Echo Therapeutics reports net loss of $7.0 million for first quarter 2013

Echo Therapeutics, Inc. (Nasdaq: ECTE), a company developing its needle-free Symphony^® CGM System as a non-invasive, wireless, transdermal continuous glucose monitoring system, today announced financial results for the quarter ended March 31, 2013.  Echo's Quarterly Report on Form 10-Q, as filed with the SEC, will be available by visiting the Investors section of Echo's website at www.echotx.com.

Recent Corporate Highlights

• In March, Echo was granted International Standards Organization (ISO) 13485:2003 certification of its quality system.  ISO 13485:2003 is an internationally recognized standard that prescribes consistent processes for the development, design and manufacturing of medical devices and represents an important step toward attaining European CE Mark approval.
• Echo completed a public offering of approximately $10.6 million, after expenses, in February.  Echo also voluntarily prepaid the $3 million outstanding balance of its $20 million credit facility with Platinum-Montaur Life Sciences, LLC.
• Echo participated in various medical and investor conferences and symposia. In January, Echo presented data during a poster session at the Society of Critical Care Medicine's (SCCM) Annual Meeting and, in February, Echo exhibited its Symphony CGM technology at the International Conference on Advanced Technologies & Treatments for Diabetes (ATTD).  In January, management presented to prospective corporate partners and investors at the Noble Financial Markets' Ninth Annual Equity Conference and at the Biotech Showcase 2013 Conference.
• Echo appointed Robert F. Doman to its Board of Directors in March.  Mr. Doman brings over 30 years of executive level, international and domestic management, business development, sales and marketing, product development and strategic planning experience with specific concentrations in medical devices and pharmaceuticals.
• Echo announced that the U.S. Patent and Trademark Office (USPTO) issued U.S. Patent 8,386,027, "Skin Permeation Device for Analyte Sensing or Transdermal Drug Delivery," for the skin permeation component of the Symphony CGM System.  Echo currently holds 8 U.S. patents and at least 70 foreign patents, and has at least 25 patent applications pending in the U.S. and foreign countries.

"Design freeze of our Symphony CGM System and the ISO 13485 certification of our quality management system in the first quarter validated the progress we made in 2012.  We are on track to conduct our multi-center CE Mark pivotal trial and to submit our CE Technical File in the near term," commented Patrick T. Mooney , M.D., Chairman and Chief Executive Officer of Echo Therapeutics.  "With several important milestones still ahead, we look forward to increased shareholder value and commercializing Symphony in Europe later this year."

First Quarter 2013 Financial Results

Echo's net loss for the first quarter of 2013 was $7.0 million, or ($0.13) per share, compared to $3.0 million, or ($0.08) per share, for the first quarter of 2012.  Operating loss for the first quarter of 2013 was $5.5 million compared to $3.2 million for the first quarter of 2012.  Research and development expenses were $3.2 million for the first quarter of 2013 compared to $1.4 million in the prior year. Research and development expenses increased primarily as a result of greater engineering and design expenses incurred with outside contractors and personnel.  General and administration expenses were $2.3 million for the first quarter of 2013 versus $1.9 million in the prior year. The Company reported a cash balance of approximately $5.2 million as of March 31, 2013.