May 13, 1999 10:43
AccuMed Reports Increase in First Quarter Earnings
CHICAGO, May 13 /PRNewswire/ -- AccuMed International, Inc. (Nasdaq: ACMI) today reported income for the first quarter ended March 31, 1999 was $6,122,000, or $1.12 per share, versus a loss of $2,795,000, or $0.68 per share, for the first quarter of 1998. Income for the first quarter of 1999 included $8,199,000 from discontinued operations, or $1.50 per share, compared to income of $1,511,000, or $0.37 per share, for the first quarter of 1998. The 1999 first quarter loss from continuing operations declined $1,060,000 to $2,077,000, or $0.38 per share from a loss of $3,137,000 in the comparable 1998 quarter, or $0.77 per share.
The 1998 quarter also included an extraordinary loss of $1,168,000, or $0.28 per share, due to debt extinguishment.
Paul F. Lavallee, Chairman and CEO, commented, "With the sale of our microbiology business we have cleaned up our balance sheet which now includes in excess of $4 million in cash. The cash balance will increase significantly with the anticipated closing next month of the previously announced licensing agreement with Bell National. Additionally, the company will continue to receive the benefit of the expense reduction programs which were implemented during 1998. The company should now be viewed as a development stage company which is increasing its intellectual property portfolio to protect its pursuit of a screening system for the detection of early lung cancer."
Lavallee also noted, "We are seeing an increased interest to purchase our AcCell-Savant research instrument as well as the licensing of our AcCell and Savant technologies in niche markets."
AccuMed International, Inc., headquartered in Chicago, is a global advanced cytodiagnostics and information solutions company. AccuMed is an emerging leader in integrated, technology-driven systems that accommodate the diagnostic cytology laboratory's need to maintain quality while achieving a more cost-effective operation.
Except for the historical information contained herein, the matters discussed in this news release are deemed "forward-looking statements" under federal securities laws that involve risks and uncertainties. Actual results may differ materially from those in the forward-looking statements depending on a number of factors, including, among other things, the ability to maintain long-term relationships with corporate partners, the ability to bring products to market through the regulatory approval process, uncertainty of future profitability, financing requirements, and other factors detailed in AccuMed's filing with the Securities and Exchange Commission.
ACCUMED INTERNATIONAL, INC. AND SUBSIDIARY CONDENSED CONSOLIDATED BALANCE SHEETS
Unaudited Audited ASSETS March 31, 1999 December 31, 1998
Current Assets
Cash and cash equivalents $4,384,997 $213,386
Accounts receivable, net - 33,348
Prepaid expenses 44,140 64,048
Inventory 1,810,748 1,738,611
Total current assets 6,239,885 2,049,393
Fixed assets, net 1,312,827 1,488,809
Deferred financing costs - 177,625
Purchased technology 4,685,368 5,085,018
Patents and other, net 925,642 884,564
Net assets of discontinued operations - 3,762,397
Total $13,163,722 $13,447,806
LIABILITIES AND STOCKHOLDERS' EQUITY
Current liabilities
Accounts payable $1,551,752 $1,808,249
Payroll and related accruals 35,000 35,000
Accrued interest - 189,069
Income taxes - current 140,000 -
Other current liabilities 609,891 255,292
Long term debt, current portion 535,326 1,155,400
Total current liabilities 2,871,969 3,443,010
Long term debt - 5,781,850
Stockholders' equity
Preferred stock, series A convertible 4,249,735 4,329,466
Common stock, $0.01 par value 54,919 54,801
Additional paid-in capital 59,619,262 59,539,649
Other comprehensive income (107,697) (53,995)
Accumulated deficit (53,307,729) (59,430,238)
Treasury stock (216,737) (216,737)
Total stockholders' equity 10,291,753 4,222,946
Total $13,163,722 $13,447,806
ACCUMED INTERNATIONAL, INC. AND SUBSIDIARY
CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS
For the Three Months Ended March 31,
Unaudited
1999 1998
Sales $11,435 $56,629
Cost of sales (3,413) (192,325)
Gross profit (loss) 8,022 (135,696)
Operating expenses:
General and administrative 1,021,657 1,403,394
Research and development 455,039 789,685
Sales and marketing 71,228 397,794
Total operating expenses 1,547,924 2,590,873
Operating loss (1,539,902) (2,726,569)
Other income (expense):
Interest expense (470,026) (498,148)
Other income (expense) (66,762) 87,480
Total other expense (536,788) (410,668)
Loss before income taxes from
continuing operations (2,076,690) (3,137,237)
Income tax expense - -
Loss from continuing operations (2,076,690) (3,137,237)
Discontinued operations:
Income (loss) from operations (158,250) 1,510,747
Gain on disposal (net of income
taxes of $140,000) 8,357,449 -
Extraordinary item - debt extinguishment loss - (1,168,080)
Net income (loss) $ 6,122,509 $ (2,794,570)
Basic loss per share from continuing
operations $(0.38) $(0.77)
Income per share from discontinued operations 1.50 0.37
Loss per share from extraordinary item - (0.28)
Basic net income (loss) per share $1.12 $(0.68)
Weighted average common shares outstanding 5,487,832 4,082,677 SOURCE AccuMed International, Inc.
/NOTE TO EDITORS: Visit AccuMed's web site at accumed.com.
For investor information, contact Paul F. Lavallee, Telephone, 312-397-7455,
or Fax, 312-642-3101, or e-mail, ir@accumed.com/
/CONTACT: Paul F. Lavallee of AccuMed International, Inc., 312-642-9200/
/Company News On-Call: prnewswire.com or fax,
800-758-5804, ext. 122638/
/Web site: accumed.com |
