VAUDREUIL-DORION, QUEBEC--(Marketwire - Feb. 20, 2012) - Immunotec Inc. (TSX VENTURE:IMM), a Canadian based company and a leader in the wellness industry (the "Company"), today is pleased to provide the following update.

"This past fiscal year has seen Immunotec undergo significant changes and the Company continues to make progress in meeting its planned objectives. Immunotec's new sales and marketing team is moving quickly to aggressively expand our presence in Mexico while recovering from lost market share in both Canada and US during the recession" said Bob Henry, Immunotec's Chairman and CEO.

In May 2010, we announced that Immunotec had completed the acquisition of certain assets of a licensee of the Company in Mexico, in connection with the distribution of the Company's products in the Mexican territory. During Fiscal 2011, we recorded sales from Mexico of $8.9M compared to $1.6M representing an increase of $7.3 in twelve months. As a result, we are adding offices and infrastructure to support this growth directly in Mexico City.

Financial results for its year ended October 31, 2011 are as follows: Network sales reached $37.4M in 2011 compared to $34.5M for the same period in 2010, an increase of 8.5% or $2.9M. Other revenues which include revenues of products sold to licensees, freight and shipping, charge backs and educational material purchased by our network, reached $5.5M in 2011, a small decrease of $0.4M compared to $5.9M for the same period in 2010.

Margins before expenses, as a percentage of net sales, decreased in 2011 to 29% compared to 31% for year 2010 and primarily attributed to increases in Sales incentives paid which average a payout rate of 51.0%, compared to the 47.7% level in 2010.The increase in sales incentives is predominantly caused by strong recruitment in the Mexican territory.

Operating expenses reached $11.9M and remained very similar to the prior year at $12.0M and saw an improvement in terms of percentage of revenues representing 28% in 2011 compared with 30% in 2010.

Sales and marketing expenses were $4.6M compared to $4.4M in the prior year. Over the past year management made substantial changes to the sales and marketing organizational structure. We have developed new marketing initiatives by increasing the numbers of weekly meetings across North America and providing additional field training and support programs for the Network. This effort is focused toward increasing the company's customer and distributors' base in all key markets.

For the year ended October 31, 2011, adjusted EBITDA was almost the same has the year before reaching $724 thousand, compared to $774 thousand for Fiscal 2010.

Net loss and comprehensive loss totalled $1,1M for the year ending October 31, 2011, compared to a loss of $1.4M for 2010. The total basic and fully diluted loss per share for Fiscal 2011 was $0.016 compared with fully a diluted loss $0.020 for the same period in Fiscal 2010. This variation for the 2011 period resulted primarily from:

Strong revenue growth in Mexico, mitigating decrease in both Canada and the US.
Increase in sales incentives payout during the year, reducing margins as a result of strong recruitment in Mexico.
The reorganization of its overhead structure in the first quarter.

The Company's Board of Directors announced today that Immunotec has entered into a 3 year employment agreement with Mr. Henry whereby he will continue to lead the Company as Chairman and CEO.

"I am looking forward to spending the next few years working with the field associates and the corporate team in taking this business to the next level" said Bob Henry. "I am excited about this opportunity and believe all of us have a great future together"

About Immunotec Inc.

Immunotec is a world class business opportunity supported by unique scientifically proven products that improve wellness. Headquartered with manufacturing facilities near Montreal, Canada, the Company also has distribution capacities to support its commercial activities in Canada and internationally to the United States, Europe, Mexico and The Caribbean.

The Company files its consolidated financial statements, its management and discussion analysis report, its press releases and such other required documents on the SEDAR database at [ www.sedar.com ] and on the Company's website at [ www.immunotec.com ]. The common shares of the Company are listed on the TSX Venture Exchange under the ticker symbol IMM. The TSX Venture does not accept responsibility for the adequacy or accuracy of this release.

CAUTION REGARDING FORWARD-LOOKING STATEMENTS: Certain statements contained in this news release are forward-looking and are subject to numerous risks and uncertainties, known and unknown. For information identifying known risks and uncertainties and other important factors that could cause actual results to differ materially from those anticipated in the forward-looking statements, please refer to the heading Risks and Uncertainties in Immunotec's most recent Management's Discussion and Analysis, which can be found at [ www.sedar.com ]. Consequently, actual results may differ materially from the anticipated results expressed in these forward-looking statements.

Consolidated Balance Sheets

As at October 31,		2011		2010
		$		$

ASSETS

Current assets
	Cash	2,561,969		2,936,456
	Accounts receivable	659,004		782,557
	Inventories	3,326,349		2,605,371
	Prepaid expenses	401,170		382,794
	Future income taxes	270,592		103,099
		7,219,084		6,810,277
Non-current assets
	Property, plant and equipment	5,304,796		5,674,090
	Intangible assets	2,008,000		2,456,651
	Goodwill	833,559		833,559
	Future income taxes	2,694,604		2,382,148
	Other asset	337,971		484,349
		18,398,014		18,641,074

LIABILITIES AND SHAREHOLDERS' EQUITY
Current liabilities
	Demand loan	-		1,000,000
	Accounts payable	935,800		1,593,697
	Accrued liabilities	3,136,168		2,707,076
	Customer deposits	288,192		274,051
	Income taxes payable	58,576		2,041
	Current portion of long-term debt	312,320		147,218
		4,731,056		5,724,083

Long-term debt		2,077,787		239,622
		6,808,843		5,963,705


Shareholders ' equity
	Share capital	3,465,548		3,465,548
	Other equity - Stock options	1,921,288		1,907,584
	Contributed surplus	11,337,796		11,337,796
	Deficit	(5,135,461	)	(4,033,559	)
		11,589,171		12,677,369
		18,398,014		18,641,074




Consolidated Statements of Changes in Shareholders' Equity

For the years ended October 31, 2011 and 2010

	Number of common shares	Share capital	Other equity - Stock options	Contributed surplus	Deficit		Total
		$	$	$	$		$


Balance - October 31, 2009	69,994,300	3,465,548	1,770,093	11,337,796	(2,646,399	)	13,927,038


Net loss	-	-	-	-	(1,387,160	)	(1,387,160	)
Stock-based compensation	-	-	137,491	-	-		137,491


Balance - October 31, 2010	69,994,300	3,465,548	1,907,584	11,337,796	(4,033,559	)	12,677,369


Net loss	-	-	-	-	(1,101,902	)	(1,101,902	)
Stock-based compensation	-	-	13,704	-	-		13,704


Balance - October 31, 2011	69,994,300	3,465,548	1,921,288	11,337,796	(5,135,461	)	11,589,171




Consolidated Statements of Loss and Comprehensive Loss

For the years ended October 31,		2011		2010
		$		$

Revenues
	Network sales	37,396,889		34,453,216
	Other revenue	5,523,390		5,888,000
		42,920,279		40,341,216
Variable costs
	Cost of goods sold	7,586,959		7,729,873
	Sales incentives - Network	19,060,065		16,444,572
	Other variable costs	3,810,679		3,654,375
Margin before expenses		12,462,576		12,512,396

Expenses
	Administrative	6,403,079		6,403,627
	Marketing and selling	4,551,532		4,400,073
	Quality and development costs	905,113		1,182,394
	Amortization	1,170,259		1,193,102
	Other	836,523		828,270
	Financing income	(121,294	)	-
	Financing expenses	155,610		-
		13,900,822		14,007,466
Loss from continuing operations before
income taxes		(1,438,246	)	(1,495,070	)

Income taxes (recovery)
	Current	93,605		98,180
	Future	(479,949	)	(425,711	)
Loss from continuing operations		(1,051,902	)	(1,167,539	)

Loss from discontinued operations		(50,000	)	(219,621	)

Net loss and comprehensive loss		(1,101,902	)	(1,387,160	)

Basic and diluted net loss per share
	Continuing operations	(0.015	)	(0.017	)
	Discontinued operations	(0.001	)	(0.003	)
Total basic and diluted net loss per share		(0.016	)	(0.020	)

Weighted average number of common shares outstanding during the year
Basic and diluted		69,994,300		69,994,300




Consolidated Statement of Cash Flows


For the years ended October 31,			2011		2010
			$		$
Operating activities
Net loss			(1,101,902	)	(1,387,160	)
Loss from discontinued operations			(50,000	)	(219,621	)
Loss from continuing operations			(1,051,902	)	(1,167,539	)
Add (deduct) non-cash items:
		Amortization of property, plant and equipment	540,586		596,468
		Amortization of intangible assets	629,673		596,634
		Other receivables	-		196,954
		Gain on settlement of contingent consideration liability	(64,344	)	-
		Gain on change in fair value of contingent consideration liability	(56,950	)	-
		Unrealized foreign exchange	(8,149	)	-
		Accreted interest	51,720		-
		Future income taxes	(479,949	)	(425,711	)
		Stock-based compensation	13,704		137,491
Cash received prior to working capital variation			(425,611	)	(65,703	)

Net change in non-cash working capital (note 20)			(790,963	)	932,870
Cash (used in) provided by operating activities			(1,216,574	)	867,167
Investing activities
	Business acquisition		-		(570,664	)
	Additions to property, plant and equipment		(171,292	)	(195,031	)
	Additions to intangible assets		(163,989	)	(226,752	)
	Research and development tax credits		146,378		18,536

Cash used in investing activities			(188,903	)	(973,911	)

Financing activities
	Long-term debt		2,200,000		-
	Demand loan		-		1,000,000
	Reimbursement of long-term debt		(9,233	)	-
	Reimbursement of demand loan		(1,000,000	)	-
	Reimbursement of contingent consideration liability		(109,777	)	-

Cash provided by financing activities			1,080,990		1,000,000

Net (decrease) increase in cash from continuing operations			(324,487	)	893,256
Net decrease in cash from discontinued operations			(50,000	)	(219,621	)

Net (decrease) increase in cash during the year			(374,487	)	673,635
Cash at the beginning of the year			2,936,456		2,262,821
Cash at the end of the year			2,561,969		2,936,456

Contributing Sources

Market Wire

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Immunotec Provides Corporate Update and Year End Financial Results

Immunotec Provides Corporate Update and Year End Financial Results