Human Pheromone Sciences Announces Lower Net Losses

SAN JOSE, Calif., Aug. 13 /PRNewswire-FirstCall/ -- Human Pheromone Sciences, Inc. (OTC Human Pheromone Sciences, Inc.) (OTC Bulletin Board: EROX) ("HPS" or "the Company") today announced results for the three and six months ended June 30, 2010. For the three month period ending June 30, 2010, net revenues of $186,000 represented a 17% decrease from the revenues of $224,000 in the prior year period, and resulted in a net loss of $62,000 ($0.01 per share) as compared with a net loss of $84,000 ($0.02 per share) for the same period of 2009.  For the six month period ending June 30, 2010, net revenues of $371,000 were 5% lower than the previous year's $389,000, resulting in a net loss of $160,000 ($0.04 per share) as compared with a net loss of $265,000 ($0.06 per share) in the first six months of 2009. For the first six months of 2010, net cash used in operations was $244,000, as compared to $365,000 in the prior years six month period.  The cash use was within the expectations of the Company.  There was no bank indebtedness at either date.

While revenues decreased in the current quarter by 17%, or $38,000, and for the first six months of the year, 5%, or $18,000, gross profit was virtually unchanged between the three months ending June 30, 2010 and 2009, gross profit increased by $50,000, or 19%, for the six months ending June 30, 2010, a result of the Company's focus on licensing agreements for its proprietary compounds. These agreements provide a significantly higher return since there are no costs associated with licensing revenues. In addition, operating expenses decreased in both periods, for the latest three months by 10% and by 11% for the current six month period. The net loss for both periods was reduced by 26% in the current quarter and 40% for this year's six month period. These results show increasing positive reception of our original technology with current licensees."

Management believes strongly in the potential of the other proprietary technologies that it has invested in over the past several years, especially in ER 303, our sea coral-based technology that has shown very positive mood-enhancing results and has U.S. and foreign patents pending.  Further, the Company is announcing that it has developed another compound that has shown, in initial testing, to significantly alleviate discomfitures associated with women suffering from PMS.

"While licensing is a focus of the Company, liquidity is also a major concern.  As such, we are involved in discussions to enhance our cash position, and obtain funding to realize our long-term licensing opportunities for our pheromone technologies, ER 303 and several other compounds that have shown initial promise in vivo and in vitro," the spokesperson noted.

Human Pheromone Sciences, Inc. is a technology-based company, whose proof-of concept products included prestige-priced fragrances and toiletries and environmental products sold under the Natural Attraction®, REALM®, innerREALM® and  EROX® trademarks.  These products contain mood-enhancing compounds, whose efficacy has been validated at leading universities around the world, and whose use is covered under United States and foreign patents. The Company is also involved in research and product development efforts on new compounds that have been previously identified as stimulating the emotional centers of the human brain. Further information is available on line at www.erox.com.

The statements in this news release may contain forward-looking statements that involve risks and uncertainties that could cause results to differ from predicted results.  Further information on factors that could affect the Company's results is detailed in the Company's annual report to shareholders on Form 10-K for the year ended December 31, 2009, and Form 10-Q for the quarter ended March 31, 2010 and June 30, 2010, as filed with the Securities and Exchange Commission.  The Company undertakes no obligation to publicly release the result of any revisions to these forward-looking statements.

SOURCE Human Pheromone Sciences, Inc.