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SUNRISE MEDICAL REPORTS 12TH CONSECUTIVE QUARTER OF RECORD SALES, NET INCOME AND EARNINGS PER SHARE

 SUNRISE MEDICAL REPORTS 12TH CONSECUTIVE QUARTER OF RECORD SALES,
 NET INCOME AND EARNINGS PER SHARE
 TORRANCE, Calif., Jan. 23 /PRNewswire/ -- Sunrise Medical Inc. (NASDAQ: SNMD) announced today record sales, net income and fully diluted earnings per share for the second quarter ended Dec. 27, 1991. This marks the twelfth consecutive quarter of record figures vs. the comparable prior year period. Net income jumped 30 percent to $1.9 million, while earnings per share increased 7 percent to $.30 from $.28 (fully diluted) one year ago. Sales grew 11 percent in the quarter to $52.9 million, up from $47.8 million last year.
 For the six-month period, sales increased 9 percent to $104.9 million, while net income climbed 37 percent to $4.3 million and earnings per share reached $.68, an increase of 13 percent over last year's fully diluted figure of $.60.
 "In spite of the recession in the United States and the United Kingdom and considering that our second quarter is historically our lowest, Sunrise's quarterly results were still quite creditable," stated Richard H. Chandler, chairman and president of Sunrise Medical. "This economic climate particularly impacts the consumer segments of our business, such as Eggcrate foam mattress pads and Sterling three-wheeled scooters, which are discretionary purchases. We also invested in 35 new product introductions this quarter, which penalized margins but should contribute significantly to sales and earnings in the second half of this fiscal year.
 "The Rehabilitation Group enjoyed an overall sales growth of 14 percent this quarter and a 17 percent growth in North America, led by a strong performance in custom wheelchairs. Recovery Group sales increased only 5 percent this quarter, with softness experienced in therapeutic foam mattress products. Sales and rentals of BioMedx air suspension systems have grown rapidly and we expect this higher margin line to more than make up for any erosion in foam sales during the last half of fiscal 1992."
 Sunrise recently announced four acquisitions, three of which will be integrated immediately into existing U.S. operating divisions. The largest of the four, Sopur GmbH, is the market-leader in custom lightweight wheelchairs in Germany. Sopur will operate as a core business with its president and former owner reporting directly to Chandler. These acquisitions will be non-dilutive and should contribute modestly to earnings per share in the second half of fiscal 1992 and more significantly in future years.
 "The acquisition of Sopur solidifies Sunrise's position as the world's leading manufacturer of custom lightweight wheelchairs," explained Chandler. "Our worldwide custom wheelchair sales (including power chairs) are now running at a $100 million annualized rate. In aggregate, the four acquisitions will add approximately $21 million in annual revenues and more importantly, they will improve our growth rate and net operating margin while better positioning us to become the global market leader in each of our core product lines."
 Sunrise Medical designs, manufactures and markets internationally medical products used in the rehabilitation and recovery phases of patient care. Products include custom manual and electric wheelchairs, ambulatory and bath safety aids, patient-room beds and furnishings and therapeutic mattresses for the management of pressure sores. Sunrise products are designed to meet the special needs of three groups of people: the disabled, the elderly and the recovering patient.
 SUNRISE MEDICAL INC. AND SUBSIDIARIES
 Consolidated Statements of Operations
 (Dollars and shares in thousands, except per share amounts)
 Three Months Ended Six Months Ended
 Dec. 27, Dec. 28, Growth Dec. 27, Dec. 28, Growth
 1991 1990 Percent 1991 1990 Percent
 (unaudited) (unaudited)
 Net sales $52,876 $47,785 11 $104,959 $95,878 9
 Cost of
 sales 35,380 31,372 13 70,037 63,312 11
 Gross profit 17,496 16,413 7 34,922 32,566 7
 Divisional
 operating
 expenses 12,664 11,645 9 24,577 22,656 8
 Corporate
 expenses 889 802 11 1,687 1,553 9
 Amortization
 of goodwill
 and other
 intangibles 319 366 (13) 654 742 (12)
 Corporate
 operating
 income 3,624 3,600 1 8,004 7,615 5
 Other (expense)
 income:
 Interest
 expense (430) (1,150) (63) (795) (2,183) (64)
 Interest
 income and
 other, net (34) 50 (a) --- (2) (a)
 Income before
 taxes 3,160 2,500 26 7,209 5,430 33
 Income taxes 1,271 1,050 21 2,903 2,280 27
 Net income $1,889 $1,450 30 $4,306 $3,150 37
 Earnings per
 share:
 Primary
 Net income $0.30 $0.31 (3) $0.69 $0.67 3
 Weighted
 average
 number of
 shares
 outstanding 6,280 4,728 33 6,246 4,702 33
 Fully diluted
 Net income $0.30 $0.28 7 $0.68 $0.60 13
 Weighted
 average
 number of
 shares
 outstanding 6,313 6,186 2 6,288 6,172 2
 (a) Percentage not meaningful.
 -0- 1/23/92
 /CONTACT: Ted N. Tarbet (financial), CFO, or Lisa Riordan (media), corporate communications manager, 310-328-8018, of Sunrise Medical; or Susan Noonan of Noonan/Russo Communications, 212-979-9180, for Sunrise Medical/
 (SNMD) CO: Sunrise Medical Inc. ST: California IN: HEA MTC SU: ERN


JL-TM -- LA014 -- 2634 01/23/92 09:05 EST
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Date:Jan 23, 1992
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