Martek Triples Sales in 1Q03

Martek Triples Sales in 1Q03

COLUMBIA, Md.--Martek Biosciences Corp. (NASDAQ:MATK) reportedMarch 13 that for its first quarter (1Q03), ended Jan. 31, sales tripled, mainlydue to the support of three major customers.

Revenue was $20.5 million, up almost three-fold from 1Q02's $5.7 million.Gross margin was 39.9 percent of sales, compared to the same year prior's 29.9percent; operating expenses rose to $6.3 million from $5.0 million, mainly dueto expenses related to the company's Martek Boulder acquisition in 1Q02. Netincome was on the plus side, logging in at $2.1 million, or $.09 per shareearned, an improvement over 1Q02's net loss of $2.9 million, of $.15 per sharelost.

More than 90 percent of Martek's revenue was generated by sales ofdocosahexaenoic acid (DHA) and arachidonic acid (AA) to three of the company'sinfant formula licensees: Mead Johnson, Wyeth Ayerst and Abbot Laboratories.

On April 2, the company proposed an offering of 2.8 million shares of commonstock, consisting of 2.5 million shares of common stock offered by the companyand 300,000 shares by one stockholder. The offering is being managed by SalomonSmith Barney; Adams, Harkness & Hill; and Needham & Co.

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