FORM 10-QSB
SECURITIES AND EXCHANGE COMMISSION
WASHINGTON, D.C. 20549
Quarterly Report under Section 13 or 15(d)
of the Securities Exchange Act of 1934
For the Quarter Ended September 30, 1998
Commission File Number 000-20175
NYER MEDICAL GROUP, INC
(Exact name of registrant as specified in its charter)
Florida 01-0469607
(State or other jurisdiction of (I.R.S. Employer
incorporation or organization) Identification No.)
1292 Hammond Street, Bangor, Maine 04401
(Address of principal executive offices) (Zip Code)
(207) 942-5273
(Registrant's telephone number, including area code)
Indicate by check mark whether the registrant (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 twelve 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 November 20, 1998, there were 3,396,093 outstanding shares of common
stock, par value $.0001 per share.
FORM 10-QSB NYER MEDICAL GROUP, INC. 000-20175 SEPTEMBER 30, 1998
INDEX
PART I
FINANCIAL INFORMATION
Page No.
Item 1. Financial Statements:
Consolidated Balance Sheets, September 30, 1998
and December 31, 1997 3-4
Consolidated Statements of Operations, Three Months
Ended September 30, 1998 and September 30, 1997 5
Consolidated Statements of Operations, Nine Months
Ended September 30, 1998 and September 30, 1997 6
Consolidated Statements of Cash Flows, Nine Months
Ended September 30, 1998 and September 30, 1997 7-8
Notes to Consolidated Financial Statements 9
Item 2. Management's Discussion and Analysis of
Third Quarter 1998 Results 9-13
PART II - OTHER INFORMATION
Item 3. Other Information 14
Signatures 15
FORM 10-QSB NYER MEDICAL GROUP, INC 000-20175 SEPTEMBER 30, 1998
NYER MEDICAL GROUP, INC AND SUBSIDIARIES
CONSOLIDATED BALANCE SHEETS
ASSETS
(Unaudited)
SEPTEMBER 30, December 31,
1998 1997
Current assets:
Cash and cash equivalents $3,914,995 $ 4,497,010
Accounts receivable, less
allowance for doubtful accounts
of $186,343 at September 30, 1998
and $159,023 at December 31, 1997 3,473,018 2,952,555
Inventories, net 4,607,147 4,187,779
Prepaid expenses 270,444 118,559
Receivables from related parties 42,271 18,176
Total current assets 12,307,875 11,774,079
Property, plant and equipment, at
cost:
Land 92,800 92,800
Building 641,508 638,624
Leasehold improvements 119,054 112,984
Machinery and equipment 223,807 225,994
Transportation equipment 247,958 243,555
Office furniture, fixtures,
and equipment 1,021,140 613,101
2,346,267 1,927,058
Less accumulated depreciation
and amortization (804,959) (668,383)
1,541,308 1,258,675
Goodwill and other deferred assets,
net of accumulated amortization of
$345,883 and $256,794 at September
30, 1998 and December 31, 1997,
respectively 839,950 919,683
Advances due from related companies 32,991 37,499
Investment in discontinued operation 1,407,560 1,972,190
Other 149,862 145,914
2,430,363 3,075,286
Total assets $16,279,546 $16,108,040
See accompanying notes to consolidated financial statements.
FORM 10-QSB NYER MEDICAL GROUP, INC 000-20175 SEPTEMBER 30, 1998
NYER MEDICAL GROUP, INC AND SUBSIDIARIES
CONSOLIDATED BALANCE SHEETS
LIABILITIES AND SHAREHOLDERS' EQUITY
(Unaudited)
September 30, December 31,
1998 1997
Current liabilities:
Notes payable due related parties $ 645,320 $ 658,776
Current portion of long-term debt 180,020 227,527
Taxes payable 7,743 7,743
Accounts payable 3,422,976 2,409,436
Accrued payroll and related taxes 39,473 59,095
Accrued expenses and other
liabilities 172,296 339,988
Total current liabilities 4,467,828 3,702,565
Long-term debt, net of current
portion 579,717 533,991
Minority interest 678,566 674,095
Deferred credits 135,015 173,333
Shareholders' equity:
Class A Preferred stock, par value
$.0001, Authorized, issued and
outstanding: 2,000 shares 1 1
Class B Preferred stock, series 1,
par value $.0001, Authorized:
2,500,000; issued and outstanding:
1,000 shares at September 30, 1998 and
December 31, 1997, respectively
Common stock, par value $.0001
Authorized: 10,000,000 shares;
issued and outstanding: 3,396,093
shares at September 30, 1998 and
3,407,093 shares at December 31, 1997 340 341
Additional paid-in capital 15,337,126 15,337,126
Stock sale receivable (115,500) (115,500)
Treasury stock, 11,000 shares (52,248)
Accumulated deficit (4,751,299) (4,197,912)
Total shareholders' equity 10,418,420 11,024,056
Total liabilities and
shareholders' equity $16,279,546 $16,108,040
See accompanying notes to consolidated financial statements.
FORM 10-QSB NYER MEDICAL GROUP, INC 000-20175 SEPTEMBER 30, 1998
NYER MEDICAL GROUP, INC. AND SUBSIDIARIES
CONSOLIDATED STATEMENTS OF OPERATIONS(Unaudited)
Three Months Ended
September 30, September 30,
1998 1997
Net sales $9,345,308 $8,307,415
Cost and expenses:
Cost of goods sold 7,444,928 6,618,750
Selling and retail 1,528,630 1,230,094
Warehouse and delivery 74,180 105,056
Administrative 575,326 616,439
9,623,064 8,570,339
Operating loss (277,756) (262,924)
Other income (expense):
Interest expense (51,831) (27,734)
Interest income 106,364 82,516
Other 65,327 (919)
Total other income 119,860 53,863
Loss before
minority interest (157,896) (209,061)
Minority interest 22,317 76,601
Loss from continuing operations (135,579) (132,460)
Discontinued operations:
Loss from operations of discontinued
subsidiary-Genetic Vectors (151,970) (413,831)
Gain on sale of Genetic Vectors'
stock 122,319
Loss from discontinued subsidiary
Genetic Vectors (29,651) (413,831)
Net Loss $ (165,230) $ (546,291)
Basic and diluted loss per common
share from continuing operations $ (.04) $ (.04)
Basic and diluted loss per common
share from discontinued operations (.01) (.12)
Basic and diluted loss per common
share $ (.05) $ (.16)
Weighted average common shares
outstanding 3,396,093 3,399,821
See accompanying notes to consolidated financial statements.
FORM 10-QSB NYER MEDICAL GROUP, INC 000-20175 SEPTEMBER 30, 1998
NYER MEDICAL GROUP, INC. AND SUBSIDIARIES
CONSOLIDATED STATEMENTS OF OPERATIONS(Unaudited)
Nine Months Ended
September 30, September 30,
1998 1997
Net sales $26,935,777 $24,406,192
Cost and expenses:
Cost of goods sold 21,175,500 19,525,209
Selling and retail 4,223,040 3,640,075
Warehouse and delivery 245,920 289,266
Administrative 1,867,867 1,562,924
27,512,327 25,017,474
Operating loss (576,550) (611,282)
Other income (expense):
Interest expense (94,029) (71,214)
Interest income 241,992 181,690
Other 75,570 103,293
Total other income 223,533 213,769
Loss before
minority interest (353,017) (397,513)
Minority interest (4,471) 89,569
Loss from continuing operations (357,488) (307,944)
Discontinued operations
Loss from operations of discontinued
subsidiary-Genetic Vectors (465,080) (483,031)
Gain on sale of Genetic Vectors'
stock 269,181
Loss from discontinued
subsidiary-Genetic Vectors (195,899) (483,031)
Net Loss $ (553,387) $ (790,975)
Basic and diluted loss per common
share from continuing operations $ (.10) $ (.09)
Basic and diluted loss per common
share from discontinued operations (.06) (.14)
Basic and diluted loss per common
share $ (.16) $ (.23)
Weighted average common shares
outstanding 3,403,426 3,339,821
See accompanying notes to consolidated financial statements.
FORM 10-QSB NYER MEDICAL GROUP, INC 000-20175 SEPTEMBER 30, 1998
NYER MEDICAL GROUP, INC. AND SUBSIDIARIES
CONSOLIDATED STATEMENTS OF CASH FLOWS
(Unaudited)
September 30, September 30,
1998 1997
Cash flows from operating
activities:
Net loss $ (553,387) $ (790,975)
Adjustments to reconcile to net cash
used in operating activities:
Loss of discontinued operation 465,080 483,031
Depreciation and amortization 274,283 223,369
Gain on sale of Genetic Vectors' stock (269,181)
Gain on sale of other equity securities (75,570)
Minority interest 4,471 (89,569)
Changes in certain working capital
elements (191,996) (526,884)
Net cash flows used in
operating activities (346,300) (701,028)
Cash flows from investing activities:
Purchase of property, plant and
equipment (442,474) (402,022)
Cash received from sale of Genetic
Vectors' stock 368,731
Cash received from sale of other
equity securities 15,787
Increase in deferred charges (105,377)
Net change in advances due from
related companies 4,508 5,357
Increase in other assets, net (114,781) (33,700)
Net cash used in
investing activities (168,229) (535,742)
Cash flows from financing activities:
Proceeds from issuance of
long-term debt 176,971
Payments of long-term debt (178,752) (559,361)
Net repayments from notes due related
parties (13,456) (272)
Payments for purchase of treasury stock (52,249)
Proceeds from exercise of stock
options 542
Net cash used in
financing activities (67,486) (559,091)
Net decrease in cash
and cash equivalents (582,015) (1,795,861)
Cash and cash equivalents at
beginning of period 4,497,010 6,392,888
Cash and cash equivalents at
end of period $3,914,995 $4,597,027
See accompanying notes to consolidated financial statements.
FORM 10-QSB NYER MEDICAL GROUP, INC 000-20175 SEPTEMBER 30, 1998
NYER MEDICAL GROUP, INC. AND SUBSIDIARIES
CONSOLIDATED STATEMENTS OF CASH FLOWS
(Unaudited)
September 30, September 30,
1998 1997
Changes in certain working capital
elements:
Accounts receivable, net $ (520,463) $ (440,642)
Inventories (419,368) (383,315)
Prepaid expenses (15,978) (28,034)
Receivables from related parties (24,095) 57,744
Decrease in deferred credits (38,318)
Accounts payable 1,013,540 362,190
Accrued payroll and related taxes (19,622) (68,702)
Accrued expenses and other liabilities (167,692) (26,125)
Net change $ (191,996) $ (526,884)
Nine Months Ended
September 30, September 30,
1998 1997
Cash paid during the first nine months:
Interest $94,029 $67,401
FORM 10-QSB NYER MEDICAL GROUP, INC 000-20175 SEPTEMBER 30, 1998
NYER MEDICAL GROUP, INC. AND SUBSIDIARIES
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (Unaudited)
1. The consolidated financial statements included herein have been
prepared by the Company, without audit, pursuant to the rules and
regulations of the Securities and Exchange Commission. Certain
information and footnote disclosures normally included in financial
statements prepared in accordance with generally accepted accounting
principals have been condensed or omitted pursuant to such rules and
regulations, although the Company believes that the disclosures are
adequate to make the information presented not to be misleading. In
the opinion of management, the amounts shown reflect all adjustments
necessary to present fairly the financial position and results of
operations for the periods presented. All such adjustments are of a
normal recurring nature.
Basic and diluted loss per share of common stock has been determined
by dividing net earnings by the weighted average number of shares of
common stock outstanding.
It is suggested that the financial statements be read in conjunction
with the financial statements and notes thereto included in the
Company's Form 10-KSB for the year ended December 31, 1997.
Item 2. MANAGEMENT'S DISCUSSION AND ANALYSIS OF THE THIRD QUARTER RESULTS
Results of Operations
Total revenues for the first nine months of 1998 increased 10.4% over
the first nine months of 1997 to $26,935,777, representing an increase of
$2,529,585.
The following table shows revenues of the Company's principal subsidiaries:
For nine months ended
September 30, September 30,
Subsidiary 1998 1997 % increase (decrease)
Eaton $16,603,165 $13,002,298 27.9%
Anton 2,520,657 3,010,183 (16.3)
ADCO 4,026,766 4,154,491 (3.0)
ADCO South 847,125 766,477 10.5
Conway 2,598,520 3,412,182 (23.4)
Nyer Nutritional 302,426 0 100.0
$26,898,659 $24,345,631
The major reason for this increase in revenues was due to the Company's
pharmacy chain, Eaton. Eaton acquired two pharmacies in June and September
of 1997 and one in March 1998. This contributed to the increase in revenues
in contrast to the first nine months of 1997. Anton's/Conway's sales
decreased due to less than expected fire truck sales and regular sales.
ADCO's sales decreased due to the lower than expected government and
equipment sales. ADCO South sales increased due to higher than normal
equipment sales. Nyer Nutritional received its first substantial sales of
$102,291 in the second quarter and also recorded additional sales of $200,135
in the third quarter. Sales for the first nine months of 1997 amounted to
$0. Sales in the month of October 1998 amounted to $304,177
FORM 10-QSB NYER MEDICAL GROUP, INC. 000-20175 SEPTEMBER 30, 1998
NYER MEDICAL GROUP, INC. AND SUBSIDIARIES
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (Unaudited)
Results of Operations: continued,
The Company's overall gross margins were approximately 21.4% in 1998 for
the first nine months as compared to 20.0% for the same comparable period in
1997.
Total revenues for the third quarter only of 1998 increased 12.5%
over the same period in 1997 to $9,345,308, representing an increase of
$1,037,893.
The following table shows revenues of the Company's principal subsidiaries:
For three months ended
September 30, September 30,
Subsidiary 1998 1997 % increase (decrease)
Eaton $5,859,888 $4,607,503 27.2%
Anton 772,650 855,162 (9.6)
ADCO 1,449,897 1,493,458 (3.0)
ADCO South 288,495 260,405 10.8
Conway 761,631 1,072,169 (29.0)
Nyer Nutritional 200,135 0 100.0
$9,332,696 $8,288,697
The reasons for the increases/decreases in revenues are as stated
above.
The following is a table of gross margins of the Company's principal
subsidiaries for the first nine months of 1998 and 1997:
For nine months ended For three months ended
September 30 September 30, September 30, September 30,
Subsidiary 1998 1997 1998 1997
Eaton 20.4% 21.1% 19.7% 20.7%
Anton 18.3 11.8 19.4 24.8
ADCO 25.3 25.5 25.9 26.0
ADCO South 23.3 27.1 22.7 24.1
Conway 23.0 14.2 14.3 14.7
Nyer Nutritional 22.9 - 19.9 -
Eaton's gross margins decreased due to lower insurance company
reimbursements. Anton's/Conway's gross margins increased due to
less fire truck sales for the first nine months of 1998 as compared to
1997. Fire truck sales have lower margins than other products sold by
Anton/Conway. ADCO South's gross margins decreased due to increased
equipment sales which have lower margins.
FORM 10-QSB NYER MEDICAL GROUP, INC. 000-20175 SEPTEMBER 30, 1998
NYER MEDICAL GROUP, INC. AND SUBSIDIARIES
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (Unaudited)
MANAGEMENT'S DISCUSSION AND ANALYSIS OF THE THIRD QUARTER RESULTS
Results of Operations: continued,
Selling, general, and administrative expenses increased approximately
15.4% in 1998 to $6,336,827 from $5,492,265 in 1997. The following table
shows the breakdown by subsidiary (and corporate expenses) :
For nine months ended For three months ended
September 30, September 30, September 30, September 30,
Subsidiary 1998 1997 1998 1997
Eaton $3,254,969 $2,595,464 $1,131,114 $ 941,007
Anton 600,533 563,725 191,822 196,043
ADCO 1,015,184 1,005,929 339,256 358,404
SCBA 11,717 8,183 4,332 1,547
ADCO South 206,067 229,780 65,968 72,245
Corporate 203,370 163,135 91,576 78,244
Conway 593,190 584,672 193,565 198,301
Nyle Home Health 100 725 34 466
Nyer Diabetic 16,047 0 16,047 0
Nyer Nutritional 435,650 340,652 144,422 105,332
$6,336,827 $5,492,265 $2,178,136 $1,951,589
The main increases came from Eaton's acquisition of two additional drug
stores and Anton's expansion in New Hampshire, Massachusetts, and New York,
and ADCO's expansion into Nevada.
In total, the Company experienced a net loss of $553,387 in 1998 as
compared to a net loss of $790,975 in 1997. The Company sustained a loss
from continuing operations of $357,488 in 1998 as compared to a
loss of $307,944 in 1997.
The following table summarizes the income (loss) from operations by
subsidiary:
For nine months ended For three months ended
September 30, September 30, September 30, September 30,
Subsidiary 1998 1997 1998 1997
Eaton $ 125,118 $ 148,526 $ 17,562 $ (21,626)
Anton (118,883) (167,341) (39,182) (62,937)
ADCO (20,534) 34,884 28,198 23,941
SCBA 7,462 21,780 32 8,431
ADCO South (9,331) (20,747) (645) (9,781)
Corporate 37,021 32,363 46,050 (18,500)
Conway 4,187 (79,584) (67,687) (32,885)
Nyle Home Health (800) 3,832 (33) 466
Nyer Diabetic (15,360) 0 (15,360) 0
Nyer Nutritional (366,368) (281,657) (104,514) (19,569)
$ (357,488) $ (307,944) $ (135,579) $ (132,460)
FORM 10-QSB NYER MEDICAL GROUP, INC. 000-20175 SEPTEMBER 30, 1998
NYER MEDICAL GROUP, INC. AND SUBSIDIARIES
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (Unaudited)
MANAGEMENT'S DISCUSSION AND ANALYSIS OF THE THIRD QUARTER RESULTS
Results of Operations: continued,
The majority of the loss came from the Company's subsidiary, Nyer
Nutritional, which showed a loss of $366,368 for the first nine months of
1998 as compared to a loss of $281,657 for the same period of 1997. Nyer
Nutritional generated its first substantial revenues in the second and third
quarters of 1998 and is still incurring overhead costs associated with
bringing its AMTFTM product and other related products to market. Nyer
Nutritional has generated $302,426 of sales for the first nine months of
1998 as compared to $0 in 1997. Nyer Nutritional also completed the final
testing of its nine additional AMTFTM products in the third quarter of 1998.
Eaton incurred new overhead costs associated with its two new two pharmacies
acquired in the second and third quarter of 1997 and first quarter of 1998.
ADCO's loss of $20,534 as compared to a net income of $34,884 can be
attributed to lower than expected government and equipment sales and lower
margins. Conway had income of $4,187 for the first nine months of 1998 as
compared to a loss of $79,584 in the same period of 1997. Anton showed
a loss of $118,883 for the first nine months of 1998 as compared to a
loss of $167,341 for the same period in 1997. ADCO South showed a loss
of $9,331 for the first nine months of 1998 as compared to a loss of
$20,747 for the same period in 1997. Nyer Diabetic Supplies started
operations in August of 1998. This division sells blood glucose meters,
test strips, lancets and penlets, control solutions and alcohol prep pads
to diabetics. This division had a loss of $15,360 mainly due to
start up costs.
The Company recognized a loss from Genetic Vectors, Inc. ("Vectors")
of $465,080 for the first nine months of 1998 as compared to a loss of
$483,031 in 1997. This loss was offset by a gain of $269,181 on the sale of
45,000 shares of Vectors' stock. The Company currently owns 31.8% of
outstanding common stock in Vectors but it is not involved in its management
and cannot affect its results of operations. The Company accounts for 31.8%
of Vectors loss on their consolidated financial statements as a discontinued
operation.
For the third quarter, the majority of the loss came from the
Company's subsidiary, Nyer Nutritional, which showed a loss of $104,514
as compared to a loss of $19,569 for the same period of 1997. Nyer
Nutritional generated its first substantial revenues in the second and
third quarter of 1998 and is still incurring overhead costs associated with
bringing its AMTFTM product and other related products to market. Eaton
incurred new overhead costs associated with its two new two pharmacies
acquired in the second and third quarter of 1997 and first quarter of 1998.
ADCO's income of $28,198 for the third quarter of 1998 as compared to
income of $23,941 for the same period in 1997. Conway had a loss of
$67,687 for the third quarter of 1998 as compared to a loss of $32,885
for the same comparable period in 1997. The reason for the loss is due
to less than expected sales on fire trucks and equipment. Anton reported
FORM 10-QSB NYER MEDICAL GROUP, INC. 000-20175 SEPTEMBER 30, 1998
NYER MEDICAL GROUP, INC. AND SUBSIDIARIES
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (Unaudited)
MANAGEMENT'S DISCUSSION AND ANALYSIS OF THE THIRD QUARTER RESULTS
Results of Operations: continued,
a loss of $39,182 for the third quarter only as compared to a loss of
$62,937 for the same comparable period of 1997. The Company started
a new division in the third quarter of 1998 called Nyer Diabetic Supplies.
This division had a loss of $15,360 which can be attributed to start up
costs.
The Company recognized a loss from Vectors of $151,970 for the third
quarter of 1998 as compared to a loss of $413,831 in 1997. This loss was
offset by a gain of $122,319 on the sale of 23,000 shares of Vectors.
Liquidity and Capital Resources:
In March 1998, the Company acquired certain assets of a pharmacy,
including goodwill, for cash of $25,000 and a note of $106,000.
In May 1998, the Company commenced buying back its shares of common
stock in the open market in accordance with the Securities and Exchange
Commission rules. The Company has purchased an aggregate of 11,000 shares
of common stock for a total cost to the Company of $52,248 which is recorded
as treasury stock on the balance sheet.
In May 1998, the Company sold 22,000 shares of its Vectors stock
resulting in an aggregate net proceeds to the Company of $198,342.
In May 1998, the Company sold 5,000 shares of stock it owned in
another corporation resulting in an aggregate net proceeds to the
Company of $15,787.
In August 1998, the Company sold 23,000 shares of its Vectors stock
resulting in an aggregate net proceeds to the Company of $170,389.
In September 1998, the Company sold the remaining 35,300 shares of
stock it owned in another corporation resulting in an aggregate net
proceeds of $135,907.
In November 1998, the Company intends to sell an additional 23,000
shares of its Vectors stock.
The Company anticipates its current cash levels are adequate to fund
the operating needs and potential acquisitions for the foreseeable future.
FORM 10-QSB NYER MEDICAL GROUP, INC. 000-20175 SEPTEMBER 30, 1998
NYER MEDICAL GROUP, INC. AND SUBSIDIARIES
PART II
Item 3: Other information
IMPACT OF YEAR 2000 - Computer Systems Compliance
The "Year 2000 Issue" is the result of the way computer systems and
programs define calendar dates; they could fail or make miscalculations
due to interpreting a date including "00" to mean the year 1900, not
year 2000. Some computer programs were written using two digits rather
than four to define the appropriate year. This could result in a
system failure or miscalculations causing disruptions in normal business
activities.
The Company has started accessing its computer systems, including
embedded chip technology, to determine the potential technical and
economic impact of the "Year 2000 Issue" will have on the Company's
systems and business operations. In the last two years, the Company
has upgraded its major computer systems and programs. To date, the Company
has identified only one of its subsidiaries will have to replace their
computer system in order to be Year 2000 compliant. The Company estimates
this will cost $15,000.
The Company is requesting assurances from its outside suppliers, which
the Company relies on for inventory and services, its customers (which
includes 3rd party insurance companies), that they are Year 2000 Compliant.
The Company does not expect that the costs of addressing the Year 2000 issue,
which are in the Company's control, will have a material effect on their
future operating results or financial position.
At this time, the Company is in the process of developing a
contingency plan for its systems that are not Year 2000 compliant. The
Company intends to have one in place by the second quarter of 1999.
FORWARD-LOOKING STATEMENTS
The statements made above relating to: (1) the anticipated costs to the
Company of complying with the Year 2000 conversion, (2) the anticipated
future impact as a result of outside suppliers not being Year 2000
compliant on a timely basis are forward-looking statements within the
meaning of Section 27A of the Securities Act of 1933 and Section 21E
of the Securities Exchange Act of 1934. The results anticipated by any
or all of the forward-looking statements may not occur.
FORM 10-QSB NYER MEDICAL GROUP, INC. 000-20175 SEPTEMBER 30, 1998
NYER MEDICAL GROUP, INC. AND SUBSIDIARIES
SIGNATURES
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 thereunto duly authorized.
NYER MEDICAL GROUP, INC.
Date: November 20, 1998 /s/ Samuel Nyer
Samuel Nyer,
President
Date: November 20, 1998 /s/ Karen L. Wright
Karen L. Wright,
Treasurer
(Chief Financial Officer)
<TABLE> <S> <C>
<ARTICLE> 5
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<PERIOD-TYPE> 9-MOS
<FISCAL-YEAR-END> DEC-31-1997
<PERIOD-END> SEP-30-1998
<CASH> 3,914,995
<SECURITIES> 0
<RECEIVABLES> 3,701,632
<ALLOWANCES> (186,343)
<INVENTORY> 4,607,147
<CURRENT-ASSETS> 12,307,875
<PP&E> 2,346,267
<DEPRECIATION> (804,959)
<TOTAL-ASSETS> 16,279,546
<CURRENT-LIABILITIES> 4,467,828
<BONDS> 714,732
0
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<COMMON> 340
<OTHER-SE> 10,418,420
<TOTAL-LIABILITY-AND-EQUITY> 16,279,546
<SALES> 26,935,777
<TOTAL-REVENUES> 26,935,777
<CGS> 21,175,500
<TOTAL-COSTS> 6,336,827
<OTHER-EXPENSES> 0
<LOSS-PROVISION> 0
<INTEREST-EXPENSE> 94,029
<INCOME-PRETAX> (553,387)
<INCOME-TAX> 0
<INCOME-CONTINUING> (357,488)
<DISCONTINUED> (195,899)
<EXTRAORDINARY> 0
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