Exhibit 99.1
 
 UROPLASTY REPORTS FINANCIAL RESULTS FOR THE THIRD QUARTER FY2011
 Global sales increase 14%
 Sales to U.S. customers up 33% driven by 64% growth in Macroplastique®
 Urgent® PC customers increase to 236 in the third quarter from 185
in the second quarter of the fiscal year
 Two Additional Regional Medicare Carriers Begin Payment for PTNS
 Conference call today at 4:30 p.m. ET
 MINNEAPOLIS, MN, January 27, 2011
  ®
  ®




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Fiscal Third Quarter and First Nine Months Results for the Period Ended December 31, 2010




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Conference Call
   About Uroplasty, Inc.
   Forward-Looking Information




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For Further Information:Uroplasty, Inc.
    
    EVC GroupDavid Kaysen, President and CEO, or
    
    Doug Sherk/Jenifer Kirtland (Investors)Medi Jiwani, Vice President, CFO, and
    
    415.896.6820Treasurer
    
    Chris Gale (Media)952.426.6140
    
    646.201.5431




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Three Months Ended
    
    
    Nine Months EndedDecember 31,
    
    
    December 31,2010
    
    
    2009
    
    
    2010
    
    
    2009Net sales
    
    $
    3,492,067
    
    
    $
    3,068,142
    
    
    $
    9,772,389
    
    
    $
    8,880,546Cost of goods sold
    
    
    604,566
    
    
    
    505,399
    
    
    
    1,709,731
    
    
    
    1,592,443Gross profit
    
    
    2,887,501
    
    
    
    2,562,743
    
    
    
    8,062,658
    
    
    
    7,288,103Operating expensesGeneral and administrative
    
    
    861,183
    
    
    
    639,608
    
    
    
    2,608,868
    
    
    
    2,201,199Research and development
    
    
    423,794
    
    
    
    401,481
    
    
    
    1,296,431
    
    
    
    1,365,194Selling and marketing
    
    
    2,871,456
    
    
    
    1,702,900
    
    
    
    6,877,402
    
    
    
    5,728,242Amortization
    
    
    211,058
    
    
    
    211,189
    
    
    
    632,508
    
    
    
    634,5054,367,491
    
    
    
    2,955,178
    
    
    
    11,415,209
    
    
    
    9,929,140Operating loss
    
    
    (1,479,990
    )
    
    
    (392,435
    )
    
    
    (3,352,551
    )
    
    
    (2,641,037
    )Other income (expense)Interest income
    
    
    21,135
    
    
    
    21,468
    
    
    
    52,762
    
    
    
    77,097Interest expense
    
    
    (652
    )
    
    
    (1,291
    )
    
    
    (4,537
    )
    
    
    (10,986
    )Foreign currency exchange gain (loss)
    
    
    503
    
    
    
    (8,335
    )
    
    
    12,867
    
    
    
    (23,030
    )Other, net
    
    
    
    
    
    
    
    
    
    
    (192
    )
    
    
    (183
    )20,986
    
    
    
    11,842
    
    
    
    60,900
    
    
    
    42,898Loss before income taxes
    
    
    (1,459,004
    )
    
    
    (380,593
    )
    
    
    (3,291,651
    )
    
    
    (2,598,139
    )Income tax expense
    
    
    8,927
    
    
    
    6,143
    
    
    
    28,260
    
    
    
    29,030Net loss
    
    $
    (1,467,931
    )
    
    $
    (386,736
    )
    
    $
    (3,319,911
    )
    
    $
    (2,627,169
    )Basic and diluted loss per common share
    
    $
    (0.07
    )
    
    $
    (0.03
    )
    
    $
    (0.18
    )
    
    $
    (0.18
    )Weighted average common shares
outstanding:Basic and diluted
    
    
    20,514,530
    
    
    
    14,946,540
    
    
    
    18,314,157
    
    
    
    14,943,638




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December 31, 2010
    
    
    March 31, 2010AssetsCurrent assets:Cash and cash equivalents & short-term investments
    
    $
    14,822,635
    
    
    $
    5,811,269Accounts receivable, net
    
    
    1,547,665
    
    
    
    1,287,440Inventories
    
    
    592,181
    
    
    
    341,497Income tax receivable
    
    
    
    
    
    
    23,820Other
    
    
    308,137
    
    
    
    237,321Total current assets
    
    
    17,270,618
    
    
    
    7,701,347Property, plant, and equipment, net
    
    
    1,133,179
    
    
    
    1,230,771Intangible assets, net
    
    
    1,911,887
    
    
    
    2,533,095Long-term investments
    
    
    6,009,337
    
    
    
    Deferred tax assets
    
    
    112,907
    
    
    
    108,530Total assets
    
    $
    26,437,928
    
    
    $
    11,573,743Liabilities and Shareholders EquityCurrent liabilities:Accounts payable
    
    $
    489,093
    
    
    $
    485,594Current portion  deferred rent
    
    
    35,000
    
    
    
    35,000Income tax payable
    
    
    12,487
    
    
    
    10,000Accrued liabilities:Compensation
    
    
    1,476,238
    
    
    
    903,057Other
    
    
    251,455
    
    
    
    212,028Total current liabilities
    
    
    2,264,273
    
    
    
    1,645,679Deferred rent  less current portion
    
    
    86,079
    
    
    
    112,500Accrued pension liability
    
    
    578,262
    
    
    
    601,037Total liabilities
    
    
    2,928,614
    
    
    
    2,359,216Total shareholders equity
    
    
    23,509,314
    
    
    
    9,214,527Total liabilities and shareholders equity
    
    $
    26,437,928
    
    
    $
    11,573,743




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Nine Months EndedDecember 31,2010
    
    
    2009Cash flows from operating activities:Net loss
    
    $
    (3,319,911
    )
    
    $
    (2,240,434
    )Adjustments to reconcile net loss to net cash used in operating activities:Depreciation and amortization
    
    
    848,385
    
    
    
    567,238Loss on disposal of equipment
    
    
    192
    
    
    
    186Amortization of premium on marketable securities
    
    
    7,226Share-based consulting expense
    
    
    9,739
    
    
    
    Share-based compensation expense
    
    
    279,083
    
    
    
    291,462Deferred income taxes
    
    
    (5,863
    )
    
    
    (3,249
    )Deferred rent
    
    
    (26,421
    )
    
    
    (17,500
    )Changes in operating assets and liabilities:Accounts receivable
    
    
    (261,136
    )
    
    
    91,206Inventories
    
    
    (248,656
    )
    
    
    47,499Other current assets and income tax receivable
    
    
    (48,492
    )
    
    
    (102,998
    )Accounts payable
    
    
    4,474
    
    
    
    (185,406
    )Accrued liabilities
    
    
    610,710
    
    
    
    (348,381
    )Accrued pension liability, net and income tax payable
    
    
    (10,783
    )
    
    
    (58,492
    )Net cash used in operating activities
    
    
    (2,161,453
    )
    
    
    (1,958,869
    )Cash flows from investing activities:Proceeds from maturity of marketable securities
    
    
    4,000,000
    
    
    
    2,500,000Purchases of marketable securities
    
    
    (16,311,352
    )
    
    
    (2,000,000
    )Purchases of property, plant and equipment
    
    
    (128,935
    )
    
    
    (61,334
    )Purchase of intangible assets
    
    
    (11,300
    )
    
    
    Proceeds from sale of property, plant and equipment
    
    
    
    
    
    
    2,000Net cash (used in) provided by investing activities
    
    
    (12,451,587
    )
    
    
    440,666Cash flows from financing activities:Net proceeds from public offering of common stock
    
    
    14,917,059
    
    
    
    Net proceeds from exercise of warrants and options
    
    
    2,467,007
    
    
    
    Net cash provided by financing activities
    
    
    17,384,066
    
    
    
    Effect of exchange rates on cash and cash equivalents
    
    
    (37,554
    )
    
    
    34,771Net increase (decrease) in cash and cash equivalents
    
    
    2,733,472
    
    
    
    (1,483,432
    )Cash and cash equivalents at beginning of period
    
    
    2,311,269
    
    
    
    3,276,299Cash and cash equivalents at end of period
    
    $
    5,044,741
    
    
    $
    1,792,867Supplemental disclosure of cash flow information:Cash paid during the period for interest
    
    $
    
    
    
    $
    6,145Cash received(paid) during the period for income taxes
    
    
    9,633
    
    
    
    (105,877
    )




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Three Months Ended
    
    
    Nine Months EndedDecember 31,
    
    
    December 31,2010
    
    
    2009
    
    
    2010
    
    
    2009Gross ProfitGAAP gross profit
    
    $
    2,887,501
    
    
    $
    2,562,743
    
    
    $
    8,062,658
    
    
    $
    7,288,103% of sales
    
    
    83
    %
    
    
    84
    %
    
    
    83
    %
    
    
    82
    %Share-based compensation
    
    
    4,184
    
    
    
    4,771
    
    
    
    12,851
    
    
    
    23,218Depreciation expense
    
    
    12,007
    
    
    
    14,481
    
    
    
    43,470
    
    
    
    42,780Non-GAAP gross profit
    
    
    2,903,692
    
    
    
    2,581,995
    
    
    
    8,118,979
    
    
    
    7,354,101Operating ExpensesGAAP operating expenses
    
    
    4,367,491
    
    
    
    2,955,178
    
    
    
    11,415,209
    
    
    
    9,929,140Share-based compensation
    
    
    135,947
    
    
    
    60,351
    
    
    
    275,971
    
    
    
    333,365Depreciation expense
    
    
    57,745
    
    
    
    59,462
    
    
    
    172,407
    
    
    
    175,085Amortization expense
    
    
    211,057
    
    
    
    211,189
    
    
    
    632,508
    
    
    
    634,505Non-GAAP operating expenses
    
    
    3,962,742
    
    
    
    2,624,176
    
    
    
    10,334,323
    
    
    
    8,786,185Operating LossGAAP operating loss
    
    
    (1,479,990
    )
    
    
    (392,435
    )
    
    
    (3,352,551
    )
    
    
    (2,641,037
    )Share-based compensation
    
    
    140,131
    
    
    
    65,122
    
    
    
    288,822
    
    
    
    356,583Depreciation expense
    
    
    69,752
    
    
    
    73,943
    
    
    
    215,877
    
    
    
    217,865Amortization expense
    
    
    211,057
    
    
    
    211,189
    
    
    
    632,508
    
    
    
    634,505Non-GAAP operating loss
    
    $
    (1,059,050
    )
    
    $
    (42,181
    )
    
    $
    (2,215,344
    )
    
    $
    (1,432,084
    )