties. A more extensive listing of risks and factors that may affect the business prospects of the company and cause actual results to differ materially from those described in the forward-looking statements can be found in the reports and other documents filed by the company with the Securities and Exchange Commission.
Additional information regarding the company, and its product lines, is available at www.humatech.com . Additional information on Akey is available at www.akey.com .