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Derma Sciences Reports Third Quarter 2012 Financial Results

For the nine months ended September 30, 2012, net sales were $52,536,938, compared with $46,096,813 in the comparable prior-year period, an increase of 14%. Advanced wound care sales were $17,126,374 for the nine months ended September 30, 2012, an increase of 49%. Excluding sales of MedEfficiency products from both periods, sales of advanced wound care products grew 30%. The Company reported a net loss of $8,385,956 or $0.69 per share for the nine months ended September 30, 2012, compared with a net loss of $1,887,615 or $0.23 per share in the prior-year period.

As of September 30, 2012, Derma Sciences had cash, cash equivalents and investments of $15,620,234, compared with cash, cash equivalents and investments of $22,584,350 at December 31, 2011.

Conference Call and Webcast

Derma Sciences management will host a conference call to discuss third quarter financial results and answer questions beginning at 11:00 a.m. Eastern time today. In addition, management will provide a business update and discuss recent and upcoming milestones.

To participate in the conference call, dial (888) 563-6275 (domestic) or (706) 634-7417 (international). All listeners should provide the following passcode: 59532587. Individuals interested in listening to the live conference call via the Internet may do so by logging onto the Company's website,

Following the end of the conference call, a replay will be available through November 18, 2012 and can be accessed by dialing (855) 859-2056 (domestic) or (404) 537-3406 (international). All listeners should provide the following passcode: 59532587. The webcast will also be available for 30 days.

About Derma Sciences, Inc.

Derma Sciences is a medical technology company focused on three segments of the wound care marketplace: pharmaceutical wound care products, advanced wound care dressings and traditional dressings. Derma Sciences has successfully completed a Phase 2 clinical trial in diabetic foot ulcer healing with DSC127, an investigational pharmaceutical drug under development for accelerated wound healing and scar reduction, and is preparing to begin Phase 3 clinical trials. Its MEDIHONEY® product is the leading brand of honey-based dressings for the management of wounds and burns. The product has been shown to be effective in a variety of indications, and was the focus of a positive large-scale, randomized controlled trial involving 108 subjects with leg ulcers. Other novel products introduced into the $14 billion global wound care market include XTRASORB® for better management of wound exudate, BIOGUARD® for infection prevention and TCC-EZ™, a gold-standard treatment for diabetic foot ulcers.

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