GAV Galvanic Applied Scs

CALGARY, Dec. 19, 2011 /CNW/ - Galvanic Applied Sciences Inc. announces record results for its three month and six months ended, October 31, 2011. Three monthsended Six monthsended October31, October31, 2011 2010 2011 2010 $ $ $ $ Revenue 4,232,000 3,219,000 8,086,000 6,135,000 Gross 1,994,000 1,325,000 3,588,000 2,524,000 margin Net 963,000 307,000 1,725,000 572,000 earnings Net earnings 0.06 0.02 0.11 0.04 per commonshare During the second quarter and first half of fiscal 2012 increased demand for the company's product lines compared to similar periods in the prior year resulted in improved financial results from both operating segments. Consolidated revenue for the second quarter of fiscal 2012 increased by 31% to $4,232,000, as compared to $3,219,000 in the comparative prior period, consolidated gross margins improved to 47% from 41% and net earnings increased to $963,000 or $0.06 per common share from net earnings of $307,000 or $0.02 per common share as compared with the comparative prior periods. The substantial increase in earnings is a result of the improvement in revenue and operating margins, particularly Canada. "The results were excellent, the best ever in terms of gross margins and earnings. We are very pleased with the progress that has been made in achieving our long-term objective of business growth," says Helen Cornett, CEO. The Company completed the quarter with working capital of $7,952,000 which includes cash in the amount of $4,042,000 and no debt. The Company also had investments in marketable securities of $1,337,000. Galvanic Applied Sciences Inc. is an innovative electronic technology Company that develops instrumentation and manufactures equipment for the natural gas processing and distribution markets and liquids process markets. Products include analyzers for sulfur and BTU measurement in gases, electronic volume correctors and recorders used in combination with commercial natural gas meters, and tytrators, viscometers, suspended solids and turbidity analyzers for on-line liquid analysis.  Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of the release. Forward Looking Statements: This news release contains forward looking statements based on management's current expectations. The reader is cautioned that assumptions used in the preparation of such information, although considered reasonable by Galvanic at the time of preparation, may prove to be incorrect. The forward looking statements contained in this news release are made as at the date of this news release and, except as required by applicable securities laws, Galvanic does not undertake any obligation to update publicly or otherwise any such statements. Email: info@galvanic.com Website: www.galvanic.com Galvanic Applied Sciences Inc. CONTACT: Helen Cornett, Chief Executive Officer 403-258-9704

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