CryoLife, Inc. Reports Record Revenues And Earnings For The First Quarter Of 1998
ATLANTA, April 21 -- CryoLife, Inc. (NYSE:CRY), a leader in human tissue and cell preservation, and a manufacturer and distributor of specialty cardiovascular and vascular medical instruments and devices, announced record revenues and earnings for the first quarter ended March 31, 1998.
Revenues for the first quarter of 1998 were $14,625,000, a 40 percent increase over the previous first quarter record of $10,413,000, set in 1997.
Net income for the first quarter of 1998 was $1,172,000, a 23 percent increase, compared to the previous first quarter record of $952,000, set in 1997. Earnings per common share in the first quarter of 1998 were $0.12 basic and $0.12 diluted, compared with $0.10 basic and $0.10 diluted in the first quarter of 1997.
Steven G. Anderson, President and Chief Executive Officer, CryoLife, Inc., noted, "Record revenues and net income reflect the growing demand and acceptance in the medical community of cryopreserved human tissues for transplant. Our financial performance in the quarter also benefited from the acquisition on March 5, 1997 of Ideas for Medicine(R), Inc., a manufacturer of single-use vascular and cardiovascular medical devices, and the expanding surgical application of the CryoLife-O'Brien(TM) porcine heart valves in the European market."
On April 3, 1998, CryoLife successfully completed a follow-on public offering of 2,588,000 common shares which became effective March 30, 1998, and on April 16, 1998, an over-allotment option was exercised for an additional 387,500 shares. The oversubscribed offering provided the Company with net proceeds of $45,400,000. The proceeds from the offering are being designated for repayment of indebtedness, expansion of facilities, general corporate purposes and potential acquisitions. Managing underwriters for the offering were SBC Warburg Dillon Read of New York and Piper Jaffray of Minneapolis.
Founded in 1984, CryoLife, Inc., is a leader in the development and commercialization of technology for ultra-low temperature preservation ("cryopreservation") of viable human tissues for use in cardiovascular, vascular, and orthopaedic surgeries throughout the United States and Canada. The Company's BioGlue(R) surgical adhesive, CE marked in the European Union for use in vascular sealing and repair, is distributed throughout Europe. Through its wholly owned subsidiary, Ideas for Medicine, Inc., CryoLife is a manufacturer and distributor of an extensive line of single-use medical devices used primarily in vascular and cardiovascular surgery. The Company also manufactures stentless porcine heart valves which are distributed within the European Community.
CRYOLIFE, INC. SUMMARY OF CONSOLIDATED FINANCIAL DATA (IN THOUSANDS, EXCEPT SHARE AND PER SHARE DATA) (UNAUDITED) Three Months Ended March 31, 1998 1997 REVENUES $ 14,625 $ 10,413 COSTS AND EXPENSES: CRYOPRESERVATION AND PRODUCTS 5,481 3,426 GENERAL, ADMINISTRATIVE AND MARKETING 5,827 4,479 RESEARCH & DEVELOPMENT 1,011 849 INTEREST 430 132 12,749 8,886 INCOME BEFORE INCOME TAXES 1,876 1,527 INCOME TAX EXPENSE 704 575 NET INCOME $ 1,172 $ 952 EARNINGS PER SHARE: BASIC $ 0.12 $ 0.10 DILUTED $ 0.12 $ 0.10 WEIGHTED AVERAGE SHARES OUTSTANDING: BASIC 9,739,000 9,581,000 DILUTED 10,077,000 9,877,000 Proforma* March 31, March 31, December 31, 1998 1998 1997 BALANCE SHEET DATA: WORKING CAPITAL $59,452 $52,363 $18,825 TOTAL ASSETS 101,069 89,844 53,749 SHAREHOLDERS' EQUITY 71,560 77,570 30,227 * Ref1ects the receipt of the proceeds from the underwriters (including the overallotment option), repayment of certain debt and distributions to selling shareholders in connection with the Company's follow-on offering.
SOURCE: CryoLife, Inc.