TUSTIN, Calif., Sept. 15 AMDL, Inc. (Amex: ADL),a vertically integrated pharmaceutical company with major operations in Chinaand the US, announced today it is reaffirming guidance for Q3 and FY2008.Additionally, the Company is providing information for the benefit ofstockholders in response to the heightened activity in its common stock on theAmerican Stock Exchange (AMEX) in recent days.
While it is the Company's normal policy to not comment on unusual tradingactivity or changes in the Company's quoted stock price or to provide updatedguidance between quarterly conference calls, the Company has recently receivednumerous inquiries requesting updated guidance in light of recent developmentsin general market conditions and the China and US pharmaceutical sector.
In response to specific inquiries from stockholders, AMDL is reiteratingpreviously issued guidance and providing additional information as follows:
-- The Company has stated anticipated net sales of $13 million for thethird quarter 2008. The Company believes it will achieve this primarilythrough continued distribution and sales for its top-selling products inChina, which have shown consistent returns for the last 8 quarters.
-- The Company reaffirms it is on track to achieve its paramount goal for2008, which is to once again achieve record annual earnings in 2008 with a100% increase in sales over 2007. For FY2008 AMDL has targeted net salesranging between $30 to $38.7 million with gross margins of 46% to 52% -- a100% increase over the same period in 2007 where the Company achieved grossrevenues of $15 million with a gross margin of 54%..
-- Potential revenues for AMDL's ELISA DR-70(R) (FDP) in vitro diagnostic(IVD) test which was approved the US FDA on July 3, 2008 for the monitoring ofcolorectal cancer are not included in AMDL's 2008 guidance forecast. TheCompany has presented DR-70 technology to both US and International diagnosticmanufacturing companies and national reference laboratories with the goal ofsecuring strategic partnerships to market and sell the product globally.According to US-based medical research group Kalorama Research, the worldmarket for IVD tests for cancer is growing at nearly 11% annually and couldreach nearly $8 billion by the end of 2012. (Kalorama Research Group: 2008)
Since issuance of the Company's news release on August 1, 2008 announcingthe Company's updated guidance for Q2 and FY2008, the Company has notdisclosed any material new information or altered such guidance and he Companyhas no known or material reasons as to why the stock is currently tradingdown. AMDL's operations are running business as usual and in-line with its2008 operating plan. On August 15, 2008 the Company announced its secondquarter 2008 results, stating AMDL posted $5.8 million in sales with a revenueincrease of 140%. Stockholders and other interested parties are encouraged toview to the Company's Q2 conference call script which is available on the AMDLwebsite http://www.amdl.com.
According to AMDL President and CEO Gary Dreher, "In light of theincreasingly challenging financial markets, we are successfully managing ourbusiness to plan with product sales in China aligned to our 2008 guidanceforecasts. We view AMDL continue to view AMDL as a winning and undervaluedproposition for shareholders and will remain focused on delivering consistentpositive results to the market."
The Company plans to report third quarter earnings in November 2008 andexpects to conduct a conference call to review the quarterly results andinformation at that time. A subsequent press release will be issuedannouncing the date of the conference call and call-in details. Foradditional information contact AMDL Investor Relations [email protected]
AMDL, Inc. is a global specialty pharmaceutical company. The company is