TORONTO, Nov. 28, 2012 /CNW/ - China Health Labs & Diagnostics Ltd. ("China Health" or the "Company") (TSXV: CHO; OTCQX: CHLBF), announced today that it will reschedule the conference call to discuss the results of the third quarter ended September 30, 2012. The Company previously announced that it will release its third quarter results on November 28, 2012, after market close, with a scheduled investor conference call for Thursday, November 29, 2012 at 10:00 am (Eastern Time). The Company engaged its auditors, BDO Canada LLP to complete an interim review of its financial statements for the quarter ended September 30, 2012. Management and BDO Canada LLP are reviewing the appropriate accounting treatment and IFRS interpretations relating to a sales arrangement that the Company has entered into during the quarter involving five pieces of diagnostic equipment. The Company will issue a further news release for the new date and time for the rescheduled investor conference call to discuss the results of the third quarter once they are released.
About China Health Labs & Diagnostics Ltd.
China Health, operating in China as the Biochem Group, is a leading diagnostic lab solution provider for the public healthcare industry in China. The Company develops and sells Biochem Group branded and third-party medical diagnostic products and services to diagnostic facilities in China. Customers include large urban hospitals, rural hospitals, Chinese defense and rescue operations, the Beijing government and third-party distributors.
The Company intends to continue to expand its business by focusing its efforts on expanding its sales network in three areas where it provides proprietary solutions, has limited competition and which are supported by Chinese government policies and budgets: BK Clinlab total lab solutions for rural hospitals and clinics, POCT solutions for military and emergency rescue services, and food safety solutions for large cities in China. In 2011, China Health increased its revenues by 35% to $45.6 million, and increased its installed base of BK Clinlab total solution diagnostic labs ("BK Clinlabs") to from 210 locations at the start of 2011 to 833 rural hospitals. In addition, the Company grew revenues from its overall business in providing total lab solutions by 99% from 2010, which increased gross margins to 44% in 2011 as compared to 39% in 2010.
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 INFORMATION
This press release contains forward-looking statements and information that are based on the beliefs of management and reflect China Health's current expectations. When used in this press release, the words "estimate", "project", "belief", "anticipate", "intend", "expect", "plan", "predict", "may" or "should" and the negative of these words or such variations thereon or comparable terminology are intended to identify forward-looking statements and information. The forward-looking statements and information in this press release includes information relating to the release of the interim financial results for the period ended September 30, 2012 and the related conference call, the expansion of the Company's business through its sales network in areas where it has proprietary products, limited competition and strong government support. The forward-looking information is based on certain assumptions, which could change materially in the future, including the assumption that the Company will be able to expand its sales network and business. Such statements and information reflect the current view of China Health with respect to risks and uncertainties that may cause actual results to differ materially from those contemplated in those forward-looking statements and information. By their nature, forward-looking statements involve known and unknown risks, uncertainties and other factors which may cause our actual results, performance or achievements, or other future events, to be materially different from any future results, performance or achievements expressed or implied by such forward-looking statements. Such factors include, among others, the risk that there may be further delays to address the IFRS interpretation issue, the Company may not be able to expand its business as expected through its sales network in any of the areas in which it has proprietary products, limited competition and strong government support. China Health cautions that the foregoing list of material factors is not exhaustive. When relying on China Health's forward-looking statements and information to make decisions, investors and others should carefully consider the foregoing factors and other uncertainties and potential events. China Health has assumed a certain progression, which may not be realized. It has also assumed that the material factors referred to above will not cause such forward-looking statements and information to differ materially from actual results or events. However, the list of these factors is not exhaustive and is subject to change and there can be no assurance that such assumptions will reflect the actual outcome of such items or factors.
THE FORWARD-LOOKING INFORMATION CONTAINED IN THIS PRESS RELEASE REPRESENTS THE EXPECTATIONS OF CHINA HEALTH AS OF THE DATE OF THIS PRESS RELEASE AND, ACCORDINGLY, IS SUBJECT TO CHANGE AFTER SUCH DATE. READERS SHOULD NOT PLACE UNDUE IMPORTANCE ON FORWARD-LOOKING INFORMATION AND SHOULD NOT RELY UPON THIS INFORMATION AS OF ANY OTHER DATE. WHILE CHINA HEALTH MAY ELECT TO, IT DOES NOT UNDERTAKE TO UPDATE THIS INFORMATION AT ANY PARTICULAR TIME EXCEPT AS REQUIRED IN ACCORDANCE WITH APPLICABLE LAWS.
SOURCE: CHINA HEALTH LABS & DIAGNOSTICS
For further information:
Chief Financial Officer
China Health Labs & Diagnostics Ltd.
T: (416) 865-3351