Matthews, North Carolina – CEM Corporation, a leading provider of microwave laboratory instrumentation, announced results for its fiscal year ending September 30, 2005. Revenue for the year reached a record $54.5 million, compared to $48.7 million the previous year, a 12% increase. Operating income increased 11% to $8.1 million compared to $7.3 million the prior year. CEM’s Life Science Division made strong gains with a 34% increase in revenue over fiscal 2004.
Over the past four years, CEM has experienced significant growth due to new product introductions and the Company’s expansion into the Life Science marketplace. Revenue increased 63% from 2001 to 2005 and operating income rose 117% during the same time period.
“We are very pleased with our accomplishments over the last four years and the balanced growth we’ve achieved this year,” said Michael J. Collins, president and CEO of CEM Corporation. “Both our US and International sales groups, including Europe and Asia, have exceeded our expectations.”
CEM’s Life Science Division continues to demonstrate strong growth, with the Company’s market share and penetration into the life science marketplace increasing despite a general slowdown in that sector. The Company’s most recent product introduction for Biosciences, the Liberty™ Microwave Peptide Synthesizer, continues to gain acceptance in the marketplace. The system produces cleaner and more difficult peptides significantly faster than conventional peptide synthesizers.
Liberty and all of the other products in CEM’s line of microwave synthesis systems are based on the Company’s Discover® System, which continues to expand its position as the best-selling microwave synthesizer on the market.
The Discover® CoolMate™ has also been generating increasing attention from chemists interested in performing low-temperature microwave synthesis for carbohydrate chemistry, the formation of carbanions, and other temperature-sensitive reactions.
The AOAC-approved SMART Trac™ System for fat and moisture analysis of food products led the growth of the Company’s Process Control Division with a 24% increase in unit sales. CEM also achieved record results in its Analytical Laboratory Division with increased unit sales of its MARS System.
“Our strong R&D pipeline has resulted in five new product launches scheduled for the coming year, which will span all three of our business units. We also expect to continue to achieve solid growth overall in excess of ten percent in fiscal 2006,” concluded Collins.
CEM Corporation, a private company based in Matthews, North Carolina, is a leading provider of microwave laboratory instrumentation. The Company has subsidiaries in the United Kingdom, Germany, Italy and France, as well as a global network of distributors. CEM designs and manufactures systems for life sciences, analytical laboratories and processing plants worldwide. The Company’s products are used in many industries including pharmaceutical, biotech, chemical and food processing, as well as academic research.
Michael J. Collins, PhD
President & CEO
(704) 821-7015 ext 220