Highlights
- Cash increased to $10.6 million, up $919,000 from the second quarter
- Gross margin for the quarter rises to 54.4% from 51.6% a year ago
- Operating expense reduced by $110,000 from prior-year third quarter
- Pro-forma third-quarter cash basis net income positive at $303,000
Angeion Corporation (NASDAQ: ANGN) today reported results for its fiscal third quarter ended July 31, 2009.
For the 2009 third quarter, Angeion posted a net loss of $173,000, or $0.04 per diluted share, on revenues of $6.2 million. This represents a sequential improvement from a 2009 second-quarter net loss of $225,000, or $0.05 per diluted share, also on revenues of $6.2 million. Compared to the prior year third quarter, which generated net income of $259,000, or $0.06 per diluted share, current-year earnings decreased $432,000, or $0.10 per diluted share, due to a $1.4 million decrease in revenues.
While third quarter 2009 revenues continued to feel the impact of the economic downturn and its on-going pressure on capital spending by hospitals and clinics, the Company was encouraged by a sequential improvement in sales between the second and third quarters of 2009, especially since the fiscal second quarter included three uncommonly large shipments which represented $663,000 of that quarter’s total volume. With respect to the fiscal third quarter, despite not having any atypical shipments such as those noted above, Angeion still delivered sequentially higher revenues for the period, as well as stronger gross margins (54.4% versus 53.2% in the 2009 second quarter).
Third-quarter revenue to international customers represented 20.8% of the total while on a year-to-date basis, international business accounted for 20.7% of total sales.
“Given the ongoing tough global economic conditions and continued pressures on capital spending facing hospitals and physician clinics, we are encouraged by our third-quarter results, achieving sequential quarterly sales gains,” said Rodney A. Young, Angeion’s President and Chief Executive Officer. “In recent quarters we’ve taken definitive actions to: sharply focus on closing each potential account sale; aggressively manage operating expenses; and prioritize new product and business development activities. These initiatives are taking hold and producing positive results. We are on our way to realizing our longer-term growth prospects and executing our strategic priorities to bring a restoration of growth, profitability and shareholder value.”