LAKE FOREST, CA--(Marketwire - May 19, 2009) - TRIMEDYNE, INC. (OTCBB: TMED) today reported its financial results for the quarter ended March 31, 2009.
Revenues for the current quarter were $1,632,000, an increase of 7.4% from revenues of $1,519,000 for the prior year's quarter. The $113,000 increase in revenues was due to higher revenues from sales of fiber optic devices and service and rentals, offset by a small decrease in sales of lasers. The Company had a net loss of $345,000 or $0.02 per share for the current quarter, compared to a loss of $292,000 or $0.02 per share for the prior year quarter.
Commenting on the financial results for the quarter, Marvin P. Loeb, Sc.D., Chairman of Trimedyne, said, "We are pleased with the 7.4% increase in revenues in the current quarter over the year ago quarter. However, we are not pleased that our net loss for the current quarter was $345,000, although it is down from the loss of $445,000 for the quarter ended December 31, 2008. Administrative and R&D expenses, testing and scaling up for production of our new side firing optical fiber were responsible for a substantial part of the increase in our costs during the quarter and are expected to continue into the next quarter."
We have developed a new side firing optical fiber for use with our 80 watt Holmium Lasers for the treatment of benign prostate hyperplasia or BPH, commonly called an enlarged prostate. We plan to commence a limited marketing release of the new fiber under our VaporMAX® trademark in June 2009, barring any unforeseen problems, with a wider release to follow.
BPH is a condition which affects an estimated 50% of men over age 55 and an increasing percentage of men at older ages. Worldwide, approximately 1.2 million men are presently treated each year in a surgical procedure using radiofrequency (RF) or laser energy to vaporize excess prostate tissue which is obstructing urine flow. The laser procedure is usually performed on an outpatient basis and minimizes the adverse effects of the RF surgical procedure, which include bleeding and infections and the risks of a blood transfusion, impotence and incontinence.
We have developed a similar side firing optical fiber which will be marketed in the U.S. and Japan by Boston Scientific Corporation and in other countries throughout the world by Lumenis, Ltd. of Yokneam, Israel, under Lumenis' DuraMAX trademark. The DuraMAX™ side firing fiber will be used with Lumenis' large, worldwide installed base of 80 and 100 watt Holmium Lasers for the treatment of BPH.
Marketing of the new DuraMAX™ Fiber by Boston Scientific and Lumenis will commence when Boston Scientific has completed its audit of our manufacturing process and quality system, which is expected to take 4 to 5 months. Boston Scientific has not yet advised us when this audit will be commenced.
Trimedyne manufactures proprietary Holmium lasers and patented fiber optic laser devices for a variety of minimally invasive surgical procedures, many of which are performed on an outpatient basis at substantially less cost than conventional surgery. For product, press release, financial and other information, please visit Trimedyne's website, http://www.trimedyne.com.
"Safe Harbor" Statement Under the Private Securities Litigation Reform Act:
Statements in this news release may contain forward-looking statements within the meaning of Section 27A of the U.S. Securities Act of 1933 and Section 21E of the Securities and Exchange Act of 1934, including words like "expect," "may," "could" and others. Such statements may involve various risks and uncertainties, some of which may be discussed in the Company's Form 10-K-SB for the year ended September 30, 2008 and subsequently filed SEC reports. There is no assurance such statements will prove to be accurate, and actual results and future events could differ materially from those anticipated in such statements.
TRIMEDYNE, INC.
CONDENSED CONSOLIDATED BALANCE SHEETS
(UNAUDITED)
March 31, September 30,
2009 2008
ASSETS ----------- -----------
Current assets:
Cash and cash equivalents $ 1,781,000 $ 2,007,000
Trade accounts receivable, net of allowance
for doubtful accounts of $15,000 and
$12,000, respectively 813,000 954,000
Inventories 2,310,000 2,584,000
Other current assets 101,000 171,000
----------- -----------
Total current assets 5,005,000 5,716,000
Property and equipment, net 1,325,000 1,382,000
Other 69,000 83,000
Goodwill 544,000 544,000
----------- -----------
Total Assets $ 6,943,000 $ 7,725,000
=========== ===========
LIABILITIES AND STOCKHOLDERS' EQUITY
Current liabilities:
Accounts payable $ 375,000 $ 256,000
Accrued expenses 491,000 469,000
Deferred revenue 88,000 75,000
Accrued warranty 45,000 54,000
Current portion of note payable
and capital leases 163,000 237,000
----------- -----------
Total current liabilities 1,162,000 1,091,000
Note payable and capital leases,
net of current portion 324,000 400,000
Deferred rent 63,000 73,000
----------- -----------
Total liabilities 1,549,000 1,564,000
----------- -----------
Commitments and contingencies
Stockholders' equity:
Preferred stock - $0.01 par value, 1,000,000
shares authorized, none issued and outstanding -- --
Common stock - $0.01 par value; 30,000,000
shares authorized, 18,467,569 shares issued,
18,365,960 shares outstanding at
March 31, 2009 and September 30, 2008 186,000 186,000
Additional paid-in capital 51,448,000 51,425,000
Accumulated deficit (45,527,000) (44,737,000)
----------- -----------
6,107,000 6,874,000
Treasury stock, at cost (101,609 shares) (713,000) (713,000)
----------- -----------
Total stockholders' equity 5,394,000 6,161,000
----------- -----------
Total liabilities and stockholders' equity $ 6,943,000 $ 7,725,000
=========== ===========
TRIMEDYNE, INC.
CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS
(UNAUDITED)
Three Months Ended Six Months Ended
March 31, March 31,
2009 2008 2009 2008
----------- ----------- ----------- -----------
Net revenues $ 1,632,000 $ 1,519,000 $ 3,242,000 $ 2,705,000
Cost of revenues 1,074,000 1,049,000 2,150,000 1,880,000
----------- ----------- ----------- -----------
Gross profit 558,000 470,000 1,092,000 825,000
Operating expenses:
Selling, general and
administrative 673,000 627,000 1,389,000 1,178,000
Research and
Development 318,000 322,000 614,000 575,000
----------- ----------- ----------- -----------
Total operating
expenses 991,000 949,000 2,003,000 1,753,000
----------- ----------- ----------- -----------
Loss from operations (433,000) (479,000) (911,000) (928,000)
Other income, net 87,000 187,000 125,000 259,000
----------- ----------- ----------- -----------
Loss before provision
for income taxes (346,000) (292,000) (786,000) (669,000)
Provision for income
taxes (1,000) -- 4,000 --
----------- ----------- ----------- -----------
Net loss $ (345,000) $ (292,000) $ (790,000) $ (669,000)
=========== =========== =========== ===========
Net loss per share:
Basic $ (0.02) $ (0.02) $ (0.04) $ (0.04)
=========== =========== =========== ===========
Diluted $ (0.02) $ (0.02) $ (0.04) $ (0.04)
=========== =========== =========== ===========
Weighted average number
of shares outstanding:
Basic 18,365,960 18,365,960 18,365,960 18,365,960
=========== =========== =========== ===========
Diluted 18,365,960 18,365,960 18,365,960 18,365,960
=========== =========== =========== ===========
