(OTCBB:URMD.OB) Alliant Medical Technologies Announces Second Quarter 2001 Results
NORWOOD, Mass.--(BW HealthWire)--July 27, 2001--ALLIANT(TM) Medical Technologies today announced:
- Revenues of $1.5 million for the second quarter ended June 30, 2001, compared with $1.2 million for the same period in 2000.
- Revenues of $2.5 million for the six months ended June 30, 2001, compared with $2.2 million for the same period in 2000.
- Net loss before extraordinary items of $2.4 million, or $0.32 per share, for the second quarter ended June 30, 2001, compared with $1.0 million, or $0.19 per share, for the same period in 2000.
- Net loss before extraordinary items of $3.7 million, or $0.59 per share, for the six months ended June 30, 2001, compared with $2.2 million, or $0.42 per share, for the same period in 2000.
- Net loss of $2.4 million, or $0.32 per share, and $3.7 million, or $0.59 per share, for the three and six months ended June 30, 2001, respectively, compared with $1.0 million, or $0.19 per share, and $0.9 million or $0.17 per share for the same periods in 2000, respectively.
- Extraordinary items represent repurchases, at a discount, of a portion of the Company's Convertible Subordinated Notes.
COMPANY COMMENTS
Dan Muscatello, ALLIANT'S President and CEO commented, " Q2 2001 had more than a 50% top line increase from Q1 2001, primarily driven by software systems and support revenues as a result of our enhanced product offering since the late Q1 acquisition of SSGI Prowess, a leader in the cancer treatment planning market. The short-term bottom line effect on the newly combined UroMed and SSGI Prowess was in line with our expectations, and was largely a result of amortization charges of intangible assets recorded as part of the deal and an increased employee base in the sales, software development and customer support functions." Muscatello continued, "Our Q2 performance reflects the early stages of combining two companies' salesforces and product lines. We feel that our alignment of the organization's resources to support our increased market opportunity, customer base and strategic partnerships positions us well for future bottom line improvement."
"On July 20th we announced the signing of a multi-year distribution agreement with NOMOS Corporation to market its Intensity Modulated Radiation Therapy (IMRT) and other cancer treatment products to the radiation oncology marketplace.
IMRT is the fastest growing segment of the radiation therapy market and enjoys favorable reimbursement. With the addition of NOMOS' products, ALLIANT(TM) offers a comprehensive line of advanced radiation therapy products used in the treatment, planning and delivery of brachytherapy and external beam radiation therapy."
"This partnership is an important step for ALLIANT," continued Muscatello. "Our strategy of expanding our strategic partnerships to add critical mass is beginning to take shape. Our plan is to continue to be very selective in terms of who we partner with in order to offer products and services consistent with our mission of providing the highest quality products and services to our customers. NOMOS is an excellent company that has set the standard for IMRT industry wide. This distribution agreement allows ALLIANT to offer its customers a most unique suite of products for prostate cancer and other cancer treatment planning as well."
"In July, ALLIANT attended its first major trade show at the annual American Association of Physicists in Medicine (AAPM) conference in Salt Lake City, Utah. The combined product offering of Prowess Systems, Symmetra I-125 and NOMOS IMRT was well received by the radiation oncology community. This feedback confirms the Company's belief that the continued focus on key strategic partnerships will lead to broader market penetration."
COMPANY MISSION
ALLIANT's mission is to deliver stakeholder value by providing highly effective and efficient cancer treatment options that will improve both the longevity and quality of life for cancer patients around the world. Our organization's foundation is built on a solid technology base along with the integrity, commitment and respect of experienced team members.
We are focused on developing a deep understanding of our markets, listening closely to customers and establishing key strategic alliances that will lead to the development and distribution of products and services that are consistent with our core strategy and will ultimately deliver a return to our investors.
As always, the company plans to continue to dedicate resources to develop and/or acquire products that fit into its strategic platform.
On July 19, 2001, UroMed Corporation announced that it would change its name to "ALLIANT Medical Technologies", and until it receives formal stockholder approval it would do business under that name.
RISK FACTORS AND FORWARD-LOOKING STATEMENTS
The Company recognizes that the previous paragraphs contain forward-looking statements relating to the Company's future activities, including the benefits expected through the Company's combination with SSGI Prowess, the distribution agreement with NOMOS, the development and commercialization of the Company's product lines and the Company's anticipated improvement in operating performance and future growth. These forward-looking statements are based largely on the Company's expectations and are subject to a number of risks and uncertainties beyond the Company's control. Actual results could differ materially from these forward-looking statements as the result of certain risks, including the risk that the Company will not successfully manage the combination of the UroMed and SSGI Prowess businesses, that physicians will not use the Company's products in significant numbers, the risk that physicians using the Company's products will not develop into long-term users, the Company's ability to successfully reduce costs, the uncertainty of securing additional alliances, the uncertainty of general market acceptance of the Company's product lines, as well as the Company's dependence on these products going forward, and the risk that the Company will not be able to successfully develop any new products. There can be no assurance that these risks would not have a material adverse effect on the Company. Other relevant risks are described in the Company's Annual Report on Form 10-K for the year ended December 31, 2000, under the headings "Forward-Looking Statements and Associated Risks" and "Risk Factors," which are incorporated herein by reference.
UROMED CORPORATION
CONDENSED STATEMENT OF OPERATIONS
(unaudited)
Three Months Ended Six Months Ended
June
30,
June 30,
2001
2000
2001 2000
(In thousands, except per share data)
Revenues
$ 1,519 $ 1,234 $
2,508 $ 2,235
Costs and expenses:
Cost of revenues
1,123 1,025
1,936 1,758
Research and
development
566
347
814 650
Marketing and
sales
1,020
648 1,669
1,279
General and
administrative
560
203
1,017 662
Amortization of
goodwill and
other intangible
assets
419
--
440 --
Restructuring
--
--
72 --
Total costs
and
expenses
3,688 2,223
5,948 4,349
Loss from operations
(2,169) (989)
(3,440) (2,114)
Interest
income
67
222
197 452
Interest expense
(251) (241)
(488) (520)
Loss before
extraordinary
gain on early
retirement of debt
(2,353) (1,008)
(3,731) (2,182)
Extraordinary gain
on early
retirement of debt
--
--
-- 1,259
Net
loss
$(2,353) $(1,008) $(3,731) $
(923)
Basic and diluted
per share amounts:
Loss before
extraordinary
gain on early
retirement
of
debt
$ (.32) $ (.19) $
(.59) $ (.42)
Extraordinary
gain on early
retirement of debt
--
--
-- 0.25
Net
loss
$ (.32) $ (.19) $
(.59) $ (.17)
Basic and diluted
weighted average
common shares
outstanding
7,321 5,177
6,326 5,164
UROMED CORPORATION
CONDENSED BALANCE SHEET
(unaudited)
June 30, Dec. 31,
2001 2000
(In thousands)
Assets
Current assets:
Cash and cash
equivalents
$ 2,754 $ 5,974
Marketable
securities
3,021 4,259
Accounts
receivable
1,174 654
Inventories
749 684
Prepaid expenses and other
assets
707 491
Total current
assets
8,405 12,062
Fixed assets,
net
270 54
Goodwill and other intangible assets,
net
7,253 --
Other
assets
1,438 1,552
-------- --------
$ 17,366 $ 13,668
Liabilities and Stockholders'
Deficit
Current liabilities:
Line of
credit
$ -- $ --
Capital
leases
32 --
Note payable to stockholder - current
portion
262 --
Accounts
payable
798 267
Accrued
expenses
1,438 989
Deferred
revenue
1,160 --
Total current
liabilities
3,690 1,256
Convertible subordinated
notes
14,393 14,393
Note payable to stockholder
- long-term
portion
210 --
Stockholders'
deficit
(927) (1,981)
-------- --------
$ 17,366 $ 13,668
CONTACT: UroMed
Corporation
d/b/a Alliant Medical Technologies
Domenic
Micale
Chief Financial
Officer
(781) 762-2080 ext.
247
dmicale@uromed.com
:=) Gary Swancey
