PETACH-TIKVA, Israel, August 21 /PRNewswire-FirstCall/ --
NOTE: This is a re-issue of the Healthcare Technologies Ltd. release, distributed at 09:06am EDT today, and corrects the formatting of the second table.
Revenues for the first six months of 2006 were $7.05 million, compared to $5.89 million for the first six months of 2005. This reflects an increase of 20% which are related mainly to business transaction in the genetic and chemistry markets, as well as increased sales to the biotech research industry. The gross profit for the first half of the year was $2.56 million versus $2.11 million for the same period in 2005. The net profit for such period was $523 thousand, versus a net profit of $202 thousand, for the first half of 2005.
Revenues for the second quarter of 2006 were $3.45 million, as compared to $2.78 million for the corresponding quarter last year. During the second quarter, there was no revenue nor profit recognition from the Company’s participation in the neo-natal screening project at the State of Israel’s Sheba Medical Center-which was described in the company’s press release issued on June 28, 2006. We expect to recognize additional income from the Sheba project during Q4 2006 according to the milestones of the project. The second quarter gross profit was $1.18 million, as compared to $1.00 million in the second quarter of 2005. The net profit for the second quarter was $171 thousand, compared to a net profit of $39 thousand, for the second quarter of last year.
“During the second quarter we continued to generate good financial results which are in-line with our plan.” Said Moshe Reuveni, Chief executive officer of Healthcare. “while our market environment remained challenging, we are pleased with the improvement in our operating results”.
Shareholders’ equity on June 30, 2006 was $7.5 million, compared to $6.8 million on December 31, 2005. Current assets net of current liabilities at the end of the period were $2.5 million, compared to $2.3 million on December 31, 2005.
About Healthcare Technologies
Healthcare Technologies Ltd. through it subsidiaries and affiliate Gamidor Diagnostics (1984) Ltd., Danyel Biotech Ltd. and Savyon Diagnostics 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 (U.S. Dollars in Thousands, Except Profit Per Share Information) Three Months Six Months Ended Ended 06/30/06 06/30/05 06/30/06 06/30/05 12/31/05 Unaudited Unaudited Unaudited Unaudited Audited Revenues 3,459 2,788 7,050 5,891 12,053 Gross profit 1,182 1,000 2,387 2,114 4,369 Net profit 171 39 523 202 276 Profit per share 0.02 0.01 0.07 0.03 0.04 Weighted average number of shares and share equivalents outstanding (in Thousands) 7,703 7,703 7,703 7,703 7,703 Consolidated Balance Sheet , (U.S $ in thousands) December June 30, June 30, 31, 2006 2005 2005 Unaudited Unaudited Audited Cash and cash equivalents 1,105 969 699 Total curent assets 7,302 6,255 6,848 Total current liabilities 4,807 3,357 4,500 Shareholder’s equity 7,453 2,512 6,816
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. In addition, a recent increase in hostilities in the Middle East could present additional risks and uncertainties that could cause actual results to differ from those contained in the forward looking statements.
CONTACT: Eran Rotem CFO +972-3-9277232/3
Healthcare Technologies Ltd
CONTACT: Eran Rotem, CFO, +972-3-9277232/3
