ST. LOUIS, May 6, 2011 /PRNewswire/ -- With tight budgets
continuing to constrain its healthcare markets, Allied Healthcare
Products (Nasdaq: AHPI) reported a modest profit in the third
quarter of fiscal year 2011 and further improvement in its
year-over-year performance.
Net income for the quarter ending March
31, was about $60,000, or
1 cent per basic and diluted share,
compared to $37,000, or zero cents
per share, for the previous year's quarter. For the first three
quarters of the fiscal year, net income was about $90,000, or 1 cent
per basic and diluted share, versus a loss of $685,000, or negative 9
cents per share, for the previous year's first three
quarters.
Sales were essentially flat. For the third quarter, sales
totaled about $11.3 million, slightly
below the $11.6 million of the prior
year's quarter. For the first three quarters of the fiscal
year, sales were about $34.7 million,
about $300,000 above the previous
year's level.
Commodity prices for materials such as brass continued to
increase in the third quarter. However, Allied offset most of the
effect of those increases with cost containment efforts in other
areas of the business.
Allied also reduced selling, general and administrative
(SG&A) costs significantly. In the third quarter, Allied cut
SG&A costs by more than $210,000,
or about 8 percent, compared to the previous year's third
quarter.
"Our customers at all levels face tough budget challenges," said
Earl Refsland, Allied president and
chief executive officer. "We have managed our company accordingly
and are well positioned for a return to more normal markets."
Allied Healthcare Products manufactures a variety of respiratory
products used in the healthcare industry in a range of hospital and
alternate care settings including sub-acute facilities, home
healthcare and emergency medical care. Allied product lines include
respiratory care products, medical gas equipment and emergency
medical products. Allied products are marketed to hospitals,
hospital equipment dealers, hospital construction contractors, home
healthcare dealers and emergency medical product dealers.
"SAFE HARBOR" STATEMENT: Statements contained in this release
that are not historical facts or information are "forward-looking
statements." Words such as "believe," "expect," "intend,"
"will," "should," and other expressions that indicate future events
and trends identify such forward-looking statements. These
forward-looking statements involve risks and uncertainties that
could cause the outcome and future results of operations and
financial condition to be materially different than stated or
anticipated based on the forward-looking statements. Such risks and
uncertainties include both general economic risks and
uncertainties, risks and uncertainties affecting the demand for and
economic factors affecting the delivery of health care services,
and specific matters which relate directly to the Company's
operations and properties as discussed in its periodic filings with
the Securities and Exchange Commission. The Company cautions that
any forward-looking statement contained in this report reflects
only the belief of the Company or its management at the time the
statement was made. Although the Company believes such
forward-looking statements are based upon reasonable assumptions,
such assumptions may ultimately prove inaccurate or incomplete. The
Company undertakes no obligation to update any forward-looking
statement to reflect events or circumstances after the date on
which the statement was made.
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ALLIED
HEALTHCARE PRODUCTS, INC.
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CONSOLIDATED
STATEMENT OF OPERATIONS
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(UNAUDITED)
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Three months
ended,
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Nine months
ended,
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March
31,
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March
31,
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2011
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2010
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2011
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2010
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Net sales
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$11,338,196
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$11,627,418
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$34,681,610
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$34,366,002
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Cost of sales
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8,729,823
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8,781,739
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26,712,541
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26,172,709
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Gross profit
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2,608,373
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2,845,679
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7,969,069
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8,193,293
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Selling General and
administrative expenses
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2,494,806
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2,705,644
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7,780,116
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9,197,535
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Income (loss) from
operations
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113,567
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140,035
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188,953
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(1,004,242)
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Interest income
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(8,150)
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(2,956)
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(23,692)
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(4,403)
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Interest expense
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-
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190
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66
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2,764
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Other, net
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24,421
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80,791
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67,931
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103,588
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16,271
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78,025
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44,305
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101,949
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Income (loss) before provision
for
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(benefit from) income
taxes
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97,296
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62,010
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144,648
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(1,106,191)
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Provision for (benefit from)
income taxes
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36,972
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24,480
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54,966
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(420,353)
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Net income (loss)
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$60,324
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$37,530
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$89,682
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($685,838)
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Net income (loss) per share -
Basic
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$0.01
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$0.00
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$0.01
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($0.09)
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Net income (loss) per share -
Diluted
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$0.01
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$0.00
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$0.01
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($0.09)
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Weighted average common shares
outstanding - Basic
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8,113,434
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8,093,386
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8,101,643
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8,057,890
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Weighted average common shares
outstanding - Diluted
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8,195,174
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8,183,907
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8,121,042
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8,057,890
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ALLIED
HEALTHCARE PRODUCTS, INC.
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CONSOLIDATED
BALANCE SHEET
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(UNAUDITED)
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March 31, 2011
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June 30, 2010
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ASSETS
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Current assets:
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Cash and cash
equivalents
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$
5,802,586
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$
5,263,324
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Accounts receivable, net of
allowances
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of $300,000
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5,289,283
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5,418,253
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Inventories, net
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11,215,012
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11,155,456
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Income tax receivable
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776,581
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877,665
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Other current assets
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256,765
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221,840
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Total current
assets
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23,340,227
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22,936,538
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Property, plant and equipment,
net
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8,725,413
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9,661,395
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Other assets, net
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323,899
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333,084
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Total
assets
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$
32,389,539
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$
32,931,017
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LIABILITIES AND STOCKHOLDERS'
EQUITY
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Current liabilities:
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Accounts payable
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$
1,981,314
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$
1,950,446
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Other accrued
liabilities
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1,969,594
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2,241,259
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Deferred income taxes
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423,328
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429,699
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Deferred revenue
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688,200
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688,200
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Total current
liabilities
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5,062,436
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5,309,604
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Deferred revenue
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286,750
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802,900
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Commitments and
contingencies
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Stockholders' equity:
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Preferred stock; $0.01 par
value; 1,500,000 shares
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authorized; no shares
issued and outstanding
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-
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-
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Series A preferred stock; $0.01
par value; 200,000 shares
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authorized; no shares
issued and outstanding
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-
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Common stock; $0.01 par value;
30,000,000 shares
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authorized; 10,427,878 and
10,396,878 shares issued
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at March 31, 2011 and June
30, 2010, respectively;
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8,124,386 and 8,093,386
shares outstanding at
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March 31, 2011 and June
30, 2010, respectively
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104,279
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103,969
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Additional paid-in
capital
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48,494,770
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48,362,922
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Accumulated deficit
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(827,268)
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(916,950)
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Less treasury stock, at cost;
2,303,492 shares at
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March 31, 2011 and June
30, 2010, respectively
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(20,731,428)
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(20,731,428)
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Total stockholders'
equity
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27,040,353
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26,818,513
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Total liabilities
and stockholders' equity
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$
32,389,539
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$
32,931,017
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SOURCE Allied Healthcare Products