PETALUMA, Calif., March 28, 2013 (GLOBE NEWSWIRE) -- Oculus Innovative Sciences, Inc. (Nasdaq:OCLS), a global healthcare company that designs, manufactures and markets prescription and non-prescription products in over 20 countries, announced today that a 1-for-7 reverse split of its common stock will be effective at the open of business on Monday, April 1, 2013. The reverse stock split was previously approved by the company's stockholders at the company's special meeting held on March 22, 2013. The company's board of directors approved the implementation of a reverse stock split and determined the appropriate reverse stock split ratio to be a ratio of 1-for-7 on March 22, 2013.
Oculus has demonstrated strong fundamentals and growth as the company targets profitability. Operating losses, minus non-cash expenses (EBITDAS), for the nine months ended December 31, 2012, was $398,000, a significant reduction from $2.4 million in the same period in the prior year. Over the past four years, product revenues increased an average of 39% annually and current product gross margins are averaging greater than 70%. The company has a strong cash position, which is expected to be greater than $7.5 million at the end of the fourth quarter ending March 31, 2013.
Jim Schutz, Oculus CEO said, "This reverse split puts us back in good standing with NASDAQ, enabling us to focus on expanding our commercial efforts and the growth of our global footprint. Our fundamentals are strong with a solid cash position, growing product sales and a strong pipeline of new product formulations. Finally, our drug subsidiary, Ruthigen, Inc., is focused on exciting next steps to bring forward a much-needed anti-infective drug for the reduction of infections in surgical and trauma procedures."At the effective time of the reverse stock split, every seven shares of Oculus' issued and outstanding common stock will be automatically converted into one newly issued and outstanding share of common stock, without any change in the par value per share. All fractional shares will be rounded up the nearest whole share.