PURE Bioscience Reports 2013 Fiscal First Quarter Financial Results

  PURE Bioscience Reports 2013 Fiscal First Quarter Financial Results

Business Wire

SAN DIEGO -- December 12, 2012

PURE Bioscience (NASDAQ: PURE), creator of the patented silver dihydrogen
citrate (SDC) antimicrobial, today reported financial results for the fiscal
first quarter ended October 31, 2012.

Revenues for the fiscal first quarter of 2013 were $110,000, compared with
revenues of $257,000 for the fiscal first quarter of 2012. Total operating
costs and expenses for the fiscal first quarter of 2013 were $1.9 million, a
decrease of $700,000 compared to fiscal first quarter 2012 operating costs and
expenses of $2.6 million. The loss from operations for the fiscal first
quarter of 2013 was $1.8 million, a decrease of $600,000 compared to the
fiscal first quarter 2012 loss from operations of $2.4 million.

The net loss for the fiscal first quarter of 2013 was $2.2 million or $0.25
per share, compared with a net loss of $2.4 million, or $0.47 per share, in
the fiscal first quarter of 2012.

During the 2013 fiscal first quarter, the Company completed an underwritten
public equity offering resulting in net proceeds of approximately $4.2
million, providing funds to extinguish bridge loan debt of approximately $1.3
million and for future working capital.

As of October 31, 2012, the Company had cash and cash equivalents of
approximately $2.5 million.

“The fiscal first quarter of 2013 was a transition quarter in which we
successfully completed our plan to maintain our NASDAQ Capital Market listing
by completing a reverse stock split and closing the public equity offering,”
said Michael L. Krall, President and CEO of PURE Bioscience. “Looking ahead to
calendar year 2013, we are focused on executing on our business plan to
commercialize the PURE technology into various channels in the market place,
including potential use in food service and food processing facilities and
also in medical and educational facilities.”

About PURE Bioscience, Inc.

PURE Bioscience, Inc. develops and markets technology-based bioscience
products that provide solutions to numerous global health challenges,
including Staph (MRSA). PURE’s proprietary high efficacy/low toxicity
bioscience technologies, including its silver dihydrogen citrate-based
antimicrobials, represent innovative advances in diverse markets and lead
today’s global trend toward industry and consumer use of “green” products
while providing competitive advantages in efficacy and safety. Patented SDC is
an electrolytically generated source of stabilized ionic silver, which
formulates well with other compounds. As a platform technology, SDC is
distinguished from competitors in the marketplace because of its superior
efficacy, reduced toxicity and the inability of bacteria to form a resistance
to it. PURE is headquartered in El Cajon, California (San Diego metropolitan
area). Additional information on PURE is available at www.purebio.com.

This press release includes statements that may constitute "forward-looking"
statements, usually containing the words "believe," "estimate," "project,”
"expect" or similar expressions. These statements are made pursuant to the
safe harbor provisions of the Private Securities Litigation Reform Act of
1995. Forward-looking statements inherently involve risks and uncertainties
that could cause actual results to differ materially from the forward-looking
statements. Factors that would cause or contribute to such differences
include, but are not limited to, the Company’s cash position and liquidity
requirements, the Company’s failure to implement or otherwise achieve the
benefits of its proposed initiatives and business plans, acceptance of the
Company's current and future products and services in the marketplace, the
ability of the Company to develop effective new products and receive
regulatory approvals of such products, competitive factors, dependence upon
third-party vendors, and other risks detailed in the Company's periodic report
filings with the Securities and Exchange Commission. By making these
forward-looking statements, the Company undertakes no obligation to update
these statements for revisions or changes after the date of this release.

Pure Bioscience, Inc.
Consolidated Balance Sheets
                                                         
                                     October 31,               July 31,
                                     2012                     2012          
                                     (Unaudited)
Assets
Current assets
Cash and cash equivalents            $ 2,450,000               $ 877,000
Accounts receivable, net               64,000                    373,000
Inventories, net                       864,000                   654,000
Prepaid expenses                      80,000                  347,000     
Total current assets                   3,458,000                 2,251,000
                                                                 
Property, plant and equipment, net     226,000                   257,000
Patents, net                          1,988,000               1,950,000   
                                                                 
Total assets                         $ 5,672,000              $ 4,458,000   
                                                                 
Liabilities and stockholders' equity
Current liabilities
Accounts payable                     $ 2,094,000               $ 1,946,000
Loan payable, net                      -                         962,000
Deferred revenue                       -                         66,000
Accrued liabilities                    405,000                   344,000
Derivative liability                  91,000                  319,000     
Total current liabilities              2,590,000                 3,637,000
                                                                 
Deferred rent                         3,000                   3,000       
Total liabilities                     2,593,000               3,640,000   
                                                                 
Commitments and contingencies
                                                                 
Stockholders' equity
Preferred stock, $0.01 par value:
5,000,000 shares authorized, no        -                         -
shares issued
Common stock, $0.01 par value:
100,000,000 shares authorized
10,986,170 issued and outstanding at
October 31, 2012, and
6,644,555 issued and outstanding at    110,000                   67,000
July 31, 2012.
Additional paid-in capital             67,623,000                63,251,000
Accumulated deficit                   (64,654,000 )            (62,500,000 )
Total stockholders' equity            3,079,000               818,000     
                                                                 
Total liabilities and stockholders'  $ 5,672,000              $ 4,458,000   
equity
                                                                             

Pure Bioscience, Inc.
Consolidated Statements of Operations
(Unaudited)
                                                        
                                         Three months ended
                                         October 31,
                                         2012                2011         
                                                                
Net product sales                        $ 110,000            $ 257,000
                                                                
Operating costs and expenses
Cost of goods sold                         31,000               129,000
Selling, general and administrative        1,476,000            1,997,000
Research and development                  395,000            493,000    
Total operating costs and expenses         1,902,000          2,619,000  
                                                                
Loss from operations                       (1,792,000 )         (2,362,000 )
                                                                
Other income (expense)
Change in derivative liability             228,000              -
Interest expense                           (588,000   )         -
Interest income                            -                    1,000
Other (expense) income, net               (2,000     )        -          
Total other (expense) income               (362,000   )        1,000      
                                                                
Net loss                                 $ (2,154,000 )       $ (2,361,000 )
                                                                
Basic and diluted net loss per share     $ (0.25      )       $ (0.47      )
                                                                
Shares used in computing basic
and diluted net loss per share            8,720,980          5,044,950  

Contact:

PURE Bioscience Investor Contact:
LHA
Don Markley, Senior Vice President
(310) 691-7100
dmarkley@lhai.com
 
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