Earnings Out.....
Hemagen Reports Record Totals in Both Annual Sales and Net Income
WALTHAM, Mass.--(BW HealthWire)--Dec. 18, 1997--Hemagen
Diagnostics Inc. (NASDAQ:MHGN;HMGNW)(BSE:HGN) today reported
record sales of $12,991,000 and record net income of
$405,000 ($0.05 per share) for the fiscal year which ended Sept.
30. This compares with revenue of $10,219,000 and a net loss of
$464,000 ($0.08 per share) in fiscal 1996.
Hemagen also reported fourth quarter profits of
$185,000 ($0.02 per share) on revenues of $3,555,000 compared with
profits of $127,000 on revenues of $3,102,000 during the fourth
quarter of fiscal 1996. Dr. Carl Franzblau, president of Hemagen,
noted that the company has now been profitable for six consecutive
quarters. "We have also been named by Deloitte and Touche and Hale
and Dorr as one of the 50 fastest growing companies in New England
based on revenue. We have grown 742% since 1992."
The 1997 net income was the result of increased sales from the
company's Nov. 1, 1996 acquisition of CPI, increased sales from a
full year sales from the company's March 1, 1996 acquisition of RAI
(compared to seven months in 1996) and increased sales from our
Waltham, Mass. facility.
Dr. Franzblau said that while the year's solid revenue growth of
27%, and sustained profitability represented major milestones for the
company, he was equally proud of the accomplishments during the year
in the areas of Research and Development. "We had 16 new products
cleared for sale by the FDA during the year, and three more since
year end," Franzblau stated. "These new products, along with a
strategic partnership we have made with another manufacturer have
greatly enhanced our product offerings in both our ELISA and
clinical chemistry product lines."
Hemagen Diagnostics Inc. develops, manufactures and markets more
than 110 FDA-cleared proprietary medical diagnostic test kits used
to aid in the diagnosis of autoimmune and infectious diseases and to
measure important constituents in human blood. The company focuses
on markets which offer significant growth opportunities.
Except for any historical information contained herein, the
matters discussed in this press release contain forward-looking
statements that involve risks and uncertainties which are described
in the company's Securities and Exchange Commission reports and
filings.
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Consolidated Financial Statements
HEMAGEN DIAGNOSTICS INC. AND SUBSIDIARIES
(Unaudited)
Statement of Operations
Three Months Ended Twelve Months Ended
Sept. 30, Sept. 30,
1997 1996 1997 1996
REVENUES $3,555,360 $3,102,125 $12,991,102 $10,219,335
COSTS AND EXPENSES
Cost of product
sales 1,917,097 1,730,780 7,597,981 6,213,398
Research and
development 348,692 281,816 1,078,116 813,758
Selling, general
and administrative 1,062,258 871,014 3,808,000 3,237,045
3,328,047 2,883,610 12,484,097 10,264,201
OPERATING INCOME
(LOSS) 227,313 218,515 507,005 (44,866)
Other income
(expense) (42,566) (91,269) (101,875) (419,120)
INCOME (LOSS) BEFORE
INCOME TAXES AND
MINORITY INTEREST 184,747 127,246 405,129 (463,986)
Provision (benefit)
for income taxes 0 0 0 0
NET INCOME (LOSS) $184,747 $127,246 $405,129 $(463,986)
Net income (loss)
per share $0.02 $0.02 $0.05 (0.08)
Weighted average
shares outstanding 7,776,890 7,620,890 7,676,561 5,666,357
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Balance Sheet (condensed)
Sept. 30, Sept. 30,
1997 1996
ASSETS
Current assets:
Cash and cash equivalents $294,086 $756,919
Short-term investments 730,827 1,360,249
Accounts receivable 2,288,793 1,673,791
Inventory 3,953,601 3,176,180
Prepaid expenses and other
current assets 221,646 271,800
TOTAL CURRENT ASSETS 7,488,953 7,240,939
Net property and equipment 2,545,470 2,931,879
Other assets 1,512,227 1,636,412
TOTAL ASSETS $11,546,650 $11,809,230
LIABILITIES AND STOCKHOLDERS
EQUITY
Current liabilities:
Accounts payable and accrued
expenses $785,135 $1,428,790
Current portion of long-term
debt 347,388 395,034
Notes payable 198,983 0
TOTAL CURRENT LIABILITIES 1,331,506 1,823,824
Long-term debt 189,281 562,672
Minority interest in
consolidated subsidiary 0 0
Stockholders equity $10,025,863 $9,422,734
TOTAL LIABILITIES AND
STOCKHOLDERS EQUITY $11,546,650 $11,809,230
*T
CONTACT:
Hemagen Diagnostics Inc.
William Franzblau, 781/890-3766 |
