Prism Medical Ltd. (“Prism” or “the Company”) (PM:TSX-VEN) today announced its results for the second quarter ended May 31, 2008.
Net income for the second quarter of 2008 increased to $1.0 million ($0.15 per share on a diluted basis) versus $0.7 million ($0.10 per share on a diluted basis) for the same period in 2007.
During the second quarter of 2008, revenues were $12.6 million compared to $11.0 million in 2007, an increase of 15%.
North American revenues increased 58% in 2008 over 2007 driven by strong institutional demand for our products serviced by additional sales personnel and the positive effect of the acquisition of Patient Lifts of New England. UK sales volume increased 8%, offset by an exchange rate decline of 11%.
Gross profit increased $902 (19%) in 2008 over 2007 driven by the sales increase and cost efficiencies resulting from increased UK production.
Earnings per share on a diluted basis for the six months ended May 31, 2008 were $0.29, an increase of 107% over the same period in the previous year.
Andrew McIntyre, Chairman and CEO of Prism stated, “The second quarter of 2008 was very positive for the Company as we saw continued institutional demand for our products, improved manufacturing efficiencies and greater geographic coverage. Further improvements in US sales representation and dealer market share should result in future profitable growth.”
The board of directors of Prism has approved payment on August 29, 2008 of a dividend of 8 cents per common share to the shareholders of record on August 15, 2008. A dividend policy has been established to pay a quarterly dividend of 4 cents per common share, although this dividend policy may change based on future circumstances.
Prism Medical Ltd. is a provider of durable medical equipment and related services to the mobility disadvantaged in Canada, the USA and the United Kingdom (UK). Operating since 1996, Prism services the mobility disadvantaged wherever they reside.