OSTEOTECH ANNOUNCES FIRST-QUARTER RESULTS
OSTEOTECH ANNOUNCES FIRST-QUARTER RESULTS SHREWSBURY, N.J., April 29 /PRNewswire/ -- Osteotech, Inc.
(NASDAQ: OSTE) today announced that revenues in the first quarter of 1992 increased 29.2 percent over the first quarter of 1991 to $2,914,000 from $2,255,000.
Net income also increased to $325,000 or $.04 per share (including a one-time pretax benefit of $670,000 from the settlement of a joint- development agreement) for the quarter ended March 31, 1992, compared to net income of $177,000 or $.03 per share in the first quarter of 1991. Patrick McBrayer stated that "the quarter's operating results were in accordance with expectations." He further said that the "company's revenues continued to expand as a result of the increase in the amount of tissue recovered by our clients and processed by the company for transplantation during the quarter, as well as initial positive results from the introduction of Grafton(TM) processed Allogeneic Bone Matrix." McBrayer also stated, "As a result of the company's planned expansion of the marketing and education force, earnings were reduced, as expected, by costs associated with the hiring and training of the new individuals. We do not expect the positive efforts of these new individuals to be reflected in the company's earnings before the third quarter," he said. Osteotech, Inc., headquartered in Shrewsbury, is a leading processor of human bone and bone connective tissue for transplantation and an innovator in the development of tissue-related biomaterials and pharmaceutical delivery systems for musculoskeletal surgery. OSTEOTECH, INC. Summary Financial Information (Unaudited; in thousands, except per-share data) Three months ended March 31 1992 1991 Revenues: Service $2,733 $2,099 Product 181 156 Total 2,914 2,255 Costs and expenses: Cost of sales 1,610 1,281 Marketing, general and administrative 1,387 620 Research and development 480 266 Total 3,477 2,167 Other income (expense): Interest income 224 133 Interest expense (33) (41) Gain on termination of joint development agreement 670 -- Other 19 -- Total 880 92 Income before income taxes and cumulative effect of accounting change 317 180 Provision for income taxes: Provision before benefit of operating loss carryforward 138 75 Benefit of utilization of net operating loss carryforward (131) (72) Total 7 3 Income before cumulative effect of a change in accounting principle 310 177 Cumulative effect of change in accounting for income taxes 15 -- Net income 325(A) 177 Net income per share $0.04 $0.03 Shares used in computing net income per share 8,234,895 5,172,317 (A) -- Includes a one-time benefit of $670,000 before income taxes from the gain on termination of a joint development agreement. -0- 4/29/92 /CONTACT: Michael J. Jeffries of Osteotech, 908-542-2800/ (OSTE) CO: Osteotech, Inc. ST: New Jersey IN: HEA SU: ERN
CK-OS -- NY018 -- 4263 04/29/92 10:16 EDT
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|Date:||Apr 29, 1992|
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