8-K

UNITED STATES

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): August 11, 2008

BIOANALYTICAL SYSTEMS, INC.

(Exact name of registrant as specified in its charter)

Indiana	0-23357	35-1345024
(State or other jurisdiction of incorporation or organization)	(Commission File Number)	(I.R.S. Employer Identification No.)

2701 KENT AVENUE WEST LAFAYETTE, INDIANA	47906-1382
(Address of principal executive offices)	(Zip Code)

Registrant's telephone number, including area code: (765) 463-4527

The information provided in Item 2.02 and Item 9.01 of this Form 8-K is being furnished and shall not be deemed "filed" for the purpose of Section 18 of the Securities Exchange Act of 1934, as amended, or otherwise subject to the liabilities of that Section. The information in Item 2.02 and Item 9.01 of this Form 8-K shall not be incorporated by reference into any registration statement or other document pursuant to the Securities Act of 1933, as amended.

Item 2.02.Results of Operations and Financial Condition.

On August 11, 2008, Bioanalytical Systems, Inc. issued a press release announcing results for its third quarter and nine months of fiscal 2008. The full text of the press release is furnished as Exhibit 99.1 to this Form 8-K and is incorporated herein by reference.

Item 9.01.Financial Statements and Exhibits.

(a) Not applicable.

(b) Not applicable.

(c) Not applicable.

(d) Exhibits

99.1 Bioanalytical Systems, Inc. press release, issued August 11, 2008.

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 hereunto duly authorized.

	Bioanalytical Systems, Inc.
Date: August 12, 2008	By:	/s/ Michael R. Cox
		Michael R. Cox
		Vice President, Finance and Administration, Chief Financial Officer and Treasurer

Exhibit Index

Exhibit No.	Description
99.1	Bioanalytical Systems, Inc. press release, issued August 11, 2008.

EX-99.1

FOR MORE INFORMATION: Michael R. Cox

Phone 765.497.5829

mcox@bioanalytical.com

Bioanalytical Systems, Inc. Reports Earnings from Continuing Operations

WEST LAFAYETTE, Ind., August 11, 2008— Bioanalytical Systems, Inc. (Nasdaq: BASI) today reported financial results for its third quarter and nine months of fiscal 2008, ending June 30, 2008. The Company had previously announced the June 30, 2008 sale of its clinic in Baltimore Maryland and the resulting discontinuance of its Phase I clinical trials business.

For continuing operations, revenue in the third quarter increased 5.4% to $11.4 million compared to $10.9 million for the quarter ended June 30, 2007. Net income from continuing operations for the third quarter was $407,000, or $0.08 per basic and diluted share, compared to net income of $567,000, or $0.12 and $0.11 per basic and diluted share, respectively, for the third quarter of fiscal 2007.

For the nine months ended June 30, 2008, revenue increased 7.2% to $32.3 million compared to $30.1 million for the nine months ended June 30, 2007. Net income from continuing operations for the nine months of fiscal 2008 was $1.4 million, or $0.29 per basic and diluted share, compared to net income from continuing operations of $1.4 million, or $0.28 per basic and diluted share for fiscal 2007.

The net loss from discontinued operations was $661,000, or $0.13 per basic and diluted share, in the quarter ended June 30, 2008 compared to a net loss of $118,000, or $0.03 and $0.02 per basic and diluted share, respectively, in the same period last year. This resulted in a net loss from all operations in the current quarter of $254,000, or $0.05 per basic and diluted share, compared to net income in the same quarter last year of $449,000, or $0.09 per basic and diluted share. For the nine months ended June 30, 2008, net loss was $406,000, or $0.08 per basic and diluted share, compared to net income of $1.1 million in the comparable period of the prior year, or $0.23 per basic and diluted share.

Michael Cox, Chief Financial Officer, stated, “With the strategic decision to sell our only Phase I clinic in June, we will be able to focus on our continuing operations and stress profitable operations. While the current quarter had a slight decrease in net income from continuing operations compared to a very strong quarter in the same period last year, our nine month results showed a 38% increase in pre-tax income from continuing operations compared to last year. We also increased our cash flow from continuing operations for the nine month period from $3.4 million to $4.1 million. We are very encouraged by these results from our continuing operations.”

About Bioanalytical Systems, Inc.

BASi is a pharmaceutical development company providing contract research services and monitoring instruments to the world’s leading drug development companies and medical research organizations. The company focuses on developing innovative services and products that increase efficiency and reduce the cost of taking a new drug to market. Visit www.bioanalytical.com for more about BASi.

This release contains forward-looking statements that are subject to risks and uncertainties including, but not limited to, risks and uncertainties related to the development, marketing and sales of products and services, changes in technology, industry standards and regulatory standards, and various market and operating risks detailed in the company’s filings with the Securities and Exchange Commission.

[TURN THE PAGE FOR CONSOLIDATED STATEMENTS OF OPERATIONS]

CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS

(Unaudited)

(in thousands, except per share amounts)

	Three Months Ended June 30,						Nine Months Ended June 30,
	2008			2007			2008			2007
Service revenue	$	9,068		$	8,937		$	25,653		$	23,353
Product revenue		2,379			1,928			6,660			6,789
Total revenue		11,447			10,865			32,313			30,142
Cost of service revenue		6,240			5,930			17,348			16,637
Cost of product revenue		891			852			2,604			2,892
Total cost of revenue		7,131			6,782			19,952			19,529
Gross profit		4,316			4,083			12,361			10,613
Operating expenses:
Selling		975			687			2,641			2,037
Research and development		212			212			583			668
General and administrative		1,953			1,781			5,624			5,060
(Gain) loss on sale of property and equipment		(1	)		134			7			134
Total operating expenses		3,139			2,814			8,855			7,899
Operating income		1,177			1,269			3,506			2,714
Interest income		—			28			29			52
Interest expense		(251	)		(245	)		(702	)		(717	)
Other income		1			—			5			4
Income from continuing operations before income taxes		927			1,052			2,838			2,053
Income taxes		520			485			1,412			689
Net income from continuing operations	$	407		$	567		$	1,426		$	1,364
Discontinued Operations
Loss from discontinued operations before income taxes	$	(829	)	$	(144	)	$	(2,760	)	$	(406	)
Loss on disposal		(431	)		—			(431	)		—
Tax benefit		599			26			1,359			171
Net loss from discontinued operations after income taxes	$	(661	)	$	(118	)	$	(1,832	)	$	(235	)
Net income (loss)	$	(254	)	$	449		$	(406	)	$	1,129
Basic net income (loss) per share:
Net income per share from continuing operations	$	0.08		$	0.12		$	0.29		$	0.28
Net loss per share from discontinued operations		(0.13	)		(0.03	)		(0.37	)		(0.05	)
Basic net income (loss) per share	$	(0.05	)	$	0.09		$	(0.08	)	$	0.23
Diluted net income (loss) per share:
Net income per share from continuing operations	$	0.08		$	0.11		$	0.29		$	0.28
Net loss per share from discontinued operations		(0.13	)		(0.02	)		(0.37	)		(0.05	)
Diluted net income (loss) per share	$	(0.05	)	$	0.09		$	(0.08	)	$	0.23
Weighted common shares outstanding:
Basic		4,914			4,909			4,913			4,908
Diluted		4,939			4,976			4,979			4,952

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