AHPI Allied Healthcare Products Inc

ST. LOUIS, Sept. 2, 2011 /PRNewswire/ -- Allied Healthcare Products, Inc., (NASDAQ: AHPI) reported a profitable fourth quarter and fiscal year despite sluggish sales to hospitals and government entities still suffering from recession-driven budget cuts.

Allied announced net income of about $204,000, or 3 cents per basic and diluted share, for the 2011 fiscal year compared to a loss of about $600,000, or a negative 7 cents per share, for the previous year.

For the quarter, Allied increased net income to about $115,000, or 1 cent per basic and diluted share, from about $86,000, or 1 cent per share, for the previous year.

Allied sales for the fiscal year ended June 30, 2011, increased by about $750,000, or nearly 2 percent, to about $46.8 million. Sales for the fourth quarter increased by almost $434,000, or 3.5 percent, to about $12.1 million compared to the previous year's fourth quarter.

Allied reduced selling, general and administrative (SG&A) expenses in the 2011 fiscal year by more than 10 percent, from about $11.9 million to $10.6 million.  Selling, general and administrative expenses in the prior year were affected by a non-cash charge of $609,000 for the grant of stock options.

"Domestic sales to hospitals and emergency markets increased modestly in this fiscal year," said Earl Refsland, Allied president and chief executive officer. "But both markets remain significantly below pre-recession levels." Refsland said that sales in Allied's international markets also remain well below pre-recession levels.

"Our cost structure is strong, so Allied is well positioned to take advantage of the markets' return to more normal demand levels," Refsland said.

Allied ended the 2011 fiscal year with more than $6 million in cash, Refsland said.

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 products 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.

SOURCE Allied Healthcare Products, Inc.