BOHEMIA, N.Y., May 16, 2005 (PRIMEZONE) -- Scientific Industries, Inc. (OTCBB:SCND) reported today continued growth in its net income. Significantly higher net income was recorded for both the three and nine month periods ended March 31, 2005 compared with the corresponding periods of last year.
Third quarter net income improved 95% to $94,700 ($.10 per basic share) from $48,600 ($.05 per basic share) a year ago. Net income for the nine months ended March 31, 2005 increased 54% to $214,100 ($.22 per basic share) compared to $139,300 ($.14 per basic share) for the same period last year. The increases for the three and nine month periods primarily were due to higher sales and higher gross profit margins.
Net sales increased by $139,400 (16.3%) to $996,300 for the thee months and by 3.6% to $2,693,200 for the nine months ended March 31, 2005 compared with the same periods in the prior year. The increase for the third quarter principally was due to the fulfillment of the high order backlog at the end of the second quarter attributable to a temporary supplier problem. The increase for the nine month period principally was due to increased sales of new products and accessories.
President and Chief Executive Officer Helena Santos said, "The Company's sales growth combined with the results of its cost containment initiatives produced solid profitability."
About Scientific Industries
Scientific Industries manufactures and markets laboratory equipment, including the world-renowned Vortex-Genie(R) 2 Mixer. Scientific's products are used by research laboratories, clinics, pharmaceutical manufacturers, medical device manufacturers, and other industries.
"Statements made in this press release that relate to future events, performance or financial results of the Company are forward-looking statements which involve uncertainties that could cause actual events, performance or results to materially differ. The Company undertakes no obligation to update any of these statements. Readers are cautioned not to place undue reliance on these forward-looking statements, which speak only as to the date hereof. Accordingly, any forward-looking statement should be read in conjunction with the additional information about risks and uncertainties set forth in the Company's Securities and Exchange Commission reports, including our annual report on Form 10-KSB."
SCIENTIFIC INDUSTRIES, INC. AND SUBSIDIARY
UNAUDITED CONDENSED CONSOLIDATED BALANCE SHEET
ASSETS
March 31, 2005
--------------
Current Assets $2,451,800
Property and Equipment, Net 150,600
Other and Intangible Assets 57,100
---------
Total Assets $2,659,500
=========
LIABILITIES AND SHAREHOLDERS' EQUITY
Current Liabilities $ 279,800
Deferred Compensation 18,900
Deferred Taxes 13,000
Shareholders' Equity 2,347,800
---------
Total Shareholders'
Equity & Liabilities $2,659,500
=========
SCIENTIFIC INDUSTRIES, INC.
UNAUDITED CONDENSED CONSOLIDATED STATEMENTS OF INCOME
For the Three Month For the Nine Month
Periods Ended Periods Ended
March 31, March 31,
------------------- ------------------
2005 2004 2005 2004
---- ---- ---- ----
Net Sales $ 996,300 $ 856,900 $2,693,200 $2,600,500
--------- --------- --------- ---------
Gross Profit 517,600 401,800 1,323,500 1,220,600
--------- --------- --------- ---------
Operating Expenses 360,700 333,800 1,025,700 1,034,000
--------- --------- --------- ---------
Income from
Operations 156,900 68,000 297,800 186,600
Interest and Other
Income, Net 1,600 5,600 16,100 12,700
--------- --------- --------- ---------
Income Before
Income Taxes 158,500 73,600 313,900 199,300
Income Taxes 63,800 25,000 99,800 60,000
--------- --------- --------- ---------
Net Income $ 94,700 $ 48,600 $ 214,100 $ 139,300
========= ========= ========= =========
Basic earnings per
common share: $ .10 $ .05 $ .22 $ .14
Diluted earnings
per common share: $ .09 $ .05 $ .20 $ .14
Cash dividends
declared per
share: $ - $ .05 $ .07 $ .05
Weighted average
number of
outstanding
shares:
Basic 979,640 964,398 977,278 961,817
Diluted 1,054,612 1,037,074 1,050,825 1,010,788
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