Vasomedical, Inc. (Vasomedical) has reported total revenues of $1.15 million for the second quarter of fiscal 2009, compared with the total revenues of $1.38 million in the year-ago quarter. It has also reported a net loss of $0.26 million for the second quarter of fiscal 2009, compared with the net loss of $64,063 in the year ago quarter.
Gross profit
Gross profit declined to $535,764, or 46% of revenues, for the second quarter of fiscal 2009 compared to $651,775, or 47% of revenues, for the same quarter of fiscal 2008.
Selling, general and administrative
Selling, general and administrative expenses for the second quarter of fiscal 2009 and 2008 were $685,384, or 59% of revenues, and $642,138, or 46% of revenues, respectively, reflecting an increase of $43,246 or approximately 7%.
During the second quarter of fiscal 2009 and 2008, there were no changes in the company’s provision for doubtful accounts.
Research and development
Research and development expenses of $147,607, or 13% of revenues, for the second quarter of fiscal 2009 increased by $41,780, or 39%, from $105,827, or 8% of revenues, for the second quarter of fiscal 2008.
Interest and other income, net
Interest and other income for the second quarter of 2009 and 2008, were $20,523 and $22,967, respectively. Interest income reflects interest earned on the Company’s cash balances.
Six months ended November 30, 2008 and 2007
Net revenue from sales, leases and service of our EECP systems for the six months ended November 30, 2008 and 2007, was $2,470,546 and $2,727,891, respectively, which represented a decrease of $257,345, or 9%. We reported a net loss attributable to common stockholders of $817,215 and $82,848 for the first six months of fiscal 2009 and 2008, respectively. The increase in the net loss was primarily due to increases in our operating expenses, and decreases in revenue from the comparative prior period.
Revenues
Revenue from equipment sales increased $154,254, or approximately 14% to $1,244,794 for the six-month period ended November 30, 2008 as compared to $1,090,540 for the same period in the prior year.
Gross profit
Gross profit declined to $1,036,326, or 42% of revenues, for the first six months of fiscal 2009 compared to $1,336,514, or 49% of revenues, for the same period of fiscal 2008.
Selling, general and administrative
Selling, general and administrative expenses for the first six months of fiscal 2009 and 2008 were $1,629,143, or 66% of revenues, and $1,200,294, or 44% of revenues, respectively, reflecting an increase of $428,849or approximately 36%.
Research and development
Research and development expenses of $279,954, or 11% of revenues, for the first six months of fiscal 2009 increased by $34,952, or 14%, from $245,002, or 9% of revenues, for the first six months of fiscal 2008.
Interest expense and financing costs
The company had no interest expense and financing costs for the first six months of fiscal 2009 and $16,605 in the same period of 2008. Interest expense primarily reflects interest on loans secured to refinance the November 2000
purchase of the company’s headquarters and warehouse facility.
Interest and Other Income, Net
Interest and other income for the first six months of 2009 and 2008, were $36,535 and $35,238, respectively. Interest income reflects interest earned on the Company’s cash balances.
Income Tax Expense, Net
During the first six months of fiscal 2009 and 2008, the company recorded a provision for income taxes of $7,602 and $10,447, respectively.
As of November 30, 2008, the recorded deferred tax assets were $20,095,252, reflecting an increase of $275,900 during the first six months of fiscal 2009, which was offset by a valuation allowance of the same amount.