AORTECH ANNOUNCES FISCAL YEAR-END RESULTS
AORTECH ANNOUNCES FISCAL YEAR-END RESULTS ST. PAUL, Minn., June 10 /PRNewswire/ -- AorTech, Inc.
(NASDAQ: AORT) announced today the results of operations for the fiscal year. For the fiscal year ended March 31, 1992, net sales were $2,429,000 compared to $3,872,000 reported last year. The company's net loss was $1,790,000, or .31 per share, this year compared to a net loss of $232,000, or $.06 per share, one year ago.
As reported during previous quarters this year, AorTech's performance has been adversely impacted by weak sales, the high expenses associated with upgrading its marketing and distribution system, and the effect of a substantial charge for an uncollected receivable. Additionally, net sales reported this year did not include large initial stocking orders which contributed significantly to sales last year. AorTech's president, Greg Ruehle, stated, "To address the difficulties we faced throughout the earlier part of the year, AorTech spent considerable energy and resources developing a seasoned marketing organization which was closely in touch with surgeons and capable of giving us feedback on both implant volume and experience. Unfortunately, it took until the fourth quarter until such an organization was fully in place, but fortunately, the results we are beginning to see make us optimistic." AorTech will announce separately today that it has secured exclusive worldwide rights to manufacture and distribute two new disposable circulatory support devices. Developed in Germany, the two new products are of proprietary design and address surgical applications which have not previously been possible. AorTech, Inc., based in St. Paul, manufactures and distributes implantable cardiovascular devices and products related to cardiovascular surgery, treatment, and monitoring. AORTECH, INC. CONDENSED STATEMENTS OF OPERATIONS For the Fiscal Years Ended March 31 1992 1991 Net Sales $ 2,429,000 $3,872,000 Cost of goods sold 1,525,000 2,288,888 Gross margin 904,000 1,584,000 Operating expenses 3,018,000 1,731,000 Loss from operations (2,114,000) (147,000) Other income/(expense) - net 73,000 ( 37,000) Loss before income taxes and extraordinary item (2,041,000) (184,000) Provision for income taxes 80,000 48,000 Loss before extraordinary item(2,121,000) (232,000) Extraordinary item, gain on sale of certain assets 331,000 -- Net loss $(1,790,000) $ (232,000) Net loss per common share: Before extraordinary item $ (.37) $ (.06) Extraordinary item .06 -- Net loss $ (.31) $ (.06) -0- 6/9/92 /CONTACT: Gregory J. Ruehle of AorTech, 612-481-1208; or Tom de Petra of de Petra & Associates, 612-338-7630, for AorTech/ (AORT) CO: AorTech, Inc. ST: Minnesota IN: MTC SU: ERN
KH -- MN007 -- 8857 06/10/92 13:21 EDT
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|Date:||Jun 10, 1992|
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