SAN JOSE, Calif., May 14 /PRNewswire-FirstCall/ -- Human Pheromone
Sciences, Inc. (OTC Bulletin Board: EROX) ("HPS" or "the Company")
today announced results for the first quarter ended March 31, 2010. Net revenues of
$185,000 represented a 12% increase
from the revenues of $165,000 in the
prior year period, and resulted in a net loss of $98,000
($.02 per share) as compared with net
loss of $181,000 ($.04 per share) for the same period in 2009. Net
cash and cash equivalents decreased $178,000 in the current year quarter as compared
with $243,000 in the first quarter of
2009. There was no bank indebtedness at either period.
While revenues increased 12%, or $20,000, gross profit grew by $51,000, or 51%, a result of the Company's focus
on licensing agreements for its proprietary compounds. These
agreements provide a significantly higher return since there are no
costs associated with licensing revenues. In addition, the Company
noted that the favorable comparison with the prior year period was
attributable to reduction in operating expenses, despite incurring
legal fees in the current year quarter in connection with filing
foreign patents for ER 303, our coral-based compound, outside
the United States.
"Generating additional revenues under licensing agreements,
which bear no cost of goods associated therewith, will result in
improved operating results. In the past several months, we have
entered into two additional Licensing Agreements, which may have
the same effect on a short and long-term basis. We are also
involved in discussions with other companies along the same lines;
obviously, we cannot guarantee success in these negotiations. With
respect to ER 303, we feel strongly that it has unique properties
and, accordingly, the Company invested in patent protection in
Europe during this current
quarter," a Company spokesperson indicated. "While licensing is a
focus of the Company, liquidity is also a major concern. As
such, we are involved in discussions to enhance our cash position,
and provide funding to realize our long-term licensing
opportunities for our pheromone technologies, ER 303 and several
other compounds that have shown initial promise in vivo and in
vitro," the spokesperson noted.
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®, REALM®, innerREALM® and EROX® 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 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-K for the year ended December 31, 2009, and Form 10-Q for the quarter
ended March 31, 2010, as filed with
the Securities and Exchange Commission. 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)
|
|
|
March 31,
|
|
December 31,
|
|
|
2010
|
|
2009
|
|
|
(Unaudited)
|
|
|
|
Assets
|
|
|
|
|
|
|
|
|
|
Cash and cash equivalents
|
$172
|
|
$ 350
|
|
Accounts receivable
|
110
|
|
141
|
|
Inventories, net
|
42
|
|
58
|
|
Other current assets
|
34
|
|
40
|
|
Property and equipment, net
|
1
|
|
1
|
|
|
|
|
|
|
Total
|
$359
|
|
$ 590
|
|
|
|
|
|
|
|
|
|
|
|
Liabilities and shareholders'
deficit
|
|
|
|
|
|
|
|
|
|
Accounts payable
|
$ 8
|
|
$ 60
|
|
Other current liabilities
|
108
|
|
135
|
|
Deferred income - current 183
|
194
|
|
|
|
Deferred income – non-current
|
107
|
|
158
|
|
Common stock
|
21,091
|
|
21,083
|
|
Accumulated deficit
|
(21,138)
|
|
(21,040)
|
|
|
|
|
|
|
Total
|
$ 359
|
|
$ 590
|
|
|
|
|
|
HUMAN PHEROMONE SCIENCES,
INC.
Condensed Statements of
Operations
(Unaudited)
(Dollars in thousands, except
per-share data)
|
|
|
Three months ended March
31,
|
|
|
2010
|
|
2009
|
|
|
|
|
|
|
Net revenues
|
$185
|
|
$165
|
|
Cost of goods sold
|
34
|
|
65
|
|
Gross profit
|
151
|
|
100
|
|
|
|
|
|
|
Research and development
|
17
|
|
25
|
|
Selling, general and administrative
|
232
|
|
257
|
|
|
|
|
|
|
Loss from operations
|
(98)
|
|
(182)
|
|
|
|
|
|
|
Other income
|
-
|
|
1
|
|
|
|
|
|
|
Provision for income taxes
|
-
|
|
-
|
|
|
|
|
|
|
Net loss
|
$(98)
|
|
$(181)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Loss per share, basic and fully diluted
|
$(0.02)
|
|
$(0.04)
|
|
|
|
|
|
|
|
|
|
|
|
Weighted average common shares
outstanding-
|
|
|
|
|
Basic and fully
diluted
|
4,152
|
|
4,152
|
|
|
|
|
|
Net 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.
SOURCE Human Pheromone Sciences, Inc.