8-K

SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 20549

FORM 8-K

CURRENT REPORT

PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934

Date of Report (Date of earliest event reported):  November 7, 2013 (November 7, 2013)

CHEMBIO DIAGNOSTICS, INC.

(Exact name of registrant as specified in its charter)

Nevada	0-30379	88-0425691
(State or other jurisdiction	(Commission File Number)	(IRS Employer
of Incorporation)		Identification Number)
	3661 Horseblock Road
	Medford, NY 11763
	(Address of principal executive offices)
	631-924-1135
	(Registrant's Telephone Number)

N/A

(Former name or former address, if changed since last report)

Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions:

o  Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425)

o  Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12)

o  Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b))

o  Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c))

ITEM 7.01.  REGULATION FD DISCLOSURE.

On November 7, 2013, the Company issued a press release entitled "Chembio Diagnostics Reports Third Quarter 2013 Financial Results".   A copy of the press release is furnished herewith as Exhibit 99.1.

On November 7, 2013, the Company posted a PowerPoint Presentation to their website entitled "Investor Presentation November 2013."  A copy of the presentation is furnished herewith as Exhibit 99.2.

In addition, also on November 7, 2013, the Company posted an Investor Fact Sheet to their website.  A copy of the fact sheet is furnished herewith as Exhibit 99.3

The information in this Item 7.01 of this Form 8-K is being furnished and shall not be deemed "filed" for the purposes of Section 18 of the Securities Exchange Act of 1934, or otherwise subject to the liabilities of that section. The information in this Item 7.01 of this Form 8-K also shall not be deemed to be incorporated by reference into any filing under the Securities Act of 1933, as amended, or the Securities Exchange Act of 1934, except to the extent that the Company specifically incorporates it by reference.

ITEM 9.01.FINANCIAL STATEMENTS AND EXHIBITS

Exhibits.

99.1	Press Release entitled "Chembio Diagnostics Reports Third Quarter 2013 Financial Results" dated November 7, 2013
99.2	Presentation entitled "Investor Presentation November 2013" dated November 7, 2013.
99.3	Investor Fact Sheet posted to the company website dated November 7, 2013.

SIGNATURES

Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned thereunto duly authorized.

November 7, 2013                                                  Chembio Diagnostics, Inc.

By:    /s/ Lawrence A. Siebert                                      

Lawrence A. Siebert

Chief Executive Officer

EXHIBIT INDEX

Exhibit Number	Description
99.1	Press Release entitled "Chembio Diagnostics Reports Third Quarter 2013 Financial Results" dated November 7, 2013
99.2	Presentation entitled "Investor Presentation November 2013" dated November, 2013.
99.3	Investor Fact Sheet posted to the company website dated November 7, 2013.

EX-99.1

Chembio Diagnostics Reports Third Quarter 2013 Financial Results

Conference Call and Webcast Today at 4:30 pm Eastern

MEDFORD, NY, November 7, 2013 -- Chembio Diagnostics, Inc. (Nasdaq:CEMI), a leader in point-of-care diagnostic tests for infectious diseases, today reported financial results for the three and nine months ended September 30, 2013.

Financial highlights for the 2013 third quarter include the following (all comparisons are with the 2012 third quarter):

• Total revenues of $9.62 million, up 92% compared with $5.01 million

• Product sales of $9.04 million, up 91% compared with $4.75 million

• Operating income of $1.07 million, compared with operating loss of $485,000

• Net income of $717,000 or $0.07 per diluted share, compared with net loss of $292,000 or $0.04 per diluted share

Financial highlights for the first nine months of 2013 include the following (all comparisons are with the first nine months of 2012):

• Total revenues of $21.69 million, up 22% compared with $17.74 million

• Product sales of $20.42 million, up 21% compared with $16.92 million

• Operating income of $1.18 million, compared with $747,000

• Net income of $793,000, or $0.08 per diluted share, compared with $450,000, or $0.05 per diluted share

Lawrence Siebert, Chembio's Chief Executive Officer, stated, "We are very pleased with these outstanding quarterly results, which reflect the $5.3 million order we received during the second quarter, continued strong sales to Alere, and despite the overall increases in revenues and income, a significant decrease in our sales to Brazil as compared with the 2012 comparable periods. For the nine-month period ended September 30, 2013, we have increased our year-to-date revenues by 22%, our net income by over 75%, and our earnings per diluted share by 60%, all as compared with the nine month period in 2012.

"In addition to delivering record revenues, during the third quarter Chembio's development, regulatory and clinical programs made important advances.  We expect to submit a CLIA Waiver application to the U.S. Food and Drug Administration (FDA) for our DPP® HIV 1/2 Assay soon, and we have made good progress in establishing our commercial organization and product launch plan for this product.  This product launch is planned for the beginning of the second quarter of 2014.

"We also expect to submit our Premarket Approval Application (PMA) to the FDA for our DPP® HIV-Syphilis test by the end of this year. We believe there are very significant opportunities for this product in the United States and globally.  Just last week we received our first purchase order for this assay from our distributor in Mexico.  This innovative product is the first-ever multiplex HIV-Syphilis point-of-care test to be approved by the United States Agency for International Development (USAID), and we believe it will also be the first such product to be submitted for FDA approval.

"Our U.S. sales to Alere of our two FDA-approved lateral flow HIV tests have continued to grow, with significant increases of 22% in the year-to-date period and 82% in the comparable period last year.  We are in dialog with Alere concerning a potentially mutually acceptable modification and/or extension of our current agreements.  Such modification results from Alere's introduction of a product that will compete with Chembio's lateral flow HIV tests in the U.S. market.  If a mutually agreeable modification is not completed, then we will pursue other strategies.

Third Quarter Results

Total revenues for the third quarter of 2013 of $9.62 million were up 92% compared with total revenues of $5.01 million in the prior-year period. Product sales in the 2013 third quarter of $9.04 million were up 91% compared with product sales of $4.75 million in the prior-year period, primarily as a result of shipping a majority of the previously-reported $5.3 million order.  Partially offsetting that increase was a decline in DPP® product sales in Brazil. Research and development ("R&D"), milestone, and grant and royalty revenues for the three months ended September 30, 2013 increased to $573,000 from $262,000 in the prior-year period.

Gross margin for the 2013 third quarter increased 135% to $4.06 million compared with $1.73 million for the prior-year period, due primarily to the higher amount of products sold. The amount of product gross margin for the third quarter of 2013 increased 137% to $3.48 million, from $1.47 million in the prior-year period.

R&D expenses in the third quarter of 2013 were $1.60 million, compared with $1.01 million in the prior-year period. The 2013 third quarter included $505,000 of clinical trial expenses related to our DPP® HIV 1/2 Assay CLIA waiver study, compared with $108,000 in the prior-year period.

Selling, general and administrative expenses in the third quarter of 2013 increased to $1.38 million from $1.21 million in the prior-year period, largely due to increased wages and related costs.

Operating income for the third quarter of 2013 was $1.07 million, compared with an operating loss of ($485,000) for the prior-year period.

Net income for the third quarter of 2013 was $717,000, or $0.07 per diluted share, compared with a net loss of ($292,000), or $0.04 per diluted share, for the prior-year period.

Nine-Month Results

Total revenues for the first nine months of 2013 of $21.69 million were up 22% compared with total revenues of $17.74 million in the prior-year period. Product sales in the 2013 first nine months of $20.42 million were up 21% compared with product sales of $16.92 in the prior-year period, primarily due to stronger sales of lateral flow technology products, particularly, in South America (excluding Brazil) and partially offset by declines in DPP® product sales in Brazil to FIOCRUZ.  The research and development ("R&D"), milestone, grant and royalty revenues for the nine months ended September 30, 2013 increased to $1.27 million from $825,000 in the prior-year period.

Gross margin for the 2013 first nine months increased 18% to $9.03 million compared with $7.63 million for the prior-year period, due primarily to the increase of products sold. Product gross margin for the first nine months of 2013 increased 14%, to $7.76 million, from $6.81 million in the prior-year period.

R&D expenses in the first nine months of 2013 were $4.15 million, compared with $3.36 million in the prior-year period. The 2013 first nine months included $1.02 million of clinical trial expenses related to our DPP® HIV 1/2 Assay CLIA waiver study, compared with $663,000 in the prior-year period.

Selling, general and administrative expenses in the first nine months of 2013 increased 5% to $3.70 million from $3.52 million in the prior-year period, largely due to wages and related expenses, and other expenses partially offset by lower commissions paid on DPP® product sales to Brazil, and lower consulting fees.

Operating income for the first nine months of 2013 was $1.18 million, compared with operating income of $747,000 for the prior-year period.

Net income for the first nine months of 2013 was $793,000 or $0.08 per diluted share, compared with net income of $450,000 or $0.05 per diluted share, for the prior-year period.

Balance Sheet Highlights

The Company had cash and cash equivalents of $8.05 million as of September 30, 2013, compared with $2.95 million as of December 31, 2012. The primary reason for this increase was net cash received from the April 2013 common stock funding of $5.40 million. Additional cash for the nine months was provided from net income net of non-cash expenses of $1.85 million and increased accounts payable and other accrued liabilities of $631,000. Partially offsetting these provisions was a use of cash for increased accounts receivable of $650,000 and increased inventories of $1.26 million. Overall, working capital increased by $6.44 million during the nine months to $14.07 million.

Conference Call

To participate on the conference call, please dial (877) 407-0778 from the U.S. or (201) 689-8565 from outside the U.S. In addition, following the completion of the call, a telephone replay will be accessible until November 14, 2013 at 11:59 p.m. Eastern Time by dialing (877) 660-6853 from the U.S. or (201) 612-7415 from outside the U.S. and entering conference ID #:13572542. The conference call may also be accessed via the internet at http://www.investorcalendar.com/IC/CEPage.asp?ID=171835.  An archive of the webcast will be available for 90 days on the Company's website at www.chembio.com.

Those interested in listening to the conference call live via the Internet may do so by visiting the Investor Relations section of Chembio's website at www.chembio.com.  To listen to the live call, please go to the website 15 minutes prior to its start to register, download, and install the necessary audio software.  A replay will be available on the website for a limited time.

About Chembio Diagnostics

Chembio Diagnostics, Inc. develops, manufactures, licenses and markets proprietary rapid diagnostic tests in the growing $10 billion point-of-care testing market. Chembio's two FDA PMA-approved, CLIA-waived, rapid HIV tests are marketed in the U.S. by Alere, Inc. (formerly, Inverness Medical Innovations, Inc.). Chembio markets its HIV STAT-PAK® line of rapid HIV tests internationally to government and donor-funded programs directly and through distributors. Chembio has developed a patented point-of-care test platform technology, the Dual Path Platform (DPP®) technology, which has significant advantages over lateral-flow technologies. This technology is providing Chembio with a significant pipeline of business opportunities for the development and manufacture of new products based on DPP®. Headquartered in Medford, NY, with approximately 200 employees, Chembio is licensed by the U.S. Food and Drug Administration (FDA) as well as the U.S. Department of Agriculture (USDA), and is certified for the global market under the International Standards Organization (ISO) directive 13.485. For more information, please visit: www.chembio.com.

Forward-Looking Statements

Statements contained herein that are not historical facts may be forward-looking statements within the meaning of the Securities Act of 1933, as amended. Forward-looking statements include statements regarding the intent, belief or current expectations of the Company and its management. Such statements, which are estimates only, reflect management's current views, are based on certain assumptions, and involve risks and uncertainties. Actual results, events, or performance may differ materially from the above forward-looking statements due to a number of important factors, and will be dependent upon a variety of factors, including, but not limited to Chembio's ability to obtain additional financing and to obtain regulatory approvals in a timely manner, as well as the demand for Chembio's products. Chembio undertakes no obligation to publicly update these forward-looking statements to reflect events or circumstances that occur after the date hereof or to reflect any change in Chembio's expectations with regard to these forward-looking statements or the occurrence of unanticipated events. Factors that may impact Chembio's success are more fully disclosed in Chembio's most recent public filings with the U.S. Securities and Exchange Commission.

(Tables to follow)

Contacts:

Chembio Diagnostics

Susan Norcott

(631) 924-1135, ext. 125

snorcott@chembio.com

Vida Strategic Partners (investor relations)

Stephanie C. Diaz

(415) 675-7401

sdiaz@vidasp.com

Chembio Diagnostics, Inc. & Subsidiary
Summary of Condensed Consoldidated Results of Operations
UNAUDITED
	For the three months ended					For the nine months ended
	September 30, 2013		September 30, 2012			September 30, 2013		September 30, 2012
Net product sales	$	9,044,714	$	4,745,094		$	20,419,595	$	16,919,436
License and royalty revenue		898		-			898		-
R&D, milestone and grant revenue		572,027		262,292			1,268,821		825,093
TOTAL REVENUES	$	9,617,639	$	5,007,386		$	21,689,314	$	17,744,529
GROSS MARGIN	$	4,056,186	$	1,728,915		$	9,031,251	$	7,632,402
Research and development expenses	$	1,602,297	$	1,005,645		$	4,148,201	$	3,363,819
Selling, general and administrative expenses	$	1,379,845	$	1,208,383		$	3,702,181	$	3,521,552
INCOME (LOSS) FROM OPERATIONS	$	1,074,044	$	(485,113	)	$	1,180,869	$	747,031
OTHER INCOME (EXPENSE):	$	1,477	$	(546	)	$	10,877	$	(2,187	)
Income tax provision (benefit)	$	358,850	$	(193,310	)	$	398,940	$	295,220
NET INCOME (LOSS)	$	716,671	$	(292,349	)	$	792,806	$	449,624
Basic earnings (loss) per share	$	0.08	$	(0.04	)	$	0.09	$	0.06
Diluted earnings (loss) per share	$	0.07	$	(0.04	)	$	0.08	$	0.05
Weighted average number of shares outstanding, basic		9,324,783		8,001,472			8,886,998		7,974,447
Weighted average number of shares outstanding, diluted		9,824,019		8,001,472			9,433,152		8,616,917

Chembio Diagnostics, Inc. & Subsidiary
Summary of Condensed Consolidated Balance Sheets
	September 30, 2013			December 31, 2012
	(UNAUDITED)
CURRENT ASSETS:
Cash and cash equivalents	$	8,045,805		$	2,951,859
Accounts receivable, net of allowance for doubtful accounts of $24,000 and $58,000 at September 30, 2013 and December 31, 2012, respectively		5,505,215			4,821,357
Inventories		3,747,181			2,488,071
Prepaid expenses and other current assets		708,615			747,463
TOTAL CURRENT ASSETS		18,006,816			11,008,750
FIXED ASSETS, net of accumulated depreciation		1,822,746			1,427,646
OTHER ASSETS		4,496,847			4,898,754
TOTAL ASSETS	$	24,326,409		$	17,335,150
CURRENT LIABILITIES:
Accounts payable and accrued liabilities		3,935,036			3,303,923
Current portion of loans payable		-			51,236
Customer deposits		-			23,224
TOTAL CURRENT LIABILITIES		3,935,036			3,378,383
Loans payable - net of current portion		-			82,247
TOTAL LIABILITIES		3,935,036			3,460,630
STOCKHOLDERS' EQUITY:
Common stock - $.01 par value; 100,000,000 shares authorized, 9,324,783 and 8,036,232 shares issued and outstanding for September 30, 2013 and December 31, 2012, respectively		93,248			80,362
Additional paid-in capital		46,827,310			41,116,149
Accumulated deficit		(26,529,185	)		(27,321,991	)
TOTAL STOCKHOLDERS' EQUITY		20,391,373			13,874,520
TOTAL LIABILITIES AND STOCKHOLDERS' EQUITY	$	24,326,409		$	17,335,150

Chembio Diagnostics, Inc. & Subsidiary
Summary of Condensed Consolidated Cash Flow
(UNAUDITED)
	For the nine months ended
	September 30, 2013			September 30, 2012
Net cash provided by operating activities	$	583,808		$	951,742
Net cash used in investing activities		(796,274	)		(715,195	)
Net cash provided by financing activities		5,306,412			43,064
INCREASE IN CASH AND CASH EQUIVALENTS	$	5,093,946		$	279,611

EX-99.2

RAPID Tests for EARLIER Treatment

Investor Presentation

Slide 2

Forward Looking Statements

Statements contained herein that are not historical facts are forward-looking statements within the meaning of the Securities Act of 1933, as amended.  Those statements include statements regarding the intent, belief or current expectations of Chembio and its management. Such statements reflect management's current views, are based on certain assumptions, and involve risks and uncertainties. Actual results, events, or performance may differ materially from the above forward-looking statements due to a number of important factors, and will be dependent upon a variety of factors, including, but not limited to, Chembio's ability to develop, manufacture, market and finance new products and the demand for Chembio's products.  Chembio undertakes no obligation to publicly update these forward-looking statements to reflect events or circumstances that occur after the date hereof or to reflect any change in Chembio's expectations with regard to these forward-looking statements or the occurrence of unanticipated events. Other factors that may impact Chembio's success are more fully disclosed in Chembio's most recent public filings with the U.S. Securities and Exchange Commission.

Slide 3

Investment Summary

• Develops, Manufactures & Markets Point-of-Care Diagnostic Tests (POCTs)

‐ Global Sales – Direct and Through Partnerships

‐ $8B Global Market with Current Pipeline Addressing $650MM portion of market

• Four Consecutive Years of Profitability & Revenue Growth

‐ Revenues and Net Income through Q3'13 up 22% and 75%, respectively

• Patented DPP® - A Platform POCT Technology

‐ Uniquely Enables Multiplexing for Higher Value Tests & Increased Sensitivity

‐ DPP® Oral Fluid HIV Test – FDA-Approved - CLIA waiver pending

‐ DPP® HIV-Syphilis  Test (USAID approved; Anticipate FDA PMA Submission in Q4 2014 )

• Growing Pipeline  of DPP® Products

‐ DPP® Syphilis Screen & Confirm Test

‐ DPP® HCV Ab & HIV Ag-Ab Test

Slide 4

Our Vision & Mission

We are a provider of Point-of-Care diagnostic tests and solutions, helping people live longer and healthier lives.

Our Mission is to become a key provider in the market for rapid diagnostic Point of Care (POC) testing, through the development, manufacture, and commercialization of proprietary technology with superior performance and technical service.

Slide 5

Chembio Products are well Positioned Globally for Growth…

USA

• Distribution through Alere (36% FY12 revenue)

• DPP® HIV PMA approval (Dec'12) / CLIA pending

• Funded Research Collaborations with CDC, DOD, NIH

EU

• CE mark approval for SURECHECK® (July'13)

• CE mark for STATPAK®, DPP® HIV HIV/Syphilis pending

AFRICA

• Procurements primarily funded by PEPFAR, Global Fund, and WHO

• Sales channel ; NGO-direct  & through distributors (11% FY12 revenue)

• Commercial resource deployment

SOUTH/CENTRAL AMERICA

• Strong OEM Partnerships (FIOCRUZ, Labtest); Branded products sold to NGOs, private  distributors (>50% FY12)

Slide 6

POCTs - A Growing $8B Global Market

Long-term Trend Toward  Molecular Levels of Detection

POCTs - A Growing $8B Global Market - Long-term Trend Toward Molecular Levels of Detection

CURRENT CAPABILITIES

· Lateral Flow Technology

· Single Parameter Tests

· DPP® Technology Enabling

· Improved Sensitivity, Multiplexing

R&D

· Signal

· Enhancement  Features

POTENTIAL NEW CAPABILITIES BEING ASSESSED

· Molecular

· Amplification Technologies

Slide 7

Chembio's Lateral Flow Rapid HIV Tests Marketed World-Wide –

• Total $13.5MM  FY 2012

‐ 76% YTD  Increase to $9.1MM Through Q3YTD

• In U.S. Market Sold Exclusively through Alere

‐ $7.8MM in FY 2012

‐ 22% YTD Increase to $7.1 MM Through Q3YTD

‐ Possibility to Sell Direct in 2014

• International Market Sold Through Multiple Channels

‐ $5.7MM in 2012

‐ 172% YTD Increase Through Q3YTD vs. Comparable 2012 Period to $9.1MM YTD

See graphics

Slide 8

Chembio's DPP® Patented Point-of-Care Test Technology  -   POCTs for Early Detection & Improved Health

Proprietary Platform Technology that Uniquely Enables Multiplexing for Higher Value Tests

Increases Sensitivity as Compared with Lateral Flow Technology

Validated with Numerous Partners, Regulatory Agencies

New DPP® Patents Issued in 2013

See graphics

Slide 9

Chembio's  Pipeline: $650MM Total Addressable Market

Chembio Pipeline POCT	Total Market Opportunity	Targeted Launch
HIV POCT – U.S.	$75 MM		Q1 - 2014
HIV-Syphilis & Syphilis Screen-Confirm POCTs- U.S	$75 MM		2H - 2014
Hepatitis C POCT – U.S.	$100 MM		2016
Combined Estimated Market for Above – ex-U.S.	$400 MM	~$16MM in 2012; Significant Growth Opportunities with Current and New Products
TOTAL:	$650MM

Slide 10

Chembio POCT Market  Opportunities: HIV Rapid POCTS

Established, Growing Markets

U.S.

• ~50,000 New Infections in 2012

• USPSTF Recommends Routine Testing

‐ ACA Expanding Coverage by 25MM+

International

• 2.5 MM New Infections Worldwide in 2012

• Designation in PEPFAR & Other Donor-Funded Countries' Testing Protocols

See graphic

Slide 11

Chembio DPP® HIV 1/2 Assay FDA-Approved Dec. '12 CLIA Waiver Expected Q1 2014

· Build on Established  Position/Performance  of Our FDA Lateral  Flow Products with Only Alternative to Current  ~$35MM Oral Fluid Product

· Superior Blood Matrix Performance over Top 4 Market Share Products in Early Detection Study

· Superior Oral Fluid Sensitivity v. Market Leader in Only Head-to-Head Study

· User Friendly, Safe and Efficient SampleTainer™ Sample Collection System

· Separate and Reagent-Free Oral Fluid Collection Device

See graphics

Slide 12

Additional POCT Products in Pipeline DPP® HIV-Syphilis and Syphilis Screen & Confirm Tests

• DPP® HIV-Syphilis POCT

‐ Large Global Market Opportunities for Pre-Natal and MSM Screening; Up to 70% HIV-Syphilis Co-Infection in MSM

‐ Higher Prevalence of  Syphilis (1.9MM) than HIV (1.5MM) in Pregnant Women

‐ International & US Regulatory Approval and Commercialization Efforts Underway

• First Such Test to be USAID-approved

• Anticipate FDA PMA Submission in Q4 2014

• DPP® Syphilis  Screen & Confirm POCT

‐ Eliminates Past Infections, thereby Overtreatment

‐ CE Marked

‐ Being Re-Validated  with Good Progress in Q3 & Q4TD

Slide 13

Chembio's Business Strategy for Growth

· Establish Commercial Capabilities to Increase Revenue and Maximize Profits

· Develop, License or Acquire POCT Products & Technologies that Add Value

· Expand & Improve Manufacturing Capabilities to Supply Our Customers

Slide 14

Commercial Strategy: Top Line Growth (Sales)

Build a Sales & Marketing Organization to Increase Our Revenue and Maximize Profits

Tactic #1:   Move up Value Stream in US Diagnostics Market "USA Direct" for Certain Products

Tactic #2:   Future Growth – New Markets and New Applications

Tactic #3:   Maximize Opportunities in Developing World Markets

Slide 15

Commercial Strategy: Top Line Growth (Sales)

Tactic #1:  Move up Value Stream in US Diagnostics Market "USA Direct" for Certain Products

US Launch Project Plan in Place

Director of Sales & Director of Marketing Candidates Being Finalized

Engaged with Distribution Partners

Ongoing Discussion and Planning around Alere Options

• Anticipating Proposal from Alere

• Ongoing Assessment/Readiness for Alternative Scenarios & Options

Slide 16

Commercial Strategy: Top Line Growth (Sales)

Future Growth – New Markets & New Applications

• Tactic #2: CE Marked Products – New Market Opportunities in EU

• International OEM – e.g. FIOCRUZ, Labtest Brazil, Other Potential OEM Agreements in Other Regions

• Niche Market Channels with HIV Oral Fluid Test

Slide 17

Commercial Strategy: Top Line Growth (Sales)

Maximize Opportunities in Developing World Markets

Tactic #3:  Significant Opportunities for Products in Global Health Programs in Africa and South America

• Pursue Selection for National Testing Algorithms

• Established Sales Director in Africa in Q3 , Other Regions Under Review

Slide 18

Chembio DPP® Sales in Brazil Expanding Relationships and Sales Opportunities

Five DPP® Products with Brazilian MOH Supplier

• $10.1MM 2012 Revenues

• ~$6MM Forecast 2013

New Collaboration with LabTest Brazil

• Leading Brazilian IVD Company

• Addressing Private & Public Markets in Brazil

• Potential Additional Markets, Contract Manufacturing

• Assembly & Distribution - DPP® Co-branded

• 2013 Plan = Initial Products Registrations

Slide 19

Additional Priorities & Areas of Focus:  Technology

Technology  Investment

• New Product Launch (DPP HIV/SYP, SYP S&C)

• Develop New Technologies (HIV 4G, HCV) that Address Healthcare Concerns

• Identify Additional Technologies to License/Acquire that will Complement our Commercial Strategy

See graphics

Slide 20

Additional Priorities & Areas of Focus:  Operations

Manufacturing Operations

• Process Excellence Program  (Lean / Six Sigma)

• Engineering & Automation

• Targeted Cost Savings

‐ Productivity / Labor Efficiencies

‐ Scrap (10% Improvement from FY12)

See graphics

Slide 21

Organization & Facility

• FDA- and USDA-Approved Development & Manufacturing Facility

• All Company Operations in 30,600 Sq. Ft. Leased Facility in Medford, NY

TOTAL EMPLOYMENT: Approximately 200

See graphics

Slide 22

Selected Financial Data FY2008 –2012

2012

Total Revenue $25,611

Product Revenue$ 24,327

Gross Profit $10,790

R&D Expense* $4,486

Pre-Tax Income $1,451

Clinical Trial Expense $1,451

*Non-recurring 2010 $1.5MM R&D Credit from the Affordable Care Act – excluded from 2010 R&D Exp. & 2010 Pre-Tax Income

See graphics

Slide 23

FY2010-2012 - Selected Financial Results

For the Years Ended (in 000's)	Dec 31, 2012				Dec 31, 2011					Dec 31, 2010
Net Product Revenues	$	24,327			$	17,422				$	13,516
Non-Product Revenues		1,283				1,966					3,188
TOTAL REVENUES		25,610				19,388					16,704
GROSS MARGIN		10,790	42	%		9,390		48	%		8,101		48	%
OPERATING COSTS:
Research and Development exp		4,486	18	%		4,878		25	%		2,586	**	15	%
Selling,General &Administrative exp		4,852	19	%		3,424		18	%		2,941		18	%
		9,338				8,302					5,527
INCOME FROM OPERATIONS		1,452				1,088					2,574
NET INCOME-Before Taxes		1,450	6	%		1,076		6	%		2,559		15	%
Income tax (benefit) provision		509				(5,133	)*				46
NET INCOME	$	941	4	%	$	6,209		32	%	$	2,513	**	15	%
Diluted earnings (loss) per share	$	0.11			$	0.73				$	0.29
Weighted avg shs outstanding-diluted		8,614,944				8,556,284					8,865,114

       2012 U.S. Lateral Flow HIV Sales$ 7.8 MM

       2012 Ex-U.S. Lateral Flow HIV Sales         $ 5.7 MM

       2012 Brazil DPP Sales $10.1 MM

* Reflects Tax Benefit from Capitalization of NOL

** Reflects non-recurring 2010 $1.5MM R&D Credit from the Affordable Care Act

See graphics

Slide 24

Third Quarter 2012-2013 Selected Financial Results

Third Quarter Ended (in 000's)	Sept. 30, 2013				Sept. 30, 2012
Net Product Revenues	$	9,045			$	4,745
Non-Product Revenues		573				262
TOTAL REVENUES		9,618				5,007
GROSS MARGIN		4,056	42	%		1,729		35	%
OPERATING COSTS:
Research and Development exp		1,602	17	%		1,006		20	%
Selling,General &Administrative exp		1,380	14	%		1,208		24	%
		2,982				2,214
INCOME FROM OPERATIONS		1,074				(485	)
NET INCOME-Before Taxes		1,076	11	%		(486	)	-10	%
Income tax (benefit) provision		359				(194	)
NET INCOME	$	717	7	%	$	(292	)	-6	%
Diluted earnings (loss) per share	$	0.07			$	(0.04	)
Weighted avg shs outstanding-diluted		9,824,019				8,001,472

2013 - Increased Lateral Flow Revenues –  Partially Offset by Reduced Brazil DPP Revenues

Slide 25

Nine Month 2012-2013 Selected Financial Results

Nine Months Ended (in 000's)	Sept. 30, 2013				Sept. 30, 2012
Net Product Revenues	$	20,420			$	16,919
Non-Product Revenues		1,269				825
TOTAL REVENUES		21,689				17,744
GROSS MARGIN		9,031	42	%		7,632	43	%
OPERATING COSTS:
Research and Development exp		4,148	19	%		3,364	19	%
Selling,General &Administrative exp		3,702	17	%		3,521	20	%
		7,850				6,885
INCOME FROM OPERATIONS		1,181				747
NET INCOME-Before Taxes		1,192	5	%		745	4	%
Income tax (benefit) provision		399				295
NET INCOME	$	793	4	%	$	450	3	%
Diluted earnings (loss) per share	$	0.08			$	0.05
Weighted avg shs outstanding-diluted		9,433,152				8,616,917

2013 - Increased Lateral Flow Revenues – Partially Offset by Reduced Brazil DPP Revenues

Slide 26

CEMI Selected Share & Balance Sheet Data$6MM Common Stock Public Offering Closed on April 3, 2013 1.2MM Shares @ $5.00 per share, $5.450MM Net Proceeds

in millions except per share and daily volume data
Ticker Symbol (NASDAQ)	CEMI
Price 10/31/13	$	3.72
52-Week High	$	5.80
52-Week Low	$	3.00
Outstanding Shares		9.32
Market Capitalization	$	34.69
Fully Diluted Shares		9.99
Management's Holdings		1.55
Avg. Daily Volume (3 mos. to 10/31/13)		40,000
Average Daily Volume (Oct. 2013)		30,000

($ in 000s)Sept.'13 unaudited     Dec.'12

Cash	$	8,046	$	2,952
Total Current Assets		18,007		4,821
Total Assets		24,326		17,335
Total Current Liabilities		3,935		3,378
Total Liabilities		3,935		3,460
Stockholders' Equity		20,391		13,875
Total Liabilities & Stockholders' Equity		24,326		17,335

Options- Mgmt. & BoardTotalAvg. Ex. Price

533K669K    $2.70

Slide 27

2012 & 2013 Milestones Achieved

Product Development/Regulatory

• Received FDA PMA Approval of DPP Oral Fluid HIV Test – CLIA Waiver Pending

• Received CE Mark for Sure Check HIV 1/2 Assay

• USAID Approval of HV-Syphilis Test

Corporate/Operations

• Strengthened Management Team

• Poised for Fifth Straight Year of Sales Growth and Profitability with Strong Gains in Domestic and International Segments

• Strengthened Balance Sheet with Common Stock Issuance, Establishing Institutional Shareholder Base

• Increased Production Capacity to Meet Sales Growth

Commercialization

• Entered International Assembly & Distribution Agreement w/Labtest of Brazil

• Initial International Registrations for HIV-Syphilis ; Receiving Initial Orders

Slide 28

Anticipated Milestones - 2013-2014

Product Development/Regulatory

• Oral Fluid HIV Test CLIA Waiver & Launch

• FDA Submission & Approval of DPP® HIV-Syphilis Test

Corporate/Operations

• Increase Production Capacity

• Pursue Acquisitions or Licenses of Complementary Products/Technologies

• Announcement of New CEO

Commercialization

• Implement US and International Commercial Strategy, Expand Market and Sales Opportunities

• Expand International Revenues for Lateral Flow and DPP® Products

• New Distribution, Contract Development & OEM Deals

Slide 29

Leadership Executive Team

Executive:  Lawrence Siebert, J.D.  Chairman  & CEO

Previous Experience: 1981-1991, Partner, Stanwich Partners, Inc.; 1992-2002 Siebert

 Associates LLC, Manager; Siebert Capital Corp., President

Joined:  2002

Executive:  Richard Larkin, CPA  Chief Financial Officer

Previous Experience: 2000-2003  CFO of Visual Technology Group; 1987-2000 CFO of Protex  International Corp.

Joined:  2003

Executive:  Sharon Klugewicz, M.S.  Chief Operating Officer

Previous Experience: 20+ Years at Pall Corporation, most recently as Sr. VP - Scientific & Laboratory Services

Joined:  2012

Executive:  Javan Esfandiari, M.S.  SVP Research & Development

Previous Experience: 1993-1997, R&D Director On-Site Biotech;

1997-2000, Co-Founder of Sinovus Biotech AB (Sweden), which was acquired by Chembio in 2000

Joined:  2000

Executive:  Thomas Ippolito, VP Regulatory & Clinical Affairs

Previous Experience: 25 years experience in the development of vaccines, therapeutics and IVDs working with several major pharmaceutical, vaccine and diagnostic companies

Joined:  2005

Executive:  Michael Steele, VP Sales Marketing and Business Development

Previous Experience: 20-years of business development and strategy execution at life sciences companies Sera Care Life Sciences, Serologicals, Inc. and Corautus Genetics.

Joined:  2012

Slide 30

Leadership Independent Directors

Gary Meller, M.D., MBA – Director since 2005, Member of: Chairman Compensation Committee, Audit Committee and Nominating and Corporate Governance Committee

President of CommSense Inc., M.D. University of New Mexico School of Medicine, MBA Harvard Business School.

Katherine L. Davis – Director since 2007, Member of: Chair of Audit Committee, Compensation Committee and Chair of Nominating and Corporate Governance Committee, Special CEO Search Committee

Owner of Davis Design Group LLC;  MBA Harvard Business School, Bachelors of Science in Mechanical Engineering from the Massachusetts Institute of Technology.

Peter Kissinger Ph.D. –Director since 2011, Member of: Audit Committee and Special CEO Search Committee

Professor of Chemistry and Associate Department Head at Purdue University; B.S. in Chemistry from Union College, Schenectady, N.Y., and a Ph.D. in Analytical Chemistry from the University of North Carolina in Chapel Hill.

Barbara DeBuono M.D., M.P.H. – Director since 2011, Member of: Compensation Committee, Chairof Special Sub-Committee for CEO Search

Senior Vice President for Market Development at TREO Solutions; B.A. from the University of Rochester, M.D. from the University of Rochester School of Medicine, and Masters in Public Health (M.P.H.) from Harvard University School of Public Health.

Slide 31

Investment Summary

• Develops, Manufactures & Markets Point-of-Care Diagnostic Tests (POCTs)

‐ Global Sales – Direct and Through Partnerships

‐ $8B Global Market with Current Pipeline Addressing $650MM Segment

• Four Consecutive Years of Profitability & Revenue Growth

‐ Revenues and Net Income through Q3'13 up 22% and 75%, respectively

• Patented DPP® - A Platform POCT Technology

‐ Uniquely Enables Multiplexing for Higher Value Tests & Increased Sensitivity

‐ DPP® Oral Fluid HIV Test – FDA-Approved - CLIA waiver pending

‐ DPP® HIV-Syphilis  Test (USAID approved; Anticipate FDA PMA Submission in Q4 2014 )

• Pipeline  of DPP® Products

‐ DPP® Syphilis Screen & Confirm Test

‐ DPP® HCV Ab & HIV Ag-Ab Test