ERBA Diagnostics (ERB) 8-K Ivax Diagnostics Releases Fourth Quarter and Year End Results

Exhibit 99.1

IVAX DIAGNOSTICS RELEASES FOURTH QUARTER AND YEAR END RESULTS

2003 Net Revenues Increase 27.7% Compared to Prior Year

MIAMI—(BUSINESS WIRE)—March 18, 2004—IVAX Diagnostics, Inc. (AMEX:IVD) reported financial results for the year and fourth quarter ended December 31, 2003. IVAX Diagnostics reported net revenues for the year ended December 31, 2003 of $17,673,000, compared to $13,841,000 from the same period of the previous year, an increase of 27.7%. For the year ended December 31, 2003 the net loss was $675,000, compared to a net loss of $2,830,000 for the year ended December 31, 2002, a reduction of 76.1%. Net revenues for the fourth quarter of 2003 were $4,394,000, compared to $4,315,000 from the same period of the previous year. The net loss for the fourth quarter of 2003 was $97,000 compared to a net loss of $583,000 for the fourth quarter of 2002.

Giorgio D’Urso, CEO and President of IVAX Diagnostics, said, “Our results for the year were significantly improved, primarily resulting from revenue increases associated with our transaction with Sigma Diagnostics, significant improvement in our gross margins, and increases in reagent revenue generated from new instrument placements. For the year ended December 31, 2003, placements of our Mago^® Plus system in the United States increased 20% over the previous year. We expect that our ongoing success with the Mago^® Plus system will continue to fuel our future growth until our proprietary PARSEC^™ System is launched in the U.S. market later this year. We believe that this new system will allow us to continue building upon the automation strategy that we have created for the laboratory market. Furthermore, we are pleased to see an improvement in our financial results for the fourth quarter of 2003, especially with the reduction of our net loss to $97,000 for the quarter. For the year, we generated cash flows from operating activities of $530,000 during 2003 compared to cash used in operating activities of $2,251,000 during 2002.”

Phillip Frost, M.D., IVAX Diagnostics’ Chairman said, “We are very pleased to see the continued positive developments at IVAX Diagnostics. We believe that continued internal growth, strategic alliances, and selective acquisitions in thein vitro diagnostics market sector will allow us to build a diagnostics company that will be a major force in the diagnostics industry.”

About IVAX Diagnostics, Inc.

IVAX Diagnostics, Inc., headquartered in Miami, Florida, develops, manufactures and markets proprietary diagnostic reagents, instrumentation and software in the United States and Italy through its three subsidiaries: Diamedix Corporation, Delta Biologicals S.r.l. and ImmunoVision, Inc. IVAX Corporation (AMEX:IVX, LSE:IVX.L) owns approximately 72% of IVAX Diagnostics, Inc.

Except for the historical matters contained herein, statements in this press release are forward-looking and are made pursuant to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. Investors are cautioned that forward-looking statements involve risks and uncertainties that may affect the business and prospects of IVAX Diagnostics, Inc., including, without limitation: risks and uncertainties regarding thePARSEC^™System, including, without limitation, that thePARSEC^™System may not perform as or be available when expected, that thePARSEC^™System may not be a factor in the future growth of IVAX Diagnostics, that IVAX Diagnostics may not be successful in its marketing of thePARSEC^™System, and that customers may not integrate thePARSEC^™

System into their operations as readily as expected; that improved financial performance or results may not occur; that IVAX Diagnostics’ automation strategy may not prove successful; that IVAX Diagnostics may not enter into additional strategic alliances, transactions or acquisitions; that IVAX Diagnostics may not experience internal or external growth; that theMago^® Plus system may not fuel the future growth of IVAX Diagnostics; and that IVAX Diagnostics may not become a major diagnostic company; and other risks and uncertainties that may cause results to differ materially from those set forth in the forward-looking statements. In addition to the risk factors set forth above, investors should consider the economic, competitive, governmental, technological and other factors discussed in IVAX Diagnostics’ filings with the Securities and Exchange Commission.

IVAX DIAGNOSTICS, INC.

RESULTS OF OPERATIONS

Period Ended December 31, (In thousands, except per share data)	Three months						Year
	2003			2002			2003			2002
	(Unaudited)
Net revenues	$	4,394		$	4,315		$	17,673		$	13,841
Cost of sales		1,990			2,198			7,484			7,265
Gross profit		2,404			2,117			10,189			6,576
Operating expenses:
Selling		1,330			1,395			5,335			4,636
General and administrative		953			1,144			4,588			4,011
Research and development		302			318			1,297			1,427
Total operating expenses		2,585			2,857			11,220			10,074
Loss from operations		(181	)		(740	)		(1,031	)		(3,498	)
Other income (expense), net		109			127			436			542
Loss from continuing operations before income taxes		(72	)		(613	)		(595	)		(2,956	)
Provision (benefit) for income taxes		25			(30	)		80			(126	)
Net loss	$	(97	)	$	(583	)	$	(675	)	$	(2,830	)
BASIC AND DILUTED LOSS PER SHARE:	$	—		$	(.02	)	$	(.02	)	$	(.10	)
BASIC AND DILUTED AVERAGE SHARES OUTSTANDING:		27,656			28,028			27,590			28,488

IVAX DIAGNOSTICS, INC.

CONDENSED BALANCE SHEETS

(In thousands)

	December 31, 2003		December 31, 2002
ASSETS
Current assets	$	28,264	$	27,178
Property, plant and equipment, net		2,128		1,996
Other assets		7,973		8,249
Total assets	$	38,365	$	37,423
LIABILITIES AND SHAREHOLDERS’ EQUITY
Current liabilities	$	3,931	$	3,657
Other long-term liabilities		471		370
Shareholders’ equity		33,963		33,396
Total liabilities and shareholders’ equity	$	38,365	$	37,423

Contact:	Duane M. Steele
	IVAX Diagnostics, Inc.
	305-324-2338
	www.ivaxdiagnostics.com