Bright half for PharmaZen

For Immediate Release

November 12 2008

Bright half for PharmaZen

Biotechnology company PharmaZen has announced a sharply improved first half with a profit of $202,000 after interest and depreciation on a turnover of $3.087 million, with further improvement likely over the rest of the year.

The half-year result to June 30 is in stark contrast to the loss of $313,000 for the same period in 2007 on a turnover of $2.263 million.

Shares in PharmaZen, which supplies animal and health products, are traded through the unregistered securities trading facility.

PharmaZen chief executive, Craig McIntosh, said that the result has been exceptionally pleasing in light of the strength of the New Zealand dollar during this period.

“With 85% of sales exported the high NZ dollar has been a major issue for us but despite that we have been able to come out of a very difficult period in good shape,” he said.

The company is also benefiting from a $1m investment in new plant and machinery that has greatly enhanced productivity.

“We have put a lot of effort into product development over the last 18 months and are encouraged by the progress made – in particular trial results for the newly developed hair care ingredient look very promising.”

PharmaZen trading division Waitaki Biosciences International in Christchurch manufactures a range of powder products extracted from a wide range of animal and marine sources. The range includes green-lipped mussel, shark cartilage, natural calcium and Chondroitin Sulphate. The products are used by other companies as a base for health products, mainly in the areas of bone health, joint health, immune and digestive support as well as hair care and cosmetic applications.

ENDS

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