Date: Tuesday, July 20,2010 Time 11:00 a.m. Eastern time (8:00 a.m. Pacific time). Dial in number: 1-888-677-8749 International: 1-913-312-1482A simultaneous web cast and replay of the call will be available through July 31, 2010. The replay pass code is 8101477. About Remedent Remedent, Inc. specializes in the research, development, manufacturing and marketing of oral care and cosmetic dentistry products. The company serves professional dental industry with breakthrough technology for dental veneers. These products are supported by a line of professional veneer whitening and teeth sensitivity solutions. Headquartered in Belgium, Remedent distributes its products to more than 35 countries worldwide. For more information, go to www.remedent.com. Statement under the Private Securities Litigation Reform Act of 1995 Statements in this press release that are "forward-looking statements" are based on current expectations and assumptions that are subject to risks and uncertainties. Such forward-looking statements involve known and unknown risks, uncertainties and other unknown factors that could cause Remedent's actual operating results to be materially different from any historical results or from any future results expressed or implied by such forward-looking statements. In addition to statements that explicitly describe these risks and uncertainties, readers are urged to consider statements that contain terms such as "believes," "belief," "expects," "expect," "intends," "intend," "anticipate," "anticipates," "plans," "plan," "projects," "project," to be uncertain and forward-looking. Actual results could differ materially because of factors such as Remedent's ability to achieve the synergies and value creation contemplated by the proposed transaction. For further information regarding risks and uncertainties associated with Remedent's business, please refer to the risk factors described in Remedent's filings with the Securities and Exchange Commission, including, but not limited to, its annual report on Form 10-K and quarterly reports on Form 10-Q.
REMEDENT, INC. AND SUBSIDIARIES
CONSOLIDATED STATEMENTS OF OPERATIONS
(unaudited)
Three months ended Year ended
March 31, March 31,
2010 2009 2010 2009
----------- ----------- ----------- -----------
Net sales $ 2,472,815 $ 3,390,355 $ 8,247,940 $14,639,541
Cost of sales 952,189 1,650,315 4,322,680 6,614,723
----------- ----------- ----------- -----------
Gross profit 1,520,626 1,740,040 3,925,260 8,024,818
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Operating Expenses
Research and development 39,850 24,273 271,195 248,652
Sales and marketing 461,078 370,042 1,352,260 2,793,970
General and
administrative 1,313,812 1,639,656 4,524,324 5,312,192
Depreciation and
amortization 168,218 173,903 726,499 615,674
----------- ----------- ----------- -----------
TOTAL OPERATING
EXPENSES 1,982,958 2,207,874 6,874,278 8,970,488
----------- ----------- ----------- -----------
OPERATING LOSS (462,332) (467,834) (2,949,018) (945,670)
----------- ----------- ----------- -----------
NON-OPERATING (EXPENSE)
INCOME
Warrants issued pursuant
to Distribution Agreement -- -- (168,238) (4,323,207)
Gain on disposition of OTC -- -- -- 2,830,953
IMDS provision -- (300,000) -- (300,000)
Interest expense/other
deductions (50,596) (166,972) (171,364) (417,147)
Interest income/other
income 54,907 1,884 170,244 348,997
Other income -- -- (169,358) --
----------- ----------- ----------- -----------
TOTAL OTHER INCOME
(EXPENSES) 4,311 (465,088) (168,238) (1,860,404)
----------- ----------- ----------- -----------
LOSS FROM CONTINUING
OPERATIONS BEFORE
INCOME TAXES (458,021) (932,922) (3,118,376) (2,806,074)
Income tax expense (14,242) (32,633) (14,242) (32,633)
----------- ----------- ----------- -----------
NET LOSS FROM CONTINUING
OPERATIONS BEFORE
MINORITY INTEREST (472,263) (965,555) (3,132,618) (2,838,707)
NET (LOSS) INCOME
ATTRIBUTABLE TO
NON-CONTROLLING
INTERESTS (346,683) 114,208 (782,703) 114,208
----------- ----------- ----------- -----------
NET LOSS FROM CONTINUING
OPERATIONS, ATTRIBUTABLE
TO REMEDENT INC. COMMON
STOCKHOLDERS $ (111,138) $(1,079,763) $(2,349,915) $(2,952,915)
=========== =========== =========== ===========
LOSS PER SHARE
Basic and fully diluted $ (0.01) $ (0.06) $ (0.12) $ (0.15)
=========== =========== =========== ===========
WEIGHTED AVERAGE
SHARES OUTSTANDING
Basic and fully
diluted 19,995,969 19,995,969 19,995,969 19,559,653
=========== =========== =========== ===========
OTHER COMPREHENSIVE
INCOME (LOSS):
Net loss attributable
to Remedent, Inc.
common stockholders $ (111,138) $(1,079,763) $(2,349,915) $(2,952,915)
Foreign currency
translation adjustment (102,949) (45,371) (9,464) (668,245)
----------- ----------- ----------- -----------
Total other comprehensive
loss (214,287) (1,125,134) (2,359,379) (3,621,160)
Less: comprehensive
(loss) income
attributable to
non-controlling
interest (42,623) (54,700) 7,130 (54,700)
----------- ----------- ----------- -----------
COMPREHENSIVE LOSS
ATTRIBUTABLE TO
REMEDENT INC.,
COMMON STOCKHOLDERS $ (171,664) $(1,070,434) $(2,366,509) $(3,566,460)
=========== =========== =========== ===========
REMEDENT, INC. AND SUBSIDIARIES
CONSOLIDATED BALANCE SHEETS
March 31,2010 March 31,2009
------------- -------------
ASSETS
CURRENT ASSETS:
Cash and cash equivalents $ 613,466 $ 1,807,271
Accounts receivable, net of allowance for
doubtful accounts of $65,845 at March 31,
2010 and $33,966 at March 31, 2009 806,931 3,208,120
Inventories, net 2,161,692 1,937,946
Prepaid expense 920,487 1,310,900
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Total current assets 4,502,576 8,264,237
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PROPERTY AND EQUIPMENT, NET 1,735,719 1,024,999
OTHER ASSETS
Long term investments and advances 750,000 750,000
Patents, net 246,992 163,106
Goodwill 699,635 --
------------- -------------
Total assets $ 7,934,922 $ 10,202,342
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LIABILITIES AND STOCKHOLDERS' EQUITY
(DEFICIT)
CURRENT LIABILITIES:
Current portion, long term debt $ 215,489 $ 78,798
Line of Credit 674,600 660,200
Accounts payable 1,932,684 1,398,420
Accrued liabilities 491,536 1,590,360
Due to related parties 268,484 --
Income taxes payable -- 39,339
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Total current liabilities 3,582,793 3,767,117
Long term debt less current portion 425,882 100,542
------------- -------------
Total liabilities 4,008,675 3,867,659
------------- -------------
EQUITY:
Preferred Stock $0.001 par value (10,000,000
shares authorized, none issued and
outstanding) -- --
Common stock, $0.001 par value; (50,000,000
shares authorized, 19,995,969 shares issued
and outstanding at March 31, 2010 and
19,995,969 shares issued and outstanding at
March 31, 2009) 19,996 19,996
Treasury stock, at cost; 723,000 and 723,000
shares at March 31, 2010 and March 31, 2009
respectively (831,450) (831,450)
Additional paid-in capital 24,742,201 24,106,055
Accumulated deficit (19,565,943) (17,216,028)
Accumulated other comprehensive income (loss)
(foreign currency translation adjustment) (650,059) (640,595)
Obligation to issue shares 97,500 --
------------- -------------
Total Remedent, Inc. stockholders' equity 3,812,245 5,437,978
------------- -------------
Non-controlling interest 114,002 896,705
------------- -------------
Total stockholders' equity 3,926,247 6,334,683
------------- -------------
Total liabilities and equity $ 7,934,922 $ 10,202,342
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Contact Information: Stephen Ross 310-922-5685 docktor99@aol.com