Schick Technologies Reports Fiscal 2004 Second Quarter Results Net
Revenue Increases 26% and Net Income Rises 125% LONG ISLAND CITY,
N.Y., Nov 5 /PRNewswire-FirstCall/ -- Schick Technologies, Inc.
(BULLETIN BOARD: SCHK) today reported its financial results for the
second quarter of fiscal year 2004 ended September 30, 2003. Net
revenues for the quarter were $8.5 million, an increase of $1.8
million, or 26%, compared to $6.7 million in the same period last
year. Net income for the quarter was $2.3 million, or $0.22 per
basic and $0.13 per diluted share, compared to net income of $1.0
million, or $0.10 per basic and $0.07 per diluted share, for the
same period last year. Net revenues for the six months ended
September 30, 2003 were $17.2 million, an increase of $3.5 million,
or 26%, compared to $13.7 million in the same period last year. Net
income for the six months was $4.2 million, or $0.41 per basic and
$0.25 per diluted share, compared to net income of $2.3 million, or
$0.23 per basic and $0.16 per diluted share, for the same period
last year. At September 30, 2003, the Company had $12.1 million in
cash, cash equivalents and short-term investments and $14.1 million
in working capital, as compared to $7.8 million in cash, cash
equivalents and short-term investments and $9.2 million in working
capital at March 31, 2003. Since retiring the remainder of its
long-term debt to Greystone & Co. in the first quarter, the
Company has been debt free. "We are very pleased with both our
revenue growth and profitability for the second quarter," said
David Schick, Chief Executive Officer. "Demand for our digital
imaging products remains strong. Our goal is to capitalize on the
continued growth of this segment of the dental market and to
further expand our product line." Jeffrey Slovin, President and
COO, commented, "This quarter's results mark the Company's twelfth
successive quarter of operating profits. They reflect strong gross
and operating margins in addition to well-balanced revenue growth
in all of our markets -- both domestic, fueled by our exclusive
relationship with Patterson Dental Company, and international,
supported by our active world-wide dealer network." Schick
Technologies, Inc. Conference Call Information: Schick
Technologies, Inc. will hold its quarterly conference call on
Wednesday, November 5, 2003 at 5:00 p.m. EST. To access the call,
please dial 800-901-5217, passcode #47173629 (domestic), or
617-786-4511 (international). This conference call will be
broadcast live on the Internet athttp://www.schicktech.com/. If you
are unable to participate, an audio digital replay of the call will
be available from Wednesday, November 5 at 7:00 p.m. EST until
Midnight EST on November 18 by dialing 888-286-8010 (domestic) or
617- 801-6888 (international) using confirmation code #44139782. A
web archive will be available for 30 days at
http://www.companyboardroom.com/, http://www.streetevents.com/ or
http://www.schicktech.com/. This earnings release, and any other
financial and statistical information disclosed by the Company
during the conference call will be available in the "Investors"
section of Registrant's web site athttp://www.schicktech.com/.
Schick Technologies, Inc., an ISO 9001 certified company, designs,
develops, and manufactures innovative digital radiographic imaging
systems and devices for the dental and medical markets. The
Company's products, which are based on proprietary digital imaging
technologies, create instant high-resolution radiographs and offer
significant advantages over conventional x-ray devices. The
Company's beliefs that the demand for its digital imaging products
continues to be strong, its goal to further capitalize on the
continued growth of the dental imaging market, its belief that
dental imaging is a growing segment of the dental market, its goal
to continue to expand its product line, its beliefs as to its
future growth, and other information in this announcement which is
not historical, constitute forward-looking statements as defined in
the Private Securities Litigation Reform Act of 1995. The matters
discussed in this news release are subject to various factors which
could cause actual events and results to differ materially from
such statements. Such factors include uncertainties as to the
future sales volume of Schick Technologies' products, the pending
SEC/U.S. Attorney investigations, the possibility of changing
economic, market and competitive conditions, dependence on
products, technological developments, competition, market
uncertainties, dependence on distributors, ability to manage
growth, fluctuation in results, seasonality and other risks and
uncertainties including those detailed in the Company's filings
with the Securities and Exchange Commission. Schick Technologies,
Inc. and Subsidiary Consolidated Statements of Operations
(unaudited) (In thousands, except share and per share amounts)
Three months ended Six months ended September 30, September 30,
2003 2002 2003 2002 Revenue, net $8,501 $6,750 $17,177 $13,654 Cost
of sales 2,624 2,474 5,253 4,657 Excess and obsolete inventory --
-- -- 109 Total cost of sales 2,624 2,474 5,253 4,766 Gross profit
5,877 4,276 11,924 8,888 Operating expenses: Selling and marketing
1,415 1,334 2,850 2,775 General and administrative 1,541 1,268
3,196 2,370 Research and development 839 580 1,681 1,246 Total
operating costs 3,795 3,182 7,727 6,391 Income from operations
2,082 1,094 4,197 2,497 Other income (expense) Interest income 29
20 49 43 Other income 36 -- 137 -- Interest expense (2) (76) (171)
(166) Total other income (expense) 63 (56) 15 (123) Income before
income taxes 2,145 1,038 4,212 2,374 (Benefit) provision for income
taxes (122) 30 (34) 30 Net income $2,267 $1,008 $4,246 $2,344 Basic
earnings per share $0.22 $0.10 $0.41 $0.23 Diluted earnings per
share $0.13 $0.07 $0.25 $0.16 Weighted average common shares
(basic) 10,365,939 10,147,537 10,297,818 10,141,369 Weighted
average common shares (diluted) 16,911,580 14,465,750 16,724,236
14,843,480 Schick Technologies, Inc. and Subsidiary Consolidated
Balance Sheets (In thousands, except share amounts) September 30,
March 31, 2003 (unaudited) Assets Current assets Cash and cash
equivalents $12,110 $7,100 Short-term investments 7 712 Accounts
receivable, net of allowance for doubtful accounts of $138 and $42,
respectively 3,541 3,032 Inventories 3,095 3,039 Income taxes
receivable 10 10 Prepayments and other current assets 497 421
Deferred income taxes 2,590 2,590 Total current assets 21,850
16,904 Equipment, net 1,828 2,151 Goodwill, net 266 266 Deferred
income taxes 3,254 2,940 Other assets 238 349 Total assets $27,436
$22,610 Liabilities and Stockholders' Equity Current liabilities
Current maturity of long term debt $-- $1,503 Accounts payable and
accrued expenses 1,679 1,468 Accrued salaries and commissions 1,418
1,080 Income taxes payable 27 4 Deposits from customers 26 31
Warranty obligations 98 56 Deferred revenue 4,541 3,605 Total
current liabilities 7,789 7,747 Commitments and contingencies -- --
Stockholders' equity Preferred stock ($0.01 par value; 2,500,000
shares authorized; none issued and outstanding) -- -- Common stock
($0.01 par value; 50,000,000 shares authorized: 10,401,247 and
10,206,425 shares issued and outstanding, respectively) 104 102
Additional paid-in capital 43,154 42,618 Accumulated deficit
(23,611) (27,857) Total stockholders' equity 19,647 14,863 Total
liabilities and stockholders' equity $27,436 $22,610 DATASOURCE:
Schick Technologies, Inc. CONTACT: Investor Relations of Schick
Technologies, +1-718-937-5765; or Cameron Associates,
+1-212-245-8800, for Schick Technologies Web site:
http://www.schicktech.com/
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