CASMED Announces Fourth Quarter and Full-Year 2012 Financial Results
2012 Domestic FORE-SIGHT® Sales Increase 43%
Conference Call Begins at 10:00 a.m. ET Today
BRANFORD, Conn., March 7, 2013 (GLOBE NEWSWIRE) -- CAS Medical Systems, Inc.
(Nasdaq:CASM) (CASMED), a leader in medical devices for non-invasive patient
monitoring, today reported financial results for the three and 12 months ended
December 31, 2012. Net sales were $6.0 million for the fourth quarter and
$22.7 million for the year, compared with $5.3 million and $22.5 million in
comparable prior-year periods, respectively. The net loss applicable to common
stockholders was ($0.18) per basic and diluted share in the fourth quarter and
($0.63) per basic and diluted share for the year.
Highlights of the fourth quarter of 2012 and recent weeks include (all
comparisons are with the fourth quarter of 2011):
*Net sales increased 12%.
*FORE-SIGHT sales increased 31% led by a 36% increase in FORE-SIGHT
disposable sensor sales.
*The installed base of FORE-SIGHT units reached 741 as of December 31,
2012, up 35% with 45 units added during the fourth quarter.
*Sales of the Company's traditional monitoring products were $3.8 million,
*The Company ended the year with cash and short-term investments of $10.5
*CASMED filed 510(k) applications with the U.S. Food and Drug
Administration for its next-generation FORE-SIGHT product in the fourth
quarter, and for its new vital signs monitor and non-invasive blood
pressure technology early in the first quarter of 2013.
Full-year 2012 highlights include (all comparisons are with full-year 2011):
*Net sales increased 1%.
*FORE-SIGHT sales were up 23% led by a 43% increase in domestic FORE-SIGHT
*FORE-SIGHT disposable sensor sales were up 37% led by a 46% increase in
domestic sensor sales.
*The Company continued to penetrate key academic centers in the U.S with
FORE-SIGHT and now counts eight of the top 25 adult cardiac surgery
centers as customers, and five of the top 10 pediatric cardiac hospitals.
*CASMED spent more than 17% of net sales on R&D in 2012, principally for
the development of its next-generation FORE-SIGHT product, a new
non-invasive blood pressure technology and an updated vital signs monitor.
Each of those products is expected to be launched early in the second half
*The number of scientific publications regarding the use of FORE-SIGHT
oximetry exceeded 200 early in 2012, with dozens of abstracts, posters and
papers published throughout the year. A few of the key studies showed:
*New data using FORE-SIGHT cerebral oximetry, with its unique ability as
a spot-check monitor, in the treatment of heart failure patients;
*High correlations of cognitive harm from cerebral desaturation events
during thoracic surgery;
*The groundbreaking discovery of significant desaturation events in post-
surgical ICU patients due to the ability of FORE-SIGHT to provide
*The utility of FORE-SIGHT's new algorithm with the ability to monitor
the gut of newborns without the typical interference from meconium.
"We are pleased with the progress we made in 2012 toward returning our Company
to growth, which we achieved with a 9% gain in net sales in the second half of
the year, while remaking our product offering to provide leading-edge and
cost-effective monitoring solutions," commented Thomas M. Patton, President
and Chief Executive Officer of CASMED. "We exceeded our goal of delivering 40%
domestic FORE-SIGHT sensor sales growth in 2012 while we continued to upgrade
our distribution, penetrate key hospital institutions and build upon the body
of clinical evidence in support of FORE-SIGHT.
"Dangerous oxygen desaturation in cerebral tissue is an unrecognized yet
common occurrence during and after surgical procedures," continued Mr. Patton,
"and our FORE-SIGHT oximeter provides unparalleled accuracy to guide
clinicians in their care of patients. As awareness of these benefits grows, we
look forward to the opportunity to increase market share and to expand the
market for cerebral oximetry.Also, with new products in each of our major
product lines expected to be released early in the second half of the year, we
continue to build our foundation for future growth."
Mr. Patton added, "We expect FORE-SIGHT sales increases for 2013 to exceed our
23% gain for 2012.We plan to provide more specific sales guidance for the
year in early May, when we report our first quarter financial results, as we
should have more information on the timing of the launch of our new products
at that time."
For the fourth quarter of 2012, the Company reported net sales of $6.0
million, an increase of $0.7 million, or 12%, from the $5.3 million reported
for the fourth quarter of 2011. FORE-SIGHT oximetry sales were $2.2 million,
an increase of $0.5 million, or 31%, over the fourth quarter of 2011.
FORE-SIGHT disposable sensor sales increased $0.5 million, or 36%, to $1.8
million over the prior year period. All other sales were 3.8 million, an
increase of $0.1 million, or 4%, over the fourth quarter of 2011.
The Company recorded a net loss applicable to common stockholders for the
fourth quarter of 2012 of $2.4 million, or ($0.18) per basic and diluted
common share, compared with ($0.15) per basic and diluted common share for the
fourth quarter of 2011.
Net sales for 2012 were $22.7 million compared with $22.5 million for 2011, a
gain of $0.2 million, or 1%. FORE-SIGHT oximetry sales were $7.8 million, an
increase of $1.4 million, or 23%, over 2011. FORE-SIGHT disposable sensor
sales increased $1.8 million, or 37%, to $6.6 million over 2011. All other
sales decreased $1.2 million, or 8%, to $14.9 million for 2012, principally
due to lower sales of vital signs monitors.
The Company reported a net loss applicable to common shareholders for 2012 of
$8.4 million, or ($0.63) per basic and diluted common share, compared with
($0.51) for 2011. The 2011 results contained income from discontinued
operations of $0.2 million or $0.02 per basic and diluted common share.
Cash, cash equivalents and short-term investments were $10.5 million as of
December 31, 2012, compared with $13.9 million as of December 31, 2011. During
2012, the Company consummated a $3.5 million term loan with East West Bank.
Conference Call Information
CASMED will host a conference call today at 10:00 a.m. ET to discuss fourth
quarter and full-year 2012 results.
Conference call dial-in information is as follows:
*U.S. callers:(866) 239-5859
*International callers: (702) 495-1913
Individuals interested in listening to the live conference call via the
Internet may do so by logging on to the Company's website:www.casmed.com.
A telephone replay will be available from 1:00 p.m. ET on March 7, 2013,
through 11:59 p.m. ET on March 13, 2013.Replay dial-in information is as
*U.S. callers: (855) 859-2056
*International callers: (404) 537-3406
*Conference ID number (U.S. and international): 16912969
*The replay will also be available at www.casmed.com.
About CASMED^® – Monitoring What's Vital
CASMED is a leading developer and manufacturer of medical devices for
non-invasive patient monitoring. The Company's FORE-SIGHT Absolute Cerebral
Oximeter provides a highly accurate, non-invasive, continuous measurement of
absolute cerebral tissue oxygen saturation.Direct monitoring of tissue
oxygenation provides a superior and powerful tool to alert clinicians to
otherwise unrecognized and dangerously low levels of oxygenation of the brain
and other tissues, thereby allowing them to intervene appropriately in the
care of their patients. In addition to FORE-SIGHT Oximeters and accessories,
the Company provides a line of bedside patient vital signs monitoring
products, proprietary non-invasive blood pressure monitoring solutions for OEM
use, neonatal intensive care supplies, and service. CASMED products are
designed to provide unique monitoring solutions that are vital to patient
care. For further information regarding CASMED, visit the Company's website at
Statements included in this press release, which are not historical in nature,
are forward-looking statements made pursuant to the safe harbor provisions of
the Private Securities Litigation Reform Act of 1995. Statements relating to
the future performance of the Company are subject to many factors including,
but not limited to, the customer acceptance of the products in the market, the
introduction of competitive products and product development, the impact of
any product liability or other adverse litigation, working capital and
availability of capital, commercialization and technological difficulties, the
impact of actions and events involving key customers, vendors, lenders,
competitors, and other risks detailed in the Company's Form 10-K for the year
ended December 31, 2011, and other subsequent Securities and Exchange
Such statements are based upon the current beliefs and expectations of the
Company's management and are subject to significant risks and uncertainties.
Actual results may differ from those set forth in the forward-looking
statements. When used in this press release, the terms "anticipate",
"believe", "estimate", "expect", "may", "objective", "plan", "possible",
"potential", "project", "will", and similar expressions identify
forward-looking statements. The forward-looking statements contained in this
press release are made as of the date hereof, and we do not undertake any
obligation to update any forward-looking statements, whether as a result of
future events, new information, or otherwise.
(Tables to follow)
CAS MEDICAL SYSTEMS, INC.
STATEMENTS OF INCOME
Three Months Ended Twelve Months Ended
December 31, December 31, December 31, December 31,
2012 2011 2012 2011
Net sales $5,951,133 $5,304,432 $22,669,065 $22,450,567
Cost of sales 3,579,691 3,202,212 13,565,148 13,892,572
Gross profit 2,371,442 2,102,220 9,103,917 8,557,995
Research and 1,273,874 1,011,373 4,019,896 3,525,078
general and 3,392,574 2,801,371 12,528,686 11,509,670
operating 4,666,448 3,812,744 16,548,582 15,034,748
Operating loss (2,295,006) (1,710,524) (7,444,665) (6,476,753)
Interest 67,000 -- 113,941 --
Other Income (2,982) (12,987) (39,129) (26,738)
operations (2,359,024) (1,697,537) (7,519,477) (6,450,015)
Income tax (211,159) (5,374) (211,159) (124,763)
continuing (2,147,865) (1,692,163) (7,308,318) (6,325,252)
discontinued -- 10,433 -- 242,188
Net loss (2,147,865) (1,681,730) (7,308,318) (6,083,064)
stock dividend 288,159 268,840 1,123,239 631,143
applicable to $(2,436,024) $(1,950,570) $(8,431,557) $(6,714,207)
Continuing $(0.18) $(0.15) $(0.63) $(0.53)
Discontinued $-- $-- $-- $0.02
Net loss $(0.18) $(0.15) $(0.63) $(0.51)
Basic and 13,353,124 13,174,680 13,286,553 13,104,245
CAS MEDICAL SYSTEMS, INC.
December 31, December 31,
Cash and cash equivalents $9,245,094 $11,387,300
Short-term investments 1,250,794 2,490,587
Accounts receivable 2,197,513 2,535,331
Inventories 3,543,325 3,276,568
Other current assets 612,082 299,620
Total current assets 16,848,808 19,989,406
Property and equipment 9,158,677 7,712,998
Less accumulated depreciation (6,443,303) (5,583,358)
Intangible and other assets, net 830,245 704,648
Total assets $20,394,427 $22,823,694
Accounts payable $1,906,327 $1,340,488
Accrued expenses 1,625,923 1,443,367
Current portion of long-term debt 697,834 --
Total current liabilities 4,230,084 2,783,855
Income taxes payable -- 211,159
Deferred gain on sale and leaseback of property 630,152 764,789
Long-term debt, less current portion 2,685,560 --
Total liabilities 7,545,796 3,759,803
Series A convertible preferred stock 8,802,000 8,802,000
Series A exchangeable preferred stock 5,135,640 5,135,640
Common stock 55,069 54,805
Additional paid-in capital 12,023,721 10,930,927
Treasury stock (101,480) (101,480)
Accumulated deficit (13,066,319) (5,758,001)
Total stockholders' equity 12,848,631 19,063,891
Total liabilities & stockholders' equity $20,394,427 $22,823,694
CONTACT: Company Contact
CAS Medical Systems, Inc.
Jeffery A. Baird
Chief Financial Officer
Kim Sutton Golodetz (email@example.com)
Bruce Voss (firstname.lastname@example.org)
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