Volume 1, Fiscal 2008, January 2008
For Pyng Medical Corp., the end of the calendar year was marked by another quarter of strong financial performance combined with significant technology innovation and enhancements to our market-leading intraosseous infusion technology.
Financial Results
We have just achieved our fifth consecutive quarter of strong revenue growth and profitability. Sales increased 36% or $343,751 for a record first quarter of $1,311,207. The Company generated $57,119 in net income, down from the prior year quarter almost entirely due to the change in the US:Canadian exchange rate. Our balance sheet remains strong with working capital of $1.7 million and no debt. Cash flow from operations was $181,338 during the quarter.
NRC IRAP Support for Next Generation Product Line
The National Research Council Industrial Research Assistance Program is supporting Pyng with $128,000 in non-repayable funds for the research and development of Pyng’s next generation FASTX Intraosseous Infusion System. These funds support the addition of biomedical engineers to build our core competency in intraosseous infusion and expand our product offering to include a second generation product offering. We look forward to the international commercial launch within a year.
Next Generation Prototype Shown Selectively at SOMA
Pyng’s next generation prototype was shown selectively in a confidential screening room at the Special Operations Medical Association meeting in Tampa, FL last December to select US military, EMS and federal agency officials. The response was very enthusiastic and additional intelligence was gathered about further enhancements that our end-users would like to see. The product development process is on-track with the commercial product planned for show at SOMA 2008.
Improved Product Launched
Pyng launched its improved version of the FAST1™ Intraosseous Infusion System with a stronger infusion tube that does not require a tool for removal. The product shipped to all non-FDA jurisdictions before Christmas and will begin shipment in the US pending FDA clearance.
In The News
On November 7, 2007, David Christie, President and CEO, appeared on the Business News Network (BNN) and savvy investors took notice. The Company’s market cap increased 33% on volumes of almost half-a-million shares in one day. This exposure and subsequent market activity confirms that Pyng has a great story which is “under-the-radar”. We have a plan to increase the Company’s public profile.
Pyng has retained a senior public relations professional to help increase our exposure to the media, key stakeholders and the public at large. Don Bradley brings more than 15 years of communications experience in news and public relations in British Columbia. He has assisted numerous publicly-traded BC-based Biotechnology and Medical Device companies to grow their business by implementing accurate and effective research-based communications initiatives. If you have any questions, comments or suggestions, you are encouraged to contact Don at prpro@dccnet.com.
Upcoming Annual General Meeting
The Company’s 2007 Annual General Meeting will be held at the offices of Lang Mitchener on Wednesday, March 5, 2008. Please check your mail for the Information Circular and related materials over the coming weeks. We encourage all elligible shareholders to return their proxies at their earliest opportunity and to contact Pyng Medical Corp. with any questions or recommendations at 1-800-349-7964.
