Verdict is in. Good Luck To All !!!
quote.bloomberg.com
Imatron Announces Record Second Quarter Revenues
and Earnings;
Net Income Increases $3.0 Million; Revenues Increase 87% On Sales of Eight EBT
Scanners
Business Editors and Technology Writers
SO. SAN FRANCISCO, Calif.--(BUSINESS WIRE)--July 25, 2000--Imatron Inc.
(Nasdaq:IMAT), manufacturer of Electron Beam Tomography ("EBT") scanners, today
announced record revenues and net income for the second fiscal quarter of 2000.
Revenues for the three months ended June 30, 2000 were $15.5 million, an increase of
87%, compared to revenues of $8.3 million for the same period in fiscal 1999. Net
income for the three months ended June 30, 2000 increased $3.0 million to $1.0
million, or $0.01 per share, compared to a net loss of $1.9 million, or $0.02 per share,
for the same period a year ago.
Revenues for the six months ended June 30, 2000 were $26.9 million, an increase of
99%, compared to revenues of $13.5 million for the same period last year. Net income
for the six months ended June 30, 2000 increased $6.3 million to $1.3 million, or $0.01
per share, compared to a net loss of $5.0 million, or $0.05 per share, for the six month
period one year ago.
Second quarter revenues increased 37% and net income increased 321% from the
Company's first quarter of this fiscal year ended March 31, 2000.
As of June 30, 2000, the Company reported cash and cash equivalents and short-term
investments of $10.1 million, working capital of $26.4 million and a current ratio of 2.8
to 1.
S. Lewis Meyer, Imatron's CEO, commented, "We are extremely pleased to report the
Company's second quarter financial results and strong quarterly sales and earnings
growth. This report provides a clear picture of the Company's progress in many areas,
most notably increased earnings, accelerating revenues, strong product gross margins
and operating expense control, and should be viewed as a clear indicator of the
Company's future growth potential. We are currently investing in developing an
international sales organization that, we are confident, will mirror the experience,
expertise and capability of our domestic sales force. We anticipate a return on this
investment early next year and expect to highlight increases in international sales
throughout 2001. In addition, we are investing in the Company's marketing
organization to leverage our worldwide sales channel to support increased EBT scanner
sales in our next fiscal year. We are proud of the Company's financial accomplishments
and look forward to reporting increasingly profitable quarterly operations throughout the
fiscal 2000 year."
For additional information about Imatron, visit the Company's website at
www.imatron.com.
Imatron Inc. is primarily engaged in designing, manufacturing, marketing, and
supporting high performance electron beam tomography (EBT) scanners based on the
Company's proprietary EBT technology. Imatron's EBT scanner is now in use at more
than 130 major medical facilities and imaging centers around the world, including the
Mayo Clinic, Cedars-Sinai Medical Center, Abbott-Northwestern Hospital, Mount Sinai
Medical Center, University of Iowa, National Institutes of Health, UCLA Medical
Center, St. Francis Hospital, Stanford University, University of Pittsburgh Medical
Center, Edward Cardiovascular Institute, Michigan Heart Imaging, Ohio Heart,
University of Illinois, Arizona Heart Institute, Alfried Krupp Krankenhaus, Essen,
Landeskrankenhaus in Graz, Austria, Cardiology Research Centre in Moscow, Russia,
FAU Erlangen-Nurnberg in Erlangen, Germany, Beijing Hospital in China, HeartScan
Imaging, Cooper Clinic, HealthScan of La Jolla, LifeScore of San Diego and
HealthScan of Plano (Dallas).
Except for the historical information contained herein, the matters discussed in this
news release may contain forward-looking statements that are based on current
expectations and estimates about the industry in which Imatron operates, the estimated
impact of certain technological advances, the estimated impact of published research
studies on scanner sales and procedures, as well as management's beliefs and
assumptions. It is important to note that the Company's actual results could differ
materially from those projected in such forward-looking statements. The factors that
could cause actual results to differ materially include, among others; failed clinical
demonstration of certain asserted technological advantages and diagnostic capabilities;
reliance on product distributors; competition in the diagnostic imaging market; failure
to improve product reliability or introduce new product models and enhancements;
delays in production and difficulty in obtaining components and sub-assemblies from
limited sources of supply; inability to meet cash-on-delivery or prepayment terms from
vendors; determinations by regulatory and administrative government authorities; patent
expiration and denial of patent applications; the high cost of the scanner as compared to
commercially available CT scanners; and the risk factors listed from time to time in the
Company's Securities and Exchange Commission reports, including their reports of
Form 10-K for their current fiscal year.
-0-
IMATRON INC.
Consolidated Statements of Operations
(In thousands, except per share amounts)
Three Months ended Six Months ended
June 30, June 30,
2000 1999 2000 1999
(unaudited) (unaudited)
Revenues
Product sales $13,554 $6,394 $23,162 $9,742
Service 1,703 1,763 3,318 3,380
Other product
sales 260 123 385 388
------- ------- ------- ------
Total revenue 15,517 8,280 26,865 13,510
------- ------- ------- ------
Cost of revenues
Product sales 7,463 4,346 12,508 7,579
Service 1,513 1,293 2,560 2,763
Other product
sales 238 147 370 406
------- ------- ------- ------
Total cost
of revenues 9,214 5,786 15,438 10,748
------- ------- ------- ------
Gross profit 6,303 2,494 11,427 2,762
Operating
expenses
Research and
development 1,943 1,659 3,824 3,467
Marketing and
sales 1,992 1,086 3,937 2,254
General and
administrative 1,324 528 2,277 1,334
Goodwill
amortization 36 49 71 69
Restructuring
charges -- -- -- 282
Total
operating
expenses 5,295 3,322 10,109 7,406
------- ------- ------- ------
Operating
income (loss) 1,008 (828) 1,318 (4,644)
Gain (loss) on
sale of assets -- (435) -- 1,060
Interest and
other income 186 18 293 27
Interest expense (7) (46) (13) (87)
------- ------- ------- ------
Income
(loss) from
continuing
operations
before
provision for
income taxes 1,187 (1,291) 1,598 (3,644)
Provision for
income taxes -- -- -- --
------- ------- ------- ------
Income
(loss) from
continuing
operations 1,187 (1,291) 1,598 (3,644)
Loss from
discontinued
operations (143) (636) (306) (1,326)
------- ------- ------- ------
Net
income (loss) $1,044 $(1,927) $1,292 $(4,970)
======= ======= ======= ======
Net income
(loss) per
common share:
Income from
continuing
operations -
basic
and diluted $0.01 $(0.01) $0.01 $(0.04)
------- ------- ------- ------
Loss from
discontinued
operations -
basic and
diluted $0.00 $(0.01) $0.00 $(0.01)
------- ------- ------- ------
Net income
(loss) -
basic and
diluted $0.01 $(0.02) $0.01 $(0.05)
======= ======= ======= ======
Number of
shares used in
basic per share
calculations 102,280 92,064 101,480 90,931
======= ======= ======= ======
Number of shares
used in diluted
per share
calculations 107,349 92,064 106,882 90,931
======= ======= ======= ======
IMATRON INC.
Consolidated Balance Sheets
(In thousands)
June 30, December 31,
ASSETS 2000 1999
(unaudited) (audited)
Current assets
Cash and cash equivalents $8,081 $9,198
Short term investments 1,998 1,999
Accounts receivable (net of allowance
for doubtful accounts of $2,468 and
$2,876 at June 30, 2000 and
December 31, 1999):
Trade accounts receivable 10,442 8,570
Accounts receivable from joint venture 539 582
Inventories 18,701 12,965
Prepaid expenses 1,021 1,030
Net current assets
of discontinued operations -- 1,019
---------- ----------
Total current assets 40,782 35,363
========== ==========
Property and equipment, net 3,492 2,900
Goodwill, net 1,171 1,242
Other assets 476 669
Long-term net assets
of discontinued operations 417 469
Total assets $46,338 $40,643
LIABILITIES AND SHAREHOLDERS' EQUITY
Current liabilities
Accounts payable $2,597 $2,998
Other accrued liabilities 11,429 10,118
Capital lease obligations
- due within one year 33 30
Net current liabilities
of discontinued operations 339 --
---------- ----------
Total current liabilities 14,398 13,146
Deferred income
on sale leaseback transactions 321 367
Deferred income on service contract 120 180
Capital lease obligations 100 125
---------- ----------
Total liabilities 14,939 13,818
---------- ----------
Minority interest 75 93
---------- ----------
Shareholders' equity
Common stock, no par value;
150,000 shares authorized; 104,301 and
100,042 shares issued and outstanding
in 2000 and 1999, respectively
127,594 121,566
Additional paid-in capital 9,694 9,399
Deferred compensation (60) --
Notes receivable from shareholders (3,113) (150)
Accumulated deficit (102,791) (104,083)
---------- ----------
Total shareholders' equity 31,324 26,732
---------- ----------
Total liabilities and shareholders' equity $46,338 $40,643
========== ========== |
