E-Z-EM: Earnings News Release Contact: Dennis J. Curtin Chief Financial Officer Phone: 1-800-544-4624, ext. 320 E-Z-EM, INC., ANNOUNCES RESULTS FOR FOURTH QUARTER AND FISCALYEAR 1998 RECORD NET SALES POSTED FOR QUARTER AND YEAR Westbury, New York; July 27, 1998 E-Z-EM, Inc. (AMEX EZM.A and EZM.B) today announced record net sales for the fourth quarter and fiscal year ended May 30,1998. For the quarter, net sales increased 15% to $28,075,000 from the prior year's fourth quarter. Net earnings were $1,099,000, $.11 per share, compared to a loss of $2,918,000, ($.29) per share in the fourth quarter of fiscal 1997. Commenting on the quarterly results, E-Z-EM Chairman Howard S. Stern said, "We are very pleased to report that both of E-Z-EM's business units were profitable during the fourth quarter. Operating profit for the entire Company in the quarter improved by $5.5 million due to increased sales and gross profit and lower operating expenses. Last year's fourth quarter included charges of approximately $1.6 million due to manufacturing site relocation and the deferred Initial Public Offering of our AngioDynamics subsidiary. Our Diagnostics segment recorded operating profit of $1.3 million compared to a loss of $.3 million last year. Results for AngioDynamics, which manufactures angiographic, thrombolytic and stent/angioplasty medical devices,improved to $.2 million from last year's fourth quarter loss of $3.7 million." The Company posted record net sales of $102,884,000 for fiscal 1998, a 6% increase from the previous year. There was a net loss of $5,967,000, ($.60) per share, compared to a loss of $3,208,000, ($.33) per share, last year. Results were adversely affected by a non-cash accounting charge of over $4.1 million or ($.41) per share taken in the third quarter. This charge related to an impairment of certain long-lived assets for use in the cardiovascular market. "Both segments posted strong sales numbers for the year," said Stern. "Worldwide, sales of Diagnostic products excluding intersegment sales were up 5%, despite a $3 million increase in domestic rebates related to contracts with Group Purchasing Organizations. AngioDynamics sales excluding intersegment sales increased 9%. Enteric Products, Inc., a subsidiary included in the Diagnostics segment and which markets products for detection of ulcer-causing Helicobacter pylori bacteria, increased sales and revenues 24% to almost $5 million." For additional information on E-Z-EM, the world's largest manufacturer of contrast agents for gastrointestinal radiology, please contact Frank Kerrigon at 1-800-544-4624, ext. 325, or visit our corporate website at www.ezem.com. The statements made in this press release contain certain forward-looking statements that involve a number of risks and uncertainties. Actual events or results may differ from the Company's expectations. In addition to the matters described in this release, future actions by the FDA, results of pending or future clinical trials, as well as the risk factors listed from time to time in the Company's SEC reports, including but notlimited to its Annual Report on Form 10-K for the year ended May 30, 1998, may affect the actual results achieved by the Company. FINANCIAL RESULTS OF FOURTH QUARTER FOR E-Z-EM, INC. (AMEX-EZM.A AND EZM.B) FOURTH QUARTER ENDED MAY 30, 1998 MAY 31, 1997 INCREASE (DEC.)1998 VS. 1997 INCOME STATEMENT DATA: NET SALES DIAGNOSTIC $22,427,000 $21,378,000 5% ANGIODYNAMICS $5,800,000 $3,739,000 55% ELIMINATIONS ($152,000) ($716,000) - $28,075,000 $24,401,000 15% GROSS PROFIT DIAGNOSTIC $8,302,000 $7,300,000 14% ANGIODYNAMICS $2,462,000 $514,000 379% ELIMINATIONS ($26,000) $18,000 - $10,738,000 $7,832,000 37% GROSS PROFIT AS A PERCENT OF SALES 38.2 32.1 - OPERATING EXPENSES BEFORE IMPAIRMENT $9,249,000 $11,882,000 (22%) IMPAIRMENT OF LONG-LIVED ANGIODYNAMICS ASSETS - - - OPERATING PROFIT (LOSS) DIAGNOSTIC $1,319,000 ($318,000) - ANGIODYNAMICS $168,000 ($3,750,000) - ELIMINATIONS $2,000 $18,000 - $1,489,000 ($4,050,000) - NET EARNINGS (LOSS) $1,099,000 ($2,918,000) - EARNINGS (LOSS) PER COMMON SHARE BASIC AND DILUTED $.11 ($.29) - WEIGHTED AVERAGE COMMON SHARES BASIC 10,008,162 9,920,229 - DILUTED 10,372,772 9,920,229 - YEAR ENDED MAY 30, 1998 MAY 31, 1997 INCREASE (DEC.) 1998 VS. 1997 INCOME STATEMENT DATA: NET SALES DIAGNOSTIC $83,566,000 $80,838,000 3% ANGIODYNAMICS $19,892,000 $18,662,000 7% ELIMINATIONS ($574,000) ($2,176,000) - $102,884,000 $97,324,000 6% GROSS PROFIT DIAGNOSTIC $30,220,000 $28,794,000 5% ANGIODYNAMICS $7,263,000 $7,783,000 (7%) ELIMINATIONS ($50,000) ($7,000) - $37,433,000 $36,570,000 2% GROSS PROFIT AS A PERCENT OF SALES 36.4 37.6 - OPERATING EXPENSES BEFORE IMPAIRMENT $38,663,000 $41,481,000 (7%) IMPAIRMENT OF LONG-LIVED ANGIODYNAMICS ASSETS $4,121,000 - - OPERATING PROFIT (LOSS) DIAGNOSTIC $1,988,000 ($1,088,000) - ANGIODYNAMICS ($7,317,000) ($3,816,000) (92%) ELIMINATIONS ($22,000) ($7,000) - ($5,351,000) ($4,911,000) (9%) NET EARNINGS (LOSS) ($5,967,000) ($3,208,000) (86%) EARNINGS (LOSS) PER COMMON SHARE BASIC AND DILUTED ($.60) ($.33) (82%) WEIGHTED AVERAGE COMMON SHARES BASIC 9,952,482 9,870,732 - DILUTED 9,952,482 9,870,732 - # # # Ends.