Sinofresh Healthcare, Inc., Announces Third Quarter and Nine Month
Financial Results National Product Roll out Commences After
Successful Beta Test Market ENGLEWOOD, Fla., Nov. 18
/PRNewswire-FirstCall/ -- SinoFresh Healthcare Inc., (BULLETIN
BOARD: SFSH) producer of the first over-the-counter nasal spray,
SinoFresh(R) Nasal and Sinus Care, proven to kill germs and molds
that have been associated with chronic sinus and nasal conditions,
today announced its financial results for the third quarter and
nine months ended September 30, 2003. Revenue for the third quarter
2003 was $687,442 up from $73,833 in the third quarter of 2002.
Gross profit reached $508,718 in the third quarter 2003 up from
$70,412 in the same period prior year, Net loss was $1,006,736 for
the quarter ended September 30, 2003, or $0.09 per fully diluted
share, against a net loss of $174,529 for the same period in 2002,
or $0.02 per fully diluted share. On September 8, 2003, SinoFresh
merged with e-Book Network, and the figures reflect the resulting
changes in corporate structure. Charles Fust, Chairman and Chief
Executive Officer of SinoFresh, said, "We are very pleased with the
results of our beta test market and the positive feedback we have
received on this revolutionary nasal and sinus care product from
doctors, pharmacists and consumers. The momentum we have achieved
has enabled us to commence an aggressive national launch this
quarter." Through our distribution partner, National In-Store
(http://www.natinstore.com/), a division of the OmniCom Group Inc.,
(http://www.omnicomgroup.com/), a leading global marketing and
corporate communications company, SinoFresh Nasal and Sinus Care is
now available in almost 20,000 retail outlets across the country,
including leading national and regional chains Walgreen's, Eckerd
Drugs, CVS, Rite-Aid pharmacies and Publix supermarkets. Fust
added, "To complement our sales initiatives, we've commenced a
marketing campaign, which includes radio and print advertisements
featuring testimonials from various SinoFresh users, that we expect
will help build our brand name and showcase the product's unique
ability to attack the cause, not just the symptoms, of the 37
million plus Americans who suffer from chronic sinus and
nasal-related problems." SinoFresh Nasal and Sinus Care products
are registered with the US Food and Drug Administration and are,
specifically, formulated to cleanse and freshen the nose, throat,
and sinus cavities by killing and washing away the fungus, mold and
bacteria from these membranes. For the nine months ended September
2003, revenue was $1,054,167 compared to $141,694 in the same
period prior year. Gross profit was $782,651 for the first nine
months of 2003 against $106,272 for the similar period the year
before. Net loss for the nine months ended September 30, 2003 was
$2,355,317, or $0.21 per fully diluted share, versus $867,510 loss,
or $0.08 per fully diluted share for the same period prior year.
The Company also reported that there were non-recurring items
aggregating approximately $358,000 for the nine months and $248,000
for the three months ended Sept. 30. SINOFRESH HEALTHCARE, INC.
CONDENSED STATEMENT OF OPERATIONS (unaudited) (Predecessor
(Predecessor Company) (A) Company) (A) Three Months Three Months
Nine Months Nine Months Ended Ended Ended Ended September 30,
September 30, September 30, September 30, 2003 2002 2003 2002
REVENUE 687,442 73,833 1,054,167 141,694 COST OF REVENUE 178,724
3,421 271,516 35,422 GROSS PROFIT 508,718 70,412 782,651 106,272
OPERATING EXPENSES General and administrative expenses 835,035
213,586 2,047,145 661,254 Marketing expenses 429,421 19,341 742,303
274,630 Research and development expenses 73,939 -- 129,874 3,896
TOTAL OPERATING COSTS AND EXPENSES 1,338,395 232,927 2,919,322
939,780 LOSS FROM OPERATIONS (829,677) (162,515) (2,136,671)
(833,508) OTHER INCOME (EXPENSES); Interest expense (23,136)
(65,134) Other income (expense) (153,922) (12,014) (153,512)
(34,002) TOTAL OTHER INCOME (EXPENSE) (177,059) (12,014) (218,646)
(34,002) NET LOSS $(1,006,736) $(174,529) $(2,355,317) $(867,510)
NET LOSS PER COMMON SHARE -basic $(0.09) $(0.02) $(0.21) $(0.08)
WEIGHTED AVERAGE COMMON SHARES OUTSTANDING -basic 11,356,639
11,356,639 10,996,694 10,996,694 (A) SinoFresh completed its merger
with e-Book Network on September 8, 2003. Cautionary Warning
Regarding Forward Looking Statements The foregoing press release
contains "forward-looking statements." In some cases, you can
identify forward-looking statements by terminology such as "may,"
"will," "should," "could," "expects," "plans," "intends,"
"anticipates," "believes," "estimates," "predicts," "potential" or
"continue" or the negative of such terms and other comparable
terminology. These forward-looking statements include, without
limitation, statements about our market opportunity, laboratory
data, collected human experience, expert opinion, traditional
medical practices, our strategies, competition, expected activities
and expenditures as we pursue our business plan, and the adequacy
of our available cash resources. Although we believe that the
expectations reflected in the forward-looking statements are
reasonable, we cannot guarantee future results, levels of activity,
performance or achievements. Actual results may differ materially
from the predictions discussed in our forward-looking statements.
Additional factors that could materially affect our forward-looking
statements include, among other things, general economic and
business conditions; the future results of planned clinical trials;
changes in the understanding of science and medical pathology; the
success of our brand awareness campaign; our ability to raise
additional capital through the offering of equity securities;
competition; our ability to build strategic relationships with
major retail chain stores; required accounting changes; our
relationship with AccuMed; approval of our products by the FDA for
OTC sales; the protection of our intellectual property rights;
ensuring the commercialization of our products does not infringe
upon the intellectual property rights of others; other factors over
which the Company has little or no control. DATASOURCE: SinoFresh
Healthcare Inc. CONTACT: Tony Francel, Director of Investor
Relations, +1-941-488-5008, or Public Relations - Nadine Woloshin -
+1-212-843-8041, both of Rubenstein Communications, for SinoFresh
Healthcare Inc. Web site: http://www.natinstore.com/
http://www.omnicomgroup.com/
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