Sydney - Wednesday - Sep 13: (RWE Australian Business News) -...

Sydney - Wednesday - Sep 13: (RWE Australian Business News) -
Life Therapeutics Ltd (ASX code: LFE) today announced a net loss of
$42.11 million for the year ended June 30, compared with a $9.54 million
loss in the previous year.
Revenues rose 39.8 per cent to $52.71 million from $37.69
million.
Directors added, "due to supply chain issues, delays in shipment
of inventories, which as of 30th June 2006 were $18.8 million, have
delayed product shipments into the 2007 financial year.
"The entire inventory is covered by customer contracts."
The directors said the net loss mostly comprised non-cash and
other items.
The "operational" EBITDA loss for the ongoing business was $10.8
million after pro forma adjustments.
"This operational EBITDA is attributable to a expansion on
strategy to enter the Normal Source Plasma market, which is currently
seeing unprecedented demand.
"This has meant an investment in organisational infrastructure
and the upgrading of existing donor centres, along with the development
of new centres to be opened in January 2007," they said.

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The directors said it had been a year of consolidation and
integration following the purchase of the California-based Pyramid
plasma collection group.
"Life Therapeutics has repositioned itself as a major global
plasma collection company.
"A major challenge for the company has been the automation of
supply chain systems to enable product to be released from inventories
and shipped to customers on a timely basis.
"The integration of the Pyramid acquisition is substantially
complete, and the supply chain systems are currently being automated,
and this transformation will be substantially complete by end of the
first quarter FY07," they said.
On the basis of existing production and contracts information,
and the resolution of supply chain problems, the company expects revenue
and EBITDA for the 2007 year to be in the range of $100 million to $120
million for revenues, and $18 million to $24 million for EBITDA.