CULVER CITY, Calif., May 5, 2000 (PRIMEZONE) -- CARESIDE, Inc. (AMEX:CSA) announced a net loss for the first quarter ended March 31, 2000 of $(4.2) million or $(0.54) per share compared to a net loss of $(3.0) million or $(0.59) per share for the same period last year. The Company continued its transition from R&D to sales and marketing with the significant increase in revenue from the placement of Careside's hematology device, the Careside H-2000.
During the first quarter, the Company strengthened its balance sheet with a private placement of common stock, raising $10.4 million through various institutional investors. The proceeds of the private placement will be used primarily to expand marketing efforts and for working capital. The Company also announced clearance of its Direct Bilirubin test, the approval of a third patent covering its reagent cartridge technology and completion of the California's initial manufacturing quality audit.
"Careside and its CARESIDE Analyzer(tm) have begun to receive a lot of attention in various trade journals," said Chairman and CEO W. Vickery Stoughton. "During the first quarter, the Company has been working hard with a few select customers to identify and correct software and system bugs, and this process is now complete. Utilizing the funds from the private placement, the attention from the trade press and our marketing knowledge, we can now concentrate on ramping-up our efforts in placing the CARESIDE Analyzer(tm) with a broader focus."
CARESIDE, Inc. markets a proprietary blood testing system including its CARESIDE Analyzer, a companion hematology system called the H-2000 Hematology Analyzer, and its CARESIDE Connect record management system linking the two devices into customers' laboratory or patient information systems. The CARESIDE Analyzer provides a cost-effective and efficient means of measuring blood chemistry, electrochemistry, and coagulation function at the patient's point of care by producing accurate test results within 15 minutes.
Safe Harbor: Statements in this press release regarding CARESIDE Inc. which are not historical facts, including statements regarding expansions and international sales in 2000 are forward-looking statements that involve risks and uncertainties. Key factors which may impact these statements include technological hurdles, study site efficiency, and other challenges inherent in product research, development, manufacturing and marketing, and the other factors discussed in the Company's prospectus filed April, 2000. The Company undertakes no obligation to update forward-looking statements. Please see the risk factors listed from time to time in the Company's prospectus and reports on file with the SEC.
Careside, Inc.
Abbreviated Statement of Operations
(in thousands)
Three months ended
March 31,
1999 2000
SALES, net $ - $ 283
COST OF SALES - 143
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GROSS PROFIT - 140
OPERATING EXPENSES:
Research and development costs 2,230 2,464
Sales and marketing 151 944
General and administrative 258 721
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Total operating expenses 2,639 4,129
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OPERATING LOSS: (2,639) (3,989)
GOODWILL AMORTIZATION - (142)
INTEREST INCOME (EXPENSE): (359) (69)
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NET LOSS $(2,998) $(4,200)
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Dividend payable on Preferred Stock $ - $ 26
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NET LOSS to common shareholders $(2,998) $(4,226)
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NET LOSS PER SHARE $ (0.59) $ (0.54)
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Weighted average number of common stock
and common stock equivalents outstanding 5,084 7,867
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Abbreviated Balance Sheets
(in thousands)
December 31, 1999 March 31, 2000
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ASSETS
CURRENT ASSETS
Cash and cash equivalents $ 4,905 11,261
Accounts receivable 78 151
Inventories 549 1,079
Prepaid expenses and other 103 258
PROPERTY AND EQUIPMENT (net) 5,939 6,406
DEFERRED OFFERING COSTS 2 -
DEPOSITS 15 15
GOODWILL (net) 2,798 2,656
Total Assets $ 14,389 $ 21,825
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LIABILITIES AND STOCKHOLDER'S EQUITY
CURRENT LIABILITIES 4,215 6,030
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LONGTERM LIABILITIES 1,095 1,375
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STOCKHOLDER'S EQUITY 9,079 14,420
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Total liabilities and
stockholder's equity $ 14,389 $ 21,825
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