-----BEGIN PRIVACY-ENHANCED MESSAGE----- Proc-Type: 2001,MIC-CLEAR Originator-Name: webmaster@www.sec.gov Originator-Key-Asymmetric: MFgwCgYEVQgBAQICAf8DSgAwRwJAW2sNKK9AVtBzYZmr6aGjlWyK3XmZv3dTINen TWSM7vrzLADbmYQaionwg5sDW3P6oaM5D3tdezXMm7z1T+B+twIDAQAB MIC-Info: RSA-MD5,RSA, DeGxWQ3OWQPxWGXqyoUWjrdTNuTegGxFPJQgECZvUK2fk55qE4+yvxpmejxbu5bg Zj9DQZ7oYIAoSFEsfd83/A== 0000950135-04-005014.txt : 20041029 0000950135-04-005014.hdr.sgml : 20041029 20041029085626 ACCESSION NUMBER: 0000950135-04-005014 CONFORMED SUBMISSION TYPE: 8-K PUBLIC DOCUMENT COUNT: 2 CONFORMED PERIOD OF REPORT: 20041027 ITEM INFORMATION: Results of Operations and Financial Condition ITEM INFORMATION: Financial Statements and Exhibits FILED AS OF DATE: 20041029 DATE AS OF CHANGE: 20041029 FILER: COMPANY DATA: COMPANY CONFORMED NAME: PSYCHEMEDICS CORP CENTRAL INDEX KEY: 0000806517 STANDARD INDUSTRIAL CLASSIFICATION: SERVICES-MEDICAL LABORATORIES [8071] IRS NUMBER: 581701987 STATE OF INCORPORATION: DE FISCAL YEAR END: 1231 FILING VALUES: FORM TYPE: 8-K SEC ACT: 1934 Act SEC FILE NUMBER: 001-13738 FILM NUMBER: 041104308 BUSINESS ADDRESS: STREET 1: 1280 MASSACHUSETTS AVENUE STREET 2: SUITE 200 CITY: CAMBRIDGE STATE: MA ZIP: 02138 BUSINESS PHONE: 6178687455 MAIL ADDRESS: STREET 1: 1280 MASSACHUSETTS AVE STREET 2: SUITE 200 CITY: CAMBRIDGE STATE: MA ZIP: 02138 8-K 1 b52300pce8vk.txt PSYCHEMEDICS CORPORATION 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) OCTOBER 27, 2004 PSYCHEMEDICS CORPORATION (Exact Name of Registrant As Specified In Its Charter) DELAWARE (State if Other Jurisdiction of Incorporation) 1-13738 58-1701987 (Commission File Number) (I.R.S. Employer Identification No.) 125 NAGOG PARK, ACTON, MASSACHUSETTS 01720 (Address of Principal Executive Offices) (Zip Code) (978) 206-8220 (Registrant's Telephone Number, Including Area Code) 1280 MASSACHUSETTS AVE., SUITE 200, CAMBRIDGE, MA 02138 (Former name or former address, if changed since last report) Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions (see General Instruction A.2. below): |_| Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425) |_| Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12) |_| Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b)) |_| Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c)) ITEM 2.02 RESULTS OF OPERATIONS AND FINANCIAL CONDITION On October 27, 2004, Psychemedics Corporation issued a press release announcing preliminary results for the quarter ended September 30, 2004. A copy of the press release is attached hereto as Exhibit 99.1 and incorporated by reference herein. LIMITATION ON INCORPORATION BY REFERENCE. The information in this Form 8-K and the Exhibit attached hereto shall not be deemed "filed" for purposes of Section 18 of the Securities Exchange Act of 1934 (the "Exchange Act") or otherwise subject to the liabilities of that section, nor shall it be deemed incorporated by reference in any filing under the Securities Act of 1933 or the Exchange Act, regardless of any general incorporation language in such filing. CAUTIONARY NOTE REGARDING FORWARD-LOOKING STATEMENTS. Except for historical information contained in the press release attached as an exhibit hereto, the press release contains forward-looking statements which involve certain risks and uncertainties that could cause actual results to differ materially from those expressed or implied by these statements. Please refer to the cautionary note in the press release regarding these forward-looking statements. ITEM 9.01 FINANCIAL STATEMENTS, PRO-FORMA FINANCIAL INFORMATION AND EXHIBITS. (c) Exhibits The following exhibits are filed herewith: 99.1 Press Release dated October 27, 2004. SIGNATURE Pursuant to the requirements of the Securities Exchange Act of 1934, the Registrant has duly caused this Report to be signed on its behalf by the undersigned hereunto duly authorized. PSYCHEMEDICS CORPORATION Dated: October 29, 2004 By: /s/ Peter C. Monson ------------------------------------- Peter C. Monson, Vice President and Chief Financial Officer EXHIBIT INDEX EXHIBIT NUMBER DESCRIPTION 99.1 Press release dated October 27, 2004 of Psychemedics Corporation announcing its financial results for the quarter ended September 30, 2004. EX-99.1 2 b52300pcexv99w1.txt EX-99.1 PRESS RELEASE DATED OCTOBER 27, 2004 EXHIBIT 99.1 NEWS RELEASE Contact: Peter Monson Chief Financial Officer (617) 868-7455 Peterm@psychemedics.com PSYCHEMEDICS CORPORATION ANNOUNCES RECORD 3rd QUARTER NET INCOME, DECLARES QUARTERLY DIVIDEND Cambridge, Massachusetts, October 27, 2004 -- Psychemedics Corporation (AMEX: PMD) today announced third quarter results for the period ending September 30, 2004. The Company also announced a quarterly dividend of $.08 per share, which will be paid on December 24, 2004 to shareholders of record on December 10, 2004. The Company's third quarter revenue was $4,870,218, an increase of 17% as compared to $4,166,055 in the third quarter of 2003. Net income for the third quarter was $801,518 or $0.16 per share, up 129% from $350,491 or $0.07 per share for the same period of 2003. The Company's revenue for the nine months ended September 30, 2004 was $14,373,139, up 19% as compared to $12,090,389 for the comparable period of 2003. Net income for the nine months ended September 30, 2004 was $2,218,186 or $0.43 per share, an increase of 160% over the comparable period last year during which the Company earned $853,611 or $0.16 per share. Raymond C. Kubacki, Chairman and Chief Executive Officer, said, "We are pleased to be able to report continued significant quarterly growth in our revenue and net income during 2004. Our net income for the third quarter represented another important record for our Company this year - it was the highest net income for any third quarter since the Company's inception. We are particularly pleased that we achieved these results even though the hiring environment has been less than robust." Kubacki continued, "We continue to add new accounts at a brisk pace and to demonstrate our ability to produce strong profit margins. With our patented and FDA cleared hair test and our large and diverse customer base, we feel we are well-positioned for substantial growth in the future with an improving economy." Kubacki concluded, "The Company's balance sheet is strong with approximately $3.7 million of cash, no long-term debt and approximately $4.9 million of working capital. By declaring our 33rd consecutive quarterly dividend, our Directors have again shown that they believe the future of Psychemedics is bright and they remain committed to rewarding shareholders as our Company grows." Psychemedics is the world's largest provider of hair testing for drugs of abuse with thousands of corporations relying on the patented Psychemedics drug testing services. Psychemedics' clients include over 10% of the Fortune 500, some of the largest police departments in America and six Federal Reserve Banks. Psychemedics is the only company that has received FDA clearance for a five-drug panel test of hair samples for drugs of abuse. Financial Highlights: - --------------------- o Revenue for the third quarter increased 17% over the prior year quarter to $4,870,218 o Revenue for the nine month period increased 19% over the prior year quarter to $14,373,139 o Net Income for the third quarter of $801,158, or $0.16 per diluted share, up $0.09 per diluted share from the prior year quarter o Net Income for the nine month period of $2,218,186, or $0.43 per diluted share, up $0.27 per diluted share from the prior year period The Psychemedics web site is www.drugtestwithhair.com ------------------------ Cautionary Statement for purposes of the "safe harbor" provisions of the Private Securities Litigation Reform Act of 1995: From time to time, information provided by Psychemedics may contain forward-looking information that involves risks and uncertainties. In particular, statements contained in this release that are not historical facts (including but not limited to statements concerning growth, earnings, profit margins, earnings per share, revenues, dividends, future business, new accounts, customer base, market share, test volume and sales and marketing strategies) may be "forward looking" statements. Actual results may differ from those stated in any forward-looking statements. Factors that may cause such differences include but are not limited to risks associated with the expansion of the Company's sales and marketing network, development of markets for new products and services offered, the economic health of principal customers of the Company, government regulation, including but not limited to FDA regulations, competition and general economic conditions and other factors disclosed in the Company's filings with the Securities and Exchange Commission. SUMMARY INCOME STATEMENTS (unaudited) September 30, 2004
Three Months Nine Months Ended September 30, Ended September 30, 2004 2003 2004 2003 ----------------------------------------------------------------------------- Revenue $4,870,218 $4,166,055 $14,373,139 $12,090,389 Pre-tax Income $1,215,158 $602,491 $3,500,186 $1,465,611 Net Income $801,158 $350,491 $2,218,186 $853,611 Basic and Diluted Net Income Per Share $0.16 $0.07 $0.43 $0.16 Weighted Average Common Shares Outstanding 5,126,907 5,193,447 5,126,907 5,207,038 Weighted Average Common and Common Equivalent Shares Outstanding, Assuming Dilution 5,132,976 5,197,795 5,131,946 5,212,852
SUMMARY BALANCE SHEETS (unaudited) As of September 30, 2004 and December 31, 2003
September 30, December 31, 2004 2003 --------------------------------------- Cash $3,676,184 $3,022,467 Current Assets $7,534,709 $5,942,395 Property & Equipment $848,015 $950,315 Total Assets $8,712,668 $7,266,991 Current Liabilities $2,614,064 $2,156,115 Shareholders' Equity $6,098,604 $5,110,876 Total Liabilities & Equity $8,712,668 $7,266,991
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