AMES, Iowa, Nov. 15, 2007 (PRIME NEWSWIRE) -- BioForce Nanosciences Holdings, Inc. (OTCBB:BFNH) reported yesterday that its total revenue for the three months ended September 30, 2007 was $35,842, a 14% increase over the revenue of $31,430 for the same period in 2006. For the nine months ended September 30, 2007, revenue was $579,408, a 121% increase as compared to the revenue of $261,628 for the nine months ended September 30, 2006.
Net loss for the third quarter of 2007 was $1,268,845, as compared to a net loss of $773,457 for the same period in 2006. Net loss for the nine months ended September 30, 2007 was $3,277,720, as compared to a net loss of $2,810,824 for the nine months ended September 30, 2006.
Net loss on common stock for the quarter was $1,403,289, or $0.06 per share, as compared to $773,457, or $0.03 per share, for the same period in 2006. Net loss on common stock for the nine months ended September 30, 2007 was $3,412,164, or $0.14 per share, as compared to $2,810,824, or $0.12 per share, for the nine months ended September 30, 2006. The difference between net loss for the three and nine month periods ended September 30, 2007 and the net loss on common stock for those periods is almost entirely attributable to an amount recorded as a preferred stock conversion discount in association with the company's August 2007 equity financing transaction.
Dr. Eric Henderson, BioForce's CEO and founder, said, "Marketplace momentum associated with the 2006 market launch of the Nano eNabler system continues to progress well. While no Nano eNabler system sales were recorded during the third quarter, there have been two Nano eNabler sales thus far during the fourth quarter of 2007, including the recently announced sale to the University of Wales, and we anticipate additional Nano eNabler sales before the end of the year. More than twenty premier research institutions throughout the world are now using Nano eNablers, with the system's ability to deposit and manipulate biomaterials with nanoscale precision allowing these researchers to make breakthrough advances in areas like cell biology, nanobiosensors and tissue engineering."
Dr. Henderson continued, "In addition to the commercial progress being made with the Nano eNabler, we continue to utilize the Nano eNabler ourselves in order to pursue development of our ViriChip virus detection system, Chip-on-a-Tip biomarker diagnostic test platform and other innovative diagnostic tests. These diagnostic tests have application in the areas of healthcare, biodefense and environmental protection, and represent a significant part of the company's growth strategy. For example, using the ViriChip technology we can design a test to detect multiple infectious viruses in a single drop of water."
Greg Brown, BioForce's CFO, commented, "During the third quarter of 2007 we were able to strengthen our balance sheet via the completion of our August 2007 equity financing. We were very pleased to be able to secure that funding on the basis of fixed rather than variable pricing, ensuring that the investor's interests are in fact completely aligned with those of our other shareholders. In addition, the recently announced $150,000 loan forgiveness by the State of Iowa further strengthens our balance sheet."
About BioForce Nanosciences Holdings, Inc.
BioForce Nanosciences develops and commercializes nanotech tools and solutions for the life sciences. BioForce's flagship product, the Nano eNabler(tm) molecular printer, gives the Company a platform for development and discovery. BioForce technology is being used in sensor functionalization, patterning and cell adhesion, and printing proteins to guide neural cell growth. For more information, visit www.bioforcenano.com or call 515-233-8333.
This news release contains forward-looking information that may be affected by certain risks and uncertainties, including those risks and uncertainties described in BioForce Nanosciences' most recent filings with the Securities and Exchange Commission. BioForce Nanosciences' actual results could differ materially from such forward-looking statements. BioForce assumes no duty to update these statements at any future date.
BIOFORCE NANOSCIENCES HOLDINGS, INC.
CONSOLIDATED STATEMENTS OF OPERATIONS
(unaudited)
For the For the
Three Months Ended Nine Months Ended
September 30 September 30
2007 2006 2007 2006
----------- ----------- ----------- -----------
REVENUES $ 35,842 $ 31,430 $ 579,408 $ 261,628
COST OF GOODS
SOLD 95,557 23,188 433,918 101,274
----------- ----------- ----------- -----------
Gross margin (59,715) 8,242 145,490 160,354
OPERATING EXPENSES
Research and
development 326,354 175,399 897,202 560,137
Sales and
marketing 289,610 178,028 919,015 360,008
General and
administrative 628,654 529,004 1,960,875 1,343,122
Reimbursement of
grant expenses (125,195) (49,688) (415,415) (151,117)
----------- ----------- ----------- -----------
Total operating
expenses 1,119,423 832,743 3,361,677 2,112,150
----------- ----------- ----------- -----------
Loss from
operations before
other income
(expense) (1,179,138) (824,501) (3,216,187) (1,951,796)
OTHER INCOME
(EXPENSE)
Interest income 6,262 51,575 41,236 117,297
Debt forgiveness
income 164,250 -- 164,250 --
Abandoned stock
offering costs (256,500) -- (256,500) --
Interest
expense (3,719) (531) (10,519) (976,325)
----------- ----------- ----------- -----------
Total other in-
come (expense) (89,707) 51,044 (61,533) (859,028)
----------- ----------- ----------- -----------
Loss before
income tax (1,268,845) (773,457) (3,277,720) (2,810,824)
INCOME TAX EXPENSE -- -- -- --
----------- ----------- ----------- -----------
Net loss (1,268,845) (773,457) (3,277,720) (2,810,824)
DIVIDENDS ON
PREFERRED STOCK 134,444 -- 134,444 --
----------- ----------- ----------- -----------
Net loss on
common stock $(1,403,289) $ (773,457) $(3,412,164) $(2,810,824)
=========== =========== =========== ===========
BASIC AND DILUTED
LOSS PER COMMON
SHARE ($ 0.06) ($ 0.03) ($ 0.14) ($ 0.12)
=========== =========== =========== ===========
WEIGHTED AVERAGE
NUMBER OF COMMON
SHARES OUT-
STANDING 24,099,950 23,999,950 24,083,466 23,999,950
=========== =========== ============ ===========
BIOFORCE NANOSCIENCES HOLDINGS, INC.
CONSOLIDATED BALANCE SHEETS
ASSETS
09/30/07 12/31/06
---------- ----------
(unaudited)
CURRENT ASSETS
Cash and cash equivalents $551,902 $2,602,686
Accounts receivable - trade, net 6,375 22,153
Inventory 1,129,071 1,193,590
Prepaid expenses and other assets 102,396 55,351
---------- ----------
Total current assets 1,789,744 3,873,780
---------- ----------
PROPERTY AND EQUIPMENT
Computer equipment 107,613 73,180
Leasehold improvements 380,000 380,000
Scientific and laboratory equipment 888,130 687,280
Office furniture and fixtures 89,760 67,384
---------- ----------
Total 1,465,503 1,207,844
Less accumulated depreciation 827,157 669,762
---------- ----------
Net property and equipment 638,346 538,082
---------- ----------
INTANGIBLE ASSETS
Patent costs, net of accumulated
amortization of $70,229 and $48,759,
respectively 672,282 580,426
Trademark costs, net of accumulated
amortization of $13,799 and $7,397,
respectively 92,066 68,699
---------- ----------
Total intangible assets 764,348 649,125
---------- ----------
TOTAL ASSETS $3,192,438 $5,060,987
========== ==========
BIOFORCE NANOSCIENCES HOLDINGS, INC.
CONSOLIDATED BALANCE SHEETS
LIABILITIES AND STOCKHOLDERS' EQUITY
09/30/07 12/31/06
----------- -----------
(unaudited)
CURRENT LIABILITIES
Accounts payable $318,209 $506,099
Accrued expenses 421,829 193,010
Deferred revenue 42,688 9,224
Current portion of notes payable 108,636 131,896
----------- -----------
Total current liabilities 891,362 840,229
LONG-TERM DEBT, NET 159,162 278,860
----------- -----------
Total liabilities 1,050,524 1,119,089
----------- -----------
COMMITMENTS and CONTINGENCIES
STOCKHOLDERS' EQUITY
Preferred stock - 2007 and 2006: $0.001
par value, 10,000,000 shares authorized to
be issued in various classes
Series A Convertible Preferred Stock -
$0.001 par value, 2007: 1,100,000
shares authorized, 1,000,000
shares issued and outstanding,
liquidation value $503,333; 2006: no
shares issued or outstanding 1,000 --
Common stock - 2007: $0.001 par value,
100,000,000 shares authorized,
24,099,950 shares issued and outstanding;
2006: $0.001 par value, 100,000,000 shares
authorized, 23,999,950 shares issued and
outstanding 24,100 24,000
Additional paid-in capital 15,665,310 13,824,501
Accumulated deficit (13,548,496) (9,906,603)
----------- -----------
Total stockholders' equity 2,141,914 3,941,898
----------- -----------
TOTAL LIABILITIES AND
STOCKHOLDERS' EQUITY $3,192,438 $5,060,987
=========== ===========