"In recent months we have managed to develop a new proprietary component for this equipment for a far cheaper price," said Irwin Gruverman, CEO for MFIC. "In turn we have been able to manufacture the equipment at a far more competitive price for our customers, putting it in a similar category to homogenising equipment. Put simply microfluidiser equipment is far more effective at blending ingredients than homogenisers and is now in the same price category."
Since this, MFIC says it has received a 30 per cent boost to its orders. New orders totalling a record $3 million, have poured in during the last few months creating a backlog that is expected to continue for the medium-term.
Although most of the orders have been for the pharmaceutical industry, Gruverman believes that it is only a matter of time before significant orders are received from cosmetic companies. Currently the company works with leading cosmetics companies, including L'Oreal and Lane & Curtis, on an international basis. Indeed around half of its sales occur outside the US.
The company says that equipment orders received have included several M-700 Series production volume Microfluidizer processor systems. Also included are orders for a large number of proprietary interaction chambers and replacement parts, to be shipped during 2005, for high volume production Microfluidiser materials processor systems. Additionally, the backlog includes orders for a variety of configurations of laboratory Microfluidiser processor systems, pilot production systems and production systems.
Gruverman added, " The year 2004 looks to be a strong sales year with improving profitability because of these new orders. With the current orders and backlog in hand and existing level of sales quotations, inquiries and orders we can anticipate a significant portion of the 2005 year's sales."
Last year turnover totalled $10 million, a figure which is expected to be significantly higher for the financial year 2004.
MFIC Corporation , through its Microfluidics Division, provides patented and proprietary high performance Microfluidizer) materials processing equipment to the biotechnology, pharmaceutical, chemical, cosmetics/personal care, and food industries. It is a leader in advanced materials processing equipment for laboratory, pilot scale and manufacturing applications, offering technology and solutions for nanoparticles and other materials processing and production.