Criticare Systems records all time best revenue quarter; first revenues produced from new product line.MILWAUKEE--(BUSINESS WIRE)--Jan. 15, 1996--Criticare Systems Inc. (NASDAQ/NMS: CXIM), a designer, manufacturer and distributor of medical monitoring equipment, today announced fiscal 1996 second quarter results. The company reported all time record quarterly revenues of $8,736,000. Top line revenues were 17 percent above the comparable quarter last year and 25 percent above the most recent quarter. As a result of the one-time charge associated with the Immtech transaction, the company reported a net after-tax loss of $2,374,000 (35 cents per share Cents per share The amount of a mutual fund's dividend or capital gains distributions that a shareholder will receive for each share owned. ). On an operating basis, before the impact of such charge, the company reported earnings per share of 2 cents ($152,800) after tax. As previously announced on Oct. 19, 1995, Criticare expensed all costs related to its equity purchase in Immtech of $2.5 million. On a per share basis, this equates to a non-cash charge Non-Cash Charge A charge off, made by a company against earnings, that does not require an initial outlay of cash. Notes: Non-cash charges are typically against the depreciation, amortization, and depletion accounts on a company's balance sheet. of 37 cents per share. Immtech International is engaged in the development of proprietary protein-based therapeutic products designed to reinforce the human body's natural immune defense system. Potential applications of Immtech technology include HIV HIV (Human Immunodeficiency Virus), either of two closely related retroviruses that invade T-helper lymphocytes and are responsible for AIDS. There are two types of HIV: HIV-1 and HIV-2. HIV-1 is responsible for the vast majority of AIDS in the United States. , breast cancer, leukemia leukemia (l  kē`mēə), cancerous disorder of the blood-forming tissues (bone marrow, lymphatics, liver, spleen) characterized by excessive production of immature or mature , arthritis arthritis, painful inflammation of a joint or joints of the body, usually producing heat and redness. There are many kinds of arthritis. In its various forms, arthritis disables more people than any other chronic disorder. ,
and multiple sclerosis multiple sclerosis (MS), chronic, slowly progressive autoimmune disease in which the body's immune system attacks the protective myelin sheaths that surround the nerve cells of the brain and spinal cord (a process called demyelination), resulting in damaged areas . In addition, Immtech recently agreed to license
one of its diagnostic tests to Centocor Inc. (NASDAQ/NMS: CNTO CNTO China National Tourist Office ).For the second quarter, engineering and marketing costs associated with new products were approximately $300,000 which equates to approximately 3 cents per share after tax. Important new products include the "Scholar," representing the company's next generation of medical monitoring products, the "Scholar II," a low cost vital sign monitor, and MPT MPT Maryland Public Television MPT Modern Portfolio Theory (investing) MPT Ministry of Posts and Telecommunications MPT Message-Passing Toolkit MPT Master of Physical Therapy MPT Mitochondrial Permeability Transition (Multiple Parameter (1) Any value passed to a program by the user or by another program in order to customize the program for a particular purpose. A parameter may be anything; for example, a file name, a coordinate, a range of values, a money amount or a code of some kind. Telemetry telemetry Highly automated communications process by which data are collected from instruments located at remote or inaccessible points and transmitted to receiving equipment for measurement, monitoring, display, and recording. ), which allows a hospital from a central location to monitor real time multiple patients in alternative care settings, including the home. Criticare anticipates their new product line will increasingly contribute future revenues and profits. Gerhard Von der Ruhr, Criticare's President and Chief Executive Officer, stated, "Criticare is a company in transition. Three years ago we viewed our market as being addressed by a few key companies offering very similar products. The industry, additionally, was facing the reality of health care reform and its mandate for cost containment cost containment, n the features of a dental benefits program or of the administration of the program designed to reduce or eliminate certain charges to the plan. . We made the corporate commitment to allocate millions of dollars to research and development that would produce the company's next generation of medical products which would address the needs of a changed industry. Criticare's new products address the two hottest aspects of managed care, products that "affect outcomes" and those that help "disease state management." Today, three years and approximately $8 million later, we are beginning to see the results of those committed dollars. Some of the new products were shipped for the first time this quarter with new product activity slated to escalate es·ca·late v. es·ca·lat·ed, es·ca·lat·ing, es·ca·lates v.tr. To increase, enlarge, or intensify: escalated the hostilities in the Persian Gulf. v.intr. in the third and fourth quarters. For those years, we paid the price of R&D equating e·quate v. e·quat·ed, e·quat·ing, e·quates v.tr. 1. To make equal or equivalent. 2. To reduce to a standard or an average; equalize. 3. to approximately $0.72 per share after tax. The transition has been difficult, but we expect the investment to pay dividends in shareholder value." Von der Ruhr continued, "With a portfolio of products redesigned for health cost containment and a growing Immtech basket of technology, Criticare Systems is a new company with a new vision, fully equipped to create important value for our shareholders." Criticare Systems Inc. designs, manufactures and markets cost-effective patient monitoring systems and non-invasive sensors
Cells, cell products, organs, and structures of the body involved in the detection and destruction of foreign invaders, such as bacteria, viruses, and cancer cells. Immunity is based on the system's ability to launch a defense against such invaders. and to provide unique diagnostic capabilities. For further information, please contact Gerhard Von der Ruhr, president and CEO (1) (Chief Executive Officer) The highest individual in command of an organization. Typically the president of the company, the CEO reports to the Chairman of the Board. , at 414/798-8282 or Malcolm McGuire, CCRI CCRI Community College of Rhode Island CCRI California Civil Rights Initiative CCRI Central Cotton Research Institute (Pakistan) CCRI Columbus Children's Research Institute CCRi Children's Clinical Research Institute Corp. at 800/828-0406. -0-
CRITICARE SYSTEMS INC.
CONSOLIDATED INCOME STATEMENT
(UNAUDITED)
THREE MONTHS ENDED DECEMBER 31,
1995 1994
______ ______
Net sales 8,736,012 7,463,075 Cost of goods sold 4,376,124 3,834,285 __________________ _________ _________ Gross profit 4,359,888 3,628,790 Operating expenses 4,073,209 3,325,040 _______________________ _________ _________ Operating profit (loss) 286,679 303,750 Net interest expense 84,198 40,950 Equity in loss of investments 2,500,000 15,000 _____________________________ _________ _________ Total non-operating expenses 2,584,198 55,950 Income (loss) before income taxes (2,297,519) 247,800 Income tax provision 77,000 95,000 ___________________________ __________ ________ Net income (loss) ($2,374,519) $152,800 Earnings per share ($0.35) $0.02 Average shares outstanding 6,712,754 6,730,389
SIX MONTHS ENDED DECEMBER 31,
1995 1994
______ ______
Net sales $15,694,342 $13,997,414 Cost of goods sold 8,022,563 7,051,889 __________________ _________ _________ Gross profit 7,671,779 6,945,525 Operating expenses 7,203,449 6,377,996 _______________________ _________ _________ Operating profit (loss) 468,330 567,529 Net interest expense 158,731 96,974 Equity in loss of investments 2,500,000 30,000 _____________________________ _________ _________ Total non-operating expenses 2,658,731 126,974 Income (loss) before income taxes (2,190,401) 440,555 Income tax provision 120,000 172,000 ___________________________ __________ _________ Net income (loss) ($2,310,401) $268,555 Earnings per share ($0.34) $0.04 Average shares outstanding 6,712,754 6,730,389 CONTACT: Criticare Systems Inc., Milwaukee Gerhard Von der Ruhr, 414/798-8282 or CCRI Corp. Malcolm McGuire, 800/828-0406 |
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