Date: Wed, 24 May 2000 17:59:12 EDT

Uroplasty, Inc. Announces Fiscal 2000 Year End Results

MINNEAPOLIS, May 24 /PRNewswire/ --

Uroplasty (OTC Bulletin Board: UROP.OB) announced today that its worldwide net sales for the fiscal year ended March 31, 2000 were $5,560,019, a 5% increase over the net sales in fiscal 1999, while unit sales of the Company's primary product Macroplastique(R) Implants increased 13% in fiscal 2000 compared to fiscal 1999. Changes in foreign currency rates and the sales mix of customers had decreasing effects on net sales in fiscal 2000 compared to fiscal 1999. Operating loss for fiscal 2000 was $(1,291,358) compared to operating income of $121,801 in fiscal 1999. Net loss for fiscal 2000 was $(1,348,834) compared to net income of $331,906 in fiscal 1999. Research and Development expense, including costs associated with clinical studies and new product development activities, increased 36% to $1,684,178 in fiscal 2000. Sales and marketing expense increased 43% or $625,670 in fiscal 2000 due to expansion of sales forces and sales related activities.

Uroplasty, Inc. designs, manufactures, and markets medical products primarily for the treatment of urinary incontinence. Macroplastique and related ancillary products are currently sold in markets outside the United States. Macroplastique is an injectable solid silicone implant administered in a minimally-invasive, outpatient procedure for the treatment of stress urinary incontinence, male incontinence due to prostate surgery, and vesicoureteral reflux, or back flow of urine from the bladder to the kidney, a condition occurring mostly in children. Pursuant to Food and Drug Administration guidelines, the Company is currently conducting a human clinical trial in the U.S. using Macroplastique to treat female stress urinary incontinence. The Company is also introducing in markets outside the U.S. the Macroplastique Implantation System, an improved delivery device intended to make Macroplastique available to a broader base of physicians and female incontinence patients.

Uroplasty, Inc.

Summary of Operations

Fiscal Year Ended

3/31/00 3/31/99

Net Sales $ 5,560,019 $ 5,308,587 

Operating Income (Loss) (1,291,358) 121,801 

Net Income (Loss) (1,348,834) 331,906

Earnings (Loss) Per Share: $ (0.23) $ 0.06 

Diluted (0.23) 0.06

Weighted average common shares and common share equivalents outstanding: 

Basic 5,926,936 5,624,625 

Diluted 5,926,936 5,934,037

The Company may from time to time, in an attempt to provide assistance in understanding its anticipated future financial performance, make written or oral "forward-looking statements" such as may be contained in this news release, in its filings with the Securities and Exchange Commission (SEC), and elsewhere. "Forward-looking statements" are, however, by their very nature, subject to known and unknown risks and uncertainties relating to the Company's future performance that may cause the actual results, performance or achievements of the Company or the industry, to differ materially from those expressed or implied in any such "forward-looking statements."

Investors are cautioned that any "forward-looking statements" made by the Company here or elsewhere are qualified by and subject to the warnings and cautionary statements contained above and in the "Risk Factors" and "Forward Looking Statements" sections of its filings with the SEC.

Uroplasty, Inc. stock is currently traded on the NASD Bulletin Board system under the symbol "UROP.OB".

FOR FURTHER INFORMATION CONTACT MR. MAJOR OR VISIT OUR WEB SITE AT

URPOPLASTY, INC.

Donald A. Major, CFO

2718 Summer Street NE

Minneapolis, MN 55413-2820

Phone: 612-378-1180

Fax: 612-378-2027

SOURCE Uroplasty, Inc.

CO: Uroplasty, Inc.

ST: Minnesota

IN: MTC

SU: ERN