U.S. SECURITIES AND EXCHANGE COMMISSION
WASHINGTON, D.C. 20549
FORM 10-Q
QUARTERLY REPORT UNDER SECTION 13 OR 15 (d) OF
THE SECURITIES EXCHANGE ACT OF 1934
FOR THE QUARTERLY PERIOD ENDED SEPTEMBER 30, 2002
Commission file number 0-5460
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STOCKERYALE, INC. |
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(Exact name of registrant as specified in its charter) |
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Massachusetts |
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04-2114473 |
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(State of Incorporation) |
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(I.R.S. Employer Identification Number) |
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32 Hampshire Road, Salem, New Hampshire 03079 |
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(Address of registrant’s principal executive office) |
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(603) 893-8778 |
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(Registrant’s telephone number) |
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Indicate by check mark whether the registrant (1) has filed all reports required to be filed by Section 13 or 15 (d) of the Exchange Act of 1934 during the preceding 12 months (or for such shorter period that the registrant was required to file such reports), and (2) has been subject to such filing requirements for the past 90 days. ý Yes o No
As of October 31, 2002 there were 12,453,475 shares of the issuer’s common stock outstanding.
STOCKERYALE, INC.
INDEX TO FORM 10-Q
FORM 10 - Q
ITEM 1
STOCKERYALE, INC.
UNAUDITED CONDENSED CONSOLIDATED BALANCE SHEETS
(In thousands, except share and per share data)
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September 30, 2002 |
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December 31, 2001 |
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ASSETS |
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CURRENT ASSETS: |
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Cash and cash equivalents |
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$ |
2,091 |
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$ |
1,576 |
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Restricted cash |
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2,000 |
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2,000 |
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Trade receivables, less reserves of $179 and $128 at September 30, 2002 and December 31, 2001, respectively |
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2,953 |
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2,091 |
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Inventories |
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4,878 |
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5,224 |
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Prepaid expenses and other current assets |
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919 |
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1,078 |
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Total current assets |
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12,841 |
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11,969 |
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PROPERTY, PLANT AND EQUIPMENT, NET |
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25,474 |
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25,813 |
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GOODWILL, NET |
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2,677 |
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2,677 |
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IDENTIFIED INTANGIBLE ASSETS, NET |
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1,866 |
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2,115 |
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OFFICER NOTE RECEIVABLE |
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249 |
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— |
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OTHER LONG-TERM ASSETS |
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494 |
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786 |
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$ |
43,601 |
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$ |
43,360 |
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LIABILITIES AND STOCKHOLDERS’ EQUITY |
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CURRENT LIABILITIES: |
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Current portion of long-term debt |
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$ |
1,714 |
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$ |
339 |
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Short-term debt |
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7,553 |
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3,566 |
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Accounts payable |
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1,775 |
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3,791 |
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Accrued expenses |
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1,047 |
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1,438 |
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Short-term lease obligation |
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74 |
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147 |
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Total current liabilities |
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12,163 |
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9,281 |
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LONG-TERM DEBT AND CAPITAL LEASE OBLIGATIONS |
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1,136 |
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2,862 |
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OTHER LONG-TERM LIABILITIES |
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841 |
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929 |
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DEFERRED INCOME TAXES |
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205 |
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263 |
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COMMITMENTS AND CONTINGENCIES (SEE NOTE 5) |
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STOCKHOLDERS’ EQUITY: |
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Common stock, par value $0.001 |
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Authorized—100,000,000, Issued and outstanding—12,453,475 and 11,391,825 at September 30, 2002 and December 31, 2001, respectively |
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13 |
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11 |
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Paid-in capital |
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68,367 |
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58,309 |
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Accumulated other comprehensive loss |
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(438) |
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(381 |
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Accumulated deficit |
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(38,686 |
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(27,914 |
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Total stockholders’ equity |
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29,256 |
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30,025 |
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$ |
43,601 |
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$ |
43,360 |
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See notes to unaudited condensed consolidated financial statements.
1
STOCKERYALE, INC.
UNAUDITED CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS
(In thousands, except per share data)
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Three Months Ended |
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Nine Months Ended |
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2002 |
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2001 |
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2002 |
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2001 |
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NET SALES |
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$ |
3,456 |
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$ |
3,663 |
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$ |
9,887 |
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$ |
12,183 |
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COST OF SALES |
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2,758 |
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2,692 |
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8,249 |
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7,723 |
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Gross Profit |
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698 |
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971 |
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1,638 |
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4,460 |
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OPERATING EXPENSES: |
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Selling Expenses |
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704 |
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1,178 |
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2,607 |
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3,122 |
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General and Administrative Expenses |
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1,013 |
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2,226 |
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4,312 |
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5,997 |
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Amortization Expense |
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81 |
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171 |
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250 |
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509 |
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Research and Development Expenses |
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1,488 |
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1,293 |
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5,241 |
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2,986 |
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