Attached files
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8-K - HEALTHTRONICS, INC. | f8k110509fr.htm |
EX-10 - HEALTHTRONICS, INC. | exh101.htm |
EX-99 - HEALTHTRONICS, INC. | f8ktrans.htm |
EXHIBIT 99.1 |
HealthTronics, Inc. Announces Third Quarter Results, Positive Contribution from Endocare; Richard Rusk Appointed Chief Financial Officer |
AUSTIN, Texas, November 5, 2009 (GLOBE NEWSWIRE) -- HealthTronics, Inc. (Nasdaq:HTRN), a leading provider of
Urology services and products, today announced its financial results for the quarter ended September 30, 2009. |
R. Steven Hicks, Chairman of the Board, added, We expect Richard to do exceptionally well as Chief Financial
Officer. Richards understanding of HealthTronics is very deep, and we believe his skills and leadership will
continue to create additional value for our shareholders. |
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After Tax Cash Flow: HealthTronics has presented After Tax Cash Flow, a non-GAAP financial measure.
HealthTronics believes its presentation of After Tax Cash Flow is an important supplemental measure of its
operating performance to its investors. |
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EBITDA and Adjusted EBITDA are used in addition to and in conjunction with results presented in accordance with
GAAP. EBITDA and Adjusted EBITDA should not be considered as an alternative to net income, operating income, a
liquidity measure, or any other operating performance measure prescribed by GAAP, nor should these measures be
relied upon to the exclusion of GAAP financial measures. EBITDA and Adjusted EBITDA reflect additional ways of
viewing HealthTronics' operations that HealthTronics believes, when viewed with its GAAP results and the
reconciliations to the corresponding GAAP financial measures, provide a more complete understanding of factors
and trends affecting HealthTronics' business than could be obtained absent this disclosure. |
Healthtronics, Inc. and Subsidiaries |
Three Months Ended September 30, |
Nine Months Ended September 30, |
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($ in thousands, except per share data) |
2009 |
2008 |
2009 |
2008 | ||||||||||
Revenues | $ | 47,283 | $ | 44,771 | $ | 135,051 | $ | 121,305 | ||||||
Cost of revenues (exclusive of depreciation and | ||||||||||||||
amortization shown separately below) | 22,452 | 19,954 | 65,015 | 54,257 | ||||||||||
Gross profit | 24,831 | 24,817 | 70,036 | 67,048 | ||||||||||
Operating expenses | ||||||||||||||
Selling, general and administrative | 7,290 | 4,600 | 16,706 | 14,186 | ||||||||||
Depreciation and amortization | 3,737 | 3,073 | 10,613 | 8,770 | ||||||||||
Total operating expenses | 11,027 | 7,673 | 27,319 | 22,956 | ||||||||||
Operating income | 13,804 | 17,144 | 42,717 | 44,092 | ||||||||||
Other income (expenses): | ||||||||||||||
Interest and dividends | 13 | 806 | 95 | 1,098 | ||||||||||
Interest expense | (299 | ) | (182 | ) | (887 | ) | (591 | ) | ||||||
(286 | ) | 624 | (792 | ) | 507 | |||||||||
Income from operations before provision | ||||||||||||||
for income taxes | 13,518 | 17,768 | 41,925 | 44,599 | ||||||||||
Provision for income taxes | 1,348 | 889 | 1,967 | 1,730 | ||||||||||
Consolidated net income | 12,170 | 16,879 | 39,958 | 42,869 | ||||||||||
Less: Net income attributable to noncontrolling interest | (14,472 | ) | (15,552 | ) | (41,541 | ) | (40,380 | ) | ||||||
Net income (loss) attributable to HealthTronics, Inc. | $ | (2,302 | ) | $ | 1,327 | $ | (1,583 | ) | $ | 2,489 | ||||
Basic earnings per share attributable to HealthTronics, Inc.: | ||||||||||||||
Net income (loss) attributable to HealthTronics, Inc. | $ | (0.06 | ) | $ | 0.04 | $ | (0.04 | ) | $ | 0.07 | ||||
Weighted average shares outstanding | 41,043 | 37,503 | 37,666 | 36,666 | ||||||||||
Diluted earnings per share attributable to HealthTronics, Inc.: | ||||||||||||||
Net income (loss) attributable to HealthTronics, Inc. | $ | (0.06 | ) | $ | 0.04 | $ | (0.04 | ) | $ | 0.07 | ||||
Weighted average shares outstanding | 41,043 | 37,604 | 37,666 | 36,734 |
HealthTronics, Inc. and Subsidiaries |
($ in thousands) |
September 30, 2009 |
December 31, 2008 | ||||||
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ASSETS | ||||||||
Total current assets | $ | 60,423 | $ | 63,689 | ||||
Property and equipment, net | 30,952 | 32,769 | ||||||
Goodwill | 103,000 | 93,620 | ||||||
Other assets | 57,290 | 44,308 | ||||||
$ | 251,665 | $ | 234,386 | |||||
LIABILITIES | ||||||||
Total current liabilities | $ | 65,628 | * | $ | 18,274 | |||
Long-term debt, net of current portion | 2,069 | 43,897 | ||||||
Other long-term liabilities | 8,283 | 5,120 | ||||||
Total liabilities | 75,980 | 67,291 | ||||||
Total HealthTronics, Inc. shareholders' equity | 132,310 | 119,372 | ||||||
Noncontrolling interest | 43,375 | 47,723 | ||||||
$ | 251,665 | $ | 234,386 |
* Includes $44 million outstanding on our credit facility due in March 2010. |
HealthTronics, Inc. and Subsidiaries |
Three Months Ended September 30, |
Nine Months Ended September 30, |
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(In thousands, except per share data) |
2009 |
2008 |
2009 |
2008 | ||||||||||
Summary of results from operations | ||||||||||||||
Revenues | $ | 47,283 | $ | 44,771 | $ | 135,051 | $ | 121,305 | ||||||
EBITDA(a) | $ | 21,555 | $ | 21,782 | $ | 59,625 | $ | 56,590 | ||||||
Adjusted EBITDA(a) | $ | 7,083 | $ | 6,230 | $ | 18,084 | $ | 16,210 | ||||||
Net income (loss) | $ | (2,302 | ) | $ | 1,327 | $ | (1,583 | ) | $ | 2,489 | ||||
EPS | $ | (0.06 | ) | $ | 0.04 | $ | (0.04 | ) | $ | 0.07 | ||||
Number of shares | 41,043 | 37,604 | 37,666 | 36,734 | ||||||||||
Other information: | ||||||||||||||
After Tax Cash Flow(a) | $ | 4,089 | (b) | (b) | (b) | |||||||||
Net draws (payments) on senior credit facility | $ | 9,000 | $ | 6,000 | $ | 3,000 | $ | 6,000 | ||||||
Net debt | $ | 37,873 | $ | (6,322 | ) | $ | 37,873 | $ | (6,322 | ) | ||||
Capital expenditures: | ||||||||||||||
Corporate level | $ | 568 | $ | 2,053 | $ | 1,687 | $ | 5,900 | ||||||
Partnership level | 718 | 1,094 | 4,025 | 2,862 | ||||||||||
Total | $ | 1,286 | $ | 3,147 | $ | 5,712 | $ | 8,762 |
(a) See accompanying reconciliation of EBITDA, Adjusted EBITDA, and After Tax Cash Flow. |
HealthTronics, Inc. and Subsidiaries |
(In thousands) | ||||||||||||||
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ADJUSTED EBITDA |
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Three Months Ended September 30, |
Nine Months Ended September 30, |
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Consolidated |
2009 |
2008 |
2009 |
2008 | ||||||||||
Income (loss) from continuing operations | $ | (2,302 | ) | $ | 1,327 | $ | (1,583 | ) | $ | 2,489 | ||||
Add Back (deduct): | ||||||||||||||
Provision for income taxes | 1,348 | 889 | 1,967 | 1,730 | ||||||||||
Interest expense | 299 | 182 | 887 | 591 | ||||||||||
Depreciation and amortization | 3,737 | 3,073 | 10,613 | 8,770 | ||||||||||
Restructuring costs | 3,196 | 198 | 3,886 | 160 | ||||||||||
Sharebased compensation costs | 805 | 561 | 2,314 | 2,470 | ||||||||||
Adjusted EBITDA | 7,083 | 6,230 | 18,084 | 16,210 | ||||||||||
Add Back: | ||||||||||||||
Noncontrolling interest expense | 14,472 | 15,552 | 41,541 | 40,380 | ||||||||||
EBITDA | $ | 21,555 | $ | 21,782 | $ | 59,625 | $ | 56,590 |
AFTER TAX CASH FLOW |
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Three Months Ended September 30, 2009 | |||||
Cash provided by operating activities | $ | 9,884 | |||
Add Back (deduct): | |||||
Cash paid for acquisition related costs | 9,232 | ||||
Distributions to noncontrolling interests | (15,027 | ) | |||
After Tax Cash Flow | $ | 4,089 |
NON GAAP NET INCOME |
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Three Months Ended September 30, |
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2009 |
2008 | ||||||||||
Income (loss) from continuing operations | $ | (2,302 | ) | $ | 1,327 | ||||||
Add Back (deduct): | |||||||||||
Provision for income taxes | 1,348 | 889 | |||||||||
Restructuring costs | 3,196 | 198 | |||||||||
Sharebased compensation costs | 805 | 561 | |||||||||
IRS interest income | -- | (700 | ) | ||||||||
3,047 | 2,275 | ||||||||||
Provision for income taxes at a | |||||||||||
normalized rate of 38.5% | (1,173 | ) | (876 | ) | |||||||
Non - GAAP net income | $ | 1,874 | $ | 1,399 | |||||||
Non - GAAP net income per share | $ | 0.05 | $ | 0.04 |
EBITDA - Endocare |
|||||
---|---|---|---|---|---|
Three Months Ended September 30, 2009 | |||||
Loss from continuing operations - Endocare | $ | (1,985 | ) | ||
Add Back (deduct): | |||||
Depreciation and amortization - Endocare | 312 | ||||
Restructuring costs - Endocare | 2,598 | ||||
EBITDA - Endocare | $ | 925 |