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Applied Imaging Announces 2002 Results
SANTA CLARA, Calif., March 4 /PRNewswire-FirstCall/ -- Applied Imaging Corp. (Nasdaq: AICX) today announced preliminary unaudited fiscal year 2002 results. The Company achieved record revenues of at least $21.0 million, an increase of 13% over the $18.5 million reported in 2001. This increase was driven primarily by the growth in sales of the Company's new OncoPath(TM) products, SPOT(TM) and Ariol(TM).
The Company's net loss for the year was reduced by at least 81% to $688,000 in 2002, or a loss of $0.04 per share, from the $3.5 million net loss reported in 2001 or a loss per share of $0.23. The reduced net loss was due to increased gross profit, from improved margin and incremental sales, and reduced operating expenses attributable to the restructuring program implemented in the first quarter of 2002.
"Although we are disappointed that top-line performance was below our expectations, 2002 was another year of significant progress for Applied Imaging. We achieved record revenues, reduced costs, reduced net loss and, most importantly, launched two major new products, our Ariol and SPOT systems, which we expect to be the catalyst for the Company's growth in 2003 and beyond," said Carl Hull, Applied Imaging President and Chief Executive Officer. "We remain very optimistic about the prospects for 2003. Every indication from our clinical laboratory customers is that demand for genetic testing services is increasing at 25-35% per year. We plan to capitalize on that growth by increasing sales of our existing products and our new OncoPath systems to these clinical customers. As a result, we expect 2003 sales to be in the range of $24 to $27 million and profit for the year to be between $1.2 and $1.8 million."
Sales for the fourth quarter were at least $4.9 million, or 7% below last year's reported $5.3 million, due primarily to reduced sales outside of the Americas and the phase-out of one of the Company's genetics products. The net loss in 2002's fourth quarter of $729,000 compared to the breakeven performance reported in 2001's fourth quarter. The net loss in the 2002 fourth quarter was due primarily to reduced margins outside of the Americas and higher operating expenses of $264,000, due to the impact of one-time expenses.
The Company has not yet completed its review, announced on February 3rd, of specific distributor sales in 2001 and 2002. Completion of that review will determine whether any adjustment may be required to the Company's previously-issued financial statements.
Applied Imaging Fourth Quarter Earnings Conference Call
Applied Imaging management will hold a conference call today at 11:00 a.m. EST to present an overview of the results of 2002 and outlook for 2003. The teleconference can be accessed by dialing 302-262-2075 or 800-218-0713 at least five minutes before the scheduled beginning of the call. Interested parties can also listen to the conference call live on the Internet at the Investor Relations portion of Applied Imaging's website at www.aicorp.com. A replay of the webcast will be available online through the Company's website for 30 days. Additionally, a replay of the call will be available through March 11, 2003 by dialing 303-590-3000, passcode 528183.