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Aoxing Pharmaceutical Company, Inc. Announces Financial Results For Second Quarter Of 2013 Fiscal Year
Date:2/15/2013

JERSEY CITY, N.J., Feb. 15, 2013 /PRNewswire/ -- Aoxing Pharmaceutical Company, Inc.  (NYSE MKT: AXN) ("Aoxing Pharma"), a specialty pharmaceutical company focusing on research, development, manufacturing, and distribution of narcotic, pain-management, and addiction treatment pharmaceuticals, today announced its financial and operational results for the three and six month periods ended December 31, 2012.  Complete financial results can be found in the Quarterly Report on Form 10-Q filed by Aoxing Pharma on February 14, 2013.

Financial Results:

Revenues for the three and six months ended December 31, 2012 were $3,314,768 and $5,919,531, respectively, representing a 56% and a 62% increase over the revenues realized in the comparable periods of fiscal year 2012.  In both periods the increase in revenues led to a 60% increase in gross profit.  The increase in revenue was mainly attributable to the increase in sales of our main product, Zhongtongan, which is now being marketed for gynecological and orthopaedic applications in addition to its core pediatric and stomotological market.  Sales of Zhongtongan accounted for 93% of sales during the quarter ended December 31, 2012. 

Aoxing Pharma completed a $10.2 million financing at the end of September 2012, which allowed it to make some crucial investments in the future of its business.  Operating expenses, therefore, were swelled during the second quarter of fiscal 2013 by two categories of targeted investment:

  • Research and development ("R&D") expenses were $1,090,104 during the three months ended December 31, 2012 and $1,219,659 during the six month period then ended, in both cases representing a several fold increase over R&D expense in fiscal 2012. 
  • Selling expenses in the amount of $1,706,202 incurred during the three months ended December 31, 2012 and $2,314
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SOURCE Aoxing Pharmaceutical Company, Inc.
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