Bioanalytical Systems, Inc. (NASDAQ:BASI) today announced financial results for the first quarter of fiscal 2014.
"For the first quarter of the new fiscal year, revenue increased 7.2%, gross margin increased 15.6%, operating income increased 53.0%, and net income excluding the impact of the change in warrant liability increased 115% compared to the first quarter of fiscal 2013. BASi also generated $1,036,000 in cash from operations, and we paid down $1,247,000 on our line of credit while meeting all of our other obligations. We paid off the remaining balance on our line of credit last month, and are currently pursuing alternatives to replace it on better terms," said President & CEO and CFO Jacqueline Lemke.
"We are pleased by these results but not satisfied. In fiscal 2014 we plan to leverage our business model, using our existing capacity and an incremental investment in people and skills to support the long-term growth we believe BASi is capable of delivering. To achieve our goals, we remain focused on growing revenues even as we push ahead with our initiatives to control costs and improve productivity.
"Our decision last year to concentrate our marketing programs on BASi's established strengths in specialty assay and drug discovery, regulatory excellence, and our market-changing Culex® NxT automated sampling system is paying dividends. With our expanded sales team gaining traction in the marketplace, we are optimistic that the increase in new order bookings we have enjoyed in recent months will continue.
"BASi celebrates its 40th anniversary in 2014, a milestone made all the more significant by the progress we have made these past couple of years in strengthening the Company for the future. We are confident that we are pursuing the right strategy to enhance operating performance and build value for our shareholders," Lemke said.
First Quarter Results
For the three months ended December 31, 2013, revenue increased 7.2% to $6,220,000 compared to $5,803,000 for the first quarter of fiscal 2013. Gross profit was $2,145,000, or 34.5% of revenue, compared to $1,855,000, or 32.0% of revenue, a year earlier. Operating expenses for the first quarter of fiscal 2014 increased to $1,683,000 compared to $1,553,000 a year earlier, primarily due to planned increases in selling and R&D expenses. Operating income for the first quarter of fiscal 2014 increased 53% to $462,000, compared to $302,000 last year.
The net loss for the first quarter of fiscal 2014 was $662,000, or $0.09 per basic share and diluted share, which included a non-cash increase in the fair value of warrant liability of $961,000. Excluding this charge, non-GAAP net income for the first quarter of fiscal 2014 was $299,000, or $0.04 per basic and diluted share. For the first quarter of fiscal 2013, net income was $256,000, or $0.03 per basic and diluted share, which included a non-cash decrease in the fair value of warrant liability of $117,000. Excluding this benefit, non-GAAP net income for the first quarter of fiscal 2013 was $139,000, or $0.02 per basic and diluted share.
Service revenue for the first quarter of fiscal 2014 increased 5.3% to $4,916,000 from $4,670,000 for the first quarter of fiscal 2013, reflecting an increase in new order bookings that began in recent months.
Product revenue increased 15.1% to $1,304,000 versus $1,133,000 for the prior year's first quarter, primarily due to higher sales of Culex automated sampling systems.
EBITDA for the first quarter of fiscal 2014 was $912,000 compared to EBITDA of $851,000 for the first quarter of fiscal 2013.