Champions Oncology Reports Results for the Quarter and Full Year Ended April 30, 2013

Hackensack, NJ – June 10, 2013 – Champions Oncology, Inc. (OTC: CSBR), engaged in the development of advanced technology solutions and services to personalize the development and use of oncology drugs, announced today its financial results for the fiscal quarter ended April 30, 2013. These financial results are unaudited and could change as a result of the year end audit.

Quarterly Highlights

  • Revenue for the quarter of $1.8 million.
  • Increase in number of POS implants and studies of 56% and 70% over same quarter last year.
  • Presentation of 6 Posters on Champions Tumor Graft models and Translational Oncology Solutions at the American Association of Cancer Research annual meeting.

Revenue was $1.8 million, as compared to $1.4 million for the three months ended April 30, 2012.

Total operating expenses were $3.9 million, as compared to $4.0 million for the three months ended April 30, 2012.

Champions reported a net loss of $2.2 million as compared to a net loss of $2.6 million for the three months ended April 30, 2012.

Excluding stock-based compensation of $0.5 million and $0.7 million for the three months ended April 30, 2013 and 2012, Champions recognized a net loss of $1.7 million and a net loss of $1.9 million for three months ended April 30, 2013 and 2012, respectively.

Operating Results

Personalized Oncology Solutions (POS)

The number of implants during the quarter was 42, an increase of 56% over the same period last year. The increase in implants is the result of growing visibility with patients and physicians, the reduction in patient costs

per implant and the recent opening of an office in Singapore. The number of patients for whom studies were completed was 17 for the quarter, an increase of 70% over the same period last year. POS revenues were $0.48 million and $0.49 million for the three months ended April 30, 2013 and 2012, respectively, a decline of 3%. This slight decline was the result of a decline in the revenue from panels and sequencing, offset by an 11% increase in drug study revenues.

POS cost of sales was $0.6 million and $0.9 million for the three months ended April 30, 2013 and 2012, respectively, a decrease of $0.3 million, or 33%. For the three months ended April 30, 2013 and 2012, gross margins for POS were -32% and -80%, respectively. The variability in POS margins is the result of variability in the mix of POS revenue each quarter as well as the changes we made in pricing over the last two years.

Translational Oncology Solutions (TOS)

TOS revenues were $1.3 million and $0.9 million for the three months ended April 30, 2013 and 2012, respectively, an increase of $0.4 million, or 44%.

TOS cost of sales was $0.9 million and $0.6 million for the three months ended April 30, 2013 and 2012, respectively, an increase of $0.3 million, or 50%. For the three months ended April 30, 2013 and 2012, gross margins for TOS were 30% and 28%.

Research and development expense was $0.5 million and $0.4 million for three months ended April 30, 2013 and 2012, respectively, an increase of $0.1 million, or 25%.

Sales and marketing expense was $0.6 million and $1.0 million for the three months ended April 30, 2013 and 2012, respectively, a decrease of $0.4 million, or 40%. The decrease is the result of efficiencies achieved in selling efforts and the redeployment of resources to other activities.

General and administrative expense was $1.2 million and $1.0 million for the three months ended April 30, 2013 and 2012, respectively, an increase of $0.2 million, or 20% due to the continued growth of the Company.

Conference Call Information

The Company will host a conference call on Monday, June 10, 2013, at 4:30 p.m. ET to discuss its fourth quarter financial results. To access the conference call, domestic participants should dial 800-874-4559, Canadian participants should dial 800-696-0876, and international participants should dial 302-607-2019. The participant passcode is “Champions Oncology”.

Full details of the Company’s financial results will be available in the Company’s Form 10-K at www.championsoncology.com.

* Non-GAAP Financial Information

See the attached Reconciliation of GAAP Net Loss to Non-GAAP Net Loss for an explanation of the amounts excluded to arrive at non-GAAP net loss and related non-GAAP loss per share amounts for the three and nine months ended April 30, 2013 and 2012. Non-GAAP financial measures provide investors and management with supplemental measures of operating performance and trends that facilitate comparisons between periods before and after certain items that would not otherwise be apparent on a GAAP basis. Certain unusual or non-recurring items that management does not believe affect the Company’s basic operations do not meet the GAAP definition of unusual or non-recurring items. Non-GAAP net loss and non-GAAP loss per share are not, and should not be viewed as a substitute for similar GAAP items. We define non-GAAP diluted loss per share amounts as non-GAAP net loss divided by the weighted average number of diluted shares outstanding. Our definition of non-GAAP net loss and non-GAAP diluted loss per share may differ from similarly named measures used by others.

Champions Oncology, Inc.

(Dollars in thousands except per share amounts)

Reconciliation of GAAP to Non-GAAP Net Loss (Unaudited)

Condensed Consolidated Statements of Operations (Unaudited)

Condensed Consolidated Balance Sheets (Unaudited)

Condensed Consolidated Statements of Cash Flows (Unaudited)