Corgenix second quarter revenues decrease 8.9%

Corgenix Medical Corporation (OTCBB: CONX), a worldwide developer and marketer of diagnostic test kits, today filed its second quarter Form 10-Q and reported its financial results. The report disclosed that the company's revenues slightly declined during the quarter but were more than offset by decreases in operating expenses and interest expense, resulting in a smaller net loss for the period. Some of the results highlighted by the report are as follows:

“The ELITech transition has been going relatively smoothly, and we are hopeful that once we get beyond the immediate implementation, international sales should rebound and then far exceed our historical performance.”

• Revenues for the quarter decreased $173,503 or 8.9% vs. the prior year's comparable quarter
• Total operating expenses decreased $93,630 or 8.8% vs. the prior year's comparable quarter
• Interest expense decreased $50,297 or 52.2% vs. the prior year's comparable quarter
• Operating loss for the quarter was $16,081 vs. operating income of $12,395 for the prior year's comparable quarter
• Net loss decreased to $61,955 in the current quarter from $83,841 in the prior year's comparable quarter

"This is the first reporting period after transitioning our international distribution operations to strategic partner the ELITech Group, so we saw the expected dip in revenues, which then filtered down through the statement of operations," stated Douglass Simpson, Corgenix CEO and President. "The ELITech transition has been going relatively smoothly, and we are hopeful that once we get beyond the immediate implementation, international sales should rebound and then far exceed our historical performance."

The company further noted that the financial performance for the quarter was not as strong as expected, with continued weakness in international and core product revenue. The company continues to believe that Fiscal Year 2011 revenues should be comparable to, if not slightly below, those of the prior fiscal year, even though there can be no assurance that this will be the case.