Microfluidics reported revenues of $4.1M for Q3 2010 ended Sep 30 a decrease of 9% or $500k compared to the same period of 2009. Excluding revenues of $1.3M attributed to machine production of the 2009 H1N1 Flu pandemic, revenues grew 29%.Unit sales increased to 144 units compared to 127 units of the same period of 2009. Gross margins were 60%. EBITA was $769k for Nine Months of 2010 compared to $227k in the same period in 2009. The expense lines were under control with minimal changes.
The Company has about $2M in cash and a credit line of $1M. Shareholder Equity is $1.5M.
At a stock price of $0.75 the Market Cap is $7.8M giving a Price/Sales Ratio of about 0.5. Over the past 5 days the stock has sold off from a high of about 92 cents on very light volume in the range of a few thousand shares per day. Dawson James initiated coverage on October 18, 2010 with a buy and a price target of $2.00. The Dawson James Report provides an excellent review of Microfluidics technology and positioning in key markets: biotechnology, pharmaceutical, nutraceutical, energy and cosmetics.The Dawson James Outlook forecasts 10-15% revenue growth over the next 12-18 months.
MFLU was added to the Rayno Life Science Portfolio at a price of $0.82 earlier this year.