SECURITIES AND EXCHANGE COMMISSION
WASHINGTON, D.C. 20549
FORM 10-QSB
[X] QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15 (D) OF THE
SECURITIES EXCHANGE OF 1934
For the quarterly period ended March 31, 1996
or
[ ]TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(D) OF THE
SECURITIES EXCHANGE ACT OF 1934
Commission file number: 33-27610-A
MEDICAL TECHNOLOGY AND INNOVATIONS, INC.
(Exact name of registrant as specified in this charter)
FLORIDA 65-0278549
(State or other jurisdiction (IRS Employer
of incorporation) Identification No.)
3125 NOLT ROAD, LANCASTER. PA 17601
(Address of principal executive offices)
Registrant's telephone number, including area code (717)892-6770
1710 ADAMS STREET, CEDAR FALLS, IOWA 50613
(Former Name and Address)
Check whether the issuer (1) has filed all reports required to be filed
by Section 13 or 15(d) of the Securities Exchange Act of 1934 during the
preceding 12 months (or for such shorter period that the registrant was required
to file such reports), and (2) has been subject to such filing requirements for
the past 90 days. Yes __X__ No_____
As of March 31,1996, there were 11,662,733 shares of the Issuer's
Common Stock, $.001 par value, outstanding.
<PAGE>
PART I
FINANCIAL INFORMATION
Item 1. Financial Statements.
See attached financial statements of the Issuer.
Item 2. Management's Discussion and Analysis or Plan of Operation.
GENERAL
For the nine months ending March 31, 1996, the Company had gross
revenues of approximately $460,000 and a gross profit on sales of approximately
$100,000. However, the Company's operating expenses totaled approximately
$1,025,000 which left the Company with an operating loss of approximately
$925,000.
During this quarter, the Company raised equity capital in the
approximate amount of $1,200,000. The Company has also entered into an agreement
to purchase the assets of Steridyne Corporation, a Florida corporation. That
transaction is expected to close in August 1996. The Company is continuing in
its plans on expanding its marketing efforts with the goal to increase the sales
and awareness of its product, the MT Photoscreener. With increased sales, the
Company anticipates that it will be able to increase its revenues and thus
either lower its operating loss or eliminate the loss. There is no guaranty,
however, that the Company will be successful in this plan or that it will be
able to eliminate its losses. The Company believes that with its capital and
revenues, it has sufficient funds to operate during the next year.
Item 6. Exhibits.
(a)
3. Issuer's Articles of Incorporation and By-Laws are
incorporated herein by reference to Form S-18 Registration Statement under the
Securities Act of 1933 filed with the Commission on the 17th day of March, 1989,
file number 33-27610-A
21. Subsidiaries of Issuer:
Medical Technology, Inc., an Iowa corporation
<PAGE>
SIGNATURES
In accordance with the requirements of the Exchange Act, the Registrant
caused this report to be signed on its behalf by the undersigned, thereunto duly
authorized.
MEDICAL TECHNOLOGY AND INNOVATIONS, INC.
By: JEREMEY FEAKINS
---------------------------------
Jeremy Feakins, President
Dated: September 17, 1996
<PAGE>
Medical Technology & Innovations, Inc.
(A Development Stage Company)
Consolidated Balance Sheets
March 31, 1996 and June 30, 1995
Unaudited
March 31, June 30,
Assets 1996 1995
------ -------- --------
CURRENT ASSETS:
Cash $38,410 65,833
Accounts Receivable 233,454 116,029
Inventory 145,416 99,374
Prepaid Expenses 246,975 8,035
-------- --------
Total Current Assets 664,255 289,271
FIXED ASSETS:
Property & Equipment 476,993 205,896
Less: Accumulated Depreciation (125,277) (81,125)
-------- --------
Fixed Assets, net 351,716 124,771
OTHER ASSETS:
Intangible and Other Assets 4,450 4,961
-------- --------
Other Assets, net 4,450 4,961
TOTAL ASSETS $1,020,421 $ 419,003
========== ==========
Liabilities and Stockholder's Equity
------------------------------------
CURRENT LIABILITIES
Accounts Payable $225,792 186,876
Accrued Liabilities 188,508 145,806
Current Maturities of Long-term Debt 240,000 300,000
Total Current Liabilities 654,300 632,682
Long-term Debt 1,399,652 1,076,644
-------- ---------
TOTAL LIABILITIES 2,053,952 1,709,326
STOCKHOLDER'S EQUITY
Common Stock, no par value, authorized
200,000,000 shares, issued and
outstanding 11,378,874 and
11,662,733 , respectively 2,572,723 1,391,407
Preferred Stock, $1,000 par value,
authorized 1,000,000 shares, 12%
noncumulative, issued and
outstanding 100 shares 100,000 100,000
(Deficit) accumulated during the
development stage (3,706,254) (2,781,730)
---------- -- --------
Total Stockholder's Equity (1,033,531) (1,290,323)
TOTAL LIABILITIES AND
STOCKHOLDER'S EQUITY $1,020,421 $ 419,003
========== ==========
<PAGE>
Medical Technology & Innovations, Inc.
(A Development Stage Company)
Consolidated Statements of Shareholder's Equity
<TABLE>
<CAPTION>
Common Preferred
Shares Shares Total
Issued and Issued and Common Preferred Accumulated Shareholder's
Outstanding Outstanding Stock Stock Deficit Equity
----------- ----------- ------ --------- ----------- --------------
<S> <C> <C> <C> <C> <C> <C>
BALANCE AT JUNE 30, 1995 11,662,733 100 1,391,407 100,000 (2,781,730) (1,290,323)
Issuance of common stock 890,000 1,216,979 1,216,979
Stock options exercised 142,891 214,337 214,337
Acquisition of treasury stock (1,316,750) (250,000) (250,000)
Net loss (924,524) (924,524)
----------- ----------- -------- ------- ---------- ---------
BALANCE AT MARCH 31, 1996 11,378,874 100 2,572,723 100,000 (3,706,254) (1,033,531)
</TABLE>
<PAGE>
Medical Technology & Innovations, Inc.
(A Development Stage Company)
Consolidated Income Statement
For the Nine Months Ended March 31, 1996
and Twelve Months Ended June 30, 1995
Unaudited
March 31, June 30,
1996 1995
---- ----
Revenues $461,651 $865,136
Cost of Goods Sold 361,113 575,177
-------- --------
Gross Profit 100,538 289,959
Operating Expenses:
Advertising 151,536 67,263
Wages 328,625 281,839
Leases 38,130 31,921
Royalties 35,473 61,384
Interest 87,270 63,544
General and Administrative 384,028 477,087
-------- --------
Total Operating Expenses 1,025,062 983,038
Net Loss ($924,524) ($693,079)
========= =========
<PAGE>
Medical Technology Inc.
(A Development Stage Company)
Consolidated Statements of Cash Flows
For the Nine Months Ended March 31, 1996
and Twelve Months Ended June 30, 1995
Unaudited
March 31, June 30,
1996 1995
---- ----
CASH FLOWS FROM (USED BY) OPERATING ACTIVITIES:
Net Loss (924,524) (693,079)
Adjustments to reconcile net loss to net cash
used by operating activities:
Depreciation and amortization 44,663 66,422
Increase in Accounts Receivable (117,425) (89,451)
(Increase) Decrease in Inventory (46,042) 18,553
Increase in Prepaid Expenses (238,940) (8,035)
Increase in Accounts Payable 38,916 14,823
Increase in Accrued Liabilities 42,702 51,909
-------- -------
Net cash used in operating activities (276,126) (638,858)
CASH FLOWS FROM (USED BY) INVESTING ACTIVITIES:
Purchases of fixed assets (271,097) (25,074)
Increase in Intangible Asset (1,503)
-------- ------
Net cash used in investing activities (271,097) (26,577)
CASH FLOWS FROM FINANCING ACTIVITIES:
Proceeds from issuance of stock 1,216,979 365,001
Proceeds from exercise of stock options 214,337
Acquisition of treasury stock (250,000)
Proceeds from issuance of notes payable 298,500 350,000
Principal payments on notes payable (35,492) (11,643)
-------- ------
Net cash from financing activities 1,444,324 703,358
Net increase in cash (27,423) 37,923
Cash at beginning of year 65,833 27,910
Cash at end of period 38,410 65,833
<TABLE> <S> <C>
<ARTICLE> 5
<S> <C>
<PERIOD-TYPE> 9-mos
<FISCAL-YEAR-END> JUN-30-1996
<PERIOD-START> JUL-01-1995
<PERIOD-END> MAR-31-1996
<CASH> 38,410
<SECURITIES> 0
<RECEIVABLES> 233,454
<ALLOWANCES> 0
<INVENTORY> 145,416
<CURRENT-ASSETS> 664,255
<PP&E> 476,993
<DEPRECIATION> (125,277)
<TOTAL-ASSETS> 1,020,421
<CURRENT-LIABILITIES> 654,300
<BONDS> 0
0
100,000
<COMMON> 2,572,723
<OTHER-SE> 3,706,291
<TOTAL-LIABILITY-AND-EQUITY> 1,020,421
<SALES> 461,651
<TOTAL-REVENUES> 461,651
<CGS> 361,113
<TOTAL-COSTS> 1,025,062
<OTHER-EXPENSES> 0
<LOSS-PROVISION> 0
<INTEREST-EXPENSE> 0
<INCOME-PRETAX> (924,524)
<INCOME-TAX> 0
<INCOME-CONTINUING> 0
<DISCONTINUED> 0
<EXTRAORDINARY> 0
<CHANGES> 0
<NET-INCOME> (924,524)
<EPS-PRIMARY> .084
<EPS-DILUTED> 0
</TABLE>
