Amigos and All Spectranectics (SPNC) Possible turnaround keep close tabs on it alittle risky. Three alerts today.
SPNC develops, manufactures and markets a proprietary excimer laser system(what ever that is) for the ablation of tissue, specifically addressimg multiple cardiovascular disorders. There are rumors on yahoo of news coming out but they wont say what. There is also a thread on SI. Discover Brokers web site is down for a couple hours tonight for maintiance and thats were I get to Zacks and Thompsons so I lack most FA insite Im sure it doesent look that good though becuse its a possible turnaround. Most recent finacials off Yahoo news as follows have to go out tonight for alittle while some Im pressed for time.
Thursday January 29, 8:16 am Eastern Time
Company Press Release
SOURCE: The Spectranetics Corporation
Spectranetics Reports Record Revenues For Fourth
Quarter
31% Revenue Increase Over 1996 Fourth Quarter Follows 11% Revenue
Increase Over 1996 Third Quarter
Widened Loss for Quarter, Year, Reflects Increased Spending On
Operations, Marketing, R&D
COLORADO SPRINGS, Colo., Jan. 29 /PRNewswire/ -_ The Spectranetics Corporation
(Nasdaq: SPNC - news) today reported record revenues for the second consecutive quarter as the
Company's newly approved procedure for removal of pacemaker and defibrillator leads with the
CVX-300(R) excimer laser system continued to expand sales.
Fourth-quarter revenues were $6,491,000, the highest in any quarter in Spectranetics' 13-year
history. Laser system sales and rentals rose 130% and sales of disposable laser devices increased
32% compared to fourth quarter 1996. The 31% revenue increase over 1996 fourth quarter
revenues followed an 11% revenue gain in the third quarter of 1997 over the 1996 quarter.
For the quarter, net loss widened to $1,123,000 or $0.06 per share from $331,000 or $0.02 per
share reported in the prior-year quarter. While cost of revenues rose 25% to $2,956,000 in the
quarter, gross margins improved from 52% to 54%. The widened loss was due primarily to an
increase in operating expenses from $3,092,000 to $4,697,000 as the Company continued its
programmed buildup of operations, marketing and sales, along with increased spending for research
and development and clinical studies.
Strong second-half revenues resulted in a 6% increase in 1997 net revenues to $21,878,000. Net
loss for the year widened to $4,620,000 or $0.25 per share from $1,367,000 or $0.07 per share in
1996.
''Revenue increases in the second half of 1997 reflect the acceptance of new cardiovascular
applications for the excimer laser, primarily the laser removal of pacemaker and defibrillator leads,''
said Joseph A. Largey, President and Chief Executive Officer. ''With more than 600,000 of these
leads being implanted yearly in heart patients, the issue of removal of leads is a growing clinical
problem for which the excimer laser provides a safe, cost- effective procedure.''
Following clinical trials showing a 94% success rate for the excimer laser in removal of leads from
patients, the Food and Drug Administration in late 1997 approved the procedure for market
release. The older mechanical method, which is lengthier and more invasive, had only a 65%
success rate in the Company's 1997 trial.
Spectranetics has trained 60 medical centers worldwide in lead removal and is focusing substantial
clinical, marketing and operational expenditures on the new procedure, Mr. Largey said.
The Company's cash position at the end of 1997 increased from $7,150,000 to $8,590,000.
The Spectranetics Corporations develops and markets technology for interventional cardiovascular
therapy. The Company's core technology is the CVX-300(R) excimer laser system. It is the only
excimer laser system approved by the FDA for cardiovascular procedures and is used in coronary
angioplasty; the removal of pacemaker and implanted defibrillator leads; transmyacardial
revascularization (TMR), and the crossing of total occlusions in coronary and peripheral (leg)
arteries. The excimer laser dissolves tissue in a photo- ablative process, as opposed to burning
tissue.
NOTE: Spectranetics and CVX-300 are registered trademarks of The Spectranetics Corporation.
The Spectranetics Corporation
Condensed Consolidated Statements of Operations
(000's, except per share data)
(unaudited)
Three Months Ended Year Ended
December 31, December 31,
1997 1996 1997 1996
Net revenues $6,491 $4,965 $21,878 $20,679
Cost of revenues 2,956 2,373 11,263 10,418
Gross margin 3,535 2,592 10,615 10,261
Gross margin % 54% 52% 49% 50%
Operating expenses:
Selling & administration4,023 2,655 13,174 10,313
Research & development 674 437 2,243 1,684
Total operating expenses 4,697 3,092 15,417 11,997
Loss from operations (1,162) (500) (4,802) (1,736)
Other income 89 169 232 369
Net loss before income
taxes (1,073) (331) (4,570) $(1,367)
Income taxes (50) --- (50) ---
Net loss after income
taxes $(1,123) $(331) $(4,620) $(1,367)
Net loss per share $(0.06) $(0.02) $(0.25) $(0.07)
Weighted average shares
outstanding 18,725 18,503 18,654 18,430
Condensed Consolidated Balance Sheets
(000's, unaudited)
Dec. 31, Dec. 31,
1997 1996
Assets
Current assets
Cash, cash equivalents
and securities $8,590 $7,150
Accounts receivable 4,505 3,651
Inventories 2,315 1,628
Other current assets 295 396
Total current assets 15,705 12,825
Property - net 3,906 3,486
Other assets 5,714 6,728
Total assets $25,325 $23,039
Liabilities and stockholders' equity
Current liabilities and deferred revenue8,118 4,038
Long term leases, deferred revenue,
note payable 3,144 491
Stockholders' equity 14,063 18,510
Total liabilities and stockholders'
equity $25,325 $23,039
Joe |
