Hypertension Diagnostics, Inc. Announces Fiscal Year 2006 Results
ST. PAUL, Minn., Sept. 28 /PRNewswire-FirstCall/ -- Hypertension Diagnostics, Inc. , today announced audited financial results for the fiscal year ended June 30, 2006. Revenue for fiscal 2006 totaled $1,789,546 compared to $1,182,005 in the prior year ended June 30, 2005, which represents a 51% increase. The Company incurred a net loss of $1,272,742 for fiscal 2006, or $(0.04) per share, compared with a net loss of $1,455,228 for fiscal 2005, or $(0.05) per share. Included in the net loss for fiscal 2006 are total non-cash charges (expenses associated with stock compensation, depreciation, stock options) of $669,506. Included in the net loss for fiscal 2005 are total non-cash charges of $337,976. The Company reported a cash balance on June 30, 2006 of $1,722,913.
Fourth quarter revenue of $295,536 for fiscal 2006 versus $421,335 for fiscal 2005 represented a 30% decline. Revenue for the fourth quarter of fiscal 2006 decreased 48% compared with $571,988 for the third quarter of fiscal 2006.
"As previously reported, the disappointing financial results are due to a decline in the number of customers converting their CVProfilor rental agreements to purchases and the longer than anticipated time it has been taking for customers to make a purchase decision -- a factor likely to continue for the next few quarters," said Mark N. Schwartz, Chairman and CEO.
Forward-looking statements in this press release are made under the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. The Company wishes to caution readers not to place undue reliance on any forward-looking statements and to recognize that the statements are not a prediction of actual future results. Actual results could differ materially from those presented and anticipated in the forward-looking statements due to the risks and uncertainties set forth in the Company's 2006 Annual Report on Form 10-KSB, and subsequent Quarterly Reports on Form 10-QSB, all of which were filed with the U.S. Securities and Exchange Commission, as well as others not now anticipated.
Hypertension Diagnostics, Inc. Summary Financial Data Statements of Operations Three Months Ended Twelve Months Ended June 30 June 30 2006 2005 2006 2005 Revenue: Equipment sales $209,500 $288,024 $1,352,486 $445,889 Equipment rental 84,769 129,638 418,979 560,377 Service/contract income 1,267 3,673 18,081 175,739 295,536 421,335 1,789,546 1,182,005 Cost of Sales 1,483 57,924 90,447 184,984 Gross Profit 294,053 363,411 1,699,099 997,021 Expenses: Selling, general and administrative 685,958 598,175 3,018,624 2,484,606 Total Expenses 685,958 598,175 3,018,624 2,484,606 Operating Loss (391,905) (234,764) (1,319,525) (1,487,585) Other Income: Interest income 16,338 10,237 46,783 32,357 Net Loss $(375,567) $(224,527) $(1,272,742) $(1,455,228) Basic and Diluted Net Loss per Share $(.01) $(.01) $(.04) $(.05) Weighted Average Shares Outstanding 39,714,469 32,175,217 35,219,474 28,505,982 Balance Sheet Data June 30, 2006 June 30, 2005 Cash and cash equivalents $1,722,913 $1,525,865 Total current assets 2,257,390 1,962,747 Total assets 2,345,949 2,193,866 Total current liabilities 489,081 574,671 Accumulated deficit (25,978,319) (24,705,577) Total shareholders' equity 1,840,414 1,603,537 CVProfilor is a registered trademark of Hypertension Diagnostics, Inc. Hypertension Diagnostics, HDI/PulseWave, PulseWave and CVProfile are trademarks of Hypertension Diagnostics, Inc. All rights reserved. Website: http://www.hdii.com
Hypertension Diagnostics, Inc.CONTACT: Mark N. Schwartz, CEO of Hypertension Diagnostics, Inc.,+1-651-687-9999
Web site: http://www.hdii.com/