VAUDREUIL-DORION, QUEBEC--(Marketwire - Sept. 17, 2012) - Immunotec Inc. (TSX VENTURE:IMM), a Canadian based company and a leader in the wellness industry (the "Company"), today released its 2012 Third quarter results for the period ended July 31, 2012.

Third Quarter 2012 Highlights:

(All amounts are in CAD dollars.)

• Network sales reached $11.7M, an increase of 23.1% as compared to the same period in the previous year.
  
  
• Total Revenue reached $13.0M an increase of 22.7% as compared to the same period of the previous year.
  
  
• Expenses as a percentage of total revenues improved to 24.2% as compared to 26.0% of total sales for the same quarter last year.
  
  
• Adjusted EBITDA increased to $628 thousand or 4.8% of total revenues, compared to $283 thousand or 2.7% of total revenues over the same quarter last year. This represents a major improvement over the prior year.
  
  
• Net profit of $265 thousand, compares favorably to $107 thousand for the same period a year earlier.
  

"This was the largest quarterly revenue ever recorded for Immunotec" said Bob Henry, Immunotec's Chairman and CEO. "We have been able to recruit nearly 30,000 new consultants over the last nine months, representing an increase of 40% over prior year. This is an affirmation of the strength of our compensation plan and the opportunity that we provide to our Consultants."

Condensed financial results for the third quarter and year-to-date period, ended July 31, 2012 are as follows:

• During the third quarter, Network sales reached $11.7M in 2012 as compared to $9.5M for the same period in 2011, an increase of 23.1% or $2.2M. Other revenues which include revenues of products sold to licensees, freight and shipping, charge backs and educational material purchased by our network, were $1.3M in Q3 of 2012, a small increase of $0.2M, as compared to $1.1M for the same period in 2011.
  
  
• After nine months, Network sales reached $32.0M in 2012 as compared to $27.5M for the same period in 2011, an increase of 16.4% or $4.5M. Other revenues amounted to $3.6M in 2012, a decrease of $0.6M, directly attributable to a reduction in export sales, compared to $4.2M for the same period last year.
  
  
• Sales incentives are the most significant expense and consist of commissions, performance bonuses and other discretionary incentive cash bonuses to qualifying distributors. During the quarter, the Company paid $5.9M in sales incentives for an average of 50.0% of total Network sales and the same percentage as the last year. For the nine-month period ended July 31, 2012, the Company paid $16.2M in sales incentives for an average of 50.8% of total Network sales this represents a small decline as compared to 51.7% for the same period in 2011.
  
  
• Margin before expenses, as a percentage of net sales, increased in the third quarter ending July 31, 2012 at 29.2% as compared to 29.0% for the same quarter in 2011. For the nine-month period ended July 31, 2012, the Company recorded an average of 28.4% of total Revenues and a small decline compared to 28.7% for the same period in 2011.This decrease is primarily attributed to a reduction in Export sales to licensees which usually provide a higher contribution margin.
  
  
• Selected expenses in the third quarter of 2012 were $3.2M as compared to $2.8M for the same period in 2011. They now represent 24.2% of total revenues as compared to 26.0% of total revenues a year earlier. For the nine-month period ended July 31, 2012, operating expenses were $9.0M representing 25.3% of total revenues compared to 28.5% of total revenues for the same period a year earlier.
  
  
• The adjusted EBITDA, a non GAAP financial measure, for the three-month period ended July 31, 2012, was $628 thousand which represents an increase of $345 thousand or 122% over adjusted EBITDA for the same period ended July 31, 2011. For the nine-month period ended July 31, 2012, adjusted EBITDA was $1.3M which represents an improvement of $1.0M or 425% over adjusted EBITDA for the same period in 2011.
  
  
• Net profit for the quarter ended July 31, 2012 totalled $265 thousand, as compared to a net profit of $107 thousand for the same period a year earlier. For the nine-month period ended July 31, 2012, net profit was $162 thousand as compared to a net loss of $1.2M for the same period in 2011. This net improvement, after nine months in 2012, over the previous year reducing the net loss by $1.3M resulted primarily due from revenue growth in Mexico which mitigated other jurisdiction decreases while reducing certain corporate expenses.
  

About Immunotec Inc.

Immunotec is a world class business opportunity supported by unique scientifically proven products that improve wellness. Headquartered with manufacturing facilities near Montreal, Canada, the Company also has distribution capacities to support its commercial activities in Canada and internationally to the United States, Europe, Mexico and the Caribbean.

The Company files its consolidated financial statements, its management and discussion analysis report, its press releases and such other required documents on the SEDAR database at www.sedar.com and on the Company's website at www.immunotec.com. The common shares of the Company are listed on the TSX Venture Exchange under the ticker symbol IMM.

CAUTION REGARDING FORWARD-LOOKING STATEMENTS: Certain statements contained in this news release are forward-looking and are subject to numerous risks and uncertainties, known and unknown. For information identifying known risks and uncertainties and other important factors that could cause actual results to differ materially from those anticipated in the forward-looking statements, please refer to the heading Risks and Uncertainties in Immunotec's most recent Management's Discussion and Analysis, which can be found at www.sedar.com. Consequently, actual results may differ materially from the anticipated results expressed in these forward-looking statements.

Interim Consolidated Statements of Financial Position

(Unaudited)

(Stated in Canadian dollars)

		July 31,		October 31,
		2012		2011
		$		$
ASSETS
Current assets
	Cash	3,159,246		2,561,969
	Trade and other receivables	1,295,556		659,004
	Inventories	2,812,455		3,324,740
	Prepaid expenses	447,206		393,119
		7,714,463		6,938,832
Non-current assets
	Property, plant and equipment	6,021,961		5,931,411
	Intangible assets	1,685,114		2,000,217
	Goodwill	833,559		833,559
	Deferred income tax assets	2,675,734		2,725,367
	Non-refundable research and development tax credits	337,971		337,971
		11,554,339		11,828,525
		19,268,802		18,767,357
LIABILITIES
Current liabilities
	Payables	1,263,102		935,800
	Accrued liabilities	2,918,224		2,464,967
	Provisions	459,278		671,201
	Customer deposits	345,168		288,192
	Income taxes	74,416		58,576
	Current portion of long- term debt	116,071		312,320
		5,176,259		4,731,056
Long-term debt		1,990,343		2,077,787
		7,166,602		6,808,843
EQUITY
	Share capital	3,465,350		3,465,548
	Other equity - Stock options	1,927,710		1,903,039
	Contributed surplus	11,336,849		11,337,796
	Accumulated other comprehensive income	264,534		306,595
	Deficit	(4,892,243	)	(5,054,464	)
		12,102,200		11,958,514
		19,268,802		18,767,357

Interim Consolidated Statements of Changes in Equity

(Unaudited)

Nine-month periods ended July 31,

(Stated in Canadian dollars except for number of shares)

										Accumulated
						Other equity				other
						- Stock		Contributed		comprehensive
		Share capital				options		surplus		income		Deficit		Total
		Number		$		$		$		$		$		$
Balance at November 1, 2010		69,994,300		3,465,548		1,894,040		11,337,796		-		(3,650,834	)	13,046,550
	Net loss for the period	-		-		-		-		-		(1,237,382	)	(1,237,382	)
	Foreign currency translation adjustments	-		-		-		-		197,412		-		197,412
Total comprehensive loss of the period:		-		-		-		-		197,412		(1,237,382	)	(1,039,970	)
Share-based compensation		-		-		(1,405	)	-		-		-		(1,405	)
Balance at July 31, 2011		69,994,300		3,465,548		1,892,635		11,337,796		197,412		(4,888,216	)	12,005,175
Balance at November 1, 2011		69,994,300		3,465,548		1,903,039		11,337,796		306,595		(5,054,464	)	11,958,514
	Net profit for the period	-		-		-		-		-		162,221		162,221
	Foreign currency translation adjustments	-		-		-		-		(42,061	)	-		(42,061	)
Total comprehensive income of the period:		-		-		-		-		(42,061	)	162,221		120,160
Repurchase of shares		(4,245	)	(198	)	-		(947	)	-		-		(1,145	)
Share-based compensation		-		-		24,671		-		-		-		24,671
Balance at July 31, 2012		69,990,055		3,465,350		1,927,710		11,336,849		264,534		(4,892,243	)	12,102,200

Interim Consolidated Statements of Comprehensive Income (Loss)

(Unaudited)

Three-month and nine-month periods ended July 31,

(Stated in Canadian dollars except for number of shares)

		For the three-month period ended July 31,			For the nine-month period ended July 31,
		2012	2011		2012		2011
		$	$		$		$
Revenues
	Network sales	11,745,818	9,540,766		31,983,983		27,473,893
	Other revenue	1,334,122	1,115,894		3,559,212		4,218,179
		13,079,940	10,656,660		35,543,195		31,692,072
Variable costs
	Cost of goods sold	2,279,372	1,833,175		6,070,755		5,524,949
	Sales incentives - Network	5,872,291	4,773,420		16,243,951		14,203,931
	Other variable costs	1,106,989	961,154		3,144,149		2,869,059
Margin before expenses		3,821,288	3,088,911		10,084,340		9,094,133
Expenses
	Administrative	1,652,175	1,550,710		4,651,953		4,782,410
	Marketing and selling	1,260,565	959,162		3,666,334		3,527,444
	Quality and development costs	250,497	256,144		656,630		733,009
	Depreciation and amortization	229,294	273,272		692,556		811,674
	Other expenses	2,824	(161,610	)	24,671		496,015
Operating income (loss)		425,933	211,233		392,196		(1,256,419	)
	Net finance expenses	73,314	47,133		153,687		316,890
Profit (loss) before income taxes		352,619	164,100		238,509		(1,573,309	)
Income taxes (recovery)
	Current	8,278	15,020		23,733		19,704
	Deferred	79,602	41,985		52,555		(355,631	)
Net profit (loss)		264,739	107,095		162,221		(1,237,382	)
Other comprehensive income (loss), net of income tax
Foreign currency translation adjustments		14,792	10,005		(42,061	)	197,412
Total comprehensive income (loss) for the period		279,531	117,100		120,160		(1,039,970	)
Total basic and diluted net profit (loss) per share		0.00	0.00		0.00		(0.02	)
Weighted average number of common shares outstanding during the period
	Basic and diluted	69,994,063	69,994,300		69,994,063		69,994,300

Interim Consolidated Statements of Cash Flows

(Unaudited)

Nine-month periods ended July 31,

(Stated in Canadian dollars)

		2012		2011
		$		$
Operating activities
Net profit (loss)		162,221		(1,237,382	)
Adjustments for:
	Depreciation of property, plant and equipment	275,505		345,765
	Amortization of intangible assets	417,052		465,909
	Gain on settlement of contingent consideration liability	-		(56,950	)
	Unrealized foreign exchange	(20,520	)	293,911
	Accreted interest	-		44,436
	Interest expense measured at amortized cost	58,171		47,355
	Future income taxes	52,555		(355,631	)
	Share- based compensation	24,671		(1,405	)
Interest paid		(61,295	)	(47,355	)
Interest received		3,124		-
Cash received prior to working capital variation		911,484		(501,347	)
Net change in non- cash working capital		452,531		(130,394	)
Net cash provided by (used in) operating activities		1,364,015		(631,741	)
Investing activities
	Additions to property, plant and equipment	(366,386	)	(104,770	)
	Additions to intangible assets	(105,135	)	(154,823	)
Net cash used in investing activities		(471,521	)	(259,593	)
Financing activities
	Reimbursement of long- term debt	(84,353	)	-
	Reimbursement of demand loan	-		(133,333	)
	Reimbursement of other liability	(200,203	)	(83,572	)
	Repurchase of shares	(1,145	)	-
Net cash used in financing activities		(285,701	)	(216,905	)
Net increase (decrease) in cash during the period		606,793		(1,108,239	)
Cash at the beginning of the period		2,561,969		2,936,456
Effect of foreign exchange rate fluctuations on cash		(9,516	)	(17,747	)
Cash at the end of the period		3,159,246		1,810,470