Record Results Reflect Good Progress on Core Technology 
PORTLAND, Ore., Nov. 12 /PRNewswire/ -- Bioject Medical Technologies Inc.
(Nasdaq: BJCT), the leading manufacturer of jet injection devices for needle-free subcutaneous and intramuscular injections, today announced record
financial results for the fiscal 1998 second quarter ended September 30, 1997. 
Revenues for the fiscal second quarter increased approximately 25 percent
to $770,000 from $614,000 in the comparable fiscal 1997 period.  Of these
total revenues, product sales represented $645,000, an 88 percent increase
over $343,000 in the year-ago quarter.  The Company reported a loss of
$13.O million, or ($0.58) per share in the quarter, principally resulting from
the effect of $12 million for its portion of a $15 million up-front licensing 
payment paid under the recently announced agreement with Elan Corporation, plc
(NYSE: ELN) for certain manufacturing and marketing rights to Elan's glucose
monitoring technology on an exclusive basis.  The loss compares with a loss of
$1.1 million, or ($0.07) per share for same year-ago quarter.  For the first
six months of fiscal 1998, the Company reported a loss of $14.0 million or
($0.66) per share, on revenues of $1.2 million compared with a loss of
$2.3 million, or ($0.15) per share on revenues of $1.1 million. 
On September 30, 1997, Bioject established a joint venture with the Elan
Corporation, plc, a leader in drug delivery, for the research, development and
commercialization of a continuous glucose level monitoring system for
diabetics.  Under the agreement, Bioject owns 80.1 percent of the joint
venture and Elan owns 19.9 percent.  In a separate transaction, Elan made a
$3 million equity investment in Bioject.  Elan also agreed to make a
$500,000 investment in the development of a pre-fill format for Bioject's
needle-free technology, to create a unique delivery system for its own
pipeline of injectable drugs.  The pre-fill format will allow medicines with
standardized dosage to be pre-packaged in needle-free applicators. 
"Our results and the new alliances with Elan underscore the strength of
our core needle-free injection technology and the opportunities to broaden the
range of applications," said Jim O'Shea, Bioject's chairman and chief
executive officer. 
He continued:  "To build on the momentum we've created in our existing
business in the public health sector -- evidenced by a nearly two-fold
increase in flu season sales from last year -- we are promoting year-round
usage of the Biojector in immunization programs, such as Hepatitis B, Tetanus,
and Pneumonia.  We are also expanding the scope of our efforts to include a
larger patient population, with an emphasis on high-volume segments, such as
infant immunizations.  Similar to the flu vaccination programs we successfully
implemented with Wal-Mart and Safeway, we are aiming to increase alliances
with non-traditional partners in the private sector, such as retail pharmacy
chains, specialized clinics and hospitals, as well as exploring new
distribution opportunities for home-use self-injection applications. 
"By partnering with Elan, we have opened a new chapter of growth and
development.  The joint venture provides us with a formidable platform to
enter the enormous market for glucose testing.  By investing in the
development of a pre-fill format for our needle-free technology, Elan is
endorsing our vision that the pre-fill concept will benefit a wide range of 
customers, including pharmaceutical companies, and end-users such as patients
and caregivers.  And finally, a $3 million equity investment is a clear
indication that Elan believes in our ability to deliver." 
O'Shea concluded:  "As illustrated by our results this quarter, we remain
on track with our plans to increase sales and decrease losses on a quarter by
quarter basis.  Sales volume continues to increase as manufacturing expenses
continue to decrease." 
Bioject develops, manufactures and markets jet injection systems for
needle-free drug delivery.  The Company's advanced injection management
system, the Biojector 2000, has received the Seal of Acceptance from the
Alliance of Children's Hospitals, Inc. and is being marketed to hospitals,
public health clinics, and physician offices.  The Company is also developing
a system for Hoffmann-La Roche to market specifically with their products. 
The forward-looking statements contained in this release are subject to
the safe harbor provisions of the Private Securities Litigation Reform Act of
1995.  Such forward-looking statements involve known and unknown risks,
uncertainties and other factors which may cause the actual results,
performance or achievements of the Company, or industry results to be
materially different from any future results, performance, or achievements
expressed or implied by such forward-looking statements.  Readers of this 
press release are referred to the Company's filings with the Securities and
Exchange Commission, including the Company's Annual Report on Form 10-K for
the year ended March 31, 1997 for further discussions of factors which could
affect future results. 

                             Consolidated Results
                    (in thousands, except per share data)
                                       Three months ended    Six months ended
                                          September 30,        September 30,
                                        1997       1996       1997       1996
        Net sales of products          $ 645       $343       $987       $520
        Licensing/technology fees        125        271        250        585
                                         770        614      1,237      1,105
        Manufacturing                    593        537      1,052      1,044
        R&D                              218        350        472        833
        Selling, general and
         administrative                  979        825      1,733      1,572
        Acquired R&D expense          15,000         --     15,000         --
        Other (income)                   (26)       (28)       (33)       (50)
                                      16,764      1,684     18,224      3,399
     Loss before minority interest   (15,994)    (1,070)   (16,987)    (2,294)
     Minority interest allocation      2,985         --      2,985         --
     Net loss                       $(13,009)   $(1,070)  $(14,002)   $(2,294)
     Net loss per share             $  (0.58)   $ (0.07)  $  (0.66)   $ (0.15)
     Weighted shares outstanding      22,350     15,617     21,076     15,601
                         Selected Balance Sheet Data
                                           September 30,          March 31,
                                               1997                  1997
     Current assets:
      Cash and marketable securities          $1,218               $2,117
      Accounts receivable                        536                  312
      Inventories, net                         1,359                1,706
      Prepaids                                    64                   45
                                               3,177                4,180
     Property and equipment, net               2,648                2,597
     Other assets, net                           330                  311
                                              $6,155               $7,088
     Current liabilities:
      Accounts payable and accrued
       liabilities                            $1,130               $1,072
      Deferred revenue                            --                  250
                                               1,130                1,322
      Due to Elan                             12,015                   --
      Shareholders' equity, net               (6,990)               5,766
                                              $6,155               $7,088

SOURCE  Bioject Medical Technologies Inc. 
-0-                             11/12/97 
/CONTACT:  Jim O'Shea, Chairman, President & CEO, or Peggy Miller, Vice
President & CFO, 503-639-7221, both of Bioject Medical Technologies; or Bob
Gonnelli, Chairman of Bioject-Elan Joint Venture, 201-818-1724/ 
CO:  Bioject Medical Technologies Inc.; Elan Corporation plc
ST:  Oregon
-0- (PRN) Nov/12/97   23:43
EOS   (PRN)    Nov/12/97    23:43      **
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