Opsens reports second quarter 2013 results

QUEBEC CITY, April 23, 2013 /CNW Telbec/ - Opsens Inc. ("Opsens") (TSXV: OPS) today released results for its second quarter ended February 28, 2013.

Second Quarter 2013 Highlights 

• Largest oil and gas order received to date: 48 OPP-W systems;
• Verification and Validation phase continues for Opsens' OptoWire for Fractional Flow Reserve ("FFR");
• Gross margin reaches 35%, a 5% increase over last year;
• Net loss decreased to $623,000, an improvement of $53,000 over last year.

"The net result and gross margin improved during this quarter, reflecting our focus on higher value markets. Opsens' revenues decreased in the last quarter, as some oil and gas installations were carried over to the next quarters. We expect increased revenues in the remaining portion of our 2013 fiscal year, as the backlog already reflects a sustained growth with an increase in OPP-Ws sales," said Louis Laflamme, President and CEO of Opsens.

Laflamme continued "as for the medical instrumentation segment, the commercial release of the OptoWire, scheduled for 2014, is approaching rapidly. Opsens is anxious to enter the fast growing FFR market which reached $207 million in 2012 and can realistically expect to reach between $1 billion to $2 billion in annual revenues in the near future. Our penetration of a fraction of this market currently shared by two players will have a significant impact on our sales."

Second Quarter Results

Consolidated sales reached $1,837,000 in the three-month period ended February 28, 2013 compared with revenues of $2,377,000 a year earlier. Phasing out of the transformers sector had a negative impact on the revenues, as sales decreased by almost $300,000 in the second quarter of 2013. Sales for the oil and gas segment were lower for the second quarter of 2013 at $1,485,000 compared with $1,834,000 for the same period in 2012. Opsens is confident that its focus on the oil and gas and FFR markets will largely offset in the near future the decrease in revenues arising from the sale of the transformers business.

Opsens' gross margin rate rose from 30% to 35% in the second quarter of 2013 compared with the second quarter of 2012, due to Opsens' focus on higher margin markets and the termination of the high-power transformers agreement which was affecting Opsens' gross margin rate.

As a result of the foregoing, net loss amounted to $623,000 compared with $675,000 for the same period last year.

(In thousands of Canadian dollars, except for information per share)	Three-month period ended February 28, 2013	Three-month period ended February 29, 2012	Six-month period ended February 28, 2013	Six-month period ended February 29, 2012
	$	$	$	$
Sales	1,836	2,377	4,370	4,872
Cost of sales	1,193	1,659	2,508	3,396
Gross margin	643	718	1,862	1,476
Administrative expenses	611	705	1,149	1,257
Marketing expenses	226	239	476	442
R&D expenses	424	460	811	768
Financial expenses (revenues)	5	(11)	27	(57)
	1,266	1,393	2,463	2,410
Loss before income taxes	(623)	(675)	(601)	(934)
Net loss and comprehensive loss	(623)	(675)	(601)	(934)
Net loss per share - Basic	(0.01)	(0.01)	(0.01)	(0.02)
Net loss per share - Diluted	(0.01)	(0.01)	(0.01)	(0.02)

About Opsens Inc. (www.opsens.com)

Opsens is a leading developer, manufacturer, supplier and installer of a wide range of fiber optic solutions based on proprietary patented technologies for the measurement of pressure, temperature and other parameters. The qualities of our sensors allow us to offer measuring instruments that are effective and durable in extreme conditions. Opsens is using its competitive advantages to focus primarily on two strong growth markets: oil and gas and FFR medical instrumentation.

Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.

Forward-looking statements contained in this press release involve known and unknown risks, uncertainties and other factors that may cause actual results, performance and achievements of Opsens to be materially different from any future results, performance or achievements expressed or implied by the said forward-looking statements.

SOURCE: OPSENS INC.

Thierry Dumas, CPA, CA, Chief Financial Officer, 418.682.9996

Louis Laflamme, CPA, CA, President and Chief Executive Officer, 418.682.9996