HemaCare Reports Net Loss for Quarter and Year

A facility closure and corporate leadership changes contributed to lower earnings and revenues in 2010 for HemaCare Corp. For the fourth quarter of 2010, the Van Nuys-based processor and distributor of blood products had a net loss of $197,000, or $0.02 per diluted share, on revenues of $7 million. For the same period in 2009, the company had net income of $195,000, or $0.02 per diluted share, on revenues of $8.2 million. For the year 2010 fiscal year, HemaCare had a net loss of $796,000, or $0.08 per diluted share, on revenues of $30.3 million. For the previous year, the company had net income of $855,000, or $0.09 per diluted share, on revenues of $36.4 million. The 2010 net loss included $321,000 in expenses related to the closure of an unprofitable facility in Maine and the write off of impaired assets. The loss also included $184,000 in severance expenses paid to the company’s former CEO and chief financial officer during the first quarter. “While we were disappointed in our results for 2010, actions taken by management were able to produce higher gross profits and smaller operating losses in the fourth quarter compared to the third quarter compared to the third quarter,” said Pete van der Wal, CEO of HemaCare. “These actions included expense reduction beyond those achieved earlier in the year, as well as intensified focus on our more profitable activities.” Those activities include the company’s blood collection services provided on behalf of biotechnology companies producing cell therapy products, as well as on behalf of biotechnology companies in support of their human clinical trials. “While we see no immediate improvement in the difficult pricing environment for our core blood products business, we expect to see growing impact from our specialized cell collection activities in 2011 and beyond,” van der Wal said. Jessica Vernabe