AUSTRALIA'S VITA LIFE SCIENCES POSTS US$2.75 MLN ANNUAL PROFIT.

BRISBANE, March 1 Asia Pulse - Pharmaceutical and healthcare company Vita Life Sciences Ltd (ASX:VLS) has posted a $A5.25 million ($US2.75 million) annual profit, which is a 10 per cent rise above prospectus forecasts, in its first year as a public company.

The company's total revenue rose by 43 per cent to $A37.8 million ($US19.82 million), up from $A27.4 million ($US14.37 million) in 1999.

The rise was largely attributable to Vita Health's expansion of new product ranges to include the Nestle and Sunkist brands, with sales reaching $A30.1 million ($US15.78 million), up 40 per cent from the corresponding period last year.

Vita Medical, which develops and distributes a patented drug delivery system to hospital markets across the globe, recorded a nine per cent increase in sales.

The company said results from Vita medical were hindered by distribution agreements being implemented in the EU, a market which accounted for 65 per cent of the division's revenue last year.

As a result of the new arrangements, Vita Medical has taken control of the distribution of Technegas throughout the European market.

"This is expected to deliver additional revenues as Vita Medical will now receive the majority of income generated from the sale of Technegas units and associated consumables," Vita Life said.