Integrated Surgical Systems Reports First Quarter Results
biz.yahoo.com
Record First Quarter Revenues from Accelerating Product Sales
SACRAMENTO, Calif., May 11 /PRNewswire/ -- Integrated Surgical Systems, Inc.
(ISS) (Nasdaq: RDOC; EASDAQ), a leading developer of computer-controlled
robotic products for surgical applications, today reported financial results for
the first quarter ended March 31, 1998.
For the first quarter, net revenues were $1.4 million compared with $642,000 in the
first quarter of 1997. Net loss for the quarter was $2.0 million, or $0.37 per
common share assuming 5.5 million weighted average shares outstanding,
compared to a
net loss of $802,000, or $0.24 per share on 3.4 million weighted average shares
outstanding, in the first quarter of 1997.
Commenting on the quarter, ISS President and CEO, Dr. Ramesh Trivedi said, ''We continued
to make significant progress in expanding our installed base throughout the world
and our first quarter revenues reflect that success. Our most recent ROBODOC(R) sale in
Rothenburg, Germany, brings our total system sales up to 16. Even though the system
was shipped to the customer in March, the complete installation and acceptance did
not occur by the end of the quarter. Hence, unfortunately, the system revenue will be
recognized in our second quarter. The Rothenburg sale marks an important move
into the eastern European market. The European area represents significant
opportunity for our surgical robotic technology and we intend to leverage our
growing momentum there in marketing to other countries, especially France, Spain
and Italy, through both our distributor network and direct sales force.''
Also during the first quarter, ISS received orders from two new orthopedic prosthesis
suppliers, AESCULAP AG & CO., KG and DePuy Orthodpadie GmbH. ''We are pleased with
the rate at which we are able to secure these important software development
agreements. These contracts further increase our capability to meet the growing
needs of our rapidly expanding group of customers by providing them with a fuller
range of implants available for surgeries. In addition to validating the importance
of our products, we believe that these agreements will continue to be an important
source of revenues for ISS going forward,'' added Dr. Trivedi. Revenue from
these contracts will likely be recognized in the third quarter of 1998.
''One of our key objectives in 1998 is to file a pre-market approval application (PMA)
with the Food and Drug Administration (FDA) in support of obtaining marketing
clearance for the ROBODOC System in the U.S. We are highly focused on this critical
goal as we believe that the U.S. represents a significant market opportunity
for our technology and we are on track to complete this filing in the second quarter
of the year,'' commented Dr. Trivedi.
Other meaningful events during the quarter included the company's receipt of
a one-year extension on its grant from the National Institute for Standards
and Technology (NIST). This grant was originally awarded to ISS and IBM in 1995
for the joint development of software to be used in connection with hip revision
surgery. When complete, this technology will significantly reduce the time and
complexity of hip revision surgery.
The Company
Integrated Surgical Systems, Inc. develops, manufactures, markets and services
computer-controlled, image-directed robotic products for surgical applications.
The ROBODOC(R) Surgical Assistant System (ROBODOC) consists of a surgical robot
and a computer work station, ORTHODOC(R), which utilizes the company's
proprietary software for preoperative surgical planning. The ROBODOC System has
been used to perform precise total hip replacement surgical procedures
on more than 2,300 patients worldwide. ROBODOC is currently being marketed
in Europe and Japan, and ISS is expected to file for FDA approval in the U.S. this
year. NeuroMate(TM), ISS' neurosurgery product, is the first robotic technology for
use in stereotactic brain surgeries. ISS has installed seven NeuroMate systems
in France and Japan which have supported neurosurgery on more than 1,500 patients
to date.
Except for the historical information contained herein, the matters discussed in
this news release are forward-looking statements that involve risks and uncertainties,
including the timely development and market acceptance of new products and
upgrades to existing products, the impact of competitive products and pricing, and
other risks detailed from time to time in the company's filings with the Securities
and Exchange Commission (SEC).
Note: ROBODOC(R) and ORTHODOC(R) are registered trademarks of Integrated Surgical
Systems, Inc. NeuroMate(TM) is a trademark of Innovative Medical Machines International, S.A.
INTEGRATED SURGICAL SYSTEMS, INC.
CONSOLIDATED STATEMENTS OF OPERATIONS
(unaudited)
Three Months Ended March 31,
1998 1997
Net Sales $1,383,360 $641,989
Cost of sales 622,773 215,458
Gross profit 760,587 426,531
Operating expenses:
Selling, general and
administrative 1,377,641 624,664
Research and development 1,490,284 645,354
Stock compensation 18,000 45,000
Total operating expenses 2,885,925 1,315,018
Other income (expense):
Interest income 100,108 71,342
Other (10,320) 23,731
Loss before provision for
income taxes (2,035,550) (793,414)
Provision for income taxes 9,051 9,000
Net loss $(2,044,601) $(802,414)
Basic net loss per common share $(0.37) $(0.24)
Shares used in per-share
calculations 5,526,642 3,362,513
SOURCE: Integrated Surgical Systems, Inc.
--------------------------------------------------------------------------------
|
