MINNEAPOLIS, Aug. 13 /PRNewswire-FirstCall/ -- Uroplasty, Inc. today reported record sales of $2.9 million for the first quarter of fiscal 2008 ended June 30, 2007, up 67%, or approximately $1.2 million, from $1.8 million for the same quarter in the prior year. Excluding the impact of fluctuations in foreign currency exchange rates, sales increased by approximately 62%. Approximately three-fourths of the $1.2 million sales increase is attributed to the growth in sales to customers in the U.S.
Sales to customers in the U.S. continued to show sequential, quarter-to-quarter growth. Sales in the fiscal 2008 quarter were $1.0 million, up from $705,000, an increase of 42% over the previous quarter, and up from $103,000 in the year ago quarter.
Net loss for the fiscal 2008 quarter was $841,000, or $0.06 per diluted share, compared to a net loss for the same quarter in the prior year of $1.2 million, or $0.18 per diluted share.
David B. Kaysen, Uroplasty’s President and CEO said, “We recorded growth in all our geographic areas. Our business outside of the United States grew on the strength of our Macroplastique(R) and Urgent PC(R) products. In the U.S., we believe our sales force reorganization and increased product awareness by our customers enhanced sales growth. We have now scaled back to a smaller group of more productive independent sales agents supplemented by an expanded company-employed field sales force of seven people. We are currently evaluating further expansion of our company-employed field sales force.”
Kaysen added, “Last May we exhibited our products at the American Urological Association’s annual convention in Anaheim, California, attended by physicians from throughout the world. We were very pleased with the favorable response from the physicians to our products, led by the Urgent PC, suggesting increased customer awareness of our products.”
As previously announced, Uroplasty will host an audio conference call on August 13, 2007, at 2:00 pm central time to review the financial results for the first fiscal quarter. David Kaysen, President and Chief Executive Officer and Medi Jiwani, Vice President, Chief Financial Officer and Treasurer will host the call. Listeners wishing to participate in the conference call should call toll free at 1-888-321-3075. The conference call ID number is 911-1397. A digital recording at toll free telephone number 1-877-519-4471 (ID number 911-1397) will be available starting about two hours after the completion of the conference call through September 12, 2007.
UROPLASTY, INC. AND SUBSIDIARIES CONDENSED CONSOLIDATED BALANCE SHEETS June 30, 2007 March 31, 2007 (unaudited) Assets Total current assets $8,590,781 $9,212,783 Property, plant, and equipment, net 1,459,165 1,431,749 Intangible assets, net 4,845,177 308,093 Deferred tax assets 94,234 93,819 Total assets $14,989,357 $11,046,444 Liabilities and Shareholders’ Equity Total current liabilities $1,529,271 $2,005,608 Long-term debt - less current maturities 411,935 427,382 Deferred rent - less current portion 206,030 214,381 Accrued pension liability 458,937 596,026 Total liabilities $2,606,173 $3,243,397 Total shareholders’ equity $12,383,184 $7,803,047 Total liabilities and shareholders’ equity $14,989,357 $11,046,444 UROPLASTY, INC. AND SUBSIDIARIES Consolidated Statements of Operations (Unaudited) Three Months Ended June 30, 2007 2006 Net sales $2,948,674 $1,764,210 Cost of goods sold 594,212 555,516 Gross profit 2,354,462 1,208,694 Operating expenses General and administrative 808,374 857,572 Research and development 506,125 674,954 Selling and marketing 1,632,789 1,232,587 Amortization of intangibles 216,521 26,537 3,163,809 2,791,650 Operating loss (809,347) (1,582,956) Other income (expense) Interest income 76,383 19,507 Interest expense (11,365) (5,982) Warrant benefit -- 327,732 Foreign currency exchange gain (loss) (2,029) 26,411 Other, net 1,879 4,800 64,868 372,468 Loss before income taxes (744,479) (1,210,488) Income tax expense 96,156 30,751 Net loss $(840,635) $(1,241,239) Basic and diluted loss per common share $(0.06) $(0.18) Weighted average common shares outstanding: Basic and diluted 12,981,466 6,952,167
Uroplasty, Inc., headquartered in Minnetonka, Minnesota, with wholly-owned subsidiaries in The Netherlands and the United Kingdom, is a medical device company that develops, manufactures and markets innovative products for the treatment of voiding dysfunctions, including urinary and fecal incontinence, overactive bladder and vesicoureteral reflux.
The Urgent(R) PC Neuromodulation System is a proprietary, minimally invasive nerve stimulation device designed for office-based treatment of overactive bladder symptoms of urge incontinence, urinary urgency and urinary frequency. Application of neuromodulation therapy targets specific nerve tissue and disrupts the signals that lead to the symptoms of overactive bladder. Uroplasty sells the Urgent PC system in the United States, in Canada and in countries recognizing the CE mark. Outside the United States, the Urgent PC is also indicated for the treatment of fecal incontinence.
The I-STOP(TM) Mid-Urethral Sling is a biocompatible, tension-free sling used to treat female stress urinary incontinence. The I-STOP sling provides a hammock-like support for the urethra to prevent urine leakage associated with activities such as coughing, laughing, lifting or jumping. Uroplasty sells the I-STOP Sling in the United Kingdom.
Macroplastique(R) Implants, Uroplasty’s patented soft tissue bulking agent, is used to treat both female and male urinary incontinence and to treat vesicoureteral reflux in children. When Macroplastique is injected into tissue, it stabilizes and “bulks” the tissue, providing the surrounding muscles with increased capability to control the flow of urine. Additionally, Uroplasty markets soft tissue bulking agents for specific indications such as PTQ(TM) Implants for the treatment of fecal incontinence, VOX(R) Implants for the treatment of vocal cord rehabilitation and Bioplastique(R) for augmentation or restoration of soft tissue defects in plastic surgery indications. Uroplasty sells Macroplastique in the United States and in countries throughout the world. Uroplasty sells its other bulking products outside the United States.
The Private Securities Litigation Reform Act of 1995 provides a “safe harbor” for certain forward-looking statements. This press release contains forward-looking statements, which reflect our views regarding future events and financial performance. These forward-looking statements are subject to certain risks and uncertainties, including those identified below, which could cause actual results to differ materially from historical results or those anticipated. The words “aim,” “believe,” “expect,” “anticipate,” “intend,” “estimate” and other expressions, which indicate future events and trends, identify forward-looking statements. Actual future results and trends may differ materially from historical results or those anticipated depending upon a variety of factors, including, but not limited to: the effect of government regulation, including when and if we receive approval for marketing products in the United States; the impact of international currency fluctuations on our cash flows and operating results; the impact of technological innovation and competition; acceptance of our products by physicians and patients, our historical reliance on a single product for most of our current sales; our ability to commercialize our recently introduced product lines; our intellectual property and the ability to prevent competitors from infringing our rights; the ability to receive third party reimbursement for our products; the results of clinical trials; our continued losses and the possible need to raise additional capital in the future; our ability to manage our international operations; our ability to hire and retain key technical and sales personnel; our dependence on key suppliers; future changes in applicable accounting rules; and volatility in our stock price. Our financial performance for the fiscal 2008 quarter is not indicative of future performance. In particular, we cannot assure that we will achieve our projected revenue target range for fiscal 2008 or that we can successfully expand our U.S. field sales force. Uroplasty undertakes no obligation to update or revise these forward-looking statements to reflect new events or uncertainties.
FOR FURTHER INFORMATION: visit Uroplasty’s web page at http://www.uroplasty.com or contact David Kaysen, President and CEO or Medi Jiwani, Vice President, CFO and Treasurer.
UROPLASTY, INC. 5420 Feltl Road Minnetonka, Minnesota 55343 Tel: 952.426.6140 Fax: 952.426.6199
Uroplasty, Inc.
CONTACT: David Kaysen, President and CEO, or Medi Jiwani, Vice President,CFO and Treasurer, both of Uroplasty, Inc., +1-952-426-6140, Fax,+1-952-426-6199
Web site: http://www.uroplasty.com/
