MedMira announces third quarter results HALIFAX, June 28 /PRNewswire-FirstCall/ -- MedMira Inc. ("MedMira") (TSX Venture: MIR, NASDAQ:MMIRF) the global market leader in rapid flow-through diagnostics, today announced its financial results for the three and nine month periods ending April 30, 2005. Product sales in the third quarter were $598 thousand, compared to $764 thousand in the same quarter last year. The net loss for the quarter was $1.3 million or $0.03 per share compared with $1.1 million or $0.03 per share in the same period last year. For the nine months ended April 30, 2005 product sales were $2.3 million, up from $1.9 million for the same period last year, an increase of 22%. The net loss of the nine month period was $3.9 million or $0.09 per share compared to $3.1 million or $0.08 per share for the same period last year. "The third quarter was a period of building and strengthening our position in our existing and emerging markets," said Stephen Sham, chairman and CEO of MedMira. "We built on the activities undertaken earlier in the year as evidenced by our tender wins in the Chinese provinces of Guizhou and Jilin. We remain confident that the results of our efforts will position us for significant growth in 2006" Sham continued. Overall gross margin in the third quarter was 43%, and was 46% for the nine months ended April 30, 2005. The gross margin level is in line with management's expectations for the mix of markets that we are operating in. Operating expenses for the third quarter increased to $1.6 million from $1.5 million in the same period last year. For the nine months ended April 30, 2005 operating expenses increased to $4.9 million from $4.0 million for the same period in the previous year. These increases are driven by increased interest costs related to the issuance of convertible debentures in 2004 and 2005. At April 30, 2005 the Company had total assets of $1.6 million compared with $1.7 million in total assets at July 31, 2004. Subsequent to the end of the quarter the Company has raised approximately $1.2 million through the collection of outstanding receivables and the issue of debt. Financial Information The following is a brief summary of financial information expressed in thousands of Canadian dollars except per share amounts: For the For the For the For the three months three months nine months nine months ended ended ended ended April 30, April 30, April 30, April 30, 2005 2004 2005 2004 (000's) (unaudited) (unaudited) (unaudited) (unaudited) --------- --------- --------- --------- Product Sales $ 598 $ 764 $ 2,272 $ 1,861 Cost of goods sold 339 425 1,222 917 --------- --------- --------- --------- Gross margin 259 339 1,050 944 --------- --------- --------- --------- --------- --------- --------- --------- Operating expenses 1,576 1,472 4,928 4,040 --------- --------- --------- --------- --------- --------- --------- --------- Loss for the period $ (1,317) $ (1,133) $ (3,878) $ (3,055) --------- --------- --------- --------- --------- --------- --------- --------- Loss per share $ (0.03) $ (0.03) $ (0.09) $ (0.08) --------- --------- --------- --------- --------- --------- --------- --------- As at As at April 30, July 31, 2005 2004 (unaudited) Cash and cash equivalents $ - $ - --------- --------- --------- --------- Total assets $ 1,617 $ 1,694 --------- --------- --------- --------- Shareholders deficiency $ (7,858) $ (5,874) --------- --------- --------- --------- About MedMira MedMira is the leading global manufacturer and marketer of in vitro flow-through rapid diagnostic tests for the clinical laboratory market. MedMira's tests provide reliable, rapid diagnosis in just 3 minutes for the detection of human antibodies in human serum, plasma or whole blood for diseases such as HIV. The United States FDA and the SFDA in the People's Republic of China have approved MedMira's Reveal(TM) G2 and MiraWell(TM) Rapid HIV Tests, respectively. For more information visit MedMira's website at http://www.medmira.com/. MedMira's Reveal(TM) G2 and MiraWell(TM) rapid HIV tests are currently used in clinical laboratories and hospitals where professional counseling and patient treatment are immediately available. The MiraCare(TM) Rapid HIV Antibody Test is available over-the-counter (OTC) in pharmacies throughout the Hong Kong and Macao Special Administrative Regions, in P.R. China. MedMira markets its rapid tests worldwide in such countries as the United States, Canada, South Africa and China. Its corporate offices and manufacturing facilities are located in Halifax, Nova Scotia, Canada with a representative office in Beijing, China. This news release contains forward-looking statements, which involve risk and uncertainties and reflect the company's current expectation regarding future events. Actual events could materially differ from those projected herein and depend on a number of factors including, but not limited to, changing market conditions, successful and timely completion of clinical studies, uncertainties related to the regulatory approval process, establishment of corporate alliances and other risks detailed from time to time in the company quarterly filings. The TSX Venture Exchange has not reviewed and does not accept responsibility for the adequacy or accuracy of this statement. DATASOURCE: MedMira Inc. CONTACT: Media Contact: Investor Relations, Dr. James Smith: (902) 450-1588 or e-mail:

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