-----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, A5VI1BnKbXWGxqBolQLwDsCnr3+ysfhtGQvtE07CyvJlfIYO0pyIuy95tCOKzA4Q O1H/d27DtzeQ/9pnJMsshA== 0001157523-05-004108.txt : 20050502 0001157523-05-004108.hdr.sgml : 20050502 20050502110503 ACCESSION NUMBER: 0001157523-05-004108 CONFORMED SUBMISSION TYPE: 8-K PUBLIC DOCUMENT COUNT: 2 CONFORMED PERIOD OF REPORT: 20050502 ITEM INFORMATION: Results of Operations and Financial Condition ITEM INFORMATION: Financial Statements and Exhibits FILED AS OF DATE: 20050502 DATE AS OF CHANGE: 20050502 FILER: COMPANY DATA: COMPANY CONFORMED NAME: SHARPS COMPLIANCE CORP CENTRAL INDEX KEY: 0000898770 STANDARD INDUSTRIAL CLASSIFICATION: ORTHOPEDIC, PROSTHETIC & SURGICAL APPLIANCES & SUPPLIES [3842] IRS NUMBER: 742657168 STATE OF INCORPORATION: DE FISCAL YEAR END: 0630 FILING VALUES: FORM TYPE: 8-K SEC ACT: 1934 Act SEC FILE NUMBER: 000-22390 FILM NUMBER: 05788826 BUSINESS ADDRESS: STREET 1: 9350 KIRBY DRIVE STREET 2: STE 300 CITY: HOUSTON STATE: TX ZIP: 77054 BUSINESS PHONE: 713-432-0300 MAIL ADDRESS: STREET 1: 9350 KIRBY DRIVE STREET 2: STE 300 CITY: HOUSTON STATE: TX ZIP: 77054 FORMER COMPANY: FORMER CONFORMED NAME: US MEDICAL SYSTEMS INC DATE OF NAME CHANGE: 19970128 FORMER COMPANY: FORMER CONFORMED NAME: MEDICAL POLYMERS TECHNOLOGIES INC DATE OF NAME CHANGE: 19930916 8-K 1 a4876390.txt SHARPS COMPLIANCE CORP. 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): May 2, 2005 (May 2, 2005) Sharps Compliance Corp. (Exact Name of Registrant as Specified in Charter) Delaware 000-22390 74-2657168 (State or Other Jurisdiction (Commission (IRS Employer of Incorporation) File Number) Identification No.) 9350 Kirby Drive, Suite 300, Houston, Texas 77054 (Address of Principal Executive Offices) (Zip Code) Registrant's telephone number, including area code: (713) 432-0300 TABLE OF CONTENTS ----------------- Item 2.02. Disclosure of Results of Operations and Financial Condition - ---------------------------------------------------------------------- Item 9.01. Financial Statements and Exhibits - -------------------------------------------- SIGNATURE - --------- INDEX TO EXHIBITS - ----------------- Press Release - ------------- Item 2.02. Disclosure of Results of Operations and Financial Condition On May 2, 2005, the Company announced its results of operations for the three months and nine months ended March 31, 2005. A copy of the earnings release is attached as Exhibit 99.1. The information in this Current Report is being furnished pursuant to Item 12 of Form 8-K and shall not be deemed to be "filed" for the purposes of Section 18 of the Securities Act of 1934, as amended, and Section 11 of the Securities Act of 1933, as amended, or otherwise subject to the liabilities of those sections. This Current Report will not be deemed an admission by the Company as to the materiality of any information in this report that is not required to be disclosed solely by Item 12. The Company does not undertake a duty to update the information in this Current Report and cautions that the information included in this Current Report is current only as of May 2, 2005 and may change thereafter. Item 9.01. Financial Information, Pro Forma Financial Information and Exhibits (a) Financial Information Not applicable. (b) Pro Forma Financial Information Not applicable. (c) Exhibits Exhibit Description 99.1 Press Release, dated May 2, 2005. SIGNATURE Pursuant to the requirements of the Securities Exchange Act of 1934, the Registrant has caused this current report to be signed on its behalf by the undersigned hereunto duly authorized. SHARPS COMPLIANCE CORP. Date: May 2, 2005 By: /s/ DAVID P. TUSA ------------------ Name: David P. Tusa Title: Senior Vice President and Chief Financial Officer INDEX TO EXHIBITS Exhibit Description Number 99.1 Press Release, dated May 2, 2005. EX-99.1 2 a4876390ex991.txt EXHIBIT 99.1 - PRESS RELEASE Exhibit 99.1 Sharps Compliance Corp. Announces Results for the Third Quarter Ended March 31, 2005 HOUSTON--(BUSINESS WIRE)--May 2, 2005--Sharps Compliance Corp. and subsidiaries (OTCBB:SCOM) ("Sharps" or the "Company"), leading providers of cost-effective medical waste disposal solutions for industry and consumers, today announced its operating results for the third quarter of fiscal year 2005. For the three-months ended March 31, 2005, the Company reported revenues of $2.2 million versus revenues for the corresponding quarter of the prior fiscal year of $2.1 million, an increase of 7%. For the nine-months ended March 31, 2005, the Company generated revenues of $6.9 million versus revenues for the prior year corresponding quarter of $6.1 million, a 12% increase. The Company generated gross margins of 37% and 40% for the three and nine months ended March 31, 2005, respectively. The Company's S, G & A expenses increased by 5% for the nine months ended March 31, 2005 when compared to the corresponding period of the prior year. The Company reported a net loss of $0.1 million, or $0.01 per share, for each of the quarters ended March 31, 2005 and 2004. For the nine months ended March 31, 2005, the company generated break-even results versus a net loss of $0.2 million, or $0.02 per share, for the prior year corresponding nine-month period. In December 2004, the U.S. Environmental Protection Agency ("EPA") issued its new guidelines for the proper disposal of medical sharps (see www.epa.gov/epaoswer/other/medical/sharps.htm). Among the recommended methods of disposal are mail-back programs such as the Company's. Commenting on the third quarter, Dr. Burton J. Kunik, Chairman, Chief Executive Officer and President of Sharps Compliance Corp. stated, "The opportunities for growth have been significantly enhanced as a result of the recent change in the EPA guidelines regarding proper disposal of medical sharps and the increased public awareness of the issue. In addition to our traditional healthcare, hospitality and professional markets, we are seeing additional opportunities in the pharmaceutical, commercial and residential markets. We are focused on closing sales in these additional markets." The Company recently launched a new website. You are invited to visit the Company at www.sharpsinc.com. Headquartered in Houston, Texas, Sharps is a leading developer of superior solutions for improving safety, efficiency and costs related to the proper disposal of medical waste by industry and consumers. Sharps primary markets include healthcare, agriculture, hospitality, professional, industrial, commercial and retail. The Company's products and services represent cutting edge solutions for a variety of industries dealing with the complexity of managing regulatory compliance, environmental sensitivity, employee and customer safety, corporate risk and operating costs related to medical waste disposal. Sharps is a leading proponent and participant in the development of public awareness and solutions for the safe disposal of needles, syringes and other sharps in the community setting. Sharps Compliance Corp. is the exclusive supplier of Sharps Disposal by Mail systems to the Consumer Health Care division of Becton, Dickinson and Company. The Company also maintains an exclusive sales and marketing arrangement with Waste Management, Inc. whereby Sharps provides safe disposal systems and related services for Waste Management's residential and commercial customers. The Company also has a mutually exclusive joint marketing agreement with McKesson Health Solutions ("McKesson"), a subsidiary of McKesson Corporation, to co-market and sell the Sharps Disposal by Mail System(TM) products and services to pharmaceutical manufacturers and biotechnology companies. McKesson is a leader in the design, implementation and management of marketing programs, specialty pharmaceutical services and patient support centers that help pharmaceutical and biotechnology manufacturers successfully commercialize their products. Sharps Compliance Corp.'s common stock trades on the OTC Bulletin Board under the symbol SCOM. The information made available in this press release contains certain forward-looking statements which reflect Sharps Compliance Corp.'s current view of future events and financial performance. Wherever used, the words "estimate," "expect," "plan," "anticipate," "believe," "may" and similar expressions identify forward-looking statements. Any such forward-looking statements are subject to risks and uncertainties and the company's future results of operations could differ materially from historical results or current expectations. Some of these risks include, without limitation, the company's ability to educate its customers, development of public awareness programs to educate the identified consumer, managing regulatory compliance and/or other factors that may be described in the company's annual report on Form 10-K and/or other filings with the Securities and Exchange Commission. Future economic and industry trends that could potentially impact revenues and profitability are difficult to predict. The company assumes no obligation to publicly update or revise its forward-looking statements even if experience or future changes make it clear that any projected results express or implied therein will not be realized. (Financial Highlights Follow) SHARPS COMPLIANCE CORP. AND SUBSIDIARIES CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS Three Months Ended Nine Months Ended March 31, March 31, ----------------------- ----------------------- 2005 2004 2005 2004 ----------- ----------- ----------- ----------- (Unaudited) (Unaudited) (Unaudited) (Unaudited) ----------- ----------- ----------- ----------- REVENUES $2,232,645 $2,079,946 $6,881,074 $6,151,378 COSTS AND EXPENSES: Cost of revenues 1,398,140 1,234,515 4,116,631 3,703,825 Selling, general and administrative 892,496 864,047 2,621,418 2,498,772 Depreciation and amortization 37,798 40,253 121,054 118,501 ----------- ----------- ----------- ----------- Operating income (loss) (95,789) (58,869) 21,971 (169,720) INTEREST EXPENSE (5,123) (10,296) (18,411) (38,383) ----------- ----------- ----------- ----------- Net Income (loss) before Income Taxes ($100,912) ($69,165) ($9,465) ($208,103) ----------- ----------- ----------- ----------- Income Taxes 4,693 - - - ----------- ----------- ----------- ----------- Net Income (Loss) ($96,219) ($69,165) 3,560 ($208,103) =========== =========== =========== =========== NET LOSS PER SHARE Basic ($0.01) ($0.01) - ($0.02) =========== =========== =========== =========== Diluted ($0.01) ($0.01) - ($0.02) =========== =========== =========== =========== SHARES USED IN COMPUTING NET INCOME (LOSS) PER SHARE Basic 10,538,144 10,538,256 10,538,144 10,345,074 Diluted 10,538,144 10,538,256 10,980,340 10,345,074 SHARPS COMPLIANCE CORP. AND SUBSIDIARIES CONDENSED CONSOLIDATED BALANCE SHEETS March 31, June 30, 2005 2004 ----------- ----------- (Unaudited) Assets Current assets: Cash and cash equivalents $255,302 $242,803 Restricted cash 10,010 14,678 Accounts receivable, net 776,915 981,408 Inventory 426,388 393,238 Prepaid and other assets 87,669 138,798 ----------- ----------- Total current assets 1,556,284 1,770,925 Property and equipment, net 447,972 539,800 Intangible assets, net 9,592 10,051 ----------- ----------- Total assets $2,013,848 $2,320,776 =========== =========== Liabilities and stockholders' equity Current liabilities: Accounts payable $480,200 $592,943 Accrued liabilities 245,456 338,153 Deferred revenue - pump return 59,980 110,702 Current portion of deferred revenue - incineration 96,247 108,299 Current portion of deferred revenue - transportation 696,870 553,938 Notes payable and current portion of long- term debt - 185,932 Current maturities of capital lease obligations 46,324 37,513 ----------- ----------- Total current liabilities 1,625,077 1,927,480 Long-term deferred revenue - incineration, net of current portion 22,180 30,408 Long-term deferred revenue - transportation, net of current portion 203,630 179,506 Long-term debt, net of current portion - 10,826 Obligations under capital leases, net of current maturities 55,043 84,446 Other 61,750 45,500 ----------- ----------- Total liabilities 1,967,680 2,278,166 Stockholders' equity: Total stockholders' equity 46,168 42,610 ----------- ----------- Total liabilities and stockholders' equity $2,013,848 $2,320,776 =========== =========== CONTACT: Sharps Compliance Corp., Houston David P. Tusa, 713-660-3514 dtusa@sharpsinc.com www.sharpsinc.com -----END PRIVACY-ENHANCED MESSAGE-----