Health & Fitness
Health and Fitness
Health and Fitness
Wed, February 25, 2009
Tue, February 24, 2009 Trimedyne, Inc.: Trimedyne Reports Its Financial Results for the Quarter Ended December 31, 2008
LAKE FOREST, CA--(Marketwire - February 24, 2009) - TRIMEDYNE, INC. (
Revenues for the quarter were $1,610,000, an increase of 36% from revenues of $1,186,000 for the prior year's quarter. The $424,000 increase in revenues was due to increases in sales of lasers and revenues from service and rentals, offset by a 3.4% decrease in sales of fiber optic devices. While sales of lasers add significant dollars to revenues, lasers typically carry much smaller profit margins than fiber optic devices. The Company had a net loss of $445,000 or $0.02 per share for the current quarter, compared to a loss of $377,000 or $0.02 per share for the prior year quarter.
Commenting on the financial results for the quarter, Marvin P. Loeb, Sc.D., Chairman of Trimedyne, said, "We are pleased with the 36% increase in revenues in the current quarter over the year ago quarter. However, we are not pleased that our net loss for the current quarter was $445,000. Administrative expenses, testing and scaling up for production of the new side firing optical fiber were responsible for a substantial part of the increase in our costs during the quarter and are expected to continue into the next quarter."
Loeb continued, "We have developed a new side firing optical fiber, which will be marketed in the U.S. and Japan by Boston Scientific Corporation and in other countries throughout the world by Lumenis, Ltd. of Yokneam, Israel. Lumenis is one of the largest manufacturers of medical lasers with annual sales of about $300 million. Marketing of the new side firing fiber by Boston Scientific and Lumenis will commence when Boston Scientific has completed its audit of our manufacturing process and quality system, which is expected to take 4 to 5 months. Boston Scientific has not advised us when this audit will be commenced."
Mr. Loeb added, "The new side firing fiber will be used with Lumenis' 80 and 100 watt Holmium Lasers for the treatment of benign prostatic hyperplasia or 'BPH,' commonly called an enlarged prostate, a condition which affects an estimated 50% of men over age 55 and an increasing percentage of men at older ages. Worldwide, approximately 1.2 million men are treated each year in a surgical procedure or a laser procedure to vaporize excess prostate tissue which is obstructing urine flow. The laser procedure is typically performed on an outpatient basis and reduces or eliminates the adverse effects of the surgical procedure, which include substantial bleeding, infections and the risks of general anesthesia, impotence and incontinence."
Trimedyne has also developed a similar side firing optical fiber for use with its 80 watt Holmium Lasers for the treatment of BPH under its VaporMAX® trademark. Trimedyne presently expects to commence worldwide marketing of its VaporMAX® fiber, barring any unforeseen problems, in April 2009.
Trimedyne manufactures proprietary Holmium lasers and patented fiber optic laser devices for a variety of minimally invasive surgical procedures, many of which are performed on an outpatient basis at substantially less cost than conventional surgery. For product, press release, financial and other information, please visit Trimedyne's website, [ http://www.trimedyne.com ].
"Safe Harbor" Statement Under the Private Securities Litigation Reform Act:
Statements in this news release may contain forward-looking statements within the meaning of Section 27A of the U.S. Securities Act of 1933 and Section 21E of the Securities and Exchange Act of 1934, including words like "expect," "may," "could" and others. Such statements may involve various risks and uncertainties, some of which may be discussed in the Company's Form 10-K-SB for the year ended September 30, 2006 and subsequently filed SEC reports. There is no assurance such statements will prove to be accurate, and actual results and future events could differ materially from those anticipated in such statements.
TRIMEDYNE, INC. CONDENSED CONSOLIDATED BALANCE SHEET (UNAUDITED) ASSETS December 31, September 30, 2008 2008 --------------- --------------- Current assets: Cash and cash equivalents $ 1,677,000 $ 2,007,000 Trade accounts receivable, net of allowance for doubtful accounts of $12,000 and $12,000, respectively 950,000 954,000 Inventories 2,478,000 2,584,000 Other current assets 126,000 171,000 --------------- --------------- Total current assets 5,231,000 5,716,000 Property and equipment, net 1,314,000 1,382,000 Other 81,000 83,000 Goodwill 544,000 544,000 --------------- --------------- $ 7,170,000 $ 7,725,000 =============== =============== LIABILITIES AND STOCKHOLDERS' EQUITY Current liabilities: Accounts payable $ 248,000 $ 256,000 Accrued expenses 436,000 469,000 Deferred revenue 78,000 75,000 Accrued warranty 51,000 54,000 Current portion of note payable and capital leases 197,000 237,000 --------------- --------------- Total current liabilities 1,010,000 1,091,000 Note payable and capital leases, net of current portion 363,000 400,000 Deferred rent 68,000 73,000 --------------- --------------- Total liabilities 1,441,000 1,564,000 --------------- --------------- Commitments and contingencies Stockholders' equity: Preferred stock - $0.01 par value, 1,000,000 shares authorized, none issued and outstanding -- -- Common stock - $0.01 par value; 30,000,000 shares authorized, 18,467,569 shares issued, 18,365,960 shares outstanding at September 30, 2008 and 2007 186,000 186,000 Additional paid-in capital 51,438,000 51,425,000 Accumulated deficit (45,182,000) (44,737,000) --------------- --------------- 6,874,000 Treasury stock, at cost (101,609 shares) (713,000) (713,000) --------------- --------------- Total stockholders' equity 5,729,000 6,161,000 --------------- --------------- $ 7,170,000 $ 7,725,000 =============== =============== TRIMEDYNE, INC. CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS (UNAUDITED) For the Three Months Ended December 31, 2008 2007 ------------ ------------ Net revenues $ 1,610,000 $ 1,186,000 Cost of revenues 1,076,000 831,000 ------------ ------------ Gross profit 534,000 355,000 Operating expenses: Selling, general and administrative 716,000 551,000 Research and development 296,000 253,000 ------------ ------------ Total operating expenses 1,014,000 804,000 ------------ ------------ (Loss) from operations (478,000) (449,000) Other income, net 38,000 72,000 ------------ ------------ (Loss) before income taxes (440,000) (377,000) Provision for income taxes 5,000 -- ------------ ------------ Net (loss) $ (445,000) $ (377,000) ============ =========== Net (loss) per share: Basic $ (0.02) $ (0.02) ============ ============ Diluted $ (0.02) $ (0.02) ============ ============ Weighted average number of shares outstanding: Basic 18,365,960 18,365,960 ============ ============ Diluted 18,365,960 18,365,960 ============ ============
