financials are out , page-3

Key points in no particular order

$2 million reduction in current liabilities

Elixia sales dismal - COMPANY SAYS - "We also are expecting after some internal restructuring that Elixia revenues will improve whilst the advertising spend and cost basis associated with that revenue will go down."

$485k in Trade receivables due of which $90k is more than 90 days.

Inventories declined from $964k to $854k

License fees barely worth mentioning at $248k an 18k improvement.

Cash holdings down tp $16.9 million however expecting $7.5 million sometime from R+D Tax rebates.

15% increase in employment costs - as mentioned in the newsletter with Elixia management personnel added.

Approx 50% increase in annual leave liabilities from $166k to $247k - the team has been working harder than last year.

30% increase in occupancy - perhaps a combination of rent sharing with Equine Ergonomics, natural occupancy rises and the additional manufacturing space

though a reduction in lease commitments stretching up to 5 years down from $585k to $318k

35% reduction in research, around $5 mill down to $3mill -

100% rise in amortisation.

Excluding cost of sales, therefore operating costs

This year 16.497
Last year 16.234

as part of, significant movements included
Increase in amortisation - $2.389
Decrease in research - around $1.773