Here's the latest I could find on Tseng. Sorry it's so lengthy.
Tseng might be at a good entry point now. It is under 9.
Mike
Monday July 22 8:47 AM EDT
Tseng Labs Reports Second Quarter and Six Month
Results
Sales Increase 64% From Immediately Preceding Quarter
NEWTOWN, Pa.--(BUSINESS WIRE)--July 22, 1996--Tseng Labs, Inc. (Nasdaq National Market: TSNG) today announced financial results for its second quarter and six month period ended June 30, 1996.
As compared to the first quarter of 1996, net sales increased 64% to $6,744,000 from $4,107,000. The Company's net loss of $1,031,000 for the three months ended June 30, 1996, reflects an improvement from the $1,417,000 net loss reported in the preceding quarter.
As compared to the second quarter of 1995, net sales decreased from $9,498,000 to $6,744,000 and the Company reported a net loss of $1,031,000 or $.05 per share compared to net income of $304,000 or $.02 per share.
Net sales for the first half of 1996 were $10,851,000 compared to $20,980,000 in the first half of 1995. Net loss for the first half of 1996 of $2,448,000 or $.13 per share compared to net income for the first six months of the prior year of $1,360,000 or $.07 per share. Tseng Labs' financial results during the first half of 1996 were impacted by declining sales and margin pressure on older products during the Company's transition to the new ET6000T product generation.
The improvement in sales in the second quarter of 1996 as compared to the first quarter reflects production shipments and market acceptance of the ET6000. Management noted that sales and gross profit margins are expected to further improve in the third quarter as sales of ET6000-based products are expected to increase and represent a larger percentage of the Company's total sales.
In addition, in 1996 the Company has made significant long-term investments in its facilities, engineering systems and personnel, and operating, sales and marketing personnel. While these investments continue to impact operating margins in the short-term, the Company believes these investments will position the Company for future growth.
John Vigna, Executive Vice President and Chief Operating Officer of Tseng Labs, commented, "Higher sales in the second quarter reflect initial shipments to a number of major add-in board manufacturers, many of whom introduced their ET6000-based solutions at CeBit and Comdex Spring earlier this year. Volume production commenced late in the quarter, with the majority of ET6000 sales occurring in June. Board companies currently offering products based upon the ET6000 include STB Systems, Hercules Computer Technology, Videologic, Jazz Multimedia, Compro Technology, Cardex and Britek Electronics. We are pleased that STB Systems' ET6000-based Lightspeed 128 received a Best Buy award and was the top rated graphics board by PC World in its August 1996 product review. We believe that the ET6000 provides an unmatched price/performance solution for the rapidly growing multimedia computing market and expect production volumes to ramp in the third quarter."
NOTE: All forward looking information are estimates of Tseng Labs, Inc.'s management and are subject to various risks and uncertainties that may influence the Company's development efforts, products and technologies and other risks as detailed from time to time in the Company's SEC reports and filings. NOTE TO EDITORS: Tseng and ET6000 are trademarks of Tseng Labs, Inc.
Founded in 1983, Tseng Labs, Inc. is a leading designer and manufacturer of graphics and video processors for personal computers. Internet users may visit the Company's website at tseng.com.
TSENG LABS, INC.
Condensed Consolidated Statements of Operations
(In Thousands, except share amounts)
(Unaudited)
Three Months Ended Six Months Ended
June 30 June 30
1996 1995 1996 1995
Net Sales $ 6,744 $ 9,498 $ 10,851 $ 20,980
Cost of Sales 5,515 7,309 9,345 15,345
Gross Profit 1,229 2,189 1,506 5,635
Research & Development 1,193 712 2,480 1,477
Selling, General
& Administrative 1,989 1,612 3,614 3,171
Operating Income (Loss) (1,953) (135) (4,588) 987
Interest Income 367 570 821 1,068
Income (Loss) Before
Income Taxes (1,586) 435 (3,767) 2,055
Income Taxes (Benefit) (555) 131 (1,319) 695
Net Income (Loss) $ (1,031) $ 304 $ (2,448) $ 1,360
Net Income (Loss) Per Share $ (.05) $ .02 $ (.13) $ .07
Weighted Average Number
of Shares Outstanding 18,988 18,988 18,978 18,977
Condensed Consolidated Balance Sheets
June 30, December 31,
1996 1995
(Unaudited)
Assets
Cash and Short-Term Investments $ 27,340 $ 39,214
Accounts Receivable, net 5,009 5,924
Inventories 3,548 3,408
Prepaid Expenses and other 9,800 2,574
Total Current Assets 45,697 51,120
Property and Equipment, net 8,811 7,696
Deferred Costs, net 5,166 3,817
Other Assets 2,135 2,038
$ 61,809 $ 64,671
Liabilities and Stockholders' Equity
Accounts Payable $ 2,380 $ 2,834
Accrued Expenses 658 1,131
Total Current Liabilities 3,038 3,965
Deferred Income Taxes 2,311 2,311
Stockholders Equity 56,460 58,395
$ 61,809 $ 64,671
CONTACT: Tseng Labs, Inc.
Mark Karsch
Senior V.P. and C.F.O.
(215) 968-0502
OR
TSENG'S INVESTOR RELATIONS COUNSEL:
The Equity Group Inc.
Tamara Ehlin
(212) 836-9607 |
