ASHDOD, Israel, May 24 /PRNewswire-FirstCall/ -- Healthcare Technologies, Ltd. , today announced unaudited results for the first quarter ended March 31, 2004.
Starting January 2004, Healthcare, which has been reporting in accordance with the Israeli GAAP, has begun to report the financial statement in accordance with the US GAAP. This change is due to new regulations which have become effective in Israel.
The major impact of this change for the first quarter has to do with the method of reporting Savyon’s operational performance which, under Israeli GAAP used to be consolidated using the proportionate consolidation method, and is currently accounted for under the US GAAP in accordance with the equity method. The impact of such change on the net profit for the first quarter was immaterial and amounted to $ 4 thousand.
All of the following information is in accordance with the US GAAP.
Revenues for the first quarter ended March 31, 2004 were $2.96 million, as compared to $3.48 million for the corresponding quarter last year. The first quarter gross profit was $1.26 million, as compared to $1.21 million in the first quarter of 2003. The net profit for the quarter was $ 228 thousands compared with a net loss of $ (106) thousands, for the first quarter of last year. The improvement in the net profit is due to a reduction in operational costs.
Shareholders’ equity on March 31, 2004 was $2.6 million, compared to US$ 2.4 million on December 31, 2003. Cash and cash equivalents were $0.9 million. Current assets net of current liabilities as of March 31, 2004 were $3.3 million compared to $2.8 million on December 31, 2003.
About Healthcare Technologies
Healthcare Technologies Ltd. through it subsidiaries Savyon Diagnostics Ltd., Gamidor Diagnostics (1984) Ltd. and Danyel Biotech Ltd., specializes in development, manufacturing and marketing of clinical diagnostic test kits and provides services and tools to diagnostic and biotech research professionals in laboratory and point of care sites worldwide.
Healthcare Technologies, Ltd. Condensed Consolidated Statement of Operations (US Dollars in Thousands, Except Loss Per Share Information) Three Months Ended Year Ended 31/3/04 31/3/03 12/31/03 Sales $2,955 $3,479 $12,412 Gross profit $1,263 $1,209 $4,772 Operating Profit (loss) $220 $(127) $(408) Net profit (loss) $228 $(106) $(470) Profit (loss) per share $0.03 ($0.01) $(0.06) Weighted average number of Shares 7,649 7,644 7,649 and share equivalents Outstanding (in Thousands) Consolidated Balance Sheet (US $ in thousands) Three Months Ended Year Ended March 31, 2004 December 31, 2003 Cash and cash equivalents 864 1,450 Total current assets 7,122 7,532 Total current liabilities 3,834 4,752 Shareholder’s equity 2,570 2,388
Safe Harbor: This press release contains certain forward looking statements within the meaning of section 27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934. With the exception of historical information contained herein, the matters discussed in this press release involve risk and uncertainties. Actual results could differ materially from those expressed in any forward looking statement made by or on behalf of Healthcare Technologies Ltd. Readers are referred to the documents filed by the company with the Securities Exchange Commission, specifically the most recent report on Form 20F that identifies important risks which could cause actual results to differ from those contained in the forward looking statements.
Contact: Healthcare Technologies, Ltd. Moshe Reuveni CEO +972-3-9229011-Ext. 126
Healthcare Technologies Ltd.
CONTACT: Healthcare Technologies, Ltd., Moshe Reuveni, CEO,+972-3-9229011-Ext. 126
