<PAGE>
UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
WASHINGTON, DC 20549
FORM 10-Q/A
[X] QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(D) OF THE SECURITIES EXCHANGE
ACT OF 1934
For the quarterly period ended June 30, 1998
Or
[ ] TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(D) OF THE SECURITIES
EXCHANGE ACT OF 1934
For the transition period from ___________ to ___________
Commission File Number____________
SUMMIT MEDICAL SYSTEMS, INC.
(Exact name of registrant as specified in its charter)
MINNESOTA 41-1545493
(State or other jurisdiction of (IRS Employer ID No.)
incorporation or organization)
10900 RED CIRCLE DRIVE
SUITE 100
MINNETONKA, MN 55343
612-939-2200
(Address including zip code, of Registrant's
principal executive offices and 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 12 months (or for such shorter period that the registrant was
required to file such reports), and has been subject to such filing requirements
for the past 90 days. [X] Yes [ ] No
As of July 31, 1998 there were 9,599,429 shares of Summit Medical Systems, Inc.
common stock outstanding
<PAGE>
ITEM 6. EXHIBITS AND REPORTS ON FORM 8-K
(a) Exhibits
27.1 Financial Data Schedule - Six Months Ended June 30, 1998
(previously filed)
27.2 Restated Financial Data Schedule - Six Months Ended
June 30, 1997 (previously filed)
27.3 Restated Financial Data Schedule - Year Ended December 31, 1997
(previously filed)
27.4 Restated Financial Data Schedule - Three Months Ended
March 31, 1996
27.5 Restated Financial Data Schedule - Six Months Ended
June 30, 1996
27.6 Restated Financial Data Schedule - Nine Months Ended
September 30, 1996
27.7 Restated Financial Data Schedule - Year Ended December 31, 1996
27.8 Restated Financial Data Schedule - Three Months Ended
March 31, 1997
27.9 Restated Financial Data Schedule - Nine Months Ended
September 30, 1997
27.10 Restated Financial Data Schedule - Three Months Ended
March 31, 1998
(b) Reports on Form 8-K
None
11
<TABLE> <S> <C>
<PAGE>
<ARTICLE> 5
<LEGEND>
THIS SCHEDULE CONTAINS SUMMARY FINANCIAL INFORMATION EXTRACTED FROM THE
CONDENSED CONSOLIDATED FINANCIAL STATEMENTS OF SUMMIT MEDICAL SYSTEMS, INC.
DATED MARCH 31, 1996 AND IS QUALIFIED IN ITS ENTIRETY BY REFERENCE TO SUCH
FINANCIAL STATEMENTS.
</LEGEND>
<RESTATED>
<S> <C>
<PERIOD-TYPE> 3-MOS
<FISCAL-YEAR-END> DEC-31-1996
<PERIOD-START> JAN-01-1996
<PERIOD-END> MAR-31-1996
<CASH> 2,862,537
<SECURITIES> 20,140,280
<RECEIVABLES> 867,415
<ALLOWANCES> 0
<INVENTORY> 0
<CURRENT-ASSETS> 25,189,427
<PP&E> 1,425,172
<DEPRECIATION> 0
<TOTAL-ASSETS> 26,892,380
<CURRENT-LIABILITIES> 1,284,725
<BONDS> 0
0
0
<COMMON> 85,130
<OTHER-SE> 25,517,799
<TOTAL-LIABILITY-AND-EQUITY> 26,892,380
<SALES> 1,016,851
<TOTAL-REVENUES> 1,016,851
<CGS> 533,468
<TOTAL-COSTS> 511,450
<OTHER-EXPENSES> 0
<LOSS-PROVISION> 0
<INTEREST-EXPENSE> 0
<INCOME-PRETAX> 271,945
<INCOME-TAX> 0
<INCOME-CONTINUING> 271,945
<DISCONTINUED> (523,349)
<EXTRAORDINARY> 0
<CHANGES> 0
<NET-INCOME> (251,404)
<EPS-PRIMARY> (0.03)
<EPS-DILUTED> (0.03)
</TABLE>
<TABLE> <S> <C>
<PAGE>
<ARTICLE> 5
<LEGEND>
THIS SCHEDULE CONTAINS SUMMARY FINANCIAL INFORMATION EXTRACTED FROM THE
CONSOLIDATED FINANCIAL STATEMENTS OF SUMMIT MEDICAL SYSTEMS, INC. DATED JUNE 30,
1996 AND IS QUALIFIED IN ITS ENTIRETY BY REFERENCE TO SUCH FINANCIAL STATEMENTS.
</LEGEND>
<RESTATED>
<S> <C>
<PERIOD-TYPE> 6-MOS
<FISCAL-YEAR-END> DEC-31-1996
<PERIOD-START> JAN-01-1996
<PERIOD-END> JUN-30-1996
<CASH> 2,643,541
<SECURITIES> 18,622,853
<RECEIVABLES> 893,415
<ALLOWANCES> 0
<INVENTORY> 0
<CURRENT-ASSETS> 24,383,327
<PP&E> 1,767,757
<DEPRECIATION> 0
<TOTAL-ASSETS> 26,412,093
<CURRENT-LIABILITIES> 963,740
<BONDS> 0
0
0
<COMMON> 85,503
<OTHER-SE> 25,360,501
<TOTAL-LIABILITY-AND-EQUITY> 26,412,093
<SALES> 1,932,575
<TOTAL-REVENUES> 1,932,575
<CGS> 992,111
<TOTAL-COSTS> 1,127,805
<OTHER-EXPENSES> 0
<LOSS-PROVISION> 0
<INTEREST-EXPENSE> 0
<INCOME-PRETAX> 409,875
<INCOME-TAX> 0
<INCOME-CONTINUING> 409,875
<DISCONTINUED> (883,489)
<EXTRAORDINARY> 0
<CHANGES> 0
<NET-INCOME> (473,614)
<EPS-PRIMARY> (0.06)
<EPS-DILUTED> (0.05)
</TABLE>
<TABLE> <S> <C>
<PAGE>
<ARTICLE> 5
<LEGEND>
THIS SCHEDULE CONTAINS SUMMARY FINANCIAL INFORMATION EXTRACTED FROM THE
CONSOLIDATED FINANCIAL STATEMENTS OF SUMMIT MEDICAL SYSTEMS, INC. DATED
SEPTEMBER 30, 1996 AND IS QUALIFIED IN ITS ENTIRETY BY REFERENCE TO SUCH
FINANCIAL STATEMENTS.
</LEGEND>
<RESTATED>
<S> <C>
<PERIOD-TYPE> 9-MOS
<FISCAL-YEAR-END> DEC-31-1996
<PERIOD-START> JAN-01-1996
<PERIOD-END> SEP-30-1996
<CASH> 14,451,896
<SECURITIES> 35,668,406
<RECEIVABLES> 796,173
<ALLOWANCES> 0
<INVENTORY> 0
<CURRENT-ASSETS> 51,741,443
<PP&E> 2,034,804
<DEPRECIATION> 0
<TOTAL-ASSETS> 54,108,679
<CURRENT-LIABILITIES> 1,199,306
<BONDS> 0
0
0
<COMMON> 103,121
<OTHER-SE> 52,803,903
<TOTAL-LIABILITY-AND-EQUITY> 54,108,679
<SALES> 2,713,933
<TOTAL-REVENUES> 2,713,933
<CGS> 1,514,232
<TOTAL-COSTS> 1,727,720
<OTHER-EXPENSES> 0
<LOSS-PROVISION> 0
<INTEREST-EXPENSE> 0
<INCOME-PRETAX> 697,783
<INCOME-TAX> 0
<INCOME-CONTINUING> 697,783
<DISCONTINUED> (2,884,959)
<EXTRAORDINARY> 0
<CHANGES> 0
<NET-INCOME> (2,187,176)
<EPS-PRIMARY> (0.24)
<EPS-DILUTED> (0.23)
</TABLE>
<TABLE> <S> <C>
<PAGE>
<ARTICLE> 5
<LEGEND>
THIS SCHEDULE CONTAINS SUMMARY FINANCIAL INFORMATION EXTRACTED FROM THE
CONSOLIDATED FINANCIAL STATEMENTS OF SUMMIT MEDICAL SYSTEMS, INC. DATED DECEMBER
31, 1996 AND IS QUALIFIED IN ITS ENTIRETY BY REFERENCE TO SUCH FINANCIAL
STATEMENTS.
</LEGEND>
<RESTATED>
<S> <C>
<PERIOD-TYPE> YEAR
<FISCAL-YEAR-END> DEC-31-1996
<PERIOD-START> JAN-01-1996
<PERIOD-END> DEC-31-1996
<CASH> 9,386,069
<SECURITIES> 35,243,624
<RECEIVABLES> 822,649
<ALLOWANCES> 0
<INVENTORY> 0
<CURRENT-ASSETS> 45,471,303
<PP&E> 2,655,305
<DEPRECIATION> 0
<TOTAL-ASSETS> 49,847,282
<CURRENT-LIABILITIES> 3,764,082
<BONDS> 0
0
0
<COMMON> 103,438
<OTHER-SE> 45,979,762
<TOTAL-LIABILITY-AND-EQUITY> 49,847,282
<SALES> 3,671,133
<TOTAL-REVENUES> 3,671,133
<CGS> 2,099,945
<TOTAL-COSTS> 2,390,304
<OTHER-EXPENSES> 0
<LOSS-PROVISION> 0
<INTEREST-EXPENSE> 0
<INCOME-PRETAX> 1,068,812
<INCOME-TAX> 0
<INCOME-CONTINUING> 1,068,812
<DISCONTINUED> (13,904,944)
<EXTRAORDINARY> 0
<CHANGES> 0
<NET-INCOME> (12,836,132)
<EPS-PRIMARY> (1.37)
<EPS-DILUTED> (1.28)
</TABLE>
<TABLE> <S> <C>
<PAGE>
<ARTICLE> 5
<LEGEND>
THIS SCHEDULE CONTAINS SUMMARY FINANCIAL INFORMATION EXTRACTED FROM THE
CONSOLIDATED FINANCIAL STATEMENTS OF SUMMIT MEDICAL SYSTEMS, INC. DATED MARCH
31, 1997 AND IS QUALIFIED IN ITS ENTIRETY BY REFERENCE TO SUCH FINANCIAL
STATEMENTS.
</LEGEND>
<RESTATED>
<S> <C>
<PERIOD-TYPE> 3-MOS
<FISCAL-YEAR-END> DEC-31-1997
<PERIOD-START> JAN-01-1997
<PERIOD-END> MAR-31-1997
<CASH> 8,580,164
<SECURITIES> 31,762,314
<RECEIVABLES> 1,455,206
<ALLOWANCES> 0
<INVENTORY> 0
<CURRENT-ASSETS> 41,816,645
<PP&E> 2,589,305
<DEPRECIATION> 0
<TOTAL-ASSETS> 46,019,533
<CURRENT-LIABILITIES> 4,419,882
<BONDS> 0
0
0
<COMMON> 103,477
<OTHER-SE> 41,496,174
<TOTAL-LIABILITY-AND-EQUITY> 46,019,533
<SALES> 1,423,887
<TOTAL-REVENUES> 1,423,887
<CGS> 892,516
<TOTAL-COSTS> 713,499
<OTHER-EXPENSES> 0
<LOSS-PROVISION> 0
<INTEREST-EXPENSE> 0
<INCOME-PRETAX> 397,218
<INCOME-TAX> 0
<INCOME-CONTINUING> 397,218
<DISCONTINUED> (4,895,265)
<EXTRAORDINARY> 0
<CHANGES> 0
<NET-INCOME> (4,498,047)
<EPS-PRIMARY> (0.43)
<EPS-DILUTED> (0.43)
</TABLE>
<TABLE> <S> <C>
<PAGE>
<ARTICLE> 5
<LEGEND>
THIS SCHEDULE CONTAINS SUMMARY FINANCIAL INFORMATION EXTRACTED FROM THE
CONSOLIDATED FINANCIAL STATEMENTS OF SUMMIT MEDICAL SYSTEMS, INC. DATED
SEPTEMBER 30, 1997 AND IS QUALIFIED IN ITS ENTIRETY BY REFERENCE TO SUCH
FINANCIAL STATEMENTS.
</LEGEND>
<RESTATED>
<S> <C>
<PERIOD-TYPE> 9-MOS
<FISCAL-YEAR-END> DEC-31-1997
<PERIOD-START> JAN-01-1997
<PERIOD-END> SEP-30-1997
<CASH> 5,397,897
<SECURITIES> 25,986,493
<RECEIVABLES> 1,266,081
<ALLOWANCES> 100,000
<INVENTORY> 0
<CURRENT-ASSETS> 32,556,842
<PP&E> 1,376,716
<DEPRECIATION> 0
<TOTAL-ASSETS> 34,163,364
<CURRENT-LIABILITIES> 4,004,584
<BONDS> 0
0
0
<COMMON> 101,149
<OTHER-SE> 30,057,631
<TOTAL-LIABILITY-AND-EQUITY> 34,163,364
<SALES> 3,849,768
<TOTAL-REVENUES> 3,849,768
<CGS> 2,482,069
<TOTAL-COSTS> 2,077,381
<OTHER-EXPENSES> 0
<LOSS-PROVISION> 0
<INTEREST-EXPENSE> 0
<INCOME-PRETAX> 815,165
<INCOME-TAX> 195
<INCOME-CONTINUING> 814,970
<DISCONTINUED> (16,185,915)
<EXTRAORDINARY> 0
<CHANGES> 0
<NET-INCOME> (15,370,945)
<EPS-PRIMARY> (1.49)
<EPS-DILUTED> (1.42)
</TABLE>
<TABLE> <S> <C>
<PAGE>
<ARTICLE> 5
<LEGEND>
THIS SCHEDULE CONTAINS SUMMARY FINANCIAL INFORMATION EXTRACTED FROM THE
CONSOLIDATED FINANCIAL STATEMENTS OF SUMMIT MEDICAL SYSTEMS, INC. DATED
MARCH 31, 1998 AND IS QUALIFIED IN ITS ENTIRETY BY REFERENCE TO SUCH FINANCIAL
STATEMENTS.
</LEGEND>
<RESTATED>
<S> <C>
<PERIOD-TYPE> 3-MOS
<FISCAL-YEAR-END> DEC-31-1998
<PERIOD-START> JAN-01-1998
<PERIOD-END> MAR-31-1998
<CASH> 6,959,785
<SECURITIES> 17,940,336
<RECEIVABLES> 1,106,280
<ALLOWANCES> 87,878
<INVENTORY> 0
<CURRENT-ASSETS> 26,123,285
<PP&E> 1,292,819
<DEPRECIATION> 0
<TOTAL-ASSETS> 27,601,901
<CURRENT-LIABILITIES> 4,489,847
<BONDS> 0
0
0
<COMMON> 96,174
<OTHER-SE> 23,015,880
<TOTAL-LIABILITY-AND-EQUITY> 27,601,901
<SALES> 1,302,625
<TOTAL-REVENUES> 1,302,625
<CGS> 725,914
<TOTAL-COSTS> 778,425
<OTHER-EXPENSES> 0
<LOSS-PROVISION> 0
<INTEREST-EXPENSE> 0
<INCOME-PRETAX> 156,757
<INCOME-TAX> 0
<INCOME-CONTINUING> 156,757
<DISCONTINUED> (2,175,118)
<EXTRAORDINARY> 0
<CHANGES> 0
<NET-INCOME> (2,018,361)
<EPS-PRIMARY> (0.21)
<EPS-DILUTED> (0.21)
</TABLE>