Company Press Release
ImmuDyne Inc. announces third quarter results
HOUSTON--(BW HealthWire)--July 2, 1997--ImmuDyne, Inc. (OTC:BB - news), announced a loss for the third quarter ending May 31, 1997 of $59,000, compared to a loss for the same quarter in 1996 of $245,930.
Sales of $514,000 in the third quarter of 1997 are down from third quarter of 1996 sales of $785,408, primarily due to reduced purchases by a major cosmetic customer who is currently in the process of re-formulating certain products. The Company continues to focus on its revenue-producing cosmetic and human nutrition divisions while simultaneously reducing costs, with the exception of legal costs which persist due to ongoing litigation.
ImmuDyne's cosmetic division recently announced results from the Ashley of Beverley Hills infomercial, with projected royalties to increase by approximately $40,000 per month beginning September 1, 1997, assuming that sales continue at current levels. ImmuDyne is also in discussions with Ashley of Beverly about a new oral skin care product.
In March, Allergan announced their new M.D. Forte physician-dispensed skin care line, with two products which contain ImmuDyne's purified yeast extract, Nayad(R). Allergan continues to use Nayad in its M.D. Formulations line, which is available through aestheticians.
ImmuDyne has executed an agreement to private label cosmetic products for a Pennsylvania company, and distribution avenues are being researched. ImmuDyne still has not received a commitment from PRTV for an air date for the infomercial announced June 1996.
In the human nutrition division, sales in the third quarter increased to approximately $240,000, and constituted approximately one half of ImmuDyne's total revenues for the quarter. These revenues include wholesale, retail and private label sales of of nutritional yeast beta-1,3-glucan.
As ImmuDyne's MacroForce(TM) has gained recognition in the nutritional marketplace, other yeast beta glucan products, which are not subject to ImmuDyne's patents, have been introduced by competing companies. ImmuDyne's Research and Development Department has developed a new nutritional product which should be marketed through an infomercial before year-end.
Management continues to reduce administrative costs throughout the Company with the objective of achieving consistent profitability. A substantial portion of the savings that have been realized through these cost reductions are being utilized to fund ImmuDyne's continuing involvement in litigation which has been disclosed in prior press releases of the Company.
Some matters discussed in this release contain forward-looking statements that involve risks and uncertainties, many of which are outside the Company's control, and accordingly, actual results may differ materially. Factors that might cause such a difference include, but are not limited to, unexpected delays in the introduction of products and services, competitive developments and customer dissatisfaction with products and services.
ImmuDyne, Inc. is traded on the NASDAQ Automated Bulletin Board under the symbol IMMD. ImmuDyne, Inc. is a Texas-based company specializing in macrophage technology and immune system stimulants for cosmetic, human nutritional, animal nutritional and aquacultural use. For more information, contact Margaret Dreyfus, 415/949-3864. |
