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): April 25, 1997
(April 24, 1997)
LASERSIGHT INCORPORATED
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Exact name of registrant as specified in its charter
Delaware
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State or other jurisdiction of incorporation
0-19671 65-0273162
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Commission File Number I.R.S. Employer
Identification No.
12161 Lackland Road, St. Louis, Missouri 63146
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Address of Principal Executive Offices
Registrant's telephone number, including area code: (314) 469-3220
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Item 5. Other Events.
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The press release issued by LaserSight Incorporated dated April 24, 1997 is
incorporated by reference herein.
Item 7. Financial Statements, Pro Forma Financial Information and Exhibits.
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(c) Exhibits
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Exhibit 99. Press Release dated April 24, 1997
SIGNATURES
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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.
LaserSight Incorporated
Date: April 25, 1997 By: /s/ Michael R. Farris
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Michael R. Farris
Chief Executive Officer
EXHIBIT 99
NASDAQ SYMBOL: LASE
LASERSIGHT EXPECTS FIRST QUARTER LOSS;
MEASURES TAKEN LAST YEAR YIELDING RESULTS;
CASH FLOW TREND IMPROVING, LOSS NARROWED
St. Louis, MO -- April 24, 1997..... LaserSight Incorporated said today it
expects to report a significant reduction in its loss for the first quarter 1997
as compared to the first quarter 1996 along with a positive trend of consecutive
quarterly improvements since the third quarter of 1996. The company will also
report progress in turning around its technology segment while reporting
impressive membership and revenue growth with existing contracts in its managed
vision care segment.
LaserSight estimates that it will report a loss of between $550,000 to $700,000,
or $0.06 to $0.08 per share as compared to the 1996 first quarter loss of $1.2
million, an estimated decrease in the loss of approximately 42 to 54 percent.
Revenues for the first quarter of 1997 are estimated to be $6.5 million,
approximately 40% higher than the $4.6 million in revenues reported for first
quarter 1996. In addition to favorable prior year comparisons, quarter to
quarter comparisons beginning in the third quarter of 1996 are also favorable
with revenues increasing while maintaining gross profit margins, operating
expenses are declining and net income improving. During the past five
consecutive quarters the company has steadily reduced its negative cash flow
from operations. Beginning in the first quarter of 1996 the company reported a
$1.7 million negative cash flow from operations; second quarter reduced to
$977,698; third quarter reduced to $876,210; fourth quarter reduced to $555,742;
and the first quarter of 1997 is estimated to be between $25,000 to $30,000.
Michael R. Farris, president and chief executive officer, said, "The steps we
took last year to improve cash flow and strengthen operations are working. Sales
activities for our laser systems are re-energized. Over the past year, we took
several steps to improve operations at our Technology segment. We expanded
marketing and adopted new selling and credit terms, revamped customer service,
strengthened engineering and research and development. Within the health
services segment The Farris Group is expected to lose money in the first
quarter, although considerable progress has been made in trimming its overhead
and focusing upon building its book of business. The other components of the
Health Services segment, MEC and NNJEI, continue profitably." The company has
resolved most pending litigation and obtained financing in early April necessary
to resume growth.
"Let me put our progress into perspective," said Farris. "During the first
quarter, we sold 15 laser systems with zero system returns. If we had sold 20
systems, two systems less than the number of systems sold in the fourth quarter
not counting returns, we would have reported a profit. It is also worth noting
that the first quarter tends to be our slowest period."
Significant improvement in operating cash flow
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"The measures we have taken over the last year have had an increasingly positive
effect on our revenues," he said. "This, combined with effective cost controls
that have significantly lowered our selling, general, and administrative
expenses as a percentage of revenue, has resulted in significant
quarter-by-quarter improvements in our cash position.
New laser model introduction
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At the American Society for Cataract and Refractive Surgery (ASCRS) trade show
which begins this weekend, LaserSight will introduce its latest state-of-the-art
product, the LaserScan LSX laser system. A very significant advancement is the
LSX's new and unique ceramic laser head which doubles the repetition rate of
LaserSight's laser from 100hz to 200hz. LaserSight adds to its competitive
advantage with its exclusive license for this technology. The LSX was conceived
to assist in penetrating the more advanced markets internationally and to
demonstrate LaserSight's commitment to continued development of leading
technology. The company will continue to sell the LaserScan 2000 at a lesser
price than the LSX giving the company a multiple product strategy. The LSX
pricing structure is intended to assist in meeting budgeted average selling
price objectives.
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FDA clinical trials update
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Farris noted the company continues to make progress with regard to its clinical
studies for PRK and PARK. "It is possible that we will submit a Pre-Market
Application (PMA) to the FDA late in the fourth quarter of this year or early in
the first quarter of next year. The submission will consist of at least 6-month
follow up data on over 200 eyes. As the PMA submission is reviewed by the FDA,
we will continue and treat patients and submit the follow-up data to the FDA as
supplemental information."
"LaserSight has received approval of a second Investigational Device Exemption
(IDE). We announced on March 27 of this year the submission of an IDE to the FDA
for a patented Glaucoma treatment. This IDE has been approved by the FDA for an
expedited study. Since this is an expedited study, using LaserSight's existing
IDE for Photorefractive Keratectomy (PRK), it appears possible that a PMA
submission on this Glaucoma procedure could be filed as early as the second
quarter of 1998."
Health Services growth
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Farris said the company's managed vision care unit continued its strong
operating performance during the quarter. "The number of covered lives continued
to increase from our existing vision care HMO contracts. In fact, in comparing
first quarter 1996 to first quarter 1997 we saw a 24% increase in the number of
covered lives we manage from these contracts, representing a 35-40% increase in
revenues from the same comparative period. While we are pleased with this
accomplishment, our goal is to secure additional contracts with HMOs."
Earlier this year, LaserSight announced a tentative agreement to acquire
Intermountain Managed Eyecare, of Salt Lake City, Utah, a third-party
administrator of managed vision care contracts with a business strategy similar
to LaserSight's MEC Health Care subsidiary. LaserSight anticipated closing this
transaction on March 15, 1997. LaserSight is continuing due diligence with
regard to this acquisition and certain transaction terms remain to be
negotiated. A closing date cannot be determined at this time.
Commenting on the company's outlook, Farris said, "We are on the right track. We
are watching our overhead but not ignoring investments necessary for growth."
LaserSight Incorporated is a holding company with four operating subsidiaries
engaged in the business of laser manufacturing and international sales,
third-party managed vision care administration, ophthalmic practice management,
and health and vision care consulting services.
This press release contains forward-looking statements regarding future events
and future performance of the Company that involve risks and uncertainties that
could materially affect actual results. Investors should refer to documents that
the Company files from time to time with the Securities and Exchange Commission
for a description of certain factors that could cause actual results to vary
from current expectations and the forward-looking statements contained in this
press release. Such filings include, without limitation, the Company's Form
10-K, Form 10-Q and Form 8-K reports and the Company's prospectus dated July 12,
1996 (File No.
333-2198).
For additional information please contact: Marti Benfield
Investor Relations Manager
LaserSight Incorporated
(314) 469-3220
