CytoSorbents Posts Record Q4 2013 and Full Year 2013 Revenue

         CytoSorbents Posts Record Q4 2013 and Full Year 2013 Revenue

PR Newswire

MONMOUTH JUNCTION, N.J., March 31, 2014

MONMOUTH JUNCTION, N.J., March 31, 2014 /PRNewswire/ --CytoSorbents
Corporation (OTCQB: CTSO), a critical care immunotherapy company using blood
purification to treat life-threatening illnesses in the intensive care unit,
provides an operational summary and financial results for the fiscal year
ending December 31, 2013.

Q1 2014 CytoSorb® product revenue guidance in the range of $530,000 - $570,000
represents more than 60% of total 2013 CytoSorb® revenues

Highlights for the Year Ending December 31, 2013

  oTotal revenue for the year was $2.4 million, as compared to total revenue
    for 2013 of $1.3 million
  oAchieved ~$822,000 in CytoSorb® cytokine filter sales in the first full
    year of commercialization, an increase of 442% over 2012 CytoSorb® product
    revenue.
  oProduct gross margins were approximately 61% for the year ended December
    31, 2013 
  oCytoSorb® sales have been accelerating; sales for the fourth quarter of
    2013 were approximately $314,000, an increase of 54 percent over the third
    quarter of 2013. An additional $37,000 in CytoSorb® orders were invoiced
    in Q4 2013, but due to common freight carrier pick-up delays, could not be
    recognized as revenue during the quarter
  oGrant revenue for 2013 was approximately $1.6 million, up from $1.2
    million in 2012
  oAnnounced a strategic partnership with BioCon, India's largest
    biotechnology company, initially for exclusive distributorship of
    CytoSorb® in India and select emerging countries
  oEstablished agreements with distributors in the United Kingdom, Ireland,
    the Netherlands, Russia, and Turkey
  oEnded the year with more than 100 key opinion leaders in critical care
    medicine and other specialties who are either currently using or planning
    to use CytoSorb®, with more than 30 new investigator-initiated studies
    being planned, many of which are enrolling patients
  oHeld the first CytoSorb® Users Meeting at the DIVI 2013 Conference in
    Leipzig, Germany in December 2013. A short video summary of the meeting
    can be found here:

  https://www.youtube.com/watch?v=98FuPhIvF0Y&feature=youtu.be

  oThe U.S. Air Force announced funding of a 30 patient, randomized
    controlled human pilot study in the United States amongst trauma patients
    with rhabdomyolysis. The FDA and institutional ethics committees have
    approved the trial, which has now commenced
  oEstablished a world-class Trauma Advisory Board to assist with
    international trauma and burn studies
  oThe National Heart, Lung, and Blood Institute (NHLBI), a division of the
    National Institutes of Health ("NIH"), awarded the Company a Phase I SBIR
    (Small Business Innovation Research) contract to further advance its
    HemoDefend™ blood purification technology for packed red blood cell (pRBC)
    transfusions
  oContinued steady progress on our DARPA and U.S. Army programs in sepsis,
    burn injury and trauma
  oReported interim data from the first arm of the Sepsis Dosing study
    demonstrating that continuous treatment (replacing the CytoSorb® cartridge
    every 24 hours) over 7 days was safe, with cytokine reduction occurring
    throughout the 24 hour period. Overall 28-day mortality was similar to
    that seen in the treatment arm of the European Sepsis Trial in a
    preliminary analysis.

Dr. Phillip Chan, CEO of CytoSorbents, stated, "We are an emerging leader in
critical care immunotherapy where we are working to reduce deadly inflammation
to prevent or treat organ failure. This is a $20 billion worldwide total
addressable market and with CytoSorb®, we are one of the few companies with an
approved product in the European Union targeting this opportunity."

"2013 was an outstanding year for the Company, as outlined in our 2013
Shareholder Letter. I would encourage shareholders to read this letter if
they have not already done so," Dr. Chan continued. "During our first full
year of product commercialization, we experienced strong support for the
CytoSorb® therapy and continue to see solid momentum in 2014, as evidenced by
our Q1 2014 guidance. We believe our recent fundraise of $10.2 million will
help to further catalyze the growth of our business, with proceeds focused on
CytoSorb® sales and clinical studies."

"Please join us on the earnings call today at 4:15PM EDT where we will cover
our progress in greater detail. The investor presentation and a written
transcript of the conference call will be available within a week of the
webcast."

Conference Call Details:
Date: Monday, March 31, 2014
Time: 4:15 PM Eastern
Participant Dial-In: (480) 629-9760
Live Presentation Webcast: http://public.viavid.com/index.php?id=108451

An archived recording of the conference call will be available under the
Investor Relations section of the Company's website at
http://www.cytosorbents.com/invest.htm

Fiscal Year 2013 Financial Results

For the year ended December 31, 2013, the Company generated revenue of
approximately $2,423,000 as compared to revenues of approximately $1,343,000
for the year ended December 31, 2012, an increase of more than 80%.

Revenue from product sales was approximately $822,000 for the year ended
December 31, 2013, as compared to approximately $152,000 in the year ended
December 31, 2012, an increase of 442%. Fourth quarter 2013 product sales of
CytoSorb® were approximately $314,000, an increase of 54% over third quarter
2013 product sales. This increase in sales is the direct result of the
efforts of our direct sales force covering Germany, Austria, and Switzerland,
as well as sales to distributors in other parts of Europe, India, and the
Middle East.

Another approximately $37,000 in revenues related to orders invoiced during
the fourth quarter of 2013 will be recognized in Q1 2014 due to common freight
carrier delays and pick-up of the products on January 2, 2014. Our revenue
recognition policies require that we recognize revenue on products at the time
when title and risk of loss passes to the customer, which occurs when the
products are picked up by the freight carrier.

Product gross margins were approximately 61% for the year ended December 31,
2013.

Revenue from grants was approximately $1,601,000, as compared to approximately
$1,191,000 in the year ended December 31, 2012.

The Company reported an operating loss of $4.7 million for the year ended
December 31, 2012, compared to an operating loss of $3.7 million in the
previous year. Cash used by operating activities in 2013 was $3.5 million
compared to $3.6 million in 2012. Cash and cash equivalents was $2.2 million
as of December 31, 2013 compared with $1.7 million at December 31, 2012.

On March 7, 2014, the Company entered into subscription agreements with
certain investors providing for the issuance and sale by the Company (the
"Offering") of40,800,000 units (the "Units") for an aggregate purchase price
of $10,200,000, or $0.25 per share.The Company received net proceeds from
the Offering of approximately $9,451,000 million. The net proceeds received by
the Company from the Offering will be used to build additional sales and
marketing infrastructure, clinical studies, working capital and general
corporate purposes.

2014 First Quarter Revenue Guidance

CytoSorbents expects to report 2014 first quarter CytoSorb® product revenue in
the range of $530,000 to $570,000 (unaudited) with product gross margins in
excess of 60%.

About CytoSorbents

CytoSorbents Corporation is a critical care focused immunotherapy company
using blood purification to modulate inflammation -- with the goal of
preventing or treating multiple organ failure in life-threatening illnesses.
Organ failure is the cause of nearly half of all deaths in the intensive care
unit, with little to improve clinical outcome. CytoSorb®, the Company's
flagship product, is approved in the European Union as a safe and effective
extracorporeal cytokine filter, designed to reduce the "cytokine storm" that
could otherwise cause massive inflammation, organ failure and death in common
critical illnesses such as sepsis, burn injury, trauma, lung injury, and
pancreatitis. These are conditions where the risk of death is extremely high,
yet no effective treatments exist. CytoSorbents' purification technologies are
based on biocompatible, highly porous polymer beads that can actively remove
toxic substances from blood and other bodily fluids by pore capture and
surface adsorption. CytoSorbents has numerous products under development based
upon this unique blood purification technology, protected by 32 issued US
patents and multiple applications pending, including HemoDefend™,
ContrastSorb, DrugSorb, and others. Additional information is available for
download on the Company's website: http://www.cytosorbents.com/

Forward-Looking Statements

This press release includes forward-looking statements intended to qualify for
the safe harbor from liability established by the Private Securities
Litigation Reform Act of 1995. Forward-looking statements in this press
release are not promises or guarantees and are subject to risks and
uncertainties that could cause our actual results to differ materially from
those anticipated. These statements are based on management's current
expectations and assumptions and are naturally subject to uncertainty and
changes in circumstances. We caution you not to place undue reliance upon any
such forward-looking statements. Actual results may differ materially from
those expressed or implied by the statements herein. Risk factors are detailed
in the Company's Form 10-K filed with the SEC on March 31, 2014, which is
available at http://www.sec.gov.

CYTOSORBENTS CORPORATION
(a development stage company)
CONDENSED CONSOLIDATED STATEMENT OF OPERATIONS
(amounts in thousands, except per share data)
                                                                                                    Year Ended
                                                                                                    December 31,
                                                                                                    2013        2012
Revenues
                        Sales                                                           $    822 $    152
                        Grant income                                                            1,601       1,191
                        Total revenue                                                        2,423       1,343
Cost of revenue                                                                                   1,912       319
Gross profit                                                                                      511         1,024
Expenses:
                        Research and development                                          1,739       2,532
                        Legal, financial and other consulting                                     908         627
                        Selling, general and administrative                                2,577       1,355
                        Total operating costs and expenses                                  5,224       4,514
Operating loss                                                                               (4,713)     (3,490)
Other expenses, net                                                                               423         565
Net loss before benefit from income taxes                                                         (5,136)     (4,055)
Benefit from income taxes                                                                        (458)       (391)
Net loss                                                                         (4,678)     (3,664)
Preferred stock dividend                                                                2,395       2,511
Net loss available to common stockholders                                                       $ (7,073)   $ (6,175)
Earnings per share:
                        Basic and diluted earnings per share                               $  (0.03)  $  (0.03)
                        Basic and diluted weighted average shares outstanding                       236,019,972 198,228,289



CYTOSORBENTS CORPORATION
(a development stage company)
CONDENSED CONSOLIDATED BALANCE SHEETS
(amounts in thousands)
                                       December         December
                                       31,               31,
                                       2013                    2012
ASSETS:
Cash and cash equivalents     $              $       
                                       2,183                     1,729
Grant and accounts receivable,         453                     52
net
Inventories                   246                     682
Prepaid expenses and other current     605                     476
assets
      Total current                    3,487                   2,939
      assets
Property and equipment, net    145                     146
Other assets                   414                     254
      TOTAL ASSETS               $              $       
                                       4,046                     3,339
LIABILITIES AND STOCKHOLDERS'EQUITY:
Accounts payable                $            $       
                                       787                         801
Accrued expenses and other current     362                     350
liabilities
Deferred revenue           272                     ---
Convertible notes payable,             1,644                   926
net
      Total current                    3,065                   2,077
      liabilities
      Total liabilities        3,065                   2,077
Redeemable Series B Convertible        15,246                  12,887
Preferred Stock
Total stockholders'                    (14,265)                (11,625)
equity
      TOTAL LIABILITIES AND EQUITY     $ 4,046                 $ 3,339



SOURCE CytoSorbents Corporation

Website: http://www.cytosorbents.com
Contact: Company Contact: CytoSorbents Corporation, Dr. Phillip Chan, Chief
Executive Officer, (732) 329-8885 ext. *823, pchan@cytosorbents.com; or
Investor Contact: CytoSorbents Corporation, Amy Vogel, (732) 329-8885 ext.
*825, avogel@cytosorbents.com
 
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