Cord Blood America’s 2015 second quarter revenue increases 39.0% to $1.41 million

Cord Blood America, Inc. (www.cordblood-america.com) (OTC Bulletin Board: CBAI) ("CBAI" or the "Company") today announced financial results for the second quarter ended June 30, 2015.

Second Quarter Highlights Include:

• Revenue increased 39.0% to $1.41 million from $1.02 million in the same period of 2014.
• Recurring revenues increased to $0.66 million and now represents over 46% of total revenue.
• EBITDA was $0.13 million compared to $0.02 million in 2014.
• Operating Income increased to $0.03 million versus a loss of $0.11 million for the three month comparative period of 2015 from 2014.
• Principal debt balance was reduced by 36% during the quarter with the prepayment of $750,000.

Joseph Vicente, President of Cord Blood America, Inc. commented, "Our second quarter results reflect a continuation of strong top line growth which has increased 39% year-to-date and steady improvement to our balance sheet. This growth has been driven by the continued evolution and expansion of our product offerings while continuing to layer our recurring storage revenue. "

Results of Operations for the Three-Months June 30, 2015

For the three months ended June 30, 2015, total revenue increased to approximately $1.41 million from $1.02 million, an increase of 39% over the same period of 2014. Revenues are generated primarily from three sources; new enrollment/processing fees, recurring storage fees (both cord blood and cord tissue) and fees associated with other tissue related products. The increase in revenue is due to growth in recurring storage fees and fees from other tissue related products. For the three months ended June 30, 2015, recurring revenues accounted for 47% of total revenues.

Cost of services as a percentage of revenue increased to 36% for the three month period ending June 30, 2015 compared to 28% the same prior period of 2014. The increasing mix of business from other tissue related products is a primary contributor to the increase in cost of services percentage. Gross profit increased by approximately $0.17 million or 24% to approximately $0.90 million for the three month period ending June 30, 2015 from the prior three month period of 2014.

Administrative and selling expenses for the second quarter were $0.87 million as compared to $0.84 million in 2014. These expenses are primarily related to marketing/advertising, professional services, allocated facility related expenses, wages for personnel, and depreciation and amortization.

Income from operations was $0.03 million versus a loss of $0.11 million for the three month comparative period of 2015 from 2014. The Company's net income was $0.40 million for the three month period ending June 30, 2015, compared to a net loss of $0.93 million for the period ended June 30, 2014. The large positive increase in net income for the three month period ending June 30, 2015 is primarily attributable to a one-time adjustment in accounts payable and accrued expenses of approximately $346,000 due to PharmaStem's patent and royalty claims being declared void under a final decision on appeal.

EBITDA increased to $0.13 million from $0.02 million in 2014.