The results came out as expected, with the exception of the extra $1million increase in sales costs. I am pleased that ABAX are prepared to spend money now on increasing its sales force to address the issue raised by JB regards market penetration for the Piccolo. The success of the Aurora deal (20 units) shows that National Orders are on the way, and the strategy of selling direct has worked out for the Vetscan.

The outlook is now much stronger than it was last quarter as we see a clearer path to higher growth (with more products). I would suggest that this is not the time to sell, but an opportunity to buy as surely the stock price will jump on any announcement of multiple Piccolo sales.

Consumables with a higher profit margin now represent 69% of sales and of the 1461k disc sold 490k were medical (33%). Total revenue split 72% VET, 28% Med.

Perhaps JB should upgrade to BUY on the grounds that ABAX has now addressed the issue of Piccolo market penetration, and allow his followers to profit, rather than waiting until after the event, when the price will jump.

I am waiting to see earnings projections, and possibly we can reach $0.20 next quarter, and get back on track.