8-K

UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 20549

FORM 8-K

CURRENT REPORT

Pursuant to Section 13 or 15(d) of the Securities Exchange Act of 1934

Date of Report (Date of earliest event reported):

April 7, 2003

HealthTronics Surgical Services, Inc.

(Exact name of the Registrant as specified in its charter)

Georgia	000-30406	58-2210668
(State or other jurisdiction of incorporation and organization)	(Commission File Number)	(I.R.S. Employer identification No.)

1841 West Oak Parkway, Suite A

Marietta, Georgia 30062

(Address of Principal Executive Offices) (Zip Code)

Registrant’s telephone number, including area code:

770-419-0691

Item 9.  Regulation FD Disclosure.

                From time to time, HealthTronics Surgical Services, Inc. makes presentations to the investment community using slides containing the information attached to this Form 8-K as Exhibit 99.1.  We are furnishing the text of these slides pursuant to the Securities and Exchange Commission’s Regulation FD.  This information is furnished pursuant to Item 9 of Form 8-K and shall not be deemed to be “filed” for the purposes of Section 18 of the Securities Exchange Act of 1934 or otherwise subject to the liabilities of that Section, unless we specifically incorporate it by reference in a document filed under the Securities Act of 1933 or the Securities Exchange Act of 1934.  By filing this report on Form 8-K and furnishing this information, we make no admission as to the materiality of any information in this report that we choose to disclose solely because of Regulation FD.

                The information contained in the slides is summary information that is intended to be considered in the context of our SEC filings and other public announcements that we may make, by press release or otherwise, from time to time.  We undertake no duty or obligation to publicly update or revise the information contained in this report, although we may do so from time to time as our management believes is warranted.  Any such updating may be made through the filing of other reports or documents with the SEC, through press releases or through other public disclosure.

                The text of the slides included in this report omits various graphic images included in the actual slides.

                Certain expectations and projections regarding the future performance of the Company referenced in this report are forward-looking statements.  These expectations and projections are based on currently available competitive, financial, and economic data, along with the Company’s operating plans and are subject to future events and uncertainties.  Among the events and uncertainties which could adversely affect future periods are inability to establish or maintain relationships with physicians and hospitals, healthcare regulatory developments that prevent certain transactions with healthcare professionals or facilities, inability of healthcare providers to obtain reimbursement for use of our current or future products, competition or technological change that impacts the market for our products, and difficulty in managing our growth.  We caution readers that in addition to the above cautionary statements, all forward-looking statements contained herein should be read in conjunction with the Company’s SEC filings and other public announcements.

SIGNATURE

                Pursuant to the requirements of the Securities Exchange Act of 1934, as amended, the registrant has duly caused this report to be signed on its behalf by the undersigned, hereunto duly authorized.

			HealthTronics Surgical Services, Inc.
Dated:
April 7, 2003	By:	/s/	Martin J. McGahan
			Martin J. McGahan
			Chief Financial Officer

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EX-99.1

Exhibit 99.1

Searchable text section of graphics shown above

Exhibit 99.1

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A Leading Provider of
Orthopaedic and Urologic
Non-Invasive Surgical Services

Safe Harbor Statement

Except for historical information, the statements made in the presentation are forward-looking statements involving significant risks and uncertainties.  These risks and uncertainties, including those related to the future financial position and business strategy of the Company are detailed in the Company’s filings with the Securities and Exchange Commission.

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Company Profile

•       A leading provider of non-invasive urologic services

•       The pioneer of Orthotripsy^® ESWT in the U.S.

•       OssaTron^® is the first FDA approved device for treating orthopaedic conditions

•       First mover in potential $2 billion market

•       148 business locations in 47 states

•       Relationship with approximately 15% of all U.S. urologists

•       A leading provider of technical support for non-invasive devices (>200 machines under contract)

•       In-house technical support with R&D activities for new devices

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Corporate Strategy

•       Continue generating strong cash flow and earnings from urology operations

•       Build national network of OssaTron^® partnerships

•       Establish the OssaTron as the premier orthopaedic shock wave device

•       Leverage physician network with additional urologic or orthopaedic services associated with new technologies

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Market Drivers

•       Growing demand for non-invasive and minimally invasive surgical procedures

•       Desire of doctors to participate in ancillary revenue opportunities

•       Trend from health care facilities to outsource specialized services

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Potential Physician Partners

Orthopaedic Surgeons	—	17,700
Podiatric Surgeons	—	13,300
Physical Therapy Doctors	—	1,000
Urologic Surgeons	—	7,000
	Total	39,000

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Multiple Revenue Sources

•       Turnkey Clinical and Technical Services provided to doctors, hospitals and patients

•       Management Fees from Partnerships

•       Sale of Equipment — LithoTron^®, OssaTron^®

•       Sale of Consumables

•       Equipment Maintenance and Support

•       Syndication Profits

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Lithotripsy

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Technology Leadership — The LithoTron^®

A Safe, Effective, Non-Invasive Solution

•       One of the best success rates (86.1%) and lowest re-treatment rates (4.1%) available

•       Outpatient treatment in about 30 minutes

•       Approved by the FDA in July, 1997; a record 9 weeks after submission of PMA

•       High degree of mobility enables one device to serve multiple facilities - lower cost of ownership

•       Proven physician partnership model helps to capture/maintain market share

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Lithotripsy Economics

•       Average location now treating 400 cases per year

•       Reimbursement averages $2,000 per procedure

•       Operating costs average $300,000 per year

•       Partnership operating profits average $500,000 per year

•       HealthTronics Surgical Services’ average partnership stake is 35%

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Partnership Re-Syndication of Litho Group Partnerships

•       Planned to introduce new partners to existing partnerships

•       Goal = Long-term business growth and increased market share

•       Results: Added approximately 200 physician investors to three lithotripsy partnerships

•       New York, Florida and Georgia

•       Raised $5.8 million after tax used to retire long-term debt

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Prostate Services

•       Transurethral Microwave Therapy

•       Treatment of enlarged non-cancerous prostate conditions

•       Outpatient procedure

•       Projected to treat 3000+ cases in 2003, making us the largest provider in the U.S.

•       Partnership model does not generally apply

•       Cryosurgery (controlled freezing)

•       Minimally invasive treatment of prostate cancer

•       Outpatient or limited stay procedure

•       185,000 new cases in the U.S. each year

•       Equivalent outcomes compared to radiation but faster and less expensive

•       Partnership model applies

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Orthotripsy^® with OssaTron^®

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OssaTron^® Treatment for Chronic Plantar Fasciitis

•       American Podiatric Medical Association estimates over 17 million cases of heel pain in U.S. per year

•       Over 10,000 patients treated to date in U.S. by HealthTronics

•       HealthTronics patient history (2000 to present) demonstrates high success rates for chronic sufferers (re-treatment rates <10%)

•       Based on current data, outcomes appear to be better than with surgery

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OssaTron^® Treatment for Epicondylitis

•       More than “tennis” elbow

•       Opens up orthopaedic market for OssaTron

•       Simple procedure easily learned by doctor

•       In FDA study, 90% of patients received a positive benefit; 64% had excellent or good outcome

•       Minimal complications

•       Training of physicians now underway

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Orthopaedic US Market
Opportunity

Condition	Estimated # of Cases per Year	Estimated Market Size
Heel Spurs	250,000	$500 Million
Tennis Elbow	250,000	$500 Million
Achilles Tendonitis	100,000	$250 Million
Patellar Tendonitis	100,000	$250 Million
Shoulder Tendonitis	100,000	$250 Million
Delayed Union Fractures	25,000	$100 Million
AVN of the Femoral Head	25,000	$100 Million
	Total	$1.95 BILLION

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Orthotripsy vs. Traditional
Surgery for Plantar Fasciitis

	Orthotripsy	Traditional Surgery
Anesthesia	Local or IV sedation	General anesthesia or Spinal
Procedure Time	< 30 minutes	1 hour (approx.)
Incision	No	Yes
Post-op Status	Heel pad	Boot cast, crutches
Complications	Bruising, occasional slight numbness	Bleeding, wound infection, compromised foot function, nerve damage
Recovery Time	2-3 Days	2-3 months
Post-op Analgesia	Minimal	In quantity
Approximate Cost	$2,500	1.5 to 2 times Orthotripsy

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OssaTron^® Trained Physicians

[MAP]

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Media Coverage

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OssaTron^® FDA Status

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Treatment Locations

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Service Locations

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Patient Treatments

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Revenues

(in thousands)

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Fully Diluted Earnings per Share

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*GAAP earnings were $.73, which includes gain on sale of $.18 from disposition of USL

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Management

•      Argil Wheelock, M.D. —Chairman & CEO since 1996

20 years experience in physician-related business activities. Practicing urologist, 1979-1996.  Public company consultant 1991-1996.

•      Martin McGahan —CFO since 2001

15 years experience in healthcare finance, business development and corporate finance with various public and private companies.

•      Ronald Gully —COO of Orthopaedic Division since 2001

15 years experience in healthcare services.  Former CEO of Ascension Corporation, a healthcare billing and management firm.

•      Price Dunaway —COO and SVP of Lithotripsy Operation since 2003

20 years experience in healthcare.

•      Brad Devine —COO and SVP of Equipment Sales and Service since 1999

20 years experience in equipment maintenance and service positions.  Former technician in the US Air Force Biomedical Technology Support Division.

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Stock Profile

Nasdaq:	HTRN
Share Price:	$9.00
52 Week Range:	$17.75 — $6.04
Shares Outstanding:	11.4 Million
Market Capitalization:	$103 Million
Average Daily Volume:	146,000
2001 EPS:	$0.28
2002 EPS:	$0.55*
2003 Est. EPS:	$0.65 -$0.70

*GAAP earnings were $.73, which  includes gain on sale of $.18 from disposition of USL

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Reasons to Invest in HTRN

•       Rapidly growing innovator with the first FDA-approved device for Orthotripsy

•       Addressing large untapped orthopaedic market that could exceed $2 billion

•       Steady cash flow from kidney lithotripsy business financing new opportunities in orthopaedics and urology

•       Physician network that will be leveraged to offer additional products and services

•       Record of strong growth in sales and earnings

•       Experienced management team

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