Daniel C. Dunn
Chief Financial Officer
Allied Healthcare Reports Profitable Quarter and Year
Despite Lingering Effects of Recession
ST. LOUIS, September 2, 2011 – Allied Healthcare Products, Inc., (NASDAQ: AHPI) reported a profitable fourth quarter and fiscal year despite sluggish sales to hospitals and government entities still suffering from recession-driven budget cuts.
Allied announced net income of about $204,000, or 3 cents per basic and diluted share, for the 2011 fiscal year compared to a loss of about $600,000, or a negative 7 cents per share, for the previous year.
For the quarter, Allied increased net income to about $115,000, or 1 cent per basic and diluted share, from about $86,000, or 1 cent per share, for the previous year.
Allied sales for the fiscal year ended June 30, 2011, increased by about $750,000, or nearly 2 percent, to about $46.8 million. Sales for the fourth quarter increased by almost $434,000, or 3.5 percent, to about $12.1 million compared to the previous year’s fourth quarter.
Allied reduced selling, general and administrative (SG&A) expenses in the 2011 fiscal year by more than 10 percent, from about $11.9 million to $10.6 million. Selling, general and administrative expenses in the prior year were affected by a non-cash charge of $609,000 for the grant of stock options.
“Domestic sales to hospitals and emergency markets increased modestly in this fiscal year,” said Earl Refsland, Allied president and chief executive officer. “But both markets remain significantly below pre-recession levels.” Refsland said that sales in Allied’s international markets also remain well below pre-recession levels.
The following information was filed by Allied Healthcare Products Inc (AHPI) on Friday, September 2, 2011 as an 8K 2.02 statement, which is an earnings press release pertaining to results of operations and financial condition. It may be helpful to assess the quality of management by comparing the information in the press release to the information in the accompanying 10-K Annual Report statement of earnings and operation as management may choose to highlight particular information in the press release.