Threefold Growth in Net Revenues Results in Operating and Net Income SAN JOSE, Calif., Nov. 14 /PRNewswire-FirstCall/ -- Human Pheromone Sciences, Inc. (OTC:EROX) (BULLETIN BOARD: EROX) ("HPS" or "the Company") today announced results for the third quarter ended September 30, 2006. Net revenues of $365,000, more than tripled the net revenues of $91,000 in the prior year period, and resulted in net income of $49,000 ($.01 per share) as compared with a net loss of $198,000 ($.05 per share) for the same period of 2005. For the nine months ended September 30, 2006, net revenues were $815,000, a 134% increase from the $348,000 reported in the prior year period, and resulted in a net loss of $177,000 ($.04 per share) as compared with a net loss of $727,000 ($.18 per share) for the same period of 2005. At September 30, 2006, the Company's cash and accounts receivable aggregated $2,027,000 as compared with $463,000 at December 31, 2005. The Company indicated that the $274,000 growth in revenue in the quarter was primarily attributable to a significant increase in pheromone purchases by the Company's largest customers in this area and $57,000 in revenue attributable to a Licensing Agreement signed by the Company in August of 2006. The balance of cash received by the Company under the License Agreement, $1,693,000 is reflected in the financial statements as deferred income, to be amortized over future quarters. "The increase in net revenues shows continued consumer acceptance of the efficacy of our currently patented human pheromone technology in the fragrance market, and new interest in its potential in additional consumer markets worldwide. In addition, we are pleased by the progress being made and third party interest in new technology being developed and tested by the Company," a spokesperson indicated. Human Pheromone Sciences, Inc. is a technology-based company, whose proof-of concept products included prestige-priced fragrances and toiletries and environmental products sold under the Natural Attraction(R), REALM(R), innerREALM(R) and EROX(R) trademarks. These products contain mood-enhancing compounds, whose efficacy has been validated at leading universities around the world, and whose use is covered under United States and foreign patents. The Company is also involved in research and product development efforts on new compounds that have been previously identified as stimulating the emotional centers of the human brain. Further information is available on line at http://www.erox.com/. The statements in this news release may contain forward-looking statements that involve risks and uncertainties that could cause results to differ from predicted results. Further information on factors that could affect the Company's results is detailed in the Company's annual report to shareholders on Form 10-KSB for the year ended December 31, 2005 as filed with the Securities and Exchange Commission and the Form 10-QSB for the quarter ended September 30, 2006. The Company undertakes no obligation to publicly release the result of any revisions to these forward-looking statements. HUMAN PHEROMONE SCIENCES, INC. Condensed Balance Sheets (Dollars in thousands) September 30, December 31, 2006 2005 (Unaudited) Assets Cash and cash equivalents $1,796 $452 Accounts receivable, net 231 11 Inventories 67 70 Other current assets 15 18 Property and equipment, net 4 8 Total $2,113 $559 Liabilities and shareholders' deficit Accounts payable $ 33 $21 Other current liabilities 108 119 Deferred income 1,693 -- Common stock 20,846 20,809 Accumulated deficit (20,567) (20,390) Total $2,113 $559 HUMAN PHEROMONE SCIENCES, INC. Condensed Statements of Operations (Unaudited) (Dollars in thousands, except per-share data) Three months ended Nine months ended September 30, September 30, 2006 2005 2006 2005 Net sales and revenues $365 $91 $815 $348 Cost of goods sold 68 12 179 70 Research and development 29 38 88 132 Selling, general and administrative 227 242 734 887 Income (loss) from operations 41 (201) (186) (741) Other income 8 3 9 14 Net income (loss) $49 $(198) $ (177) $(727) Net income (loss) per share - Basic $0.01 $(0.05) $(0.04) $(0.18) Fully diluted $0.01 $(0.05) $(0.04) $(0.18) Weighted average number of shares - Basic 4,152 4,152 4,152 4,152 Fully diluted 4,841 4,152 4,152 4,152 Net income (loss) per share is based on the weighted average number of common shares and common equivalents outstanding during each period. Certain common stock equivalents are excluded when their effect would be anti-dilutive. DATASOURCE: Human Pheromone Sciences, Inc. CONTACT: William P. Horgan, Chairman, CEO, Human Pheromone Sciences, Inc., +1-408-938-3030 Web site: http://www.erox.com/

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